Perspectives

packaging - a magic ingredient?

2017 October 05

is packaging the magic ingredient in your global supply chain? it certainly has the power to make or break your global operations.

 “We predict the global retail sector will be worth US$ 28 trillion by 2019. The sector represents 31% of the world's GDP and employs billions of people throughout the globe. Hyper and supermarkets account for 35% of retail direct sales with USA and China at the forefront. E-commerce is expected to show a compound annual growth rate of 23% between 2012 and 2019 in revenue and 12% for e-consumers.” – Research & Markets 2017

Let’s set the scene.  It's October 2017 and we browse and consume in an environment which is governed by the exquisite presentation of brand, increasingly complex methods of delivery and a life dominated by choice and convenience. 

Retailers are investing millions in packaging innovation teams, rigid compliance processes and IT systems to deliver graphic and structural excellence. The supplier base is motivated to ensure that the goods they supply are measured holistically to meet the highest standards in ethical supply, supply chain efficiency across all channels to market and impact on the environment.

Data has become critical to every retailer and brand in monitoring the time critical demands on their supply chain, the waste they create and are legally required to report to governments; it also provides the transparency demanded by today’s more discerning and ethically motivated consumers.

Packaging has emerged as the primary driver for margin improvement. Packaging offers retailers the ability to differentiate through enhanced brand perception, convenience of use and easy disposal and also offers end-consumers a frustration-free shopping experience.

Global retailers are finally understanding the critical importance of having the correct balance between optimization and standardization and have been able to deliver the most meaningful efficiencies of this decade whilst massively reducing the environmental impact of their shipping operations.

Forward thinking businesses are taking control and accepting responsibility for their packaging in order to elevate it from an ‘unwanted cost’ to a value driving innovation; focused and committed to value creation as opposed to blind cost reduction. 

 

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Unfortunately this is not the reality…

Calling all senior managers in retailer / etailer positions of power

STOP! What you are doing

PAUSE! Take the first step towards control and responsibility for your packaging and the elements it enables across your business. 

This doesn't mean hiring a couple of technologists and outsourcing your artwork, leaving it with your suppliers to manage, working with a sole supplier/procurement partner in Asia or assembling a group of nominated suppliers...

GO! Re-position your packaging as a key driver across your business and you will unlock the focus and investment required to deliver a broad collection of tangible benefits:

  1. Cost savings throughout your entire value chain
  2. Increased speed to market
  3. Increased sales and differentiation from your competition 
  4. Reduced damages and returns
  5. Reduction in environmental impact in alignment with future legislation 
  6. Accurate supply chain data and visibility of supply 
  7. Enhanced brand equity and overall brand perception
  8. Automation compliance 
  9. Future proofing for the evolving demands of omni-channel supply
  10. Status as a leader in ethical supply 

 At this point you have a choice;

  • Maybe do nothing and carry on as you are
  • Own your packaging and build a future proof strategy with a team of packaging, supply chain and retail experts that aligns with the overall objectives and corporate ambitions of your organisation.

Don’t delay -  email enquiry@morefromlessglobal.com and start your journey towards the future of global packaging management and innovation today! 

Download a print-friendly version of the report here.

 

Packaging - A magic Ingredient PDF

File size: 1.16 MB


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