How can you reduce your packaging costs?
5min read
27/07/2021
If you’re wondering how to reduce your packaging costs, this is a strategic issue, as it affects the profitability of your business as well as your company’s brand image and the satisfaction and loyalty of your customers.
A few good measures, practices and methods will enable you to save money on packaging. Our advice in 6 key points.
Check the information on your packaging before sending
Properly identifying and labelling packages is one of the keys to reducing packaging costs. Here’s why.
A wrong or incomplete address means it’s back to sender, with extra costs.
And if you have to send fragile goods, make sure you clearly state this on the cardboard box or on the packaging, because if the product is delivered in poor condition, or even broken, the company will have to bear new costs:
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recovery of the goods
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repair of the product
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replacement of the product
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using a new cardboard box
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labelling
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shipping
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transport
All these little mistakes or oversights can be costly.
So to save money on packaging, a rigorous labelling process is essential.
Identify productivity gains
Companies that reduce their professional packaging costs are those that have identified productivity gains.
How do you define potential productivity gains?
Take a look at all the items that make up the cost of shipping and packaging. There are many, in fact:
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product packaging
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handling
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parcel preparation
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transport costs
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cushioning and filling materials
For example, you can save valuable time and money by using automatic bottom boxes, which can be folded in a matter of seconds, resulting in real productivity gains.
In the same way, investing in filling, product protection or wedging machines also saves a lot of time on each package.
Special machines such as case sealers automate and speed up the preparation of shipments – an investment that quickly pays for itself through the productivity gains it generates in the end!
Opt for professional packaging
You can significantly optimise packaging costs by using boxes, cardboard crates and other packaging materials that are perfectly suited to the goods, their dimensions, volume, characteristics and possible fragility.
Investing in quality professional packaging is a worthwhile investment.
Why should you do so?
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You will reduce your purchasing costs by using cardboard boxes with dimensions that match the goods.
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The aim is toreduce packaging costs by reducing volumes, by adapting the packaging to the product to be shipped and stored.
Choose professional quality packaging
There is no point in cutting corners! Companies that use poor quality packaging because it is sold at a discount are losing money. Why?
More products are returned because the goods are damaged, and customers are turning away from the brand because the buying experience will have been bad, very bad indeed.
Take care of the customer experience
Don’t forget that the packaging of your products has a direct impact on your brand image. A top quality cardboard box sends a very positive message to the customer.
A survey highlights the importance of choosing professional packaging solutions. 52% of customers who receive their order in high-quality packaging become brand loyal consumers. (source is offline, page has been removed but it is one of the links in the brief)
Customer satisfaction is a key success factor, and packaging is a guarantee of your image, and of the satisfaction and therefore the loyalty and commitment of your customers.
Choose the right packaging options
You can significantly reduce your delivery costs by choosing the right cushioning options tailored to your products.
Effective cushioning options
- Shockproof bubble wrap
- bubble bags
- kraft paper
- air cushioning
- inflatable cushioning
A wide range of professional cushioning products is available on the market.
Make an accurate and detailed inventory of the cushioning material you need according to the characteristics of your products. And get equipped!
A profitable investment
- You will limit as much as possible the risks of breakage, which have a direct impact on your operating costs and on customer satisfaction.
- You will gain in profitability on each shipment
- You will increase the quality of the customer experience with all that this implies in terms of loyalty and long-term relationships.
Turn to an external supplier
Did you know that by outsourcing your packaging to an external supplier, you can make significant savings?
At first glance, you may think that it will cost you more than doing it yourself.
But in reality, you can :
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increase your productivity
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reduce your costs
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take a time-consuming and technical task off your hands
A specialist packaging supplier will carry out an audit of your current situation and your needs and offer you a comprehensive service that fits your budget. They will be able to streamline your packaging costs.
It is also the assurance of a quality packaging, guaranteeing your image and synonymous with a high level of customer experience.
Total and complete support, including
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team protection
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improvement of packaging spaces
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proposals for the optimal layout of the storage space
You can even gain a competitive advantage by outsourcing a large volume of packaging to a professional, who can negotiate lower rates and in many cases make it more cost-effective than doing it in-house.
As you can see, reducing your packaging costs is far from impossible. By implementing a methodical labelling process, choosing quality packaging and cushioning options, or even outsourcing the operation to an external supplier, you can make substantial savings.
