Sustainability is a business imperative. For beverage distributors, particularly those in the wine and spirits space, sustainability isn’t just about aligning with environmental values; it’s about reducing waste, maximizing efficiency, and meeting growing regulatory and consumer demands.
At the intersection of environmental responsibility and operational performance, warehouse automation has emerged as a strategic lever. But how exactly are beverage companies using automation to meet their sustainability goals and what challenges still remain?
We sat down with an industry professional currently overseeing warehouse operations in the wine and spirits sector to discuss how automation is reshaping their sustainability strategy from the inside out.
Aligning Automation With Ambitious Sustainability Goals
Many companies in the beverage space have set bold sustainability targets; goals like achieving zero waste to landfill by 2030, transitioning to 100% recyclable or reusable packaging, and reducing breakage rates by double digits year-over-year.
Automation is playing a key role in achieving these targets.
From conveyor and automated material handling systems to reusable packaging platforms and RFID-enabled tracking, modern automation can reduce handling related waste, optimize throughput, and extend product life cycle. One example is the introduction of durable, refillable container systems that minimize packaging waste and promote circular logistics models. The global market for refillable packaging, which was valued at $41.50 billion in 2022, is anticipated to grow to $61.72 billion by 2032.
Addressing the Challenges of Traditional Warehouse Practices
Traditional warehouse processes often create environmental and operational inefficiencies; especially in the form of excess packaging waste and breakage. These issues can absorb labor, increase disposal costs, and slow down fulfillment speed.
Automation reduces these inefficiencies by optimizing line speeds, standardizing handling, and minimizing product damage.
Key Sustainability Benefits of Automation
Sustainability is increasingly being measured not just in waste diverted or emissions saved. But in long-term ROI metrics like carbon footprint reductions, improved worker safety, and the durability of the automation systems themselves.
The environmental benefits of automation extend beyond operational gains. Facilities are reporting measurable improvements in areas such as:
Energy Efficiency - Though automated systems often consume more energy, their precision and consistency can result in fewer process errors and less rework. Automated storage and retrieval systems reduce energy usage by up to 60% with high-density storage solutions.
Space Utilization - Automated storage and retrieval systems (AS/RS) allow for vertical warehousing, reducing a facility’s overall footprint. Contemporary warehouse automation solutions enhance storage density by 60-85% through optimized vertical space and advanced storage systems.
Waste Reduction - Automation improves handling precision, leading to fewer damaged goods and packaging materials. Smart warehousing technologies help optimize inventory and reduce waste with precise demand forecasting and automated stock rotation, cutting expired or obsolete inventory by 30-40%.
Lifecycle Optimization - Thoughtful system design can extend the useful life of automation equipment, reducing the need for raw material extraction and enabling repair or remanufacture. Automated systems have demonstrated the potential to increase the operational lifespan of warehouse equipment by 30-40% by utilizing optimized usage patterns and predictive maintenance features.
Some examples of Food and Beverage companies that have reported impressive sustainability gains through automation:
PepsiCo: Automated bottling lines reduced water consumption by 40% and energy usage by 25%.
Unilever: Robotic palletizing systems decreased packaging waste by 60% and improved line efficiency by 45%.
Balancing Benefits with Drawbacks
Like any transformation, automating a warehouse isn’t without challenges. One noted drawback is increased energy consumption, especially with high speed conveyors and climate controlled automation zones.
While it’s a complex problem with no simple solution, many companies are addressing this by focusing on:
Right sizing equipment to match current and future demand
Training employees to use systems more efficiently
Optimizing throughput without over-engineering the system
Planning for the Future: Flexibility and Design Thinking
As sustainability regulations continue to evolve, especially in the form of reporting and disclosure requirements, many beverage distributors are building flexibility into their automation strategy. Designing systems to adapt over time is essential.
That flexibility starts at the design phase. You have to begin with the end in mind, this includes:
Choosing materials with a lower environmental footprint
Designing for durability, modularity and repairability
Reducing embedded energy by extending system lifespan
Temperature and humidity-controlled environments (which is critical for wine and spirits) also tend to benefit automation, making systems more reliable while improving climate control efficiency.
Measuring Success Beyond Cost Savings
Cost savings are just the beginning. Beverage distributors are also developing ways to measure ROI through sustainability metrics, including:
Carbon footprint reduction
Employee health and safety improvements
Long term environmental impact tracking
The key is integrating these into your warehouse continuous improvement programs; with sensors, connected systems, and digital dashboards providing increasingly detailed insight.
Final Thoughts
For beverage companies navigating the transition to a more sustainable future, automation offers a powerful lever, but one that must be wielded wisely. Sustainability doesn’t just happen with the flip of a switch. It requires careful planning, a willingness to adapt, and a commitment to long term change.
By designing systems thoughtfully and investing in the right infrastructure, wine and spirits distributors can make meaningful progress toward a greener supply chain.
If you’re considering automating your warehouse to support your sustainability goals, now’s the time to start planning strategically. The environment and your bottom line will thank you.
Want to learn how automation can support your sustainability transformation?
Let’s talk. As a system integrator with deep experience in the beverage industry, Conveyco specializes in helping companies design future ready, sustainable warehouse solutions that work. Contact us to learn more.