Recycle Bank points to Philadelphia roots, funding for explosive growth

When RecycleBank started with a novel idea–reward people for recycling–in Philadelphia in 2005, it pounded the pavement to drum up about 2,500 recyclers for a pilot program. Four years and tens of millions in funding later, RecycleBank, which partners with waste disposal companies to track recycling habits of households using technologies like radio frequency ID chips, is at 317,000 users.

Philadelphia, it seems, was the perfect test market to incentivize municipal recycling.

”Philly gave us an opportunity to really test this very novel idea and really make it happen and make it work,” says Lisa Pomerantz, Director of CSR, Marketing and Communications for Recycle Bank. ”From the technology in Philly back in 2005, we’ve grown and learned a lot. We’re thankful to Philly.”

Recycle Bank still has an office that houses its customer care, operations, HR and finance units on JFK Boulevard in Philadelphia, but moved the rest of its outfit to New York about 18 months ago as its steady growth turned explosive. A shot of $13 million in financing in 2007 helped it skyrocket from 35,000 to 200,000 users by the end of 2008. Last year, $30 million from Silicon Valley venture firm Kleiner Perkins Caufield & Byers (Al Gore is a board member) helped it set the million mark in its sights for 2010.

RecycleBank members earn 2.5 reward points for each pound of recyclable materials to be used at national, regional and local partners like CVS, Acme, and Stonyfield Farm.

”We reward people for good behavior,” says Pomerantz. ”One of our haulers said it best: We finally found the missing link of recycling.”

Source: Lisa Pomerantz, Director CSR, Marketing and Communications for RecycleBank
Writer: Joe Petrucci

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