Win at the moment of truth with packaging decoration

Does your packaging grab attention and differentiate itself? Does it deliver an offer and incite trial? Does it keep loyal customers loyal in the face of constant competition?

Establishing, holding onto and growing your SKU strength depend on the development of packaging and decoration solutions that complete your overall store brand strategy. From product quality and goodness to supply chain management, from branding to packaging and decoration – these elements combine to create a whole that is greater than the sum of its parts.

When you look at the total cost to package a product, decoration represents only a fraction of the cost. For example, the total applied cost per 1,000 16-ounce PET containers runs $100 to $150 for the container, $25 to $35 for the closure, and just $5 to $15 for the label.*

Competing in todays retail environment has never been tougher. Row after row of faced product creates a visual wall thats increasingly challenging for individual brands – both national brands and store brands – to break through.

And according to retail industry sources, about 70 percent of purchase decisions are made at the shelf. Coupled with that reality is the fact your product has approximately only three seconds to grab attention and engage the consumer. If your packaging lacks shelf impact, then you miss a sales opportunity. In contrast, when you win at the shelf, you increase your share gain.

Packaging development for store brands has become a more instrumental priority for todays retailers to compete head-to-head with national brands. Retailers realize they need to develop consistency and a true essence to the exclusive brands they offer. By doing so, they command increased visibility with a shelf impact that confirms the goodness and quality of their products. The result is that many store brand products are able to command parity pricing with national brands without articulating cost as the primary differentiating factor.

To be effective, packaging must be enticing enough for the product to stand out on the shelf. But it also must pull the consumer in as a confirmation of product quality because the product also remains highly visible sitting on the shelf at home. To that end, successful products become synonymous with their packaging.

We all know how critical a role the customer experience plays in creating shopper loyalty. Retailers with successful store brands understand the importance of the emotional aspect of the shopping experience. They understand that through effective merchandising, they can develop an educational and exciting experience that serves as a basis for brand building, which transfers and links the positive association of a specific brand with the retailer. And that brings the store brand experience full circle.

In the end, while packaging decoration represents only a fraction of the total packaging cost, it remains the last chance to communicate the brand to the consumer. For this reason, packaging decoration success hinges on effective execution. Design a label before the container is finalized, and you ensure the prospect of a redesign.

With a complex supply chain, its important to leave a seat at the table for everyone early in the process for major projects. When the brand owner, packaging designer, container supplier, label/package printer and manufacturer/co-packer are all involved early, you ensure a win at the moment of truth.

John Giesfeldt is senior manager, marketing for WS Packaging Group Inc., Neenah, Wis. He can be contacted at [email protected].

*Cost comparison courtesy of Avery Dennison Label and Packaging Materials

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