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The True Costs of Packaging
The True Costs of Packaging
When you’re working out the costs of logistics and packaging into your budget, do you really take into account everything you need to successfully pack and send your products? At Springpack, we’ve been looking into the true costs of packaging, and what costs are hidden beneath the surface…
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Customer Dissatisfaction
We are strong believers that service is everything, and we go to great lengths to ensure our customers get the very best when they shop with us.
For many customers when a product arrives, it is the first interaction a customer has with a company. Customer dissatisfaction due to a damaged or subpar delivery can have a lasting effect on your relationship. A bad reputation spreads quickly, and with online review sites so prevalent, its publicity you don’t need.
Packaging storage space
There’s no getting around the fact that packaging takes up valuable space in a warehouse. Particularly if you provide a variety of different sized products or hold a large amount of packaging. It’s important to find a supplier who can provide you with the packaging you need quickly and reliably. This will avoid you holding large amounts within your unit.
Springpack will provide next working day delivery if you order before 3.30pm, so you can be sure you’ll receive the packaging you need, when you need it. Meaning you save space in your warehouse for your stock and not your packaging.
Damages and returns
If your product arrives with your customer in an imperfect condition, not only are you going to have to cover the costs of returning the product, you’ve potentially lost the trust of the customer.
Ensuring you are sending a product with adequate protection and in the right size packaging is essential. It will avoid unnecessary returns and reduce costs further down the line.
Customer retention
Packaging plays a huge part in user experience and one of the most crucial parts of the experience is when a product first arrives with them. We’ve talked about how important the unboxing experience is before and if you’d like more tips on giving the best ecommerce service – take a look at our blog.
Knowing that you can provide items in high quality packaging provides reassurance and trust in the product and in turn, your company. Did you know that 25% of items bought online are returned*. So if you want items returned to you in the best condition possible – you’ll need adequate packaging.
Forward logistics
At Springpack we advise customers about the importance of selecting the right size packaging. For more information on this, check out our blog on Royal Mail Parcel Sizes. It’s essential in not only protecting the item in transit, but also reducing your delivery costs. This will all help to make your logistics as cost effective as possible.
Brand credibility
There is a huge amount of choice for online shopping, so if a customer has chosen to use your company, you’ve already beaten numerous companies. Don’t let it stop there – ensure when a customer receives their package, their expectations are met – if not beaten.
Packing Labor
Last but not least, don’t forget the labour costs attributed to packing products. In order to ensure the right product arrives and it’s sufficiently packed – the correct amount of staff are required on the shop floor at any one time.
Quality checking any products before they go out, picking the correct items and packing safely all contributes to an effective warehouse.
*Statistics from salecycle.com.
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Author: Simon Rees
Springpack is a UK packaging company delivering sustainable solutions that empower customers. We prioritise exceptional service, building strong relationships and developing innovative packaging solutions tailored to unique needs. Sustainability drives us, from eco-friendly materials to reusable practices minimising waste and emissions. As a family-run business, we’ve grown from humble beginnings to industry forerunners. Our passion lies in making a positive impact in our community and the lives of customers, employees, and stakeholders through outstanding service that exceeds expectations.