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Marketing

Packaging serves several important functions including protecting products, containing them, and communicating important information to consumers. It is a critical part of marketing and branding. Effective packaging attracts consumers by fulfilling their needs and desires in a way that compels them to pick up and learn more about a new product. Packaging must be designed with the consumer in mind to create a connection and build trust and loyalty. Proper packaging helps new products stand out among thousands of competitors on store shelves each year.

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0% found this document useful (0 votes)
113 views14 pages

Marketing

Packaging serves several important functions including protecting products, containing them, and communicating important information to consumers. It is a critical part of marketing and branding. Effective packaging attracts consumers by fulfilling their needs and desires in a way that compels them to pick up and learn more about a new product. Packaging must be designed with the consumer in mind to create a connection and build trust and loyalty. Proper packaging helps new products stand out among thousands of competitors on store shelves each year.

Uploaded by

Manorath Palan
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Thousands of new products are introduced every year, more than 15,000 to

be exact. How can the product compete, not only with established brands
but with the plethora of new products that are being introduced? The answer
of course is THE PACKAGING. The right packaging with the right message
will rise above the competitive landscape. But how many companies
understand the value behind packaging as a marketing tool? Most just look
at as a way to convey the product or recycle tired images and product
packaging that doesn't work.

Understanding the complexities of how a package reaches out to a consumer


is one of the most important things to understand. Communicating that
message on product packaging is a time consuming and difficult challenge.
The answer derives from understanding what the consumer wants from their
product packaging.

What compels you to look at a new product? What drew you to pick it up and
take a closer look? You were intrigued enough by whatever that made you
pick up the product and take a closer look. That's half the battle won
because your product will never sell if someone doesn't pick it up in the first
place.

Here are a few questions to ask yourself about your package. Is it new and
innovative?

Is it fulfilling a need?

Is it easy to use and convenient?

Is it a good value?

Does it make the consumer happy?

Does it inspire consumer trust and loyalty?

Is it safe and secure?

Does it compel you to want to know more?

So how does your product stack up in solving a consumer want or need?

Would your package make someone desire to take a closer look?


Evaluating or developing product packaging with the consumer in mind is
your first step in creating a package that markets all the products attributes
to the ultimate decision maker the customer.

It only takes one unique attribute that will intrigue a consumer to take a
closer look. Of course the more needs you can fulfill the better "connection"
to the consumer. The "consumer connection" is what you are trying to
create. So think outside the typical behavior and solve the hidden need that
will make a consumer buy your product and not a competitors.

Introduction

Packaging is now generally regarded as an essential component of our


modern life style and the way business is organized. Packaging is the
enclosing of a physical object, typically a product that will be offered for
sale. It is the process of preparing items of equipment for transportation and
storage and which embraces preservation, identification and packaging of
products. Packing is recognized as an integral part of modern marketing
operation, which embraces all phases of activities involved in the transfer of
goods and services from the manufacturer to the consumer. Packaging is an
important part of the branding process as it plays a role in communicating
the image and identity of a company.
How can we define Packaging?

Its basically all the activities of designing and producing the container for a
product.Packaging can be defined as the wrapping material around a
consumer item that serves to contain, identify, describe, protect, display,
promote, and otherwise make the product marketable and keep it clean. 
Packaging is the outer wrapping of a product. It is the intended purpose of
the packaging to make a product readily sellable as well as to protect it
against damage and prevent it from deterioration while storing. Furthermore
the packaging is often the most relevant element of a trademark and
conduces to advertising or communication.

Functional Requirements

1. Protection and preservation

A basic function of package is to protect and preserve the contents during


transit from the manufacturer to the ultimate consumer. It is the protection
during transport and distribution; From climatic effects (heat and cold,
moisture, vapour, drying atmospheres); from hazardous substances and
contaminants; and from infestation. Protection is required against
transportation hazards spillage, dirt, ingress and egress of moisture, insect
infection, contamination by foreign material, tampering pilferage etc. A
package should preserve the contents in 'Factory Fresh' condition during the
period of storage and transportation, ensuring protection from
bacteriological attacks, chemical reaction etc. 

2. Containment

Most products must be contained before they can be moved from one place
to another. To function successfully, the package must contain the product.
This containment function of packaging makes a huge contribution to
protecting the environment. A better packaging help to maintain the quality
of the product and reachability of the product in the consumer's hand
without spillages It gives better image to the organisation. 
3. Communication

A major function of packaging is the communication of the product. A


package must communicate what it sells. When international trade is
involved and different languages are spoken, the use of unambiguous,
readily understood symbols on the distribution package is essential. It is the
interest further that to get appropriate communication to the consumer
about the product, how to use it and other utility informations. Packaging
protects the interests of consumers. Information includes: quantity; price;
inventory levels; lot number; distribution routes; size; elapsed time since
packaging; colour; and merchandising and premium data.

Types of packaging

An important distinction is to be made here between two types of packaging 

o Transport packing: The product entering in to the trade need to be


packed well enough to protect against loss damage during handling,
transport and storage. Eg: fiberboard, wooden crate etc.

o Consumer Packing: This packaging holds the required volume of the


product for ultimate consumption and is more relevant in marketing. Eg:
beverages, tobacco etc.

Hazards of Transport

There are four main hazards of transport

* Drops and impacts


* Compression forces
* Vibration 
* Climatic variations

Various Mechanical Tests 

o Drop Test: This test help to measure the ability of the container and
inside packing materials to provide protection to its contents and to measure
the ability of the container to withstand rough handling.

o Vibration Test: This test is to determine the ability of the container to


withstand vibration and the protection offered by materials used for interior
packing.
o Compression Test: This test is carried out, generally, on empty
containers, to measure the ability of the container to resists external
compressive loads applied to faces or applied to diagonally opposite edges or
corners. 

o Inclined Impact Test: This test help to study the extend of damage in a


way of crushing, breaking, cracking, distortion, and shifting during handling
storage and transport which occurs to the container and its content. 

o Rolling Test: This test helps to evaluate the overall strength of the


container and the cushioning material provided inside and any failure of the
content. 

o Drum test: This test help to evaluate loaded shipping containers with


respect to general overall durability and for the protection afforded to the
contents against certain hazards of handling and shipment.

Various Climatic Tests

o Rain Test: This test is conducted in a simulated rain condition to assess


its impact on the test area for two hours.

o Sand and Dust Test: This test is to evaluate the resistance of a package


to the penetration of sand and dust. 

o Salt Spray Test: This test is to evaluate the resistance of a package to


corrosion by salt spray and to serve as a general standard for corrosion. 

o Fungus Resistance Test: This test is to evaluate all the materials used in


the fabrication of shipping containers for fungus resistance.

Importance of Cushion Materials

Cushioning is that part of packaging, which protects the article from damage
due to shock and vibration. The main functions of cushioning materials can
be detailed as follows:

o Shock protection against vibration

o Protection against abrasion

o Protection of grease proof and water proof barriers at ponut of contact with
solid blocks
o Protection of moisture vapour barriers at points of contact with sharp
edges of the article itself.

o Protection of small projections

o Filling of void space in the container

o Other secondary purposes

Packaging Cost

The most important aspect when we look into packaging is the packaging
cost. Packaging cost include the following:

* Material cost: It means the cost of the pack and quality control cost.

* Storage and handling cost of empty packages: This include the


handling cost of bulky packages, heavy materials of construction, drums etc.

* Packaging operation costs: This includes the cost involved in operations


like, cleaning the package product filling – closing, labeling – unitizing,
stenciling, handling cylindrical slums etc.  

* Storage of filled packages: This includes the cost incurred to shift the


goods from one form of packaging to another.

* Transportation cost of filled packages: This involves the transportation


cost by sea, air etc. (freight by volume)

* Loss and Damage cost: It is related to the loss and damage during
operation, transportation delivery etc. 

* Insurance cost:  It varies depending on the vulnerability of package

* Effect of packages on sales: The package that influence on sales.

* Obsolescence Cost: This cost involves when changes in the packaging


materials, packages and labels happen. 

* Package developmental cost: This include the evaluation cost, pilot test


cost, field testing cost, consumer research cost, feed back cost, final trial
cost etc.
Importance of packaging: An Overview

Some of the major significance of packaging can be detailed as follows:

* Can make a product more convenient to use or store, easier to identify or


promote or to send out a message. 

* Can make the important difference to a marketing strategy by meeting


customers' needs better.

* Packaging plays a key role in brand promotion and management.


Packaging is of great importance in the final choice the consumer will make,
because it directly involves convenience, appeal, information and branding.

* The paramount concern of packaging is the reachability of the product


without any damage. No matter where and how the products are transported
or shipped, they arrive at the customer's door in working condition without
need of repair or adjustment. 

* Packaging is especially important in certain industry where future sales


may be based largely on the quality, integrity and performance of a
company's previous delivery.
Pictorial marking for handling of goods

Fragile

Do not use hand hooks

This way up

Keep away from sunlight


Keep away from water

Centre of gravity

Clamp as indicated

Do not clamp as indicated


INNOVATIVE PACKAGING TECHNIQUES

Bru Aroma Lock

The Aroma lock is made from polypropylene with excellent hinge property and cues
locking through the click sound. It is developed for packs sizes of 200 g and 500 g. In
case of 500 g, crisscross ribs were incorporated to reduce the warpage. Aroma lock
design has male-female cavities which engages the laminate in between and ensures
air tight locking

The Aroma Lock not only helps in preserving the freshness but also catches the eye of
the customers
HUL

FMCG major Hindustan Unilever Ltd (HUL) is partnering with Disney to design
packaging strategy for its flagship brand ‘Kissan Jam’ in the processed foods sector. In
a bid to woo kids, HUL is using Disney characters such as King Squeezee”. The
packaging is colorful and has the favorite Disney characters such as Baloo and Sher
Khan. The partnership with Disney will also be leveraged in bringing interesting
marketing initiatives to promote the launch

This kind of packaging give the product an extra edge over the other jams in the market.
Thus this kind of packaging targets kids and the youth section of the society
ECO PACKAGING

Eco-packaging intends to develop an inventory of unique packaging products that


can add perceived value to packaged products. These products, which will be sourced
from production site, will be imprinted in-house with various company logos before they
are shipped to the distributors.

P&G
Beauty giant Procter & Gamble recently announced that starting in 2011, their Pantene
Pro-V, Cover Girl and International Max Factor product lines will feature a renewable
sugarcane-based packaging from Brazilian plastics manufacturer Braskem. This new
material will not only come from a renewable resource (sustainably grown Brazilian
sugar cane), but it will be 100% recyclable as well. Sugarcane-derived plastic is
deemed a sustainable packaging because it is made from a renewable resource, unlike
traditional plastic, which is made from non-renewable petroleum.

The new material is made in an innovative process which transforms sugarcane into
high-density polyethylene (HDPE) plastic that is commonly used for product packaging.

P&G will source the sugarcane-derived plastic from Braskem SA, which manufactures
the material using ethanol made from sustainably grown Brazilian sugarcane.
GUCCI
Gucci has taken a step in the direction with the launch of its worldwide eco-friendly
programme to reduce dependence on materials and use 100% recyclable paper in
packaging. The initiative will be introduced in all of its 284 directly operated stores
around the world from June. The new packaging concept not only represents an
important action towards environmental responsibility, but also reinforces Gucci’s
heritage as the company approaches its 90th anniversary in 2011. It is within this dual
context that Gucci’s new packaging has been conceived by Gucci creative director,
Frida Giannini pairing past with present and luxury with responsibility.

Employing a sophisticated beater-dyed paper in chocolate brown, the new shopping


bags and gift boxes feature a de-bossed GG logo, which was first used in the 1960s
and emulates the present day iconic Guccissima leather. The surface of the packaging
has a subtle luminosity and underscores the experience of luxury as well as the warm
tones of Giannini’s Gucci retail store concept.
Conclusion

The significance of packaging has come to be increasingly recognized in


export as well as in marketing of a wide range of consumer goods and
industrial products within the country. The volume of exports depends not
only on the quantity of the production and prices, but also to a substantial
extends on the standards of packaging adopted for the products. Goods
damaged in transit or arriving at the destination in an unacceptable
condition tarnishes the reputation of the manufacturer as well as the country
as a whole, besides colossal wastage of scarce economic resources. Further,
packaging has a crucial role to play in the fetching higher unit values for our
consumer goods (like tea and cashew) through the substitution of the bulk
packs by consumer packs. In the recent past packaging has been
increasingly recognized as a significant factor in the nations export
promotion effort. Effort should be there to understand the importance of
packaging there by to avoid the loss and damage cost incurred during
transport and delivery. Keep in mind that a conscious effort on the part of
marketing managers can increase the volume of sales and there by improve
the reputation of the product and organisation. 

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