How to Turn a Reusable Shopping Bag into a Socially-Responsible Business

Wondering how somebody came up with the idea for reusable shopping bags that are easy to carry? A few years ago, Andy Keller was in the mood to make some home improvements. He did some work around the house, then made a dump run to dispose of some household waste. At the sight of the plastic shopping bags filling the landfill, Keller recalls, “I was instantly shocked and inspired by the tremendous waste, visually dominated by all the plastic bags. On the way home, I thought about why people don’t use reusable bags. My conclusion was that they are hard to use and are often left at home.”

ChicoBag Founder and CEO Andy Keller

That epiphany is what drove Keller to found ChicoBag, a socially-conscious business that’s trying to change the way people think about reusable bags. The company is located in Chico, California, a charming college town (Chico State) of about 85,000 residents in the Northern Sacramento Valley.

If you’ve never heard of ChicoBag, I predict that you soon will. I own several myself, and keep a couple stashed in my Prius, so I don’t forget them when I head to the store. And, if you live in a city like San Francisco that is passing ordinances against the use of plastic bags, it’s very likely there will be a ChicoBag in your future!

ChicoBag’s Integrated Carrying Pouch

What’s so special about ChicoBags? My wife and I have owned several types of reusable bags over the years. Often, these have been canvas bags or heavy cotton bags. We still own half a dozen of them, which take up too much space in our pantry, even folded and crammed into one another.

The ChicoBag, as you can see from the photograph, is a different animal altogether. Made from woven nylon in a variety of really fun colors, the bag stuffs down into an integrated pouch that has a cinch cord, familiar to anybody who has ever worn a contemporary rain jacket or used a down sleeping bag.

Recently, Andy and his staff spent three days at the San Francisco Green Festival, getting the word out about their product. I asked Andy a few questions about his company and the direction of socially responsible business.

Interview with ChicoBag Founder Andy Keller

Mark: Is this the first business you’ve started?

Andy: No, my first business was a lawn mowing service when I was 8. I also started a business in college putting advertisements into restrooms.

Mark: Is there anything specific to dealing with a socially responsible business that you find challenging or unique, in contrast to traditional business?

Andy: Being a socially-conscious business includes being green. It is actively acknowledging our inevitable impact and working towards win-win scenarios in all aspects of our business.

Mark: Starting any business is a challenge. What do you wish you’d done differently in the beginning?

Andy: I wish I had found more mentors in the beginning and spent a little more money for the help I needed.

Mark: Yes, I think finding mentors can make a huge difference. Leveraging other people’s experience can save you a lot of pain early on. How do you promote ChicoBag? What’s your best marketing/promotion tool?

Andy: Word-of-mouth. People love to give ChicoBags as gifts, and companies often get them customized and give them away as a promotional item.

Mark: That’s great. Word-of-mouth provides some of the most lasting growth, in my experience. It’s all about trust and reputation. Speaking of that, I notice that on your website you provide a couple of really great ideas: one, using ChicoBags for fundraisers and two, a lesson plan that teachers can download and use to teach kids about sustainability. How did you come up with these ideas?

Andy: I was approached by a local public school that wanted to do something healthy and educational. Unlike candy, cookie dough and wrapping paper, ChicoBags are eco-friendly, healthy and educational.

Mark: Andy, many of my readers are trying to figure out how to expand their customer reach. It seems as though you’ve been successful at both direct-to-consumer on the Web and retail distribution. Can you talk a little about how you went about establishing your retail relationships?

Andy: My first retail relationships were formed in the town of Chico. I got one store to agree and another two to follow.

Mark: After that, did you start going door-to-door to retailers, so to speak? Or did you form some sort of distribution agreement with a third-party?

Andy: I approached local retailers initially to get started. My first customer was Greenfeet.com. I showed my prototype to Valerie Reddemann, the owner of Greenfeet and she was very helpful, providing feedback and advice. Other retailers in the area followed. We do have distribution agreements, but since ChicoBags are light and non-perishable we can easily ship direct out of our warehouse.

Mark: So starting local sounds like a very good strategy. For one thing, you have a relationship with your local area, shops, the community. Another thing that small business owners often get stymied on is how to do things like establish business relations with overseas manufacturers.

Andy: Finding a factory is incredibly easy using Google. The tough part is building a relationship based on values, quality and social responsibility. Language and culture differences makes this a full time job.

Mark: I’ll bet. Did you have to travel overseas, or have you been able to handle things mainly from this shore?

Andy: Most can be handled over the phone or via e-mail, but being socially responsible requires inspections and relationship building that can only be done in person. I enjoy traveling and enjoy this part of the business.

Mark: What’s the future for ChicoBag?

Andy: We are focused on helping humanity adopt a healthy reusable bag habit. This is a huge goal and presents many opportunities.

Mark: Thanks Andy. It’s been great talking to you.

Andy: You’re welcome. Thanks for asking.

Andy Keller’s closing statement is one that is well-worth remembering. When you’ve created a big enough vision for your company, the opportunities are vast. If you feel like you’ve run up against a wall, it’s more likely a lack of imagination than a lack of opportunity. Try imagining alternative uses for your product or service. Get in touch with somebody who can mentor you or help you brainstorm. Maybe just take a walk, watch the sunset, or visit a landfill. You just never know where inspiration will strike.

Make sure you visit ChicoBag.com. Along with the online store, where you can purchase ChicoBags direct from the source, the site includes a store locator, and links to other online sources. If you’re a teacher, be sure to download the reusable bag lesson plan, on the Fundraising page. If you’re looking for a last minute stocking stuffer, you can find ChicoBags at many local natural foods groceries. Check out the store locator to find a store near you.