Top Packaging Innovation Strategies

In today's difficult economic climate, consumer goods organizations are challenged to grow their businesses through innovation, but they often lack the capabilities or discipline to do so effectively. Packaging innovation from design to shelf is more important than ever considering that more than 75 percent of purchase decisions occur in store and the package is a key element that closes the deal. Therefore, organizations must develop a comprehensive, global packaging strategy that includes people, process and technology to meet today’s challenges.

On May 16th, 2013, during a CGT web seminar, Stephen Birtsas, senior manager for Kalypso, and Eric Seiberling, global marketing director for CPG-retail industry, Dassault Systemes, discussed the top trends that impact packaging innovation, like globalization, sustainability and social responsibility. They also identified the top two barriers that hinder successful product packaging and artwork development. Here, we share highlights from the event:

- Birtsas kicked off the web event by reiterating why packaging is important for consumer goods companies. He noted that, when done right, packaging could drive sales, increase market penetration and reduce costs. “Twenty-two percent of consumer products companies attribute packaging errors to recalls and write-offs,” he revealed. Birtsas then detailed three critical components for successful packaging:

1. Package Design
2. Technical Development
3. Commercial Execution

“The ability to execute all three of these components flawlessly is what delivers successful packaging innovations,” he reinforced before presenting real-world examples of best practices and complications from brands like Coca-Cola.

- Seiberling joined the panel to offer solutions for the aforementioned challenges, including technology that can be used to accelerate package development. He shared the proven benefits that result when a company effectively breaks down the silos of the packaging process. For example, cutting package design time by up to 50 percent, cutting packaging material and design costs between 30 percent and 50 percent and helping to eliminate packaging-related recalls. Seiberling also used to real-world examples from L’Oreal Consumer Products and Amcor as reinforcement of the benefits of a comprehensive global, packaging strategy. “How do you manage this very complex process in a way that everyone involved can see what is going on, can have access to the latest information, and can work together virtually in order to drive results, get the packaging done and have it be more affective for consumers? That is really the business process transformation we are looking to help drive,” he closed.

To listen to this web event in its entirety, click here.