Monday, February 7, 2011

Don't Ignore Your Packaging

Are you taking time to analyze your Packaging?

Many companies that offer quality products fall victim to ignoring their packaging strategy. As an example I was purchasing some pipe tobacco the other day at my local tobacconist.  I tend to purchase a higher grade of tobacco and pay extra for the privilege.


When I requested a 3oz. measure of tobacco they weighed it and put it into a zip close plastic bag as is usual.  However, the bag quality was of a lower grade and the zipper was difficult to seal.  As anyone who purchase tobacco knows, tobacco oxidizes quickly when exposed to air.  This damages the flavor and shortens the shelf life.  Tobacco like many perishable products is all about freshness.

I asked them why they didn't buy a better quality bag.  There response was the same as I have heard throughout my packaging career.  "We buy the cheapest bags because people don't really care, and we are trying to keep our costs in line."

To this I asked them "how do you know the customer doesn't care"?  The fact is customers who spend their money for a quality product expect to have the package you put it in protect that quality.  Anyone who knows about tobacco understands it is all about freshness. Tobacco oxidizes quickly which damages its flavor. The same way we buy produce and other perishables - Freshness matters!  Packaging matters!  Customers do CARE!!!!

Plus, the added couple of pennies he spends on a better quality bag could easily be passed on to the customer.  If the customer complains about the extra 2 or 3 cents, simply tell them that you are protecting them so as to insure full satisfaction of the product they are buying. 

Nobody quibbles when sellers are trying to give them more.  They complain when the product does not meet their standards.  Quality Packaging Send the Message "I'm Looking Out For YOU!"


If you purchase a $3000 diamond ring from a jeweler and he hands it to you in a paper sack, you are going to have a negative feeling about the quality of the jeweler and the diamond.  The consumer expects a nice velvet lined box.  It's one of the ways in which we all perceive the quality of products.

Pepsi  Cola® spent $3million to advertise on TV during the Super Bowl on Sunday.  They did this because they were able to reach millions of consumers.  Imagine them doing this but cut costs by producing it in a silver can with the bare minimum information printed in Black Ink instead of a well designed colorfully imprinted can.  You would think Pepsi's quality has been reduced.  Even if they charged you less for the product, you would probably be hesitant to buy it.  Coke would send a thank you letter to Pepsi.

The point of all this is to make a very important value statement.  When you ignore the quality of your packaging, you are ignoring the basic desire of consumers.  It is important to make them feel secure that they are making the right decision by purchasing your products.  Packaging plays a major role in this effort.

If you are selling parts and placing them in a plain poly bag with just a computer label with quantity and part description you are missing a valuable opportunity.  Your customer appreciates a colorful printed poly bag with your name, logo, website, phone number and product information.  This not only reinforces their opinion of you as a quality supplier, but also makes it easier to identify your product and reorder when needed.  A quality package sends the message - "Thank You - Please Call Again".

If your packaging supplier isn't suggesting improving your packaging, they are doing you a disservice and you should be seeking a new supplier.  They are not looking out for you.  Great packaging suppliers understand that your success is their success.  Anything they can do to assist you in retaining and obtaining customers improves your business and theirs at the same time.

Avoid Same Old, Same Old
Let me see if I can put this in perspective.  How many times have you heard the expression, "If it ain't broke don't fix it"?  This is a cute turn of a phrase but it refutes the basic facts of life.  In the real world change is all around us.  Changes require us to modify our behaviour. 

Henry Ford achieved great success by developing the first moving assembly line.  However, he also only offered one color for his cars.  BLACK.  To this General Motors responded by offering a vast array of colors with their cars.  Ford inevitably had to comply to the market desire for a choice of colors.  Even though Ford produced a quality product, GM showed the market a better package with more options.  Ford lost market share and went from the #1 to the #2 auto company in short order. So in essance, Ford was "broke" and they didn't know it!

Refusal to examine our methods in business can be the difference in leading or following the industry.  Packaging plays a huge part in the perception customers have on who they buy from and who they reject. 

The moral of this story is you need to constantly examine the quality of your packaging objectively.  Simple changes such as improved imprint, packaging features or ink colors can dramatically improve your market share.  It is ever so subtle and ever so important.  Don't Ignore Your Packaging!