Reduce Your Packaging Costs: 30 Strategies
Explore 30 strategies that have saved companies hundreds of millions of dollars — with real-world examples from IKEA, Walmart, P&G, Dell, Glossier, and more. These strategies cover a range of approaches that aim to provide a broad perspective on optimization opportunities layered within your packaging choices. Often, the most impactful cost reductions are ones you’ve never considered before. We hope this guide opens your eyes to a few new ideas.
Packaging design – Use fewer components, Ship less air, Reduce material thickness, Reduce product volume, Ready-to-ship SKUs, Modular packaging, Optimize for dimensional weight shipping, Faster fulfillment, Use stock packaging or semi-custom packaging & Reduce print coverage and colors.
Logistics and storage – Use local factories to reduce freight costs, Manufacture and ship by the truckload, Reduce air freight, Reduce tertiary packaging, Reduce volume in storage and transit & Avoid stock-outs.
Customer experience – Offer a low packaging option to your customers, Balance defective shipments and replacement costs, Invest in reusable or refillable packaging & Save customer service time by reducing inquiries.
Sourcing and supplier management – Know what you’re paying for, Choose factories with the right equipment, Rethink your RFP process, Streamline vendor management and purchasing, Structure your packaging specs, Consolidate CM and 3PL purchasing & Invest in packaging engineering.
Disruptions – Standardize quality using AQL, Set up backup factories and load balancing & Plan alternative packaging.
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