Will COVID-19 be the death knell of brick-and-mortar retail as we know it? While consumers have turned to online shopping during the pandemic, department stores like J.C. Penney have filed for bankruptcy and malls have been turned into apartment complexes. It’s estimated that 100,000 brick-and-mortar retail stores in the United States will close by 2025.
With the trend toward e-commerce greatly accelerating, now is the time for paperboard packaging manufacturers to adapt. Whether you’ve already got a plan in place or are just starting to develop your business’ roadmap, we’re here to help you understand paperboard packaging in the new e-commerce age.
Why E-commerce is Here to Stay
Emory University Professor and economist Jeff Rosensweig recently told PPC that now is the time to focus on e-commerce. The pandemic has limited people’s ability to go out for goods, especially the elderly demographic. This group, like others, has found that e-commerce is both convenient and simple, leading to increased and extended use.
The big question is: will people return to their pre-COVID buying habits or will elevated rates of e-commerce purchasing continue? While the pandemic continues to breed much uncertainty in our return to a “new normal,” it would be wise for paperboard manufacturers to have a solid plan in place for e-commerce now and in the future.
A Folding Carton’s New Journey
In a largely e-commerce marketplace, versus brick-and-mortar, folding cartons take a slightly different journey to get to the customer—and this shift requires design consideration.
When packages are shipped to retail stores, the only intermediary is a distribution center. On the e-commerce side, however, the packages reach a fulfillment center then head to a regional distribution center before being handled by at least one carrier or delivery service.
When working with retailers, paperboard manufacturers have a strong support network. Distributors often remove damaged packages and display products in the most appealing manner possible to help encourage purchases. Additionally, by shopping in-person, consumers get to interact with your packaging and see everything as you and your design and quality control teams intended.
E-commerce, however, removes these helpful middlemen and adds opportunities for potential problems. By adding stops during distribution and delivery, there is an increased likelihood for packaging to be damaged. Without retailers to remove these harmed products, not only will the consumers see the flaws, they will have paid for them. Regarding customer expectations, the packaging they receive, even in mint condition, may not be true to what they had thought they purchased. Computer monitors and phone screens may skew colors, and pictures might not accurately capture the shape, texture, and other details of your boxes.
Keeping these difficulties in mind is the first step to overcoming them as we focus more on e-commerce for the paperboard packaging industry. Since products are going directly to the consumer, we need to make packages more durable to withstand extra handling and shipping. However, the paperboard shouldn’t be bulked up to the detriment of specific design choices or making the containers more difficult for the consumer to open or use.
With products going direct to buyers, they miss out on the initial in-person interaction with your package and your customer’s brand. This means you need to work doubly hard to align your online depictions and descriptions with your packaging and your packaging with the brand. This way, your customer’s demographic will feel connected to their brand through an honest experience from start to finish.
Don’t Forget About Sustainability
Though your team will most likely need to update your approaches for manufacturing and design, don’t forget sustainability. As single-use plastics continue to make a comeback due to pandemic fears, it’s more important than ever for our industry to keep up our green record.
Paperboard manufacturers must maintain sustainable practices and use recyclable materials to ensure that once we pass through this crisis, we aren’t entering another. For help staying environmentally conscious, check out our blog with tips on sustainable practices.
In addition to eco-friendly choices, don’t forget to keep innovating with your packaging design. By focusing on durability, it would be easy to forego style and functional design additions. However, the paperboard industry is built on the ability to stay versatile and innovate while remaining reusable and recyclable. It’s critical not to lose this focus.
If your team is unsure how to succeed in the e-commerce age, reach out to your peers at PPC. We provide resources, events, and connections to help paperboard manufacturers get ahead no matter what challenges the future brings. Reach out to us today!