Polytag, Ocado, Bower team up for recycling reward

Recycling technology company Polytag, Ocado Retail and recycling app Bower are testing the viability of Digital Deposit Return Schemes (DDRS) through a world-first recycling reward initiative.  

For the first time, Ocado customers will receive a GBP 20p monetary reward for scanning and recycling their packaging using their smartphones. 

Customers can now scan unique QR codes on Ocado's Own-Brand milk bottles for a chance to receive a GBP 20p reward. The milk bottles have reduced in price to GBP 1.45 (USD 1.900) (two-pint) and GBP 1.20 (USD 1.57) (four-pint) and will be delivered nationwide starting from July 14. The reward can be withdrawn to the customer's bank account and aligns with the upcoming Deposit Return Scheme legislation in 2025. 

Although consumers will not redeem a deposit – as it will not be added at the point of purchase – the partnership will further demonstrate the viability of a DDRS by enabling them to receive a cash incentive for recycling using their smartphones.  

The serialized codes – printed at Interket UK – can only be scanned once. Additionally, the Bower app uses in-app GPS technology to validate that the consumer is claiming a GBP 20p by standing within a close distance of a registered home recycling bin.  

In addition, the on-pack QR codes also enable brands to access real-time data on packaging lifecycles, including if, when and where packaging is recycled. 

Invisible tags will feature on all product labels, which are going to be counted in two regional material recycling facilities using Polytag’s invisible tag readers. The app when a consumer claims their GBP 20p reward will be mapped to the count of items identified in the material recycling facilities, demonstrating a full end-to-end DDRS solution.  

While this move represents the first time Bower has partnered with a UK retailer to offer monetary rewards, it also represents the next phase of a DDRS partnership between Polytag and Ocado Retail which last year saw unique-every-time QR codes printed accurately and at speed on 5 million labels for two-and four-pint milk bottles. Those codes take consumers to a fully customized landing page containing real-time information and dynamic content.  

Laura Fernandez, senior packaging and sustainability manager at Ocado Retail, commented: ‘To be able to launch a workable digital deposit return scheme that actually pays consumers back for recycling is a game-changing move for recycling and the circular economy in the UK. We already know that Ocado shoppers have an appetite for such a scheme as when we surveyed them last year, 80 percent were likely or very likely to scan a QR code for a deposit return.’  

According to Resource Futures, a digital deposit return system is projected to save GBP 3.4bn (USD 3.9bn) over 11 years compared to conventional DRS. This is due to the elimination of the need for nationwide installation of reverse vending machines. Additionally, the digital system is expected to have a lower carbon footprint as consumers can conveniently recycle packaging through kerbside collection.  

Alice Rackley, CEO, Polytag, commented that in its response to the DRS consultation in January, the UK government encouraged innovators to continue to demonstrate that the technology for a DDRS exists. Polytag’s partnership with Bower and Ocado Retail is the next step in demonstrating the viability of a DDRS in the UK. After successfully mass-applying 5m unique-every-time QR codes to Ocado Retail’s packaging, the companies will now further conduct a proof of concept – consumers receiving monetary rewards for good recycling habits.  

Suwar Mert, CEO and Founder, Bower, added that o er 500,000 users are already using the app and get rewarded not only for their bottles and cans but for all packaging with a barcode. ‘We can elevate the recycling rates and put speed and scale behind the transition towards a circular packaging economy.’  

Steve Gough, Valpak, also said that there are many benefits of a DDRS and the brand has seen this first-hand through a successful pilot in Europe by its sister brand, RLG.