Importance of Right Packaging Design for FMCG Products
“Packaging can be theatre, it can create a story” – Steve Jobs
81% of consumers have tried something new because the packaging caught their eye. – Source: Packaging Matters Report by WestRock
The above two statements are pretty strong to make a case for the importance of packaging. It makes one ponder and take a relook at the packaging perspective, especially for Fast-moving consumer goods (FMCG) products. True to their name, FMCG products need to be fast-moving for sales and growth of the business. But are these the only factors why packaging is important? Are there any obvious or hidden benefits that packaging might have?
To answer these and many other questions, let’s take a deep dive into the importance and many other not-so-apparent benefits that FMCG packaging accrues.
Importance of Packaging for FMCG Products
- To improve marketability
Hands down, this is the most important factor for paying attention to the packaging of FMCG products. To aid this view, let’s consider another statistic:
“63% of customers have purchased a product again because of the appearance of its packaging”. Source: Packaging Matters Report by WestRock
These figures give an insight as to how important appealing packaging is. A packaging that stands out is attractive and is of good quality, would definitely result in increased sales. It also makes product marketing very easier as the customer is charmed by the packaging.
- To provide nutritional information
In today’s health-conscious times, where almost everyone is concerned about their calorie intake, nutritional information plays a vital role. Good packaging always highlights the nutritional value of the product concerned and makes it easier for the consumer to take a call on the purchase.
- For Product Protection
There are a lot of FMCG products that need to be transported carefully due to their fragile nature, casual handling may result in product damage and disfigurement. This in turn proves harmful for the company as the product can no longer be sold.
- For Decreasing Perishability
A good amount of FMCG products are in the food category, which needs to be shipped as early as possible to prevent their perishing. Packaging plays an important role in the designing & labelling of such products. Receiving products that have got rotten or have lost moisture or have been exposed to outside air resulting in contamination is bad and highly undesirable.
- For Sustainability
In today’s times, where a lot of waste is being generated, eco-friendly packaging is the way to go. A lot of MNCs have already taken up the task of implementing eco-friendly packaging that can provide a viable alternative to the polluting plastic ones.
Where not possible, packaging needs to be such that it follows the principle of 3Rs: Reduce, Reuse & Recycle.
- For Establishing Brand Identity
Let’s be honest, we all have some favourite brands whose products we purchase on a regular basis. These brands have entered our subconscious minds knowingly or unknowingly through their product appeal. Also as stated earlier, a lot of people make their purchase decision based on the appearance of the packaging. FMCG packaging that is eye-catching, and conveys meaningful information will definitely attract more customers.
- For enhanced ease of use
Packaging that is consumer friendly, is convenient to be picked up from stores, has proper measures like leak-proof and many other features is way more likely to be tried and tested by the consumers than inefficient ones. Packaging that conforms to the current trends automatically stands out from the rest and the consumer may be more inclined to go after that product as it is fresh in his memory and can be easily related.
Challenges of Packaging Design
If everything is so obvious and important, why is packaging then still neglected? Aren’t companies aware of their effects? These are some vital questions that arise and need answering. The truth of the matter is, it is difficult to embrace all of the above concepts in packaging design. The major factor that hits the most is the production cost. No company wants to operate in losses and deliver products that look good but are not production friendly.
But, what the companies majorly forget is the fact that packaging also affects economies of scale. A product that moves the store shelves very fast or is sold greatly would offset the one-time high production costs. Once you have packaging that caters to most or all of the above factors, the product movement would be such that there would be a sizeable jump in revenue & profits and who knows the company might benefit from the tremendous word of mouth it gets due to good packaging.
Undoubtedly, the packaging of FMCG products affects sales that in turn affects revenue and profits. Most companies due to the investment factor and high production cost involved stray away from incorporating changes in packaging design. They focus on the short term but neglect the longer run. This needs to change, awareness and information about economies of scale and long-term vision need to be part of the brand strategy in order for the product to be promoted.
Adding certain things like promotions and deals on the packaging itself and having limited-time festive or seasonal packaging might boost the sales and revenue of the company significantly. Packaging that ticks all the boxes from being ergonomic, cost-effective, appealing to brand communication and sustainable is the way to go forward. Today, the options are aplenty, and the consumer is spoiled by choices, in such cutthroat competition, by having the best packaging of FMCG products, a company can do wonders.
To get the best advice about packaging, it is highly recommended to consult a branding agency like ours. Our professional strategists would help you with the latest and advanced resources and tools needed to establish your brand and make it stand apart from the crowd. Do give us a chance, we promise, the results would speak for themselves.
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