The cost of packaging goods is one of the elements of logistics throughout the supply chain. Just like other aspects, the issues of packaging and packaging of goods should be optimized so as to generate the lowest possible costs and at the same time bring the greatest benefits. Both retailers and wholesalers offering packaging services are looking for ways to reduce the cost of packaging goods.
Today we will present several ways to optimize the packaging process of products. We invite you to read!
What affects the cost of packing goods?
To find a way to reduce the cost of packaging goods, it is worth being aware of the factors that generate these costs. In very general terms, the cost of product packaging is influenced by various elements. They may also vary depending on the type of product, the needs of its storage, as well as the type of packaging method and its design. However, the main factors affecting the cost of packing goods include:
- The cost of the packaging itself. Box, bag, or maybe foil? The material used is a major component of the packaging cost. It may depend on the type of packaging, the quality of the material from which the packaging is made, its size, and the number of ordered items.
- The cost of printing is an additional component of the cost of packaging. It may depend on the number of colors, type of printing, and - as in the case of material - the number of ordered packages. It is worth remembering that not every package needs a special print.
- The cost of transporting the packaging will also be included in its final cost. By ordering the goods and packaging separately, the transport costs are de facto doubled.
- Storage cost. If the packaging is stored in the warehouse for some time, the cost of storage will also contribute to the overall cost of the packaging.
- Disposal cost. In the case of disposable packaging or packaging that cannot be reused, the cost of their disposal will also be included in the cost of packaging.
- Other costs, such as packaging design or marketing costs, may also be included in the cost of packaging.
How to reduce the cost of packing goods?
As you can see, there are many factors affecting the cost of packaging the goods. Ultimately, it is passed on to the consumer anyway, but it can significantly affect sales and profit. After all, consumers will not be too willing to pay more for a product just because of its packaging. Therefore, it is worth looking for optimization solutions.
There are several ways to reduce the cost of packing goods in a warehouse. One of them is the proper selection of the packaging itself. It is worth carefully examining the different packaging options and choosing the most economical and suitable for the product. It is also worth avoiding wasting packaging! You can reduce the amount of waste by carefully planning the amount of packaging needed to pack the goods. Avoiding wastage of raw material reduces overall costs. Another factor that significantly optimizes and reduces packaging costs is the use of packaging machines. They allow for faster, cheaper and more effective packaging of goods. The downside of this solution is, of course, the costs (sometimes high) associated with the purchase of such a machine. The price of a food packaging machine can vary greatly depending on the type and size of the machine and its functionality. Some food packaging machines can cost several hundred euros, while others can cost up to tens of thousands of euros.
Another solution is the use of recycled packaging and participation in the packaging return program. Using recyclable packaging can significantly reduce costs. By introducing a packaging return program, you can encourage your customers to bring them back after use. And this allows you to receive a refund of part of the costs incurred. It is also a smart way to attract regular customers. There is a high probability that a customer who came to your store to return e.g. beverage bottles will do some shopping on the occasion.
It is also worth considering reducing the amount of packaging used to pack goods by optimizing their sizes and shapes. One should not forget about the possibility of negotiating better conditions with packaging suppliers. Promotions and discounts often apply to regular customers.
Reducing the cost of packaging goods requires careful planning and searching for various ways to optimize the process. There is no one silver bullet or recipe for reducing costs, and much will depend on such factors as the type of goods, the amount of goods, as well as the type and scale of your business!
Why packing goods at the wholesaler can be beneficial for the retailer?
For a retailer, a sure way to reduce packaging costs, and thus increase the attractiveness of its offer, is to use the packaging service directly from the wholesaler.
Food wholesalers, having a large amount of goods and a large number of customers, are willing to invest in specialized machines that streamline the product packaging process and reduce their costs. Purchasing such equipment by a retailer is sometimes simply not an option because of the cost. Large-scale wholesalers can offer the use of their machines for little money.
Packing at the wholesaler also saves money. Distributors often offer lower prices for packing goods purchased from them, because they want to attract the customer in this way. The retailer also saves on transport, for which he only pays once. It is also important to save time, as well as to ensure that the type of packaging is properly adapted to the specific product.
Many retailers are concerned that using a wholesaler's mass packaging service may reduce the visual appeal of the merchandise. More and more distributors, however, allow personalization of the ordered packaging. If this is an important aspect for you, do not be afraid to ask your business partner about such a service!
What can be gained by reducing the cost of packaging goods?
By reducing the cost of packaging goods, you can achieve many benefits, including:
- Saving money. By reducing the cost of packaging goods, you can reduce expenses related to its production or sale, which can contribute to an increase in profits.
- Greater price attractiveness. A cheaper packaged product can be offered at a lower price. And the low price can attract customers.
- Higher efficiency. By optimizing the costs of packaging goods, you can increase the efficiency of the production or sales process, which will contribute to the increase in business efficiency.
- Less risk. By reducing the cost of packaging goods, you can reduce the risk associated with its production or sale, for example by reducing waste or improving safety.
- Improvement of the image. By reducing the costs of packaging goods, you can also show that the company cares about the environment and business efficiency, which can improve its image in the eyes of customers and other stakeholders.
Are you planning to buy food wholesale? Contact us and we will prepare for you the best offer of high quality goods on the market.