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Guru
Engineering Fields - Retired Engineers / Mentors - New Member

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Packaging Costs

10/23/2007 5:49 PM

As many people on the industrial scene know, the cost of packaging for any given product (particularly liquids) usually amounts to several times the manufacturing cost of the product in the container. The costs go up exponentially when dealing with small volumes of packaging. Unless you are dealing with large volume sales, the cost for placing products in containers can easily make it impractical to bring it to market. This results in unnecessarily high costs for companies starting out in business and I believe this is a major reason many small companies are forced out of the market by larger ones.


Any thoughts on how or what can be done by smaller competitors to bring the cost of packaging under control? Coops of small companies in various sectors is one though that comes to mind. Any others?

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Guru
Popular Science - Weaponology - New Member United Kingdom - Member - New Member

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#1

Re: Packaging Costs

10/23/2007 5:58 PM

Good point.

I once explained to my daughter how if you tried to sell thin air, albeit in 10cc boxes...the packaging labelling, storage, transport... not to mention the instructions and CE marking. You'd have to sell it at £3 to make any proffit!

Sorry no ideas other than sell the product to a distributor or big company.

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#2

Re: Packaging Costs

10/23/2007 9:52 PM

I work as the Business Development Manager of a company that specializes in designing and manufacturing automated systems and equipment. I'm currently looking for ideas that may result in us producing our own branded product. Just yesterday I was discussing the problems associated with dispensing medicines in liquid form with an engineer in the medical field. He believes there is a need for pre-packaged or filled dispensers such as syringes containing prescribed volumes. He thought that pharmacies would benefit from a table top machine that filled bottles, syringes, sachets etc with a prescribed amount. Older people or the infirmed would benefit from a pre-filled syringe. I believe there is a company producing a pre-filled sachet with a needle attached that allows the patient to adminster the prescibed dose without having to measure or think about it. Where do you believe the greatest cost is incurred in the packaging of liquids? Is it when it's done manually or the equipment required to do the same?

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Anonymous Poster
#3

Re: Packaging Costs

10/29/2007 12:56 PM

Look under INSLULIN PEN. Not single use, but able to be set to specific dosage many different times. No need to carry a bunch of syringes . Thus, only one package to deal with, although perhaps several removable needle tips.

Very successful in Europe, not quite as adopted in the US.

Steve

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Anonymous Poster
#4

Re: Packaging Costs

11/23/2007 3:05 PM

Coops sounds like a great idea.

Involving a distributor or other middle-man, will increase the cost of your product & make you less competitive. Some could raise the price too much or even harm your company reputation.

What type of product(s)? What quantities to be packaged?

Who are your customers? What kind of transport, local?

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