As I consult new and existing companies around the U.S. for packaging solutions, one thing is consistently clear in most cases, a new design was well overdue.  Not only was company XYZ overpaying for their packaging, their packaging was limiting their sales potential with being unattractive on the shelf.

Overpaying for packaging is one thing that can cripple the profitability of an organization.  Keeping a profitable company is harder to do today than it was in years past.  The rising costs of our raw materials and resources are forcing us to look at ways to save dollars and cents, and packaging should be at the top of the list.  The average consumer doesn’t buy the product to get the packaging, but the packaging can help the consumer to buy the product.  (Do not try to say that last sentence 3 times real fast)

So, how do you know if you are paying too much for packaging? Seems like a simple and straight forward question, right?  Here are a few things to consider when attempting to answer this question…

• What is the intent of my packaging?
• Who am I selling to?
• Where is my product being sold?
• What materials am I currently using?
• Does my packaging add labor to my assembly?
• Are there new designs that could increase sales?
• What is the plastic to paperboard ratio of my design?

Yup, you guessed it…simple questions can get complicated rather quickly.  There is no danger in asking the questions above.  But, there is significant danger in an organization that wishes not ask the questions.  Not answering these question can lead to missed opportunity for growth and future sales.

For additional information or questions, contact Brian Pankratz (bpankratz@mercuryplasticsinc.com)