Part II: When Customers Push for Sustainability: Practical Steps for Pallet Companies

This is the second installment of a two-part series on sustainability reporting in the wooden pallet sector, including tips, best practices and the opportunity beyond the burden.

In our last installment, we found that wood pallet companies are increasingly fielding sustainability reporting requests from their customers, introducing a new and often confusing hurdle to doing business. In this article, we report in more detail on how industry members are responding to such requirements.

But to take a step back, it’s not just pallets. Wood pallet and packaging companies are far from alone in fielding demands for sustainability data. Small and medium enterprises (SMEs) in other industries are facing similar challenges. For example, a February 2025 Thomson/ Reuters article advises SMEs preparing for the EU’s new sustainability requirements to “proactively partner with large customers to understand their ESG data requirements” because those buyers will expect detailed supplier data.

In North America, a 2025 BDO sustainability report similarly warns that mid-market companies should collect ESG data with the same rigor as their financials, even if they don’t publish publicly. The professional services firm noted that … “some regulations will require third party assurance, and some customers will require it.”

For pallet manufacturers and recyclers, these findings underscore a simple truth: customers and regulators will increasingly expect environmental data. The good news, as experts interviewed for this series note, is that challenges come with opportunity as well as obligation.

So how should companies start? Jim Hartzfeld, former Brambles North America sustainability executive and now a consultant, urges companies not to panic when fielding requests. “The first thing I always tell suppliers is to breathe,” he said. “A customer asking for data doesn’t mean you need a 200-page report next week.”

Hartzfeld emphasizes that such requests usually reflect customers trying to understand their footprint or find good stories to build on not an expectation for exhaustive analysis overnight. The key, he said, is not to overreact, but to clarify what’s being asked, start from what you already have, and use it as an opportunity to deepen your relationship with your customer.

At Ongweoweh, the company’s basis for its sustainability assessments is the number of pallets recycled and put back into circulation. This figure helps calculate trees saved, CO2 avoided and landfill waste diverted.

Start by Understanding the Ask

Overreaction can be as problematic as inaction. “I think a lot of times a pallet company sees a question come in from a customer, and they jump right away to thinking it means a huge, detailed report,” said Brad Gething, vice president of Science and Technology at the NWPCA. “But really, a lot of those requests are for something much smaller, like wood sourcing, or maybe energy usage. So instead of guessing or overdoing it, the better step is to stop and ask for clarification. That way you don’t spend a bunch of time giving them way more information than they actually wanted.”

One positive is that you may already have more of the data than you realize, pointed out Brett Bucktooth, senior supplier diversity and sustainability manager for Ongweoweh Corp. “You’d be surprised how much you already know about your operations,” he said. “We track fuel use, electricity, repairs, sourcing. It’s all part of running a plant. When a customer comes with a request, don’t assume you’re starting from zero. You probably already have 80% of what they want, but it’s in your head or on a spreadsheet. The key is to pull it together in a way that shows you’re paying attention.”

Jess Bonsall, director of ESG at 48forty Solutions, added that listening is just as important as answering. “Sometimes customers aren’t even sure what they’re really asking for,” she said. “They’ve been told by their procurement or ESG teams to get data from suppliers, so have the conversation. Ask them, ‘Which data points matter most to you? Is this about compliance, or about partnership and storytelling?’ That opens the door to a more practical, less burdensome exchange.”

Understanding the context of customer requests also matters. “If a customer asks about carbon, you need to understand what kind of carbon they are talking about,” said Ralph Rupert of Johnson Industries, a Pennsylvania-based wood packaging provider. It’s important to clarify whether they mean embedded carbon in the pallet, transportation emissions, or something else.

“Without that clarity, you can end up answering the wrong question,” Rupert cautioned. Using a standardized industry framework can strengthen credibility, since consistent data carries more weight with customers than one-off company reports.

Together, these voices offer a consistent starting point: don’t guess, don’t overcommit, and don’t be afraid to ask questions back. Once the ask is understood, the next step is to look inward and document what’s already being done.

 

Turning Knowledge Into Action

That shift from reaction to documentation is a crucial “next step” in addressing customer needs. Gething pointed out that many pallet companies already have strong sustainability stories, but just haven’t written them down.

“A lot of pallet companies are already doing sustainable things, whether that’s using recycled wood, repairing pallets to extend their life, or sourcing wood responsibly,” he said. “The problem is, if you don’t write it down or keep track of it, you can’t really show that story to your customer. The best approach is to start small. Maybe it’s documenting your recycling rates, your sourcing practices, or even just your energy use. Once you’ve got that information, it builds into something bigger.”

Nunzio Presta, head of strategic growth, global for Pallet Connect, echoes the point that companies don’t need to start from scratch when it comes to gathering sustainability data. Much of the information already exists inside their enterprise systems.

“ERPs like Pallet Connect capture the core operational data, including pallet production, repair, reuse, transportation, that directly ties into ESG metrics,” he said. By digitizing workflows, pallet companies can trace material flows, track repair and recovery rates, and demonstrate reductions in waste and emissions. By 2026, the company plans to introduce a dedicated ESG reporting tool that automates this process for small- and mid-sized operators.

Bonsall agrees that technology can make this easier. “We’re seeing tools emerge that help standardize the process, which is huge for our industry,” she said. “Because right now, every customer seems to ask the same question in ten different ways.”

One of those tools is the NWPCA’s new sustainability reporting platform, designed to help pallet companies respond more efficiently. It is currently in development. Gething describes it as a practical step forward.

“The idea behind the tool was to give members something simple they could use without having to build out a whole ESG department,” he said. “It’s basically a framework that covers things like sourcing, recycling, repair and energy. You just fill in your own numbers. Then, if a customer comes to you with a question, you’re not starting from scratch every time.”

While the NWPCA tool represents new progress, Brett Bucktooth of Ongweoweh points out that with a vast network of 1,500 supplier partners and large, sustainability-focused customers, his company already leans on established frameworks to meet customer needs. “We track how many pallets are repaired and reintroduced into circulation,” he said. “That becomes the base to calculate trees saved, CO2 avoided, and landfill waste diverted. To make those numbers meaningful, we also rely on recognized tools like the EPA’s WARM model and the GHG Protocol. That way, the reporting is transparent and credible for our clients.”

For his part, Rupert stressed that an industry approach can also help build trust, noting that if everyone in the pallet sector is reporting the same kinds of data in the same way, it carries more weight with customers than each company creating its own version. “Otherwise, it can just come across as us saying, ‘Trust us,’” Rupert said. “But when the numbers are presented in a consistent framework, it’s easier for customers to believe and compare.”

Additionally, Bonsall points out that consistency helps the industry push back when requests go too far. “When you have a tool that defines reasonable, relevant data, you can say to customers: here’s the information we provide, and it’s aligned with industry standards. That prevents scope creep, where you’re suddenly being asked to report on things that don’t make sense for a pallet company.”

Beyond compliance, Bucktooth and others note that tracking sustainability metrics may also unlock financial and sustainability improvement opportunities. “When you measure repairs, recovery rates, or avoided emissions, you start to see where the opportunities are to do better,” Bucktooth said. “That’s how data moves from being a burden to being a tool for continuous improvement.”

To Hartzfeld’s point earlier in this article, panic isn’t the answer, but engagement is. “Sustainability isn’t a side issue anymore,” he said, “Is becoming part of how business is done.” He cautions that companies shouldn’t panic at requests for data but see them as a chance to strengthen credibility to become more of a logistics partner than a pallet vendor. In his view, the firms that succeed will be those that start with what they already know, lean on tools to make reporting easier, then build on their existing strengths to create more value for their customer.

Customers don’t expect perfection, but they do expect responsiveness, and many will appreciate you taking the next step to engage further.

Hartzfeld added, “In my experience, the first call from your customer may be from someone in a simple data gathering role that has dozens of suppliers to contact. They may have ZERO interest in anything beyond filling cells in a spreadsheet (or online system). You may strike out, but use it as a chance to get introduced to others in the sustainability or ops teams who are responsible for driving improvement. Anything you can do together to reduce loss, damage rate, or empty miles will create even more value in the future. Every step helps you decommodify your business from others.”

By clarifying what’s being asked, documenting what’s already done, and leaning on new industry tools, companies can meet growing sustainability demands without being overwhelmed. And in doing so, they position themselves not only to satisfy today’s requests but also to identify opportunities for improvement, helping them to thrive in a marketplace where sustainability is becoming a competitive advantage.

Editor’s Note: Jim Hartzfeld, former Brambles North America sustainability executive and now a consultant, is now offering Fractional Chief Sustainability Officer services to small and fast-growing companies. To find out more, contact Hartzfeld Sustainability Advisors through LinkedIn at https://www.linkedin.com/in/jimhartzfeld/.

Rick LeBlanc