ROI and Packaging

ROI and Packaging

There are many areas of any business where your investment will not pay off. It is just the cost of doing business.

Of course every business has the same goal in mind, getting the largest ROI that they can from each area that money is being filtered into.

ROI is really what business is all about. The organization lays out the money into different activities with the hopes that what they are putting in will result in a profit coming out.

In many instances the ROI is low not because the possibility for a higher return is not there but because the investment is being made into the wrong item or idea.

Understanding how even the simplest changes can increase the return on investment can change your perspective.

Often a business will get into a “rut”. They will not evaluate other options even when there is an indication that they should because it is the way they have historically done business or they look at the method as something that in not broken so why fix it. Unfortunately not looking into other options can be a huge error when it comes to ROI.

Packaging – Can It Make A Difference?

Most businesses look at their packaging as a necessity and not really as an investment but it is in fact an investment. It is an investment that you have control over.

ROI (return on investment) and packaging is important as a matter of fact it is tantamount to the success of your business.

Packaging can give you a nice ROI if you know which packaging will work. There are some key elements to the right packaging that will ensure your ROI.

There are different components of packaging that you have to consider:

  • Lifecycle
  • Amount of waste
  • Usefulness

To get the best ROI you need a packaging option that has a long lifecycle. The more use you can get out of packaging the better it is for your organization and of course the better it is for your investment dollars.

Choosing packaging that has the longest potential lifecycle is the answer when you want to get the biggest return on your investment.

You also have to consider how much of your packaging is just going to waste. Packaging that is not flexible requires fillers because it is not flexible can generate far more waste than it is worth. How much of your packaging can be reused? How much are you throwing away? Fillers rarely get reused.

If you can reduce the amount of fillers that you need than you can reduce the amount of waste that you are generating and in turn reduce the amount you are paying for packaging.

How useful is your packaging? Is it meeting all your needs or are you having to buy multi packaging options for different sized shipments?

These are very important questions to ask yourself. If you cannot answer yes than you are selling yourself short when it comes to the potential return you are getting investment.

Why is Lifecycle Important?

The amount that you invest in your packaging can range a great deal. It can be very tempting to go the cheapest route.

Investing in the least expensive packaging may seem like it is the best way to get the biggest return on your investment but the reality is different.

The cheapest packaging is not necessarily the best value. When you are considering your packaging options you have to consider which option offers the best value.

Lifecycle considerations are very important. You want to be able to have a packaging solution that you can reuse and get as much life out of as possible.

The better investment when you want a good return on your investment is the packaging that is going to last you the longest.

Reduce Your Waste and Increase Your Return

How much of your packaging winds up in the trash? Taking the simple step of having a return strategy in place (when your packaging permits) can easily help you to get the most out of your packaging investment.

Programs that allow vendors, suppliers and other members in the supply chain to return reusable packaging can be very profitable programs.

It is a lot easier to get a nice return on your investment when you are getting your packaging returned.

Of course the added benefit is that your organization is doing something good for the environment which has it’s own set of benefits. Reducing waste in and of itself is a return on your investment.

The Value

Usefulness points to the value of your packaging. The more useful your packaging the bigger the return on your investment.

If you are wasting money on multiple packaging options because the option you are using is not flexible enough than you are wasting your money.

Choosing the most useful packaging will help you to get the best return on your investment.

What are the Choices?

You have several choices for getting the biggest return on your investment but there is one packaging option that is clearly the best choice.

Euro palletPallets and pallet collars! If you are not using pallets and pallet collars you are not getting the best return on your investment. Pallets are a familiar tool in any supply chain. They can be loaded with a great deal of weight and are reusable.

When you add pallet collars to a pallet you are creating a crate that is adjustable. These reusable, reparable packaging options are ideal for not only getting an excellent return on your packaging investment but also work to improve your bottom line by helping your products to move faster through the supply chain.

Pallets and pallet collars are an excellent option because they are an affordable option to begin with. They are less expensive then crates and actually more responsive then a crate.

You can control the depth of the container by either adding more pallet collars or removing some. The ability to control the depth of the container opens up a world of possibilities for shipping, storing and stacking.

pallet collarThe return on pallets and pallet collars is easily realized because of the amount of use you can get out of this option. If you are spending money on different sized packaging than you are wasting money that you do not need to.

Pallets are considered one of the easiest packaging options there are to use and pallet collars offer the flexibility that you need.

This option can easily replace all of the other options that are available. Whether you have to stack 5 collars together to create a large box or you just need one pallet collar to create a shallow box.

The ability to control the size of the package that you create can free you up to NOT have to purchase different sized containers for shipping and storing. It is a simple solution to get the most out of your packaging investment.

Added benefits of pallets and pallet collars:

  1. Ease of use
  2. They can be repaired
  3. Easy to store when not in use
  4. Environmentally friendly

No tools are needed to construct a pallet and pallet collar containers. The pallet collars slide together to create a strong sturdy wall to protect the goods that are stacked on the pallet. They are ease to put together, easy to take apart and easy to move around!

If you break a plastic pallet what do you do? Throw it out! If a wooden pallet should break, what can you do? Fix it!

Wooden pallets and pallet collars are easily repaired so that they can be used over and over again. This makes them a very environmentally friendly choice and of course it also gives you a nice ROI.

Pallet collars fold flat for storage or to make it easy to have them shipped back as part of your return program. They can easily be stacked on a shelf or a pallet until they are needed.

Taking up less space in the warehouse is a huge benefit. Space is always at a premium in most warehouses so being able to easily stack and retrieve your packaging is clearly a great option.


Your business likely lays out quite a bit of money on packaging options it is an unavoidable expense. Every business has to absorb the cost of their packaging but if you can get a larger return on that packaging investment it simply makes better business sense.

In this economy every bit of investment has to be made wisely. As the supply chain becomes larger and the competition becomes greater investing in packaging that is going to really step up and meet all of your needs is becoming more and more important.

Investing in packaging mindlessly is a thing of the past. The most successful companies will tell you that reducing wasteful packaging has increased their ability to focus their financial efforts on other areas like marketing.

Your investment into packaging can have a nice return if you know which packaging is the right packaging. Isn’t it time to get more out of your packaging?