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The True Cost of your Packaging

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You might have noticed that packaging prices have been creeping up recently. The cost of paper is having a big impact, so, you may have felt the pinch? Whilst price increases can be daunting, it’s a great time to take stock and review your packaging, tackle hidden costs and make savings in other ways….

Did you know 90% of packaging costs are hidden?

The true cost of your packaging is hidden behind the unit price of your materials. Have you ever considered the cost of transporting, storing & physically packing your goods? What about the cost of your customers’ goods arriving damaged? Our experts can work with you to reveal these hidden costs. So, how do we do it?

  1. Suitability & Design

We will consider the true cost of…

Your Packaging Design

If your packaging isn’t fit for purpose it could cost you money. If it’s too big or too small it could make your goods are prone to damage. Plus, excess packaging means more waste, so potentially a higher tax bill and a poor customer experience.  It all adds up!

Your Damages & Returns

Fragile or high value goods need to be well protected in transit. Using protective packaging like Airsac reduces the risk of damages and positively impacts on your customer experience. Simple changes can help you make big savings. Check out our One Vision Imaging case study where we saved them £50,000 through product innovation.

Your Logistics & Customer Experience

If you deliver goods directly to consumers, it’s worth considering how easy you’re packaging is to transport, handle, open, reseal and return.

Lighter parcels can reduce your transportation costs and environmental impact. Plus, if they’re easy to handle, open & return the customer is more likely to engage in repeat custom. This can reduce your costs, contribute to your CSR objectives, and enhance your reputation – a win all round.

  1. Efficiency

You’ll know that speed can make a big difference to your bottom line. The more you can pack, the more you can sell. Plus, maximising your labour costs can help you hit your profit targets.

We can observe your packing areas and processes, helping you to identify any operational challenges that could be costing you money.

We can then suggest improvements such as redesigning workspaces, introducing automation or offering more streamlined systems that can improve throughput, optimise labour, and reduce waste, release space and speed up your packing operations. One customer, who we introduced to Gummed Paper Tape reduced their tape usage by 75%,  and lowered their costs by 13%.

  1. Availability

Do you store the packaging you use in your own warehouse? If this isn’t managed effectively it could mean your money is tied up in stock and you could be wasting valuable warehouse space. You should also be aware that certain packaging items can perish if they’re not kept in proper condition.  This could cause you a logistical nightmare and mean money invested in stock is wasted!

Let us take the hassle out of packaging logistics for you.  We can stock hold for you and drip feed in line with your demand, freeing up your warehouse, releasing cash flow and ensuring continuity of supply, even throughout peak.

So, with all this in mind… when was the last time a packaging expert viewed your packaging operations first hand?

Are you stuck in a cycle of getting like for like quotes based solely on unit price? If making savings and improving productivity in the supply chain sounds interesting to you, then don’t hesitate to get in touch to find out the true cost of your packaging.

To arrange some time with your local representative contact us on 01902 49666 to book an appointment. Alternatively, please email us or complete our contact form.