Reynolds Expands Beyond Toilet Paper - Backed by Top Investors

Cloud Paper Expands into Paper Towels Following Initial Success

Cloud Paper, the company recognized for its bamboo toilet paper and notable investors – including Robert Downey Jr., Gwyneth Paltrow, Marc Benioff, Dara Khosrowshahi, and Mark Cuban – is now extending its product line to include paper towels.

New Product Availability

Pre-orders are now being accepted for the company’s 12-pack boxes of sustainably sourced bamboo paper towels. These will be offered to consumers at a retail price of $34.99.

Company Origins and Mission

Founded by Ryan Fritsch and Austin Watkins, both former employees of Uber and later Convoy, the Seattle-based company aims to revolutionize the paper product industry. They are focused on providing consumers with sustainable alternatives to traditional paper goods.

The Rise of Bamboo-Based Products

Cloud Paper is part of a growing trend of companies utilizing bamboo in consumer products. Cozy Earth and Ettitude specialize in bamboo sheets and bedding.

• The Bamboo Clothing Co., Thought, Tasc, and Free Fly Apparel all offer bamboo clothing options.
• Bite provides a bamboo toothbrush alongside its plastic-free dental care products.

However, Cloud Paper distinguishes itself through the significant financial backing it has received from prominent investors.

Competition in the Sustainable Paper Market

Despite this advantage, companies like Tushy, Reel, and Who gives a crap, Inc. are also competing for a share of the $10.4 billion toilet paper market.

A Focus on Sustainability

According to co-founder Ryan Fritsch, the company’s core mission is to enhance sustainability within the paper industry, achieving this goal incrementally with each product.

Cloud Paper specifically targets toilet paper and paper towels, recognizing these as the most environmentally impactful products within the paper sector, rather than viewing bamboo solely as a substitute for cotton or plastics.

Production and Shifting Consumer Demand

The company has already produced 1 million rolls of toilet paper and distributed hundreds of thousands. The motivation for adopting sustainable options has evolved, as noted by the company.

Initially driven by pandemic-related shortages, consumer interest has transitioned to a preference for convenient and sustainable choices. This represents a shift from a temporary surge to a sustained demand.

Environmental Concerns Regarding Traditional Paper Production

The National Resources Defense Council has highlighted the substantial environmental costs associated with conventional paper production.

Logging activities in Canada, for example, contribute to the degradation of over a million acres of climate-critical forest, largely to meet U.S. demand for toilet paper. Canada now ranks third globally in intact forest loss, trailing only Russia and Brazil, primarily due to logging.

Ninety percent of this logging involves clearcutting, which intensifies climate change. The NRDC estimates that boreal logging releases 26 million metric tons of carbon annually, diminishing the forest’s carbon absorption capacity. Furthermore, the Environmental Paper Network indicates that tree-based toilet paper has three times the climate impact of recycled alternatives.

Strategic Expansion into Paper Towels

Fritsch stated that toilet paper and paper towels represent the largest portion of paper product usage, making them the logical focus for the company’s expansion.

Cloud Paper intends to collaborate with businesses, including restaurants, hotels, stadiums, and arenas, to facilitate a transition to sustainable paper products.

From B2B to Broader Market Reach

The company initially operated as a business-to-business (B2B) supplier, serving clients like WeWork and various restaurants. A key objective is now to develop products tailored to the needs of commercial customers with higher volume requirements.

Early Stage is a leading event designed to equip startup entrepreneurs and investors with practical knowledge. Attendees will gain insights from successful founders and venture capitalists on building businesses, securing funding, and managing investments. The event covers all critical aspects of company development, including fundraising, recruitment, sales, product-market fit, public relations, marketing, and brand building. Each session includes dedicated time for audience questions and discussion. A 20% discount is available using code “TCARTICLE” at checkout.