In a recent interview with HelloNation, Kyle Reger, Regional Sales Manager at Rochester, New York-based Jamestown Container Companies, offered a broader way to think about the cost of packaging: look beyond the price of the box itself.
For procurement teams, purchase price may be the most obvious place to start, but Reger pointed to the many ways a packaging decision continues to affect costs after an order is placed. How well a package protects the product, how efficiently it moves through production and transportation, and even how much room it takes up in a warehouse can all factor into its true cost over time.
Product protection is a big piece of that equation. A box that costs less upfront may offer little savings if a poor fit contributes to damaged products, returns, replacement shipments or production delays. Conversely, packaging that is properly sized for the product can help limit damage while also reducing the amount of filler material needed.
That same attention to size can carry through to transportation. Oversized boxes can increase dimensional freight charges and take up valuable space on pallets and trailers. Right-sizing packaging can improve pallet utilization and allow more product to move in fewer shipments, connecting the design of the package directly to freight efficiency.
The impact continues inside the plant. Reger noted that seemingly small changes to a box or packing method can make a difference in how quickly employees assemble and pack an order. Saving only a few seconds on an individual package may not seem significant, but across thousands of shipments, those seconds can translate into significant labor savings.
Packaging can have a similar effect on warehouse operations. Designs that ship flat or nest efficiently require less inventory space, while better organization and accessibility can reduce unnecessary handling for employees working with those materials each day.
Taken together, those considerations make the cost of packaging less about a single line item and more about how the package performs throughout the supply chain. Reger encouraged procurement teams to consider damage rates, freight expenses, labor efficiency, storage requirements and existing workflows alongside the initial purchase price when evaluating packaging options.
Jamestown Container Companies is a family-owned packaging manufacturer headquartered in Falconer, New York, with operations across New York and Ohio. Founded in 1956, it provides custom corrugated packaging, displays, packaging, and contract packaging services.
