Monthly Archives: August 2007

Five Things Every Business Needs to Know About Packaging

When you are getting started it’s so hard to understand the integral role packaging has to play in marketing and selling your product. Put simply, it’s one of the most important product decisions you will have to make. There is a universe of packaging suppliers, materials and even regulations. Not to be overwhelmed, it is easy to navigate if you take it one step at a time. It is a process just like any other component in product development. They key is to know which packaging factors will influence your product’s success — or failure.

Here are 5 vital things you need to know as you start on your journey that packages your product to sell:

1. You can’t have a product without a package. Just think about potato chips and eggs for example. How could you sell them unbroken and undamaged without a package? You have to be able to transport a product from point A to point B. The package is what makes it happen. Even if your product is not fragile, it can’t get into the buyers hands in a shop worn condition. Consumers will NEVER buy it. It’s interesting how packaging is evolving. In many cases, there would be no product without the package. Take something as simple as toothpaste. Whether it’s in a tube or in a pump, the package plays an integral role in making this product work.  It is so ordinary that many people never stop to consider this fact: Where would toothpaste be without a package?

So ask yourself these questions: Is your product going to need a package that is part of the actual product? Or will the packaging be more of a protective device to convey the product?

Whatever the answer might be, it’s time to start thinking about how the packaging is going to impact both shipping and merchandising.

2. The package could cost more than what is inside. The rule of thumb is that the package should be 8-15% of the total cost on average. 10% of every dollar spent at retail is directly attributable to packaging. But that cost can vary dramatically with the product being packaged. The proportion of cost is lower with high ticket items and higher with commodity items as well as products in which the packaging is a bigger component than the product itself.

Let’s talk potato chips again. Packaging is a much higher cost in an item like this. You have a few chips and a bag but don’t forget that besides the bag there is a master shipping carton that contains the bags of chips. This is one of the hidden costs that many people overlook.

So think about not only the primary package (the one that is going to be seen at retail) but any other packaging materials that you will require to transport, ship or convey your product to its ultimate destination unbroken, not damaged, not tampered with and arriving in pristine condition.

3. Your package has to sell the product not just protect it. The average consumer spends just 2.6 seconds making a decision whether to pick up your product or not. So your packaging better be on target to the right audience with the right message. Just stroll through any retail that merchandises similar products to yours.

Overwhelmed by the competition? You Bet! And that’s just the beginning. Who is going to buy your product? Do you know? Are you aware of what language, colors, design and packaging materials that appeals to your target demographic?  This can make or break whether your product sells or not.

Ask yourself who do I want to buy my product and what packaging attributes will appeal to them?

4. Most packaging materials suppliers like large quantity orders. It’s hard to find a supplier for small quantities. The double edged sword is that you don’t have large orders when getting started. The number one question I am asked is how to find a vendor for small quantities? In many cases, this can be a challenge but it is not impossible. I know you have this exotic design concept on your head that’s just going to WOW them at retail. The reality is that in many cases you will have to start with stock packaging items that you can customize. As you get more orders or are able to order in larger quantities you can upgrade your packaging designs. 

Don’t be discouraged. The stock design world has come a long way with innovative designs and materials. With a little innovation and creativity, you can have that prestige look on a start up pocketbook.

5. Packaging trends and innovations can influence whether your product will ever get onto the stores shelf. In January of every year, I write a trends piece about where I believe the packaging industry is going for the year. This covers not only the hottest packaging trends and innovations but outside influences that can drive the retail industry. Many influences can be outside of your control. The secret is in knowing what is going to be the “issue” of the future or what might be mandated as a “must have” in your product packaging. There are external factors that can dramatically change what the consumer wants or demands in their product packaging. What do you know about RFID, product integrity and product security, bio resins and bio plastics, environmental sustainability, smart or intelligent packaging?

If you are like most businesses the answer is not enough. But these packaging concerns are the wave of the future. Chances are one or more of these factors will be discussed when your try to get a buyer to commit to carrying your product. Many requirements are mandated but big box retailers such as Wal-Mart and Home Depot drive smaller retailers in the same direction.

I’m not trying to scare or overwhelm you with decisions that you are not prepared to make. I am trying to point out a few of the facts you will need to be aware of and consider in product packaging. The time to address these issues is at the point when you prepare your product for market not at the end when many times it’s too late.

Make your product packaging among the first decisions you make with your product — not your last. If you need more guidance, check out my packaging websites. There is lots of great information and “free” stuff.

By JoAnn Hines Packaging Diva

Personal Website: www.packagingdiva.com

Die-Cutting: An Integral Part of Label Printing

Die Cutting Diagram

When you buy blank labels from an office supply store they are always die-cut into shape. Then you print on these blank die-cut labels. In the world of professional label printing it works the other way around. We load a roll of blank label material into our digital label printer and we print on this material. Then we die cut the material into shape to create finished labels. Sounds easy, right.

Die cutting is actually a very complicated and intricate process where dozens of variables have to come together to produce a good looking finished label. Take a look at the above diagram. The cutting blade of the die has to cut through the label material with just enough strength to ensure a clean cut, but not too much strength that is cuts into the backing paper. As you can see here, this requires a great deal of precision.

The other difficult part in die-cutting is precisely aligning the die. While we certainly strive for a perfectly die-cut label, we are dealing with a roll of material this is moving through a machine, so some tiny shifts can occur. The tolerance for our die-cutters are plus or minus 1/32″. For most labels you will never notice this tiny movement, but if you have a very thin border it can become noticeable. Now, we work hard to keep this movement to an absolute minimum, but the reality of working with a mechanical machine is that we can’t eliminate it.

So, next time you peel off a beautifully die-cut label take a second to appreciate the effort and precision that went into bringing you this label. While we love to talk about the brilliant quality of our digital label printing, it is the die-cutting that provides you with a label you can actually use.

By peterrenton.

Peter Renton is the founder of Lightning Labels, a 21st century label printing business using only the latest technology.

Grabbing the attention of your customer

FACT: The average British supermarket contains 25 000 items and the average shopping basket just 39 items. In a standard supermarket the typical shopper passes about 300 brands per minute. This translates into less than one-tenth of a second for a single product to get the attention of the customer and spark purchase.

“To get into the consumer’s mind, you have to sacrifice. You have to reduce the essence of your brand to a single thought or attribute. An attribute that nobody else already owns in your category.”

- Al Ries & Laura Ries

Quotation source: Branding Strategy Insider

Nationalising The Wine Industry

Since we know the monstrosities associated with government buildings, monuments, and state-built cars, surely then, we can imagine a Europe with a nationalized wine industry. viognier.bmp Don’t laugh; the European Union’s top agricultural official is wanting to do just that. EU Farm Commissioner Mariann Fischer Boel thinks that the state can spend money and market Europe’s wine “more efficiently” than the private producers. The EU government already distorts the market for wine by directly subsidizing its wine producers and setting rules for production.

Though myriad subsidies are already provided to wine producers, the Commissioner’s plans “originally called for winegrowers to give up some 12 percent of their vineyards in an ambitious plan to cut the most inefficient plots of land.” So while subsidies have caused the overproduction of low-end wines and have skewed consumer demand, new subsidies will produce yet another mismanagement of resources. Wine producers are fighting back against these cuts in vineyard production, and all the while they are complaining about the meager intra-EU marketing subsidies that are to be provided to them for the coming year.

So the battle is between the state and the private producers, with the producers rejecting what they consider to be implausible demands over the way they ply their trade. Yet their own demands are voluminous, and always, they center around the notion of “what’s in it for me?” Then of course, the ability to be able to shrewdly direct the booty toward its most advantageous uses is exactly why the wine producers of Europe do not dislike central planning. They just want a few seats of their own on the planning commission.

By Karen De Coster.

Dog Lovers Wine Club

Dog Lovers Wine Club, a boutique California winery that blends wine with philanthropy has launched a new look to their website. Visitors who love wine AND love dogs can “sniff out” all of the enhanced features at www.dogloverswineclub.com, including:

–The “Join Our Wine Club” page, which details the various wine clubs available to consumers. Wine club members can choose to receive their wine monthly, bimonthly or quarterly. Each shipment comes with a featured pet on the label and their personal story, tips about dogs courtesy of The Humane Society of the United States, tasting notes about the wine, the source of the grapes, and recommended food pairings.

–An “Affiliates” section dedicated to non-profit dog shelter and rescue organizations around the country. This section provides information to these groups on how they can receive support from Dog Lovers Wine Club through the “Bark Partners” affiliates program. The “Events” section will become important as we begin to work with our “Bark Partners” and schedule events to promote their organizations with wine tasting events for consumers.

–The “Send us Your Story” page allows dog lovers across the country to submit their dog’s photo and story online for possible consideration as our wine story of the month. Every month, a new and inspirational dog story is chosen to be featured on the wine shipments to club members across the country. Everyone is invited to submit their stories.

–The “Your Dog On a Label” is the place to go for the ultimate in custom design. Visitors can submit their dog’s photo to order a custom designed wine label. This has become a very popular section of the website, as people are finding it the perfect gift for any dog lover.

–A “News” and “Media” section which benefits our consumer and media visitors by providing them with up-to-date third-party reviews of our products, new product releases, upcoming events, etc.

–Our “Art Gallery” highlights the amazing dogs we have chosen to grace our labels. Visitors can browse through vibrant images of special dogs who have found true happiness with their owners. Images are available in many sizes and prices to suit every budget.

Dog Lovers Wine Club supports The Humane Society of the United States and other dog shelter and rescue organizations around the country. They work with established award-winning winemakers, to provide carefully crafted premium wine to our consumers.

For more information on Dog Lovers Wine Club, visit: www.dogloverswineclub.com

Romance in a wine bottle

A French company is trying to help people find romance with a new wine that links them up with a special online dating site. The ‘Soif de Coeur’ (A Thirst for Romance) bottles of rosé, red or white wine contain a unique code in their labels that you tap into the website in the hope of finding your perfect match.

“You buy a bottle and there is a ticket on the back which tells you what to do,” said Michel Blaquie, the director of Imaginform which teamed up with France’s Omnivins wine company to work on the idea.

The French wine, in bottles in girly pink or boy blue, is on sale in supermarkets around France, Belgium and Switzerland and the producers are hoping to sell in Japan and Russia soon.
Since it was launched in France in March, 400,000 bottles have been sold and Imaginform says it knows of some people who have met up and exchanged phone numbers because of the site.

A bottle, priced at around 2 pounds, will buy you one introduction. You type in your age, sex and which sex you would like to meet and the company will link you up with someone who also bought a bottle of ‘Soif de Coeur’ wine. Most of those who have logged on to the website are women aged between 30 and 40. “We did have one man who was 80, but I don’t know if he has met anyone yet,” said Blaquie.

Source: www.dailytimes.com.pk