2024 was a challenging year for many retailers. Large brands like M&S, Tesco, and B&M European Value saw shares drop between 2-8% in the final quarter, following fears about food price inflation, increased labor benefits in the UK, and new packaging levies that will impact the bottom line in the year to come. At the same time, consumers are more price-sensitive than ever.
That is why it is critically important to monitor pending and current environmental laws that could significantly impact the retail industry in 2025 and beyond.
To stay competitive and compliant, retailers need to understand how these regulations will impact their operations and marketing efforts. These laws will reshape the retail landscape from packaging waste rules to deforestation policies affecting printed materials. Let’s walk through the key environmental laws coming into effect in 2025 and what they mean for your business.
European Union Deforestation Regulation (EUDR)
The EUDR is scheduled to be enforced for large companies from December 30, 2025, and for small and medium-sized enterprises from June 30, 2026.
Retailers must ensure that products containing wood-based materials, such as paper flyers, do not originate from deforested areas post-December 31, 2020. This entails rigorous supply chain due diligence to verify the source of paper materials.
EU Packaging and Packaging Waste Regulations (P&PWR)
Set to take effect in early 2025, these regulations aim to reduce packaging waste and promote sustainability. Retailers must minimize packaging volume and weight, reduce empty space, and possibly invest in sustainable materials and custom packaging solutions.
The Circular Materials Plan
The Circular Materials Plan (CMP) is a forward-thinking policy initiative from the Dutch government designed to accelerate the transition to a circular economy by focusing on sustainable waste management and resource efficiency. Scheduled to take effect in 2025, the CMP introduces ambitious measures to promote high-quality recycling, prevent waste creation, and extend product lifespans. Key features include mechanisms like a guaranteed supply of waste to innovative recycling technologies and detailed prevention guidelines to minimize raw material usage.
The CMP aligns with broader EU sustainability goals, aiming to reduce reliance on non-renewable resources, lower greenhouse gas emissions, and foster innovation. By integrating these policies with existing frameworks like the Environment and Planning Act, the CMP provides a robust legal foundation for achieving the Netherlands’ climate and circular economy objectives. For businesses, including retailers, the CMP signifies a shift toward sustainable practices, encouraging innovation and compliance to stay competitive in a greener marketplace.

Source: repak.ie
Extended Producer Responsibility (EPR) Schemes
Various EPR schemes are being adopted across EU member states, with full implementation expected by 2025. Retailers are held accountable for the entire lifecycle of their products, including post-consumer waste management. This means taking responsibility for collecting, recycling, or disposing of paper flyers, potentially leading to increased operational costs.
What Will the Impact Of These Environmental Laws Be?
While these regulations will undoubtedly positively impact retailers’ sustainability metrics, there will be unavoidable trade-offs in the marketing department.
Impact on Materials
Retailers may be required to use certified sustainable or recycled paper for their leaflets, increasing production costs. Stricter recycling standards could lead to higher waste disposal fees or new obligations for retailers to manage the end-of-life of printed materials. Laws like the EU Deforestation Regulation may hold retailers accountable for the environmental footprint of the materials they use, including paper, so retailers should consider alternatives.
Shift Toward Digital Marketing
The environmental and economic costs of continuing with paper leaflets could incentivize retailers to adopt digital alternatives like online catalogs, email marketing, and apps. With a growing hybrid audience (both print and digital), retailers need to offer omnichannel options to meet customer expectations.
Reduced Availability of Paper
Laws such as the EU Deforestation Regulation could limit the availability of raw materials for paper production, further increasing costs and potentially causing supply chain disruptions. Governments may offer incentives for digital transformation, making it less appealing to stick with paper formats.
Changing Consumer Expectations
As consumers become more environmentally conscious, paper leaflets may be perceived as wasteful, negatively affecting a retailer’s reputation if they do not shift to greener options. Digital formats allow for interactivity, personalization, and real-time updates, offering an enhanced consumer experience that paper cannot replicate.
Marketing and Branding Challenges
Retailers might need to reassess their audience. Older demographics may still prefer paper, but younger and more environmentally conscious audiences might favor digital. Retailers relying on paper must actively communicate their efforts to reduce environmental impact, whether by transitioning to digital formats or using sustainably sourced paper.

Source: Claspo.io
Practical Steps for Retailers
To minimize the impact of legislation on the end consumers, it’s important to implement strategies that minimize costs without reducing marketing effectiveness:
- Evaluate Alternatives: Invest in digital marketing tools, such as interactive digital catalogs and personalized online offers, to reach customers more effectively. These tools reduce reliance on traditional print materials and offer advantages like real-time updates, greater audience targeting, and enhanced customer engagement tracking. The shift to digital marketing can result in cost savings while aligning with eco-conscious consumer demands.
- Enhance Circularity: Prioritize using recyclable or reusable materials. Opting for FSC-certified or recycled paper ensures compliance with environmental laws and standards while minimizing the ecological impact. Participating in recycling initiatives and programs can reinforce a brand’s commitment to sustainability and foster positive consumer perception.
- Monitor Regulations: Staying informed about country-specific environmental laws is crucial. Retailers must track developments such as extended producer responsibility (EPR) schemes and packaging waste regulations to ensure compliance and avoid penalties. Proactively preparing for these changes minimizes disruption and facilitates smooth transitions.
- Engage Customers Digitally: Interactive digital catalogs and creative social media campaigns are effective tools for connecting with audiences and reducing dependence on physical leaflets. These methods provide opportunities for personalization, increase customer engagement, and support sustainable marketing practices.
Adapting to Environmental Laws for Growth
While paper leaflets may still be valuable for certain market segments, environmental laws and regulatory pressures in 2025 will make them less viable for many retailers. Investing in digital alternatives aligns with sustainability goals and positions retailers to meet evolving consumer demands and regulatory landscapes.
If you need help calculating the cost and impact of digital alternatives, get in touch with Publitas today.