Food Packaging Issues To Consider This Year
By Alec Italiano, contributing writer
Cartonization, slack fill, and optimizing shelf space will be determining factors in many companies’ bottom lines
Innovations in packaging happen almost quarterly with technology unveiling better materials and better systems to maximize aspects of the value chain. Simultaneously, this happens with processors and manufacturers also reducing waste and carbon emissions. This year, three important issues in packaging will need to be further addressed in order for food companies to make 2014 a successful and profitable year.
The first issue is cartonization. This is the process that manufacturers go through that gives products the best package per unit being shipped. According to the U.S. Department of Commerce, online sales have exploded, rising more than 300 percent since 2004. This has placed significant weight on the shoulders of packagers responsible for combining products that come in all shapes and sizes into viable shipping containers optimized to save costs on materials, while avoiding dim weight penalties.
Another interesting issue is slack fill. Slack fill is the difference between actual volume of the container and the volume of contents inside. For example, Stouffer’s may have a box that looks like it could hold two quesadillas, but the product’s packaging only contains one item. District Attorneys in California have been on this issue, fining various consumer packaging companies up to $300,000 for violating Title 21 – a code regulating misleading containers. It is up to companies to decide if operational benefits outweigh potential financial risks to achieve a profitable bottom line in 2014. Retailers able to adapt this process best to their market will be the ones looking at sizable bonuses and customer satisfaction.
The last issue packagers will want to consider in 2014 is a classic: shelf space optimization. Retailers and grocers already have paper thin margins, and with minimal warehousing space, along with cramped shelf space, it’s imperative for manufacturers to balance shelf life with the physical size of the package. Companies willing to collaborate and reduce the number of stock rotations — not to mention the costs associated with out of date products — will find themselves with the most optimized shelf space, and as a result, an optimized profit margin.