Top 8 Ways to Reduce Packaging Costs – Corrugated ...

24 Jun.,2024

 

Top 8 Ways to Reduce Packaging Costs – Corrugated ...

Everyone in a shipping room uses shipping boxes to ship out their products. Whether you are just setting up a new company and are looking for the lowest cost packaging or you are an established manufacturer this article was written to help you reduce your packaging costs, specifically how to reduce your corrugated box costs.

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1. Check your box sizes to make sure they fit the product they are protecting and shipping.

A good general rule for protection is around all products. If you are using a box that requires a lot of stuffing (more than all around) you might find a smaller stock shipping box. Since most packaging supply companies have over 100 stock box sizes chances are you can find the appropriate size.

2. Choosing the correct box design and style.

A good rule of thumb in corrugated boxes is "Deeper is Cheaper". If you can configure your box so that it opens on the smallest dimensions and the largest dimension is the deepest, this allows for the least amount corrugated to be used to produce the box. And thus "Deeper is Cheaper". There are many box style available. The Standard RSC style shipping container is the most common, but if you have a long narrow product a Five Panel Folder or FOL might work better and may be manufactured using less corrugated. Check with the Yebo Group as to the alternatives.

3. Make sure you are using a box that is rated (not overkill) to transport the amount of weight that you are packaging.

There are many grades of corrugated. Corrugated grades ranging from non-test grade to over # Triple wall are all common. Consult your packaging professional for the proper board strength for your product.

4. Industry Knowledge can be invaluable; knowing when prices of paper and paperboard go up and down can allow you to better negotiate with your corrugated supplier.

Use sources like Pulp and Paper magazine, available online to gather industry news and paper pricing. When the paper price has gone down, ask for better pricing will save you big money on shipping cartons. If paper goes up your corrugated supplier should notify you and give you the ability to pre-buy before the effective price increase date.

5. Change or Shop corrugated suppliers to create some competition.

The internet is great for shopping for retail products, but not so for industrial products. You still need to find good local companies and have them quote your corrugated needs. You want to be the customer that the box salesperson knows will shop pricing at the mere mention of a price increase. Business relationships do exist, but friendly competitiveness goes a long way to keep your packaging costs down. Plus introducing a second vendor allows for a back-up supplier and a fresh set of eyes on your process. Many times savings can come in the way of a changed packaging method or box size.

6. Change your box to reduce your Shipping Costs.

I know this does not exactly come under the saving money on your shipping boxes but if you can reduce the weight of your box by changing how you package that can reduce your single shipment costs. Also changing the box size to allow for more of your product on a pallet can increase the total product shipped and in full truckloads or even LTL this can reduce your freight per product.

7. Buying larger quantities of custom corrugated boxes per order can reduce your box cost.

Most corrugated box manufacturers sell converted boxes by the square foot of corrugated per run. Square foot price breaks can be as significant as a 20% reduction moving from one square foot board break to the next. Always have your supplier quote you board breaks. If you are looking to order between and boxes, ask for the board breaks in-between those quantities. Many times you will find a quantity of will give you a 10-15% reduced cost over a price for boxes. Contact Yebo for the board breaks on your custom boxes.

8. Just in Time inventory and blanket purchase orders for a period of usage.

Many packaging distributors will stock your custom boxes for you on a blanket Purchase Order agreement and release the boxes as you need them. This will allow you to purchase a larger quantity (usually at a lower cost) and receive boxes as needed. This should lock you in at a lower price and let you keep your cash flow and inventory the same, as you should only pay for the boxes as you receive them.

5 Ways To Make Sure You Save Costs On Corrugated Boxes

Corrugated boxes are one of the most versatile modes of packaging. In , the global corrugated boxes market was worth US$ 107.8 billion and is expected to grow at a rate of 4.3% annually. With its unique blend of cushioning and structural rigidity, corrugated boxes are indispensable when it comes to storage, bundling or shipping.

Therefore, knowing the estimated price of the corrugated box allows brands to plan ahead.

There is a wide variety of corrugated boxes available in the market and their cost varies depending on different parameters such as:

  • The thickness of the board 
  • Dimensions of the box 
  • Type of flute 
  • Type of joints
  • Box compression strength 
  • Moisture content 
  • Bursting strength
  • Number of plies 
  • Weight of CFC 

Furthermore, the price increases when the corrugated boxes are being customized. The type of printing and the number of colours also determine the costs. These corrugated boxes can also be laminated for additional protection.      

5 Ways to Reduce Costs on Corrugated Boxes

With some research and wise planning, brands can save a lot on corrugated boxes. Since so many parameters determine the costs of a corrugated box, getting an estimate can be challenging. 

Here are five ways in which brands can cut down the costs of corrugated boxes.

1. Simplify your Requirements

In many cases, brands may stick to the packaging solutions developed long ago. Taking a step back and looking at the true requirements of the present is a good way to cut down costs. As products evolve, the packaging should too. 

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For instance, if the primary packaging comes with void fills, then the secondary or tertiary packaging may not need cushioning. Moving to a thinner and more rigid corrugated box for secondary packaging can help reduce costs. 

Furthermore, you can also reduce the number of sizes of boxes needed. So, it is a good idea to check how much packaging is truly needed for shipping and transportation. Excess packaging not only increases packaging costs but also increases shipping costs.

If you are using corrugated boxes for primary packaging, then printing costs is another parameter you can reduce. Corrugated boxes are used as primary packaging for products such as bicycles, televisions, computer monitors, laptops, electrical components and more. See if you can reduce the number of colours, or shift to cheaper printing technology.

For instance, in the case of consumer durables, the aesthetics of the packaging is not considered important as ease of handling. With some research, you can understand what aspects of your product packaging are important and invest more in those parts.

2. Research Available Options

It is a good idea to extensively look at different options that are available and weigh their pros and cons. Once you understand your requirements, you may find that you may not require an expensive box, but one with a lower cost will do just fine. 

You can research different sizes available in the market to check if they meet your requirements. You can look up the prices of the new boxes to see how much you can save. These will help you expand your budget in a more productive direction and customize the boxes. Customization allows you to increase brand awareness, add safety and warning labels, and even add handling instructions. 

3. Optimize Dimensions

If you are using corrugated boxes as secondary packaging, then maybe you can save a little by bundling differently. Perhaps, you can stack the products differently, or make use of alternative void fill.  

The sectioned corrugated boxes for Neolite were customized to keep the products safe and also be cost-effective.

For example, in the case of Neolite, our team customized corrugated boxes to stack their products in a more space-efficient manner. This meant that the products were safe from any damages as well.  

4. Use Standard Structures

Custom sized boxes are more expensive than standard ones. Corrugated box manufacturers have standard sizes and styles of corrugated boxes. These boxes are commonly used by brands for packaging and fulfil the general requirements. 

Corrugated boxes in these sizes. They come in both single-walled and double-walled variants and have sizes ranging from 3&#; x 3&#; x 3&#; to 40&#; x 48&#; x 36&#;. The availability of the sizes varies depending on the vendor. Also, there are multiple styles of boxes that are available. These include self-locking, telescopic boxes, regular slotted containers and so on. 

Telescopic Corrugated Box

5. Include Plans for Packaging in Product Planning

One of the best ways to minimize the cost of corrugated boxes is to integrate the plans for packaging in the product planning phase. You can check how optimizing the primary packaging can help save on secondary and tertiary packaging too. 

Final Thoughts

Corrugated boxes are a staple packaging solution for almost all industries: food, pharmaceuticals, and other fast-moving consumer goods. When you explore possibilities, you gain insights on how much you have to spend on the packaging. Moreover, knowing the approximate costs also allow you to pick the vendor who&#;s offering fair pricing. 

It can help you optimize your present packaging solutions. You can also understand the cost of customization. It's paramount to have knowledge of these different parameters. It makes you aware of how these boxes are priced, giving you an upper hand at negotiating. 

Therefore, it allows you to make better decisions, save costs and optimize your present packaging solutions.

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