Chicago-based Berlin Packaging releases new package design ROI calculator, white paper to help businesses build case for new package development
August 16, 2011
– A new ROI calculator and white paper that assist package designers in conveying the business value of new brand packaging are now available online from Berlin Packaging. Both the Package Design Benefit Calculator and Unlocking the Power of Package Design: Building a Business Case can be accessed free of charge to help design innovation champions gain executive support for custom package development projects.
The Package Design Benefit Calculator can be used to quickly create a snapshot of the potential business impact of repackaging or not repackaging a given product. With this tool:
Users provide information about the current annual unit volume, pricing, and variable costs, as well as assumptions about the effects of pursuing or not pursuing a redesign.
The calculator returns a comparison of the net benefits of refreshing the packaging or maintaining the incumbent package over a two-year period.
Different assumptions can be entered to determine the breakeven points below which custom development may not make sense.
The white paper outlines a strategy for quantifying the business value of a fresh package design in order to secure authorization for new packaging initiatives. Topics covered include:
Research showing a link between the use of design and improved business performance across key measures, including share price, profit, and market share growth.
The importance of building a numbers-based business case to justify a package update.
Metrics for measuring how a package design influences brand profitability, including multiple elements related to price, quantity, and variable and fixed costs.
How Berlin Packaging's new Package Design Benefit Calculator can support these efforts by rapidly providing preliminary return-on-investment (ROI) projections.
The paper also includes a case study demonstrating how a packaging change for a line of nutritional supplements helped fuel a 200% sales increase in the first year.
"All too often, package design innovations fail to see the light of day not because they lack shelf impact or functionality, but because their sponsors lack the tools or understanding to fully frame the benefits a new package can bring in the form of lowering costs, improving efficiencies, and increasing sales," the paper notes. "Understanding how to frame decisions about design at the project or product level ... can accelerate a brand's growth and profitability."
Other white papers available from Berlin Packaging include Consumer Megatrends and Packaging Implications: How Companies Can Ride Consumers' Coattails, which addresses major consumer trends that can help brand owners deliver product packaging that sells; Effective Risk Management in Global Sourcing, which offers guidelines for mitigating risk when using overseas factories to lower package costs, and Partnering for Supply Chain Excellence, which provides a road map for evaluating both current and new suppliers.
All company white papers can be downloaded at http://www.berlinpackaging.com/en/news-and-knowledge/white-papers
About Berlin Packaging
Berlin Packaging is North America's premier Hybrid Packaging Supplier of plastic, glass, and metal containers and closures. With over 33,000 available SKUs, over 100 packaging consultants, and more than 80 sales and warehouse locations across North America, the company has the right products, expertise, and geographic proximity to help customers increase their net income through packaging products and services. Berlin Packaging supplies billions of containers and closures annually as well as warehousing and logistics services for customers of all sizes in all industries. It is the only company in its sector to be ISO 9001 certified, to have Customs-Trade Partnership Against Terrorism (C-TPAT) certification, and to achieve 99% on-time delivery of its shipments every month for seven years. Related services and specialty product divisions include Studio One Eleven custom packaging and graphic design, Berlin Global sourcing solutions, E3 profit-oriented consulting, Berlin Financial financing for equipment and capital improvements, Dangerous Goods transport, Freund Container & Supply convenience, and Qorpak laboratory supplies. The company can be reached at 1-800-2-BERLIN, BerlinPackaging.com, and on LinkedIn and Twitter.