PACKAGING AND LABELLING
INTRODUCTION
Packaging can be defined as an art, science and technology of preparing goods for transport and sale. Packaging as an industry has two sectors – those who prepare the packaging material and those who convert these materials into packages. New packaging materials are fast replacing the old ones. A good packaging conveys the quality of the product: which is distinct from the value of the product. Attractive packaging is an also an efficient point of purchase (POP), and stimulates publicity for sales. It has been observed that packaging is an important advertising means helping in carrying messages from the marketer to the consumer. Packaging as a function has two separate dimensions – the physical aspects related to the science and technology and the behavioral aspect related to the art of product design associated with buyer behavior.
PACKAGING CONCEPT
In most cases, marketers define packages as the fifth ‘P’ of marketing. It provides an enhanced value to the product and there are three levels of material for package:
A. A primary package
B. A secondary package
C. The transportation package
Packaging may be ‘primary’ which refers to the product’s immediate container, such as the PET bottle, tetra pack, can or a box: or secondary, which refers to additional layers of protection that are removed once the product is ready such as the tube of shaving cream, which is covered in a card board box or a glass bottle covered in card board box.
The different levels of packaging, type and importance would vary with the nature of product, whether FMCG, durable consumables, industrial and liquid product. It would also differ on the distance over which it has to be transported. It should be regarded as one of the important requirements for a manufactured product. The quality control of a product would be meaningless if the package designed to carry the product from the factory to the ultimate consumer is not adequate.
ROLE OF PACKAGING
Packaging is an important element in the formulation of the marketing plan as it aids with promotion & performs the role of passive salesman, in addition to protecting the product. In the absence of salesman, the package should be able to grab the eyeballs of the buyers. Good packaging may lead to improved consumer acceptance.
The product package has an important promotional function, establishing meaningful communication with the consumer. Designing the product package according to changing customer preferences and attitudes will enable the marketers to push the product. Consumer packaging is also intended to offer better convenience to the consumer and protect the product from pilferage and damage. It has been estimated that unit value realization can increase with good packaging.
IMPORTANCE OF PACKAGING
Initially Packaging was considered a production-related function and activity. While in the current context packaging has completely changed due to competition. New developments in packaging, have forced marketing managers to focus on packaging design. The following aspects highlight significance of packaging in marketing:
• It provides information about the product
• It helps in identifying brand name
• It assists in protecting the product
• It helps in product handling
• It aids in promoting the product
• It helps in offering customer convenience and satisfaction
• It helps increase in the sales of the product.
• It adds to the use of a product.
• It contributes to the safety of a product.
• It helps in storage of the product
• It helps in product differentiation
PACKAGING DECISIONS
Packaging is an important component of a product as an attractive pack is the most important factor in impulse purchases. The basic functions of a pack are to attract the potential customer’s attention, protect the product that is packed and reveal its identity. It is an essential tool for two categories of people – first, end-users of a product: and second, retailers. The material used may vary from metal to paper to plastic etc. The useful packaging decisions include:
1. Packaging design: It is not easy to design a package for various items. For example, all ‘Hand wash’ come in bottles, but different brands of hand wash differ in their packaging. The high costs of packaging lead to bringing out refill packs too.
2. Attractive Color: Colour plays an important role for determining customer acceptance or rejection of a product. The use of bright colours in packaging also assists marketers, reap huge advantage. Packaging colour should be attractive so that it may aid in promoting sales.
3. Packaging the product line. A company must decide whether to develop a family or similar kind of the packaging of its several products. It involves the use of identical packages for all products or the use of packages with some common feature.
FUNCTIONS OF PACKAGING
Packaging should perform the following basic functions:
1. Protection: The basic function is to protect the products from the vagaries of weather the product can be exposed to, in transit from the manufacturer’s plant to the retailer’s shelves and issues related to handling the product while on display on the shelves.
The reasons for protection for products through packaging are:
• Control pilferage during transit or storage
• Prevent the absorption of moisture
• Avoid breakage/damage due to rough mechanical or manual handling during transit.
• Protect liquid from evaporation.
2. Appeal
The emergences of self-service outlets have forced manufacturers to have attractive packaging. The following characteristics have been identified to help a package perform the self-selling tasks:
• It helps in attracting attention of the customer
• It helps to enhance the product image
• It helps in the product looking and hygienic
2. Performance
This is the third function of a package. It should perform the task for which it is designed.Bottled water has been introduced in 500 ml to 20 litres bottles. The purpose and place of use is the deciding factor in the purchase of various packs. A package must be made to consistent and rigid quality standards as the consumer demands uniformity each time he purchases a product.
3. Packaging for convenience
It provides convenience to distribution channel members, such as wholesalers, retailers and consumers. The convenience will relate to handling and stocking of packages. It helps in the following ways:
• The package must be convenient to stock
• The package must be convenient to display
• The package must not waste shelf-space.
• The package can be easily carried.
• It should be easy to dispose off.
4. Cost-effectiveness
The package finally must be cost-effective. Packaging cost as a percentage of product cost differs from one industry to another. It is essential to understand that while analyzing packaging costs, the other costs like handling, storage, insurance and transit costs are also added.
QUALITIES OF GOOD PACKAGING
• Attractive appearance
• Convenient for storage and display
• Shield against damage or pilferage
• Product description displayed on the package
• Package should be as per the specifications
Please click on below link to download CBSE Class 12 Marketing Packaging and Labelling Notes
