40% of customers are more likely to buy on e-commerce due to better packaging

Are you selling the same product at the same price and maybe even cheaper than your competitors, and yet your customers aren’t coming back to you? There could be several reasons. For example, the competition has a more interesting website, better customer service, a better bonus program, or they “only” package better.

Packaging – a factor that a lot of e-shops underestimate, yet often determines whether a customer will come back to you again or buy from a competitor next time. A lot has been written about the psychology and importance of packaging, but most of it has been about the primary packaging. Don’t think, however, that just because you sell “someone else’s” products that packaging marketing doesn’t apply to you.

We recently discussed the experience of a colleague who ordered luxury chess sets and they were delivered in a disproportionately large box filled with chocolate papers and promotional flyers. My colleague ordered a luxury product and it was delivered to him wrapped in rubbish. Good thing he didn’t buy it as a gift and have it delivered directly to the recipient. No wonder then that next time he will buy from a competitor who sells the product for perhaps a little more, but delivers it in packaging that matches the contents so that his overall buying experience is not further disappointed

Already in 2014, Google saw a 57% increase in views of so-called unboxing videos. Unboxing videos are basically videos about unboxing products posted mostly by bloggers.

See what emotions different packaging evokes when you unwrap it.

This type of videos is becoming more and more popular in the Czech Republic and around the world. Why? According to research by psychologists, the main reason is expectation. The same type of expectation as when we open a present. It doesn’t matter that we ordered the product ourselves and we know what will be in the box. From the moment we get the package in our hands until the moment we completely unwrap the product, we are full of expectations.

People even experience a certain level of anticipation when they don’t unwrap the package directly, but just watch it being unwrapped. How would a blogger unwrapping a package from you feel? How do you think your customers would look when they unwrap your products?

According to a study by Dotcom Distribution in 2016, up to 40% of customers said they would be more likely to buy from an online store that wraps its products in gift or premium packaging. This represents an increase of 11% compared to 2015, when only 29% of shoppers said this.

How does quality packaging affect customer psychology? According to the study:

• 68% of customers perceive your e-shop as more luxurious thanks to high-quality packaging,
• 61% of customers experience more excitement when they receive their package,
• 44% of customers find quality packaging confirms the value of the product,
• 17% of customers are reassured by the packaging that this eshop is for people like them.

Of course, there is no product like a product

In general, the quality of packaging matters more for premium and luxury goods. Packaging matters least for goods we buy for the home (cleaning products, etc.). But even for household products, packaging influences 25% of customers. For luxury goods, it is up to 59%!

What is premium packaging?

Premium packaging should meet the following 3 characteristics: functionality, advertising, product presentation.

Functionality

Delivering a damaged item will definitely not put a smile on your customer’s face. On the contrary. And if you think that a quick and easy claim handling will save you, you are wrong. Winning back the trust of a disappointed customer is much harder than winning a new customer. So don’t skimp on the quality of your packaging material. Goods delivered in order are the alpha and omega.

Advertising

Packaging is one of the cheapest and easiest ways to build a brand. Boxes or adhesive tapes with your own logo and printing represent a minimal additional cost, yet a very effective form of marketing communication. According to a study, up to 50% of customers are more likely to recommend an e-shop to their friends if they are delivered goods in branded packaging with the e-shop’s personalisation.

Product presentation

Secondary and tertiary packaging, i.e. the packaging in which an e-shop packs its products (e.g. a cardboard box), should not only be practical. It is supposed to attract attention just like the primary packaging. Create a sense of excitement and anticipation in your clients from the first moment they pick up your package. Differentiate yourself from the competition. Does your client want luxury? Imagination? Give them exactly what they want and what they’re paying for. Then he’ll be satisfied and keep coming back to you for that feeling.

Worried about increased costs?

If you’re just starting a business, you must have limited capital and are trying to cut costs wherever you can. However, packaging is not the place to cut corners, especially when you’re just building your brand. You should think of it as an investment so you can make more money in the future.