Olive, a consolidated e-commerce delivery service built to reduce last-mile waste, needed packaging that could meet strict sustainability standards without compromising performance or customer experience. We designed and engineered a line of collapsible, reusable totes built entirely from 100% recycled materials. Kargo managed the full process from material development and structural design through production and supply chain integration. The result was lower shipping costs, measurable waste reduction, and a return experience that matched the standard Olive set for the rest of its service.
Olive was founded on a simple premise: e-commerce generates too much waste, and delivery is a major part of the problem. Launched in 2021 by Nate Faust, co-founder of Jet.com and former Walmart supply chain head, Olive consolidated orders from multiple fashion retailers into a single, weekly, cardboard-free delivery.
The model was built around circularity. Orders were grouped at Olive's fulfillment centers, delivered in reusable packaging, and returned by the customer during the next delivery cycle. No cardboard, no plastic mailers, no excess waste.
For this to work, the packaging had to perform flawlessly.
Challenge
Olive's packaging requirements were precise, leaving narrow margins for compromise.
The totes required entirely recycled materials to meet the brand's core environmental commitments. They needed to withstand multiple shipping cycles, protect diverse order types without additional padding, and maintain their structural integrity during fulfillment handling and transit.
The design also required optimization for dimensional weight pricing. Bulky or poorly engineered totes would increase shipping costs at scale, directly undermining the efficiency of the service.
Returns were equally critical. The reverse logistics model relied on a collapsible design that customers could flatten quickly. A difficult or bulky tote would disrupt the straightforward customer experience.
Finally, the unboxing experience had to project a clean, premium brand image without relying on single-use inserts or wasteful packaging elements.
Solution
We managed the full scope of the project: material research, structural engineering, prototyping, branding integration, and production management.
Material selection was the foundation, with every component specified for both sustainability and performance:
Exterior and interior fabric: 100% recycled RPET, selected for durability, lightweight performance, and consistency across high-use cycles.
Zipper coil and tape: 100% recycled RPET.
Structural layer: 100% recycled corrugated PP board, providing structure and product protection without the need for cardboard.
Fabric treatment: DuPont antibacterial coating applied to both sides to maintain hygiene across multiple delivery cycles.
Closure: Tamper-evident seal to preserve security during transit.
The totes collapse to just 10% of their expanded volume in seconds, directly reducing shipping and storage costs. We developed multiple sizes to accommodate the range of order volumes processed across Olive's fulfillment centers. Branding was integrated throughout, and we managed production and supply chain coordination through to final delivery.
Impact
The totes delivered measurable outcomes across the areas Olive needed most:
Decreased shipping costs through precise sizing and a collapse ratio that optimizes dimensional weight pricing across the full delivery network
Significant waste reduction across the packaging lifecycle, from fulfillment through return, by eliminating all single-use components from the system
Reduced carbon emissions from more efficient consolidated shipments enabled by lighter, better-engineered packaging
100% recycled material construction across every component, meeting Olive's sustainability requirements without performance trade-offs
A premium customer experience delivered through clean unboxing, straightforward returns, and packaging that reflects the quality of the service it supports
Olive set out to change how e-commerce packaging works at scale. That required packaging engineered to perform across every stage of the cycle, not just look good on delivery.
Kargo approached the project as a technical and design challenge equally. The materials, structure, and engineering decisions were made together, with each element supporting the others. The result is a tote system that holds its shape in transit, collapses flat for return, and is built entirely from recycled materials, without any of those priorities pulling against the others.
Kargo Services Utilized:
Design & Engineering
Product Development
Production
Logistics
Supply Chain Management
