Building a sound packaging strategy can help protect businesses against the ever-rising costs of parcel shipping rates

During the summer, most of the leading shippers announced their annual peak season surcharges and retailers were already braced for expected increases.

However, it was recently discussed in an earnings call that FedEx and UPS are additionally increasing their general delivery rates by an average 6.9 percent. New rates will go into effect December 27 for UPS, and on January 3, 2023, for FedEx. Further, USPS also announced a general rate increase which will go into effect on January 22, 2023.

Heading into the new year, these news reports might give some operations teams pause; however, it is important to remember that the right packaging strategy is one of the best ways to mitigate the overall impact an increase in shipping charges may have on the bottom line.

Most brands can find savings when auditing their existing packaging procedures, especially when working with a provider that is constantly innovating to create value for customers. That is something Pregis is prepared to assist with at any time.

Are you using the most effective packaging material? Could you free up space or use less material? For example, suppose you’re finding that the non-breakable items you’re shipping are accompanied by extra space in the box. In that case, it may be time to transition to poly or curbside recyclable paper mailer options. This will not only eliminate the need for void-fill material but also reduce the overall dimensional weight (DIM) created by the package, helping you save on the costs associated with shipping.

There are many other ways a business can further optimize its packaging strategy to minimize the cost of shipping. The right mailing and bagging solution can not only contain your goods but protect the contents and even convey a strong brand or marketing campaign message.
more at: https://www.pregis.com/knowledge-hub/building-a-sound-packaging-strategy-can-help-protect-businesses-against-the-ever-rising-costs-of-parcel-shipping-rates/

Related Posts

Sonoco Implementing Price Increase for Uncoated Recycled Paperboard

Sonoco announced it is implementing a $50 per ton price increase for all grades of uncoated recycled paperboard (URB) in the United States and Canada, effective with shipments beginning November 16, 2020. Sonoco cited significantly longer backlogs at its mills along with continuing inflation of input costs, especially freight and papermaking chemicals as the drivers for this pricing action.

Bemis Company Reports Third Quarter Earnings

U.S. Packaging net sales of $672.3 million for the third quarter of 2017 represented an increase of 2.2 percent compared to the same period of 2016. Compared to the prior third quarter, unit volumes were up approximately two percent. U.S. Packaging operating profit decreased to $99.6 million in the third quarter of 2017, or 14.8 percent of net sales, compared to $100.8 million, or 15.3 percent of net sales, in 2016. Compared to the prior year, profits were impacted by previously-negotiated contractual selling price reductions on select products, partially offset by manufacturing efficiencies and the benefits of increased unit volumes. Global Packaging net sales of $362.8 million for the third quarter of 2017 represented a decrease of 1.8 percent compared to the same period of 2016. Currency translation increased net sales by 0.5 percent. Organic sales decline of 2.3 percent reflects unfavorable mix of products sold, partially offset by sales price increases. Compared to the prior third quarter, Global Packaging unit volumes were relatively flat, comprised of weak volumes in the Company’s Latin American business, as anticipated, and offset by net volume growth in the remaining regions of the Global Packaging Segment. Global Packaging operating profit for the third quarter was $24.6 million, compared to $36.2 million for the same period in 2016. Compared to the prior year, lower profits in Global Packaging were driven primarily by the impact of the challenging economic environment in Brazil. Click Read More below for additional information.

Novolex Increasing Production of Poly Mailers to Help Companies Ship Products More Securely

With demand increasing, Novolex® brand Shields® is stepping up production of its innovative poly mailers to help companies ship their products more reliably and securely. Manufactured in the USA, the Shields eCommerce mailer bag is durable, puncture resistant and waterproof. Its easy-to-use closure uses a secure, pressure-sensitive adhesive with an anti-static release liner. The mailer is also labeled with the How2Recycle® “store drop-off” label, which instructs consumers and businesses to bring mailers to participating retailers for recycling. “The pandemic is creating an intense need for secure poly mailers manufactured dependably in the USA,” said Martin McDonough, Vice President of Sales for Shields. “We are increasing production of our high-quality mailers so we can help as many companies as possible ship their products more reliably and securely.”
Back To Top
×Close search
Search