Why is it so important? Richard Reed the co-founder of the Innocent believes it is the most important aspect of marketing a Fast Moving Consumer goods range (FMCG)
Speaking at the business funding show he went on to say, “I think realistically for most FMCG products the packaging is more important than the product” Stated reed. “It is how you get noticed and create desire, and input what it is that you stand for”.
Reed highlights the importance of brands getting the packaging 100% right before investing in any marketing.
As a company we much prefer to be included the whole way through the design process, clients can tap into our constructional and design knowledge.
Reed see’s Innocent’s first attempt in entering the orange juice market is the most compelling example of this.
Innocent’s first attempt resulted in failure with the supermarkets, due to them only achieving sales of £4m. As a result of this the supermarkets delisted them. However, when they tried for the second time they had achieved a turnover of £80m in the second year.
Over the two attempts the product itself did not change, nor the price or the brand. What changed was the packaging, putting the product into a plastic bottle and calling it a ‘carafe’.
The changes in Revenue are staggering. Reed believed that the consumer did not know the products existed at their first attempt as it looked the same as all there competition.
This case study example really shows the importance of getting the packaging right and creating the right looks in your market for your products.
Where do you stop with packaging? Is seasonal packaging necessary?
Keeping the trend on the importance of packaging for the FMCG, should this be developed further, changing seasonally to align with the important yearly holidays?
65% feel holiday candy should have seasonal packaging (NCA 2015), this stat alone shows there is customer expectation involved in this decision.
The problems that arise with providing this service when you get it wrong it can be very costly. Having to offer price reductions to get rid of left over seasonal candy can affect profit margins. A lot of consumers look out for price-reduced candy for the obvious price advantages.
Hershey’s in America came up with a simple solution to extend the shelf life of their seasonal products over Halloween. They used autumn themes and colours instead of using ghosts and witches. Could this cause confusion?
It seems to us, seasonal packaging does work, but you have to handle it with care, it speak volumes if the largest brands in the market place are very selective with how they go about their seasonal branding and packaging.
We have been acquiring expertise in packaging solutions for 35 years, feel free to tap into our hard earned knowledge! Contact us now
In the video you can see the bespoke packaging solution we came up with for BigBox 3D printers, E3D our one of the UK leading 3D printer manufactures. You can see use passing both test with flying colours.
This isn’t just through luck; it is through precision in house design and testing. This is backed up through our experienced sales/design team which is in place to consult and guide you throughout our working relationship.
The packaging in this video is a made to measure double wall boxsealed with printed tape.Inside the pack there is a three part white polyethylene foam fittings, one die cut corrugated platform fitting, one die cut corrugated pad and finally covered in 100% biodegradable loose fill.This 7 part set stood up to the test
The video speaks volumes about are attention to detail. Please don't hesitate to contact us to see how we can benefit your operation.
Could you benefit from reducing storage costs and improved liquidity?
IF we do our job correctly there should be a bridge between our warehouse and yours. Warehouses if miss managed can contribute to a large chunk of additional costs, late deliveries, and unhappy clients. Let us help.
Having two sites near Heathrow and Wallingford, Oxfordshire, we feel that we place ourselves in a competitive position, enabling our fleet of Lorries to best serve our customer base. Click here to find out which of our offices you will be a better suit to.
We feel it is important that the service we provide is executed with our own network of Lorries, this gives us great flexibility and control, enabling us to meet our client’s delivery requirements.
The inventory management solutions include
Just in time (JIT) Production
Coverage for the majority of the UK
Nest day delivery
Benefit for using out JIT Production include
· Improvement of liquidity
· Less stock in the warehouse results in less storage space being required, which will result in less rental cost or increased production area.
· Our warehouses are designed for our materials, making sure that the Packaging is stocked and shipped in the best of condition.
· Avoid the worry of changes in your production requirements.
· Next day delivery.
· Online access to stock levels.
· Goods are invoiced on delivery.
Vendor Managed Inventory Services (VMI)
We keep an eye on your stock levels and with your consent will keep stock levels above a threshold that both parties agree on. Repeat manufacture on your behalf.
The benefit which will follow this are
· Less planning and ordering costs as we will manage this
· Eradicate the problem of running out of stock
· Free up space, resources and finance.
Let us take the stress out of your operation, we have been achieving this for 35 years. Please get in contactwith one of our friendly team; we will be happy to help
On Saturday the 8th of January, I participated in the big bang data exhibition at Somerset house in London. It was an exhibition at which a designer and an artist helped us to understand this brave new digital world in which we live.
The main fact that I took home from the day, was that 90% of the world data has been created over the last two years (SINTEF 2013), I dread to imagine what it will be like three years down the line from where we are now.
Whether we like it or not? The smartphone, cloud, social media and global communications, will change and affect our lives in ways we can’t even begin to comprehend, in both social and professional aspects.
As a consumer and professional in the packaging industry, how will these expediential speeds of digital advancements affect us?
In simple form, advances in technology are leading to a change in consumer engagement and striving towards creating a much more desired “packaging experience”.
Coke, through their ‘share a coke’ campaign, also similarly used by Marmite and Nutella, have successfully used digital printing to create a “personal marketing campaign” via their packaging. According to ‘The future of digital print for packaging to 2024’ study, the worth of this market in 2015 was valued at £10.5 billion, this is expected to grow annually by 13.6% through to 2024 *.
The customised and personalised packaging market is a prime example of new techniques used to engage with the customer. This is a service that the consumer is willing to pay extra for. I must admit I fall into this bracket, purchasing a marmite with a family members name on it. Mintel reported, 25% of Chinese consumers say they are willing to pay more for personalised packaging.*
Engaging with the customer is always a priority for big brands, this priority is matched with reactive communication, never has it been so important for a marketer to react to key events or news. That is why this demand and digital printing are a match made in heaven.
What digital printing brings to the table is better speed-to-market, servicing the consumer a lot quicker. Allowing them to offer a packaging experience, historically this experience used to come at a prohibitively expensive cost.
It is just large brands reaping the rewards?
The answer is no, it is perfectly suited to smaller companies producing small numbers, new start-up companies and marketing agencies.
Digital printing, combined with the use of a CAD cutting table can print on most materials up to the thickness of 25mm; this flexibility means that it is possible to print on to many different materials, corrugated board, folding cartons and even wood.
It is so appealing to smaller companies due to the small start-up cost attached to this. There are no tooling or set up charges. Perfect run sizes sitting between 1 to 500 in quantity. Due to these figures it is no surprise that point of sale displays have become popular for digital printing.
In January 2015, the pharmaceutical industry had to start, what is going to be a massive overhaul of their supply chains. In a new drive to create transparency for the end consumer, they are required to exchange traceability information and conduct investigations of suspect products, which will include verification transaction history.
This will develop to a full-serialised manufacture process by 2017 and final transition stage to an electronic, interoperable traceability system at packaging level. *
The pharmaceutical and food industry are worlds apart but can these same technological advances on traceability and increasing transparency be also implemented in the food industry?
What can you lose?
Please feel free to contact us, let us understand your operation and we can see where you can capitalise on this new digital world!
This is the mentality that most people take on in the month of January. Focusing efforts in a positive way, analysing the past year, re shaping their goals and learning from mistakes, striving for a better 2016.
These same personal aspirations are very common within companies; they strive to start the year as they mean to go on.
If you are a frequent reader of our blogs, you would have noticed in our Packaging Trends 2016 blog how important and pressing eco packaging and the ongoing quest to become more eco-friendly has become. Pressure is being applied from all tiers of organisational structures from stakeholder right down to the end consumer.
There is nothing worse as an end consumer being left to dispose of a package which was unnecessary in the first place, amazon have recently been put under pressure in this area.
Before we go into the ways we can advise and tailor your personal packaging requirements, we do need to get into the packaging basics. Making sure your company is complying with the packaging regulations, a lot of companies are unaware of this, yet they have a legal obligation.
That last line may have led to a few beads of sweat to form on your brow. You can relax, you are only obligated if your company has a turnover exceeding 2 million pounds and handle goods that are enclosed by packaging.
This is all very good, but what is deemed as packaging?? It can be pallets, presentation or retail ready packaging, carrier bags, outer shippers and everything that is used in-between. To put it a simpler way, Shipping or freight containers are not considered packaging, everything else is.
This makes it all very tricky to quantify, this is why we are here and where over the last 35 years we have strived to pass this knowledge and the ever changing legislation on to all of our clients. Please do not hesitate to call for any required information 01491 834000.
Originally centred on the extremely successful Coca-Cola’s ‘share a Coke’ Campaign printing popular names on their original coke label. Marmite and Nutella have developed this further renting shop retail space and printing bespoke labels in front of your eyes.
According to Mintel, the next generation of trends in packaging is centred on a digital evolution. Around 25% of Chinese consumers say that they would pay more for personalised packaging*
2. Growth in Online Retail
This is no new trend, but due to the ecommerce packaging making up such a large part of the market, it is not surprising that other trends are related. It has been predicted that ecommerce sales in the UK are expected to reach an astonishing £86.96bn by 2019.*
Recently Amazon has come under a lot of pressure for excessive packaging, resulting in a high demand for bespoke outer shippers. It is important that retailers use packaging that is easy to open and fits through the letterbox wherever possible.
3. Environmental pressures
There is an increasing pressure from consumers wanting branding to do the right things regarding environmental conscious packaging, however these same customers are unwilling to pay more for this. Advances have been made in reusable packaging. ASOS have very successfully incorporated reusable postal bags for their customers.
4. Packaging Experience
A survey by Dotcom in the US has revealed that 52 percent of customers are more likely to make a repeat purchase from a company that have premium packaging. Furthermore the same study discovered that nearly 4 in 10 customers would discuss and share their experience if they deem the packaging to be unique.*
A packaging experience is something that needs to be considered. Whenever a wow factor is created there is more chance that customer will return time and time again whilst helping to market potential new customers.
There is no limit to how bespoke you can go with your packaging requirements, we thrive on the test . For further information on how Packaging Supplies can benefit your operation, bringing you up to speed for 2016.
Our external sales team doesn't just work with packaging purchases anymore; they also work alongside marketing departments within companies. This speaks volumes about the knowledge they hold, specifically perceived customer value towards packaging.
Lets face it, anyone involved in starting or running business’s main problem they face is having the time to do it all. Packaging can take the back seat in the day to day running of business, this is where we can step in:
1) A corrugated box: is a shipping container made of corrugated fiberboard. These are most commonly used to transport and store product and are rated according to the strength of the material or capacity of the finished box 2) Folding carton: is made of paperboard, and is cut, folded, laminated and can give a high-end print. E. g perfume cartons. 3) Rigid Box: is made from a stiffer paper board, permanently glued together with paper skins that can be printed and colored.
Product Protection advice:
1) All this time gets invested in product from start to finish, make sure it arrives to the consumer in one piece. 2) The selection of the right out-shipper and e-commerce packaging will prevent damage keeping the customer happy which will reinforcing brand loyalty. 3) Selection of the right void fills products: bubble wrap, paper, tissue, padded mailers and postal tubes.
1) Starting with your product and designing bespoke packaging around it, is the best way to protect your product and impress your customer. 2) Whatever the product we can design the right packaging to create the required look and the necessary strength for protection. This is all part of our design process. 3) Partnering ourselves with your marketing team enable us to push your branding message.
We are hear to help, please feel free to contact usnow
When contract packing is undertaken to the highest of standard it should be enforced as an extension of your current operations. Packaging Supplies ltd work hard to offer a transparent supply chain, which will mimic the quality and inventory controls and standards that you dictate when you hire our services.
What has to be remembered is that contract packaging isn’t for everyone, however we specialise in it for a reason. This post will go on to state the benefits you gain from using a contract packer
1) Greater flexibility: The correct working space is something that is hard to come by, especially the closer you get to London. Companies do not have any more means to put the correct machinery so they have to look to companies that do. It releases the pressure and burden on your currently facilities.
2) Experience at meeting customer demand: Regardless of your dilemmas with packaging, an outsourcing outfit who acts professionally will be able to meet specific customer desires. Dilemmas such as, green packaging, lowering carbon footprint, cutting cost on materials and transportation
3) Two heads better than one or Knowledge gained: Having the ability to select the right packaging processes and materials to match is the fine line between to a budget operation or overspending. See the 35 years knowledge we have gained as resources that you can tap into.
This has led, to large companies seeing the importance of contract packages. These companies are tapping into this knowledge, learn modern packaging process and reaping the rewards of high efficiency and reduced costs.
4) Limiting Costs: As already mentioned due to the facilities offered by the contract packagers designed to optimize varied and large range of strategies and techniques for the best service. It places them at a cost advantage
5) Value Adding Service: Thought offering a package of a selection of value added services like, labelling, fulfilment, bar coding, contract sewing and many more. Benefiting from these very specific and advantageous manufacturing techniques will perceive your brand and products to be perceived as high light.
The companies that are the most successful in retaining customers through brand loyalty simply don’t just offer what the customer want, they go beyond customer expectation. This value adding service will help perceive your brand as going beyond expectation.
Outsourcing in other industries and operation may lead to problems; contract packaging is the perfect platform to outsource your packaging services. Let the professionals use their hard earned knowledge, of making sure your products are packaged and perceived in the right lights to entice potential and existing customers.
Packaging Supplies have large warehouse facilities for stockholding all kinds of packaging. We store all of our ‘off the shelf’ products that are sold from our online shop, like packing tape, bubble wrap, pallet wrap, boxes and postal tubes and much larger items like the 1/1 containers, ½ Containers, 1/1 Europa’s and ½ Europa’s. As well as this each of our stock-holding clients have their own dedicated area of storage. This enables those clients that lack their own warehouse space to still buy in bulk and receive the benefits of lower prices. Our customers have the added benefit of only being invoiced for their stock as and when it is delivered to them.
Recently we have undertaken a few projects for clients that needed to space save, as well as offering them our stock-holding service where pallets can be ‘called in’ when required, we were also able to reduce the number of lines they pack into by taking a closer look at the products being packed and working together to alter box dimensions and quantities.
Packaging Supplies are currently supplying a range of packaging alternatives from corrugated cardboard boxes to the cosmetics industry. Products include a variety of white folding cartons which are then packed into our corrugated box outers and shipped off to The US. We also supply other cosmetics customers with E flute die cut boxes and white or brown lined chip board cartons and dividers. Packaging Supplies are also working with another company to supply a comprehensive range of printed acetate cartons for a particular client.
Packing Supplies have a flexible approach to packaging and are committed to finding your packaging solutions, whatever your requirements. Contact us here for further information or look at the bespoke section of our website.
We are certified by BRC Global Standards for the storage of food & non-food grade packaging; the storage of stationery items destined for restaurant groups and the contract packing of singular factored ambient-stable food sachets into retail/wholesaler packs.