Last week, I joined an intimate gathering of beauty founders and sustainability leaders at Beauty Heroes in Novato, California to discuss a question that many brands are grappling with today:

How can sustainability actually work for the business — not just the planet?

The panel brought together leaders from across the beauty ecosystem:

• Jeannie Jarnot, Founder & CEO of Beauty Heroes
  
• Greg Starkman, Founder & CEO of Innersense Organic Beauty
  
• Danielle Jezienicki, sustainability strategist and founder of Impact FWD (moderator)
  
• And myself, representing rePurpose Global
  

The event brought together founders, retailers, and sustainability professionals to explore how sustainability efforts can translate into real business growth and competitive advantage.

Across the conversation, one theme became clear:

The brands that win in the next decade of beauty will treat sustainability as strategy — not compliance, which will become table stakes.

Below are five key insights from the discussion.

One of the opening questions during the panel was simple:

In one sentence, what will sustainability look like in 2026?

Across the panel, the answers converged around a few common themes:

1. Transparency will become the baseline, not the differentiator.
   
2. Packaging regulations will reshape cost structures across consumer brands.
   
3. Customers will expect to participate in sustainability efforts, not just observe them.

Beauty brands today are operating in a rapidly shifting landscape.

Three forces are accelerating the importance of sustainability strategy:

• Rising regulatory pressure such as Extended Producer Responsibility (EPR) laws
  
• Retailer expectations around ingredient transparency and packaging impact
  
• Consumer scrutiny around sustainability claims and authenticity

For many brands, sustainability used to live primarily in marketing.

Today it sits at the intersection of:

• Product design
  
• Operations
  
• Legal compliance, and
  
• Supply chain strategy
  

In other words, sustainability has moved from existing in independent silos to becoming a core part of a company’s ethos and shared infrastructure. Packaging sustainability in 2026 needs to be practical, measurable, and embedded across the business.

1. EPR Regulations Are Turning Sustainable Packaging Into a Cost Strategy

TL;DR: Regulations like EPR are transforming packaging sustainability from a cost center into a financial strategy.

One of the biggest shifts brands should prepare for is the rapid expansion of Extended Producer Responsibility (EPR) regulations.

EPR policies require companies to take financial responsibility for the packaging they introduce into the market.

Within these systems, eco-modulation plays a key role.

Eco-modulation adjusts producer fees (essentially fees paid by the company to each enforcing state government based on their packaging design). At a very high level -

This changes the economics of packaging.

Historically, sustainability initiatives were often framed as costly upgrades.

Under EPR frameworks, better packaging design can reduce compliance costs.

For brands selling across multiple markets, packaging design decisions are increasingly becoming regulatory risk management decisions.

2. Sustainability Innovation Requires Measurement and Attribution

TL;DR: Sustainability strategies become durable when companies measure impact and connect it to business performance.

One theme that came up repeatedly during the conversation was the importance of measuring sustainability performance with the same rigor as any other business initiative.

Danielle Jezienicki, who has worked with a wide range of companies on sustainability strategy, emphasized that many organizations still struggle to clearly connect sustainability initiatives to business outcomes.

The missing piece is often measurement and attribution.

Companies may invest in sustainable packaging, ethical sourcing, or circular programs — but if those initiatives are not tied to clear performance indicators, it becomes difficult to justify them internally when budgets tighten.

Danielle highlighted the need for companies to do the harder work of building attribution pathways, so sustainability efforts can be evaluated against metrics and outcomes such as:

• Improving customer acquisition and loyalty
  
• Strengthening retailer relationships
  
• Reducing regulatory risk
  
• Increasing internal operational efficiencies
  
• Building authentic brand trust and reputation
  

In other words, sustainability initiatives should be measured the same way marketing campaigns or product launches are measured.

Greg Starkman echoed this perspective from the founder's side. At Innersense Organic Beauty, he noted that the company has always prioritized making its sustainability commitments measurable and auditable.

This kind of accountability is increasingly important as regulators, retailers, and consumers all demand credible sustainability claims backed by real data.

For brands navigating a complex sustainability landscape, the takeaway is clear: If you can measure it, you can manage it — and ultimately prove its value.

3. Build Sustainability With Customers — Not Just For Them

TL;DR: Sustainability initiatives scale when customers feel personally invested in them.

Jeannie Jarnot offered a powerful perspective from the retailer's side.

As the founder of Beauty Heroes, Jeannie has built one of the most influential discovery platforms for clean beauty brands — and one with an unusually engaged community.

Rather than treating customers as passive recipients of sustainability initiatives, Beauty Heroes encourages its audience to see themselves as active participants in shaping the industry.

Jeannie shared that the Beauty Heroes community often feels a strong sense of responsibility for the brands they support. Customers expect transparency and are not afraid to speak up when brands fall short of the values they claim to represent.

In many ways, the community acts as an informal accountability mechanism for brands.

That dynamic reflects the role Beauty Heroes plays as a retailer. The company curates brands that meet strict standards around:

• ingredient integrity
  
• ethical sourcing
  
• environmental responsibility
  
• packaging sustainability
  

Beauty Heroes also actively supports circular initiatives and waste reduction. The retailer partners with organizations such as PACT Collective, which provides take-back programs for hard-to-recycle beauty packaging, helping consumers responsibly dispose of empty products.

In addition, Beauty Heroes has partnered with rePurpose Global to support verified plastic recovery projects that prevent plastic waste from entering the environment. For every order placed, the brand funds the removal of one pound of hard-to-recycle plastic from vulnerable ecosystems around the world - directly linking environmental impact to individual consumer action.

These types of partnerships allow customers to participate directly in sustainability efforts through the brands they purchase.

The broader lesson for brands is that sustainability becomes much more powerful when it is co-created with customers.

When people feel they are contributing to something meaningful through their purchasing decisions, sustainability becomes more than a brand message — it becomes a shared mission.

4. Sustainability Must Be Integrated Across the Entire Organization

TL;DR: The most resilient sustainability strategies are embedded across every team in the company.

Greg Starkman spoke candidly about how sustainability has shaped the growth of Innersense Organic Beauty.

From the beginning, Greg and his co-founder Joanne Starkman made a deliberate decision to integrate sustainability across the entire organization, rather than treating it as a responsibility of just one department.

Greg described this approach as a 360-degree integration of sustainability.

At Innersense, sustainability is not limited to packaging or supply chain decisions. Instead, it influences how teams across the business evaluate choices — from product formulation to sourcing, manufacturing, partnerships, and brand storytelling.

This integrated approach allows sustainability to function as a decision-making lens across the company.

Over time, that commitment has translated into measurable outcomes. Innersense is widely recognized for:

• using certified organic ingredients across its product line
  
• prioritizing responsibly sourced raw materials
  
• designing packaging with recyclability and environmental impact in mind
  
• maintaining strict ingredient transparency standards

The company has also partnered with rePurpose Global to support verified plastic recovery initiatives that help remove plastic waste from the environment and strengthen global waste management infrastructure. To date, this partnership has helped recover over 600,000 lbs of hard-to-recycle plastic from the environment. You can read more about the impact KPIs of this partnership here.

For Greg, the takeaway is simple: sustainability cannot sit on the sidelines of the business.

When it is embedded across teams and integrated into everyday decision-making, it becomes something much more powerful — a core driver of brand integrity and long-term resilience.

5. Sustainability Messaging Often Works Best Later in the Buying Journey

TL;DR: Sustainability information often drives conversions, not just awareness.

Many marketers assume sustainability is mainly useful for top-of-funnel storytelling.

In reality, sustainability messaging often becomes most powerful in middle and bottom-of-funnel moments.

When consumers are deciding between two brands, they often look deeper into:

• ingredient sourcing
  
• packaging sustainability
  
• certifications
  
• environmental commitments
  

At that point, sustainability can become the tie-breaker. This is where transparency and credible impact reporting become powerful tools.

Frequently Asked Questions About Sustainability in the Beauty Industry

Why is sustainability becoming important for beauty brands in 2026?

Sustainability is becoming critical for beauty brands because regulations, retailer expectations, and consumer awareness are all increasing simultaneously. Packaging regulations like EPR require brands to manage the lifecycle of their packaging, while retailers and customers increasingly expect transparency around ingredients, sourcing, and the environmental impact of their packaging.

rePurpose Global helps brands navigate the rapidly evolving landscape of packaging sustainability and compliance with EPR regulations. Our platform and advisory support enable companies to map regulatory requirements across markets, streamline reporting, and identify opportunities to optimize packaging design. By approaching compliance strategically, brands can simultaneously meet regulatory obligations, advance sustainability goals, and reduce eco-modulated EPR fees through better material and packaging choices.

rePurpose Global also pioneered Verified Plastic Recovery for consumer brands - a powerful pathway to fund the removal of plastic from nature while giving companies bulletproof sustainability claims. Trusted by 500+ brands including PepsiCo and Kenvue, we've removed over 100 million pounds of nature-bound plastic.

What are EPR regulations and how do they affect beauty brands?

Extended Producer Responsibility (EPR) laws require companies to finance the collection, recycling, and disposal of packaging they introduce into the market. Beauty brands selling products with packaging may need to report packaging volumes, join compliance programs, and pay eco-modulated fees depending on recyclability and material choices. Learn more about EPR programs active in the United States here. 

What is eco-modulation in packaging regulations?

Eco-modulation adjusts producer responsibility fees based on packaging sustainability. Materials that are recyclable or contain recycled content may receive lower fees, while materials that are difficult to recycle may face higher fees. This creates financial incentives for brands to redesign packaging for circularity. Read more about Ecomodulation here. 

How can sustainability drive business growth for beauty brands?

Sustainability can drive business growth for beauty brands by strengthening brand loyalty, unlocking cost efficiencies, and future-proofing operations against evolving regulations. Today’s consumers increasingly choose brands that demonstrate measurable impact, making sustainability a key differentiator in crowded markets.

For example, brands that invest in verified plastic recovery and transparent impact reporting—through platforms like rePurpose Global—can build deeper trust and increase customer retention. At the same time, tools like rePurpose’s Packaging Platform help brands optimize packaging design, reduce material use, and lower EPR-related fees, directly improving margins.

Sustainability also creates new storytelling and marketing opportunities. With auditable data, traceability, and impact dashboards, brands can confidently communicate their progress, turning compliance and operational improvements into compelling narratives that drive conversion and long-term growth.

What are examples of customer-driven sustainability programs in beauty?

Examples include refillable packaging programs, take-back recycling initiatives, plastic recovery partnerships like those with rePurpose Global, and transparent impact reporting that allows customers to see how their purchases contribute to environmental outcomes.

What does rePurpose Global do for packaging compliance?

rePurpose Global helps companies turn packaging compliance into a strategic advantage.

Instead of treating regulations like Extended Producer Responsibility (EPR) as a reporting exercise, rePurpose helps brands centralize packaging data, navigate multi-state and global compliance requirements, and identify packaging design improvements that reduce regulatory risk.

Through its packaging compliance platform and advisory expertise, rePurpose enables companies to:

• Map and track packaging regulations across markets
• Automate packaging data reporting for EPR programs
• Identify opportunities for eco-modulation savings through more recyclable or circular packaging
• Align compliance with broader sustainability goals, such as waste reduction and circular packaging strategies

This strategic approach allows companies not only to meet regulatory obligations, but also to reduce EPR fees, improve packaging design, and strengthen their overall sustainability strategy.