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Reduce packaging costs

Strategies and ideas to reduce your ongoing packaging costs

Protective packaging

Protection for your products to prevent damage in transit

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Streamline your operations, enhancing efficiency & productivity

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Cost Effective Packaging.

Ensuring your packaging is efficient and manufactured to a fully optimised specification

Paying too much for your packaging? Not sure?

Regardless of whether you think your packaging is cost effective or not, one thing you cannot be so certain of is whether your packaging is being manufactured using the optimum material, techniques or construction.

In fact, many packaging companies when faced with problems of packaging performance, will simply over specify both the material used and the design. Effectively, they use a much stronger material than may actually be required, to ensure that the transit damage or other performance issues will be eliminated.

Whilst this approach works, the knock on effect is that price of the packaging is vastly increased.

Vale engineering packaging
Value engineering of your packaging can result in a number of cost savings, including efficient material use and structural design.

By taking an engineering approach to either your new or existing packaging, your business can benefit from significant cost savings without compromising quality and performance.

This is known as value engineering packaging.

01: How it Can Reduce Costs.

Ways in which value engineered packaging can impact your packaging spend

By working with GWP your business can take advantage of a key component of value engineering packaging – which is known as theoretical compression testing.

By considering numerous factors, including materials, dimensions, the product being transported, the construction, how high it may need to be stacked and numerous other criteria, the specific performance of each new packaging design can be accurately calculated.

If it is found that your packaging is over-specified, the costs can be reduced by switching material, or changing the construction (for more efficient use of material or to add strength). This is of course whilst remaining within the specified performance tolerances.

Even when the current performance level is correct, cost savings and even storage space savings can be found by re-specifying the material used – again leading to packaging cost reduction. This includes not only utilising different materials, but by eliminating secondary packaging too.

By taking an engineering approach to packaging design and specification, it ensures you will only notice one difference – the cost! Over the course of a year, the cost savings can frequently run into thousands of pounds – all without reducing packaging performance!

Indirect cost savings for your business

Besides the cost savings detailed above – achieved effectively through maximising material efficiency, there are a number of indirect cost savings that this facilitates.

For example, using a lighter grade of material can save on space required for storage and transportation. In effect, more boxes will fit on a pallet.

Packaging cost reduction
Besides cost savings realised through less material usage, value engineering can also help in minimising packing times.

Similarly, another benefit is that the reduced weight of the packaging could also help to reduce your transportation costs.

Finally, lighter weight materials are better for the environment as there is less material to dispose of and / or recycle.

Free download: GWP Group guide to reducing packaging costs

Free Guide

17 Ways to Reduce Your Long Term Packaging Costs

Get your free guide highlighting 17 actionable, but often overlooked, ways of minimising the ongoing costs of your packaging.

02: Packaging Performance.

Adding strength and performance to packaging

Despite the clear benefits in value engineering packaging, the inverse can often be true.

It may be the case that your packaging isn’t performing well enough in transit to prevent damage. Using the same combination of tools, software and expertise, GWP can analyse the failures experienced and apply solid engineering principles to achieve the required performance level for your packaging.

Custom packaging design
Besides taking out material and costs, value engineering packaging can see strength and material added - vital if you are suffering from excessive transit damage.

This usually involves the analysis of material data including edge crush and burst strength but can also involve practical, controlled transit trials. Whilst this process may in some cases ultimately require additional cost to be added to the packaging itself, in many cases it does not.

Either way, the savings from reduced breakages in transit and lost clients will, on balance, provide significant cost reduction opportunities for your business.

Please click here for further details of how you can resolve issues you may be experiencing with transit damage.

03: Additional Strategies.

Benefits possible through adopting an engineering approach to packaging design

As well as the use of intelligent engineering to reduce costs, there are often other, similar ways in which you can reduce your packaging spend using value engineering packaging strategies.

For example, besides the standard range of FEFCO designs you can choose from, GWP Group can offer you a unique library of structural designs. These have been continuously developed and refined to save businesses like yours money, while providing predictable, proven levels of performance.

This novel design library provides cost-effective solutions for an extremely wide spectrum of product types.

High volume packaging manufacture
GWP can offer your business a wide range of standardised packaging designs, offering tried and tested performance and potential cost savings.

Besides this, rationalising your packaging inventory by combining similar or slower moving lines can help you benefit from economies of scale and lower costs. Minimising packing times and reducing shipping costs also have obvious, tangible benefits to your costs.

Whilst these strategies usually go hand in hand, they can only be achieved by taking a methodical, engineering approach. This is where working with GWP Groups experienced, award winning design team can maximise the benefits to your business.

Working alongside you at all stages of the process, your packaging requirement will be thoroughly analysed to ensure the perfect balance between cost and performance for your specific application.

04: Summary.

All the ways you can benefit from value engineered packaging

  • Intelligent use of material to reduce costs
  • Structural designs that maximise material / performance efficiencies
  • Analysis of existing or new packaging to ensure the correct specification
  • Savings on storage, weight (transit cost) and disposal costs due to less material use
  • Proven designs that will not compromise performance in transit
  • Compliments other cost saving strategies

Further Reading...

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If you would like to find out if your business’ packaging is over specified – and therefore costing you too much – please get in touch for a free consultation.

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Could value engineering your packaging reduce costs and improve efficiency? Find out now...

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GWP Group - Innovators in Protective Packaging
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Unit 20 Chelworth Park, Cricklade, Swindon, SN6 6HE, GB | TEL: 01793 754 444 | EMAIL: [email protected]
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