The Silent Sales Force

Studies have shown that about 70% of purchase decisions are made in a retail store and consumers typically spend about 2.6 seconds deciding on the product to buy.

Research shows that product labels with a greater visual appeal provide an 80% chance of a sale. More brand owners are recognizing that packaging designs can provide a competitive edge in food merchandising. It enables a greater visibility of the products in the retail environment, it stimulates product sales in established categories and it provides consumers with a positive buying experience. Well-designed packaging is therefore like a silent salesperson that helps to ensure consumers’ attention on the products every time.

The color, shape, size and material of a packaging affect product sales. More manufacturers are therefore using pressure sensitive labels on their products to gain a competitive edge. Tostitos Salsa for example reported a 5-10% spike in sales after the company changed its product container labels to a no-label look.

Thin or no-liner labels are becoming popular among packaging companies to help reduce freight cost and carbon footprint.

Functional, user-friendly designs

Functional packaging is becoming more important in connecting consumers to products. Today, brand-savvy owners not only utilize packaging and labels as the primary advertising media for their products, they are also focusing on packaging features such as convenience and functionality to differentiate their offerings. To satisfy consumers’ need for convenience, functional packaging is being rapidly adopted across food categories such as confectionery, processed meats and bakery.

More packaging and marketing professionals are creating new packaging solutions for a fast evolving market. Resealable or recloseable packaging is becoming popular among manufacturers and various versions have been commercialized for consumers to keep products fresh after opening. With the growing aging population in countries such as Japan, the ease of opening would be an important feature in recloseable packaging.

Lifestyle changes have increased the demand for ready-to-eat meals. Food that is sold in microwaveable packaging allows fast and easy preparation while ensuring that the food retains its moisture and taste after cooking. Well-designed packaging can also increase product sales through improved shelf life by including recipe booklets or discount coupons on the packaging, and by using tamper-evident over-the-cap seals.

Manufacturers are focusing on packaging features such as convenience and functionality to better differentiate their products in the market.

Changing demographics and niche consumer segments have affected the way manufacturers handle their stock keeping units (SKUs), which further complicates packaging strategies. Growing SKUs can greatly affect inventory cost due to a strong consumer demand for smaller unit size packs and a wider variety of products. By decorating products at the point of packaging, manufacturers will be able to switch from one design to another while using one container type, thereby minimizing waste.

• Sustainability

With the green movement worldwide, consumers are more aware of the impact food packaging materials have on the environment. Kraft for example said it aims to eliminate over 149.9 million pounds of packaging material by 2011. It is not the only company in the industry to be making such an effort, as thinner facestock and thinner or noliner labels are increasingly being sought after by food packaging companies in order to reduce freight cost and carbon footprint.

Heat-activated self-venting stream release valves control the release of steam to aid moisture retention and promote cooking consistency in this freezer-to-oven/freezer-to-microwave packaging.

Resealable or recloseable packaging is becoming popular among manufacturers for consumers to keep products fresh after opening.

Maximizing product appeal

Traditional labeling technologies now compete with new product identification and decoration that offer distinctive 360° designs. As most direct-print solutions are unable to produce high-resolution graphics due to the limitations in printing technology, brand managers could risk losing out on maximizing product appeal. Pressure-sensitive solutions, on the other hand, can enable them to deliver esthetics and provide a flexible platform to create a premium image for their products.

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