Cutting Packaging Down to Size

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Smaller, lighter packaging generally

raises red flags with consumers. It usually signals they’re getting

less product for their money instead of the steady, insidious price

hikes which always cause consternation, especially in a down economy.

But that isn’t always the case nowadays.

Consumer product manufacturers, faced

with several dilemmas, have steadily worked to cut down on extraneous

packaging for very good reasons. With the rise in raw materials, energy,

manufacturing and transportation costs, coupled with the meteoric rise

in environmental consciousness, they’ve been consistently cutting

down on packaging.

Walmart-lesspkg-display

Wal-Mart’s introduction of a “Packaging

Scorecard” a couple of years ago, applied considerable pressure from

the world’s largest retailer to over 66,000 suppliers to reduce packaging.

The retailer promised to become “packaging neutral” by 2025. No

small feat. It does signify Wal-Mart’s commitment to virtually having

all the packaging that flows through its distribution chain recyclable,

reusable and compostable by 2025. The impact of this decision has had

profound ramifications in the entire consumer product industry.

The effect of all of these factors combined:

a classic case of push-pull. Slowly, but surely, manufacturers are

becoming more environmentally focused and making significant strides

in reducing packaging. Examples abound in the marketplace. Procter &

Gamble’s rigid tubes of Crest toothpaste now stand on retail shelves

sans boxes. General Mills reduced Hamburger Helper packaging by 20%,

saving materials and an estimated 500 product distribution truckloads.

Kraft’s Crystal Light new PET bottles cut about 18% of packaging weight,

saving an estimated 8.7 million pounds of plastic.

Stonyfield Farm’s initiative, switching

from #2 plastic cups to #5 thermoform plastic cups for its yogurts,

reduced its overall packaging by 17% thanks to the thinner-walled #5

cups. The #5 cups are not recyclable as the #2 cups were, but in true

Stonyfield Farm fashion, the company is working with TerraCycle to repurpose

used yogurt cups to repackage new consumer products.

Nestle Waters North America saved 20

million pounds of paper over a five year period by simply designing

narrower labels on its popular regional water brands, including Poland

Spring and Deer Park. Coca-Cola has announced it will cut the amount

of plastic in its Dasani water packaging by 7% merely by redesigning

the shape of the bottles.

Kelloggs-new-box-18oz

In a recent move, Kellogg’s announced

that it would test shorter, fatter cereal boxes in its Detroit market,

representing the company’s biggest packaging change since the 1950’s.

This is big news. The footprint of cereal packaging hasn’t much changed

in decades. If this experiment is well-received, it will no doubt have

ramifications throughout the entire spectrum of the consumer product

industry; including non-food companies. Significant changes to consumer

staples like cereal are bound to be immediately visible; a source of

instant conversation and debate.

Kellogg’s is touting the company’s

commitment to innovative thinking, responsiveness to its retail partners,

consumers’ environmental concerns. However, there can be little doubt

that an 8% decrease in packaging materials has its own advantages. Cost

savings that go right to the bottom line. The perception of a greener

footprint. Taking a lead marketing position in a highly competitive

category. All good—if it works according to plan.

On the face of it, retailers ought to

embrace the shorter packaging because they can move shelves closer together

and offer more product in the same footage. Consumers ought to love

the new packaging since it will fit far better on their pantry shelves.

The potential hitch: after decades of consumers being educated that

smaller packaging equates to less product, it’s going to take time

to reeducate consumers that in the case of greener packaging, it isn’t

necessarily so.

Marketing

“Less as More”.

Smaller or lighter pack sizes will have

be used to enforce positive values. Otherwise, they may become the cause

of negative perceptions among consumers. No easy task. Yet, consumer

product companies ought to consider: what better way is there to sell

sustainable values than through that most important of marketing initiatives—packaging?

Using the packaging itself to explain why consumers are seeing and holding

less packaging presents a valuable opportunity that should not be missed.

Further, using packaging as a communications

platform about the company’s commitment to sustainability issues gives

marketers a powerful tool to reach consumers. Tying that messaging in

to every customer touch point will further educate consumers and give

companies that embrace environmentally friendly practices in general,

and greener packaging in particular, a competitive edge.

Eco_bottle_callouts_ah

Some marketers observe that if more and

more consumer products begin to appear in sustainable packaging, that

edge will disappear. Not so. If companies are smart about the manner

in which they think and work, they can continue to leverage this—and

always appear to be on the leading edge in the bargain. 

More and more innovative ideas will be

fueled over the next few years. New materials and substrates, new energy-saving

packaging manufacturing techniques and equipment, new ways to do more

with less will continue to present themselves. Exciting possibilities

undreamt of today will become realities with focus and determination.  

Smart companies will embrace more far-reaching

package design systems over time and find ways to do business more efficiently

on every front, including the intelligent use of energy and natural

resources. Continuing commitment to these important goals will make

the companies and brands that embrace them shine in the eyes of consumers.  

Many companies’ sustainability measures

are going unnoticed since they are deliberately choosing not to communicate

these initiatives. Whether this comes from a fear of the perception

of green-washing, or companies simply feel it is the right thing to

do sans advertising the fact, it is a mistake not to market social responsibility

as a cornerstone of branding or rebranding efforts. As long as sustainability

initiatives are communicated in a fair and honest manner, companies

stand to gain appreciable value in consumer perception. 

How about this for a paradox: cutting

packaging down to size will only increase its importance in promoting

the brand. The old adage: “Less is More” is true, after all. 

Ted Mininni is president of Design Force,

Inc., the leading brand design consultancy to consumer product companies

with Enjoyment Brands™. Design Force helps their clients market

brands that deliver positive, gratifying experiences to consumers. Their

expertise lies in emotionally connecting consumers to brands by creating

compelling visual brand experiences, which motivate purchase decisions. www.designforceinc.com

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