Your CPG packaging should stand out and be effective. It should add value without eroding cost margins.
Your supply chain is constantly changing. Consumers want sustainable products and expect the same out of the materials that package them. Research shows 72% of American consumers report packaging design as an important part of their purchase decision.
The key is to reduce packaging costs and still give them what they want. Here are 5 ways that can be done.
Offer Staff Training
Optimizing products and refining processes won’t save you money alone. You need a well-trained staff with access to the right tools and resources. This is critical to increasing order fulfillment and supply chain efficiency.
Train all staff members on available resources used to create CPG packaging and all other tasks. Document all processes to keep up with changes.
Think Outside the Box
The obvious component of your CPG packaging is the box containing the product. Though this is an important consideration, there are other areas where you can save money.
Look at the shipping boxes, the pallet plans you use and how you print labels and invoices. Look at the entire packaging process from as supply chain perspective rather than just the materials.
Decrease Packing Time
Reducing packing time will positively affect your CPG packaging costs. There are many ways to save time without using shortcuts and compromising the product.
Setting up and filling a package is typically the fastest part of the packaging process. Adding strength to and sealing it takes time. It also uses another consumable product.
Enhance your package design and cut out the need for an additional product by choosing shipping boxes with self-locking mechanisms. They are already glued together, and once expanded, lock into place rather than requiring tape. These boxes reduce labor by eliminating the need for assembly.
Avoid Packing Unnecessary Items
Including additional materials in your CPG packaging drives up costs. Things like flyers and other marketing materials can be costly to print and take up space.
Unneeded items add time to the packaging process. Removing them can do wonders for your cost reduction. Instead of including them in each package, provide a means of accessing them online or through email.
Customize Your Packaging
Instead of using the standard-sized box, choose one that custom fits your product. Though the standard box is less expensive initially, it will cost you more in the long run.
Oversized packaging takes up unnecessary space and requires fillers. This increases your shipping and delivery costs.
Choose boxes specifically designed to fit your products. This takes up less space during delivery and on the shelves. This also eliminates the costs and time of filling the empty space left in larger boxes.
Custom materials are also sleeker. Packaging behavior statistics show 81% of consumers try new products due to appearance. And they appreciate companies that avoid waste.
As your brand grows, you will sustain lifelong customers. CPG packaging is a critical part of brand awareness. It is also an important part of your overall brand message and will communicate directly with your customers.
PKG Brand Design is always on the forefront of new CPG branding and packaging initiatives; please subscribe to our blog for the latest package design industry news!