Counterfeiting is a growing problem, no doubt, and it’s not only about expensive bags, perfume and alcohol. This is also very much a concern for the pharmaceutical industry where dodgy imitations slip into the system. Today the situation is the same or worse for all the above categories, and it’s getting nastier…
The forging and faking is breaking new grounds and is sliding down the price curve. Nothing is sacred and there are fake soft drinks to be found, as there is fake olive oil, not to mention fake milk and wine. The other day a production site for fake alcohol was found in the UK. A plant making fake brand-name vodka was raided in Derbyshire. We are especially grateful these imitators were stopped as they were fortifying their product with anti-freeze…
Europol has during the last couple of months been busy coordinating efforts to curb counterfeiters and have as a result seized a staggering 2500 tonnes of fake food products. The damage is not only to the brand name but forged products can be harmful in other ways as well. Obvious when the product is topped up with anti-freeze or similar.
It not easy to spot the real McCoy as the crooks are rather sophisticated. Not all are though, some of the taken vodka bottles were giving it away with obvious spelling mistakes on the label. What to do then if you want to take the risk and go further than to your micro brewed beer and locally produced produce?
The problem needs a good solution and that as fast as possible. A fake can seldom be spotted just by looking at the product. There are many suggested ideas for how we can distinguish the bad apple. It seems to be hard to agree on a standard so it better to find a solution that fits your product category. If it is printed electronics, holographic prints, RFID technology, security ink, product numbering, watermarks or invisible printing. It’s not cheap but the alternative is worse.
You will have to add something to the packaging that is hard to copy to make it more difficult or even impossible to copy. Last week Diageo and Thin Film Electronics presented a “smart bottle” with a printed sensor tag. The tag can be read using a smart phone and will convey any information the producer adds to the tag. The read tag will confirm the origin and of course give other interesting information to the consumer. Brilliant.
This is all new and the tag will be properly introduced next week at the electronics conference in Barcelona. This is good news as we need many solutions to this growing problem spreading across food categories. It doesn’t mean that I will stop supporting my local micro brewer but it will make life easier and safer for the consumers of the world. More ideas to make faking brands harder, please.
I am thinking of the idea of using legislation to control consumer packaging decoration. The power of packaging design has to be restrained to make a product less attractive and hold the consumers back. I am of course referring to tobacco and the ongoing discussions about neutralising the design of the entire category. This says a lot about the power of packaging and of and how graphical design communicates. Australia was first out and this is at present also discussed in Europe.
Tread carefully when making packaging design decisions. Nestlé is in court meeting a producer of coffee capsules made to work with Nespresso machines. The argument is about the design of the capsules and the functionality of the machines. Without going into details, it’s again about the inherent power of packaging to make or break. This time a little bit of diplomacy probably would have smoothed things a bit. Playing with packaging is playing with fire.
People apparently care and react to what they think is not quite right, also when it comes to packaging. Glad Wrap has been forced to rework their new packaging design after an uproar of public backlash from unhappy customers. Their mistake was to move the cutter from the base of the box to inside the lid. Shock horror. The consumers didn’t like the change and let Glad know, they got the message and changed things back to “normal”.
Packaging matters and design is over again proving to be a powerful tool.
There are loads of textbook examples describing successful brand extensions. I would say that the Virgin enterprises of today will serve as a good example of a successful branching out from the original Virgin branded vinyl recordings. Coca-Cola famously extended the brand to include also Diet Coke in 1982 and IKEA is also the number one Swedish exporter of food products.
Artist and designer Peddy Mergui takes the concept of brand extension further than this and to a new level. In an amazing, challenging and also made up series of cleverly designed packaging solutions for famous brands. Famous brands that today are active far away from the here suggested categories.
In a design museum in San Francisco the entire line of exciting and thought provoking packaging was displayed. Peddy gives us his view of what milk from Apple would look like, or a salami from Louis Vuitton and how yogurt from Tiffany could be packed. If you ever wondered what pickles by Gucci would look like, go to the exhibition web site.
A brand is expressed through its packaging and this artist will support us thinking out of the box and straight into the container.
Small scale production seems to always face the same challenge. What to do for packaging? The alternatives are expensive with inflexible conditions and hard to find. That is for starters.
Is 3D printing technology one of the answers? Yes, says Anita Redd who chose to 3D print a unique packaging solution for her product Anita’s Balm. She was having trouble finding a suitable jar and came up with the idea of making one herself. Using 3D technology and a biodegradable material she came up with a unique jar for her product. This gives her product an edge at POS and solves her problem to find a supplier of suitable packaging. As a small scale producer you simply don’t need as many units as the full scale producer.
It might not be for everyone but it will sure be helpful for some.There are no shortcuts for the small scale producer that only needs limited quantities of packaging material. 3D printing is a solution and digital printing is another useful technology for the scale challenged producer. It opens up for personalized packaging or at least unique labels at a reasonable cost.
Packaging should of course deliver value to all involved. But there is obviously packaging with room for improvement. We are so used to rely on corkscrews, can openers and bottle openers that we hardly consider it to be a problem to get in to that kind of bottles and cans. There are “easy-open” solutions to all the above but not all producers use them. Consumers know how to handle the challenge.
Then there are packaging that many find easy to handle but prove to be quite a job for someone with limited strength in hands and arms. Among people over 65 years of age apparently more than 50% have arthritis in some stage. This is definitely hampering a pensioner trying to open, close and pour in an orderly way. As we all know this is a growing cohort, and also one that we all are speeding towards… This fact is a strong driver for new packaging features and solutions to support daily life for OAP’s and others as well.
I think an inspiring example of a simple but great solution is the two-piece screw cap that enables almost anyone to open a glass jar of pickles. The zip-lock is another one that made packaging easy to open and close. And we should not forget to mention the milk carton with a screw cap. Packaging should be for everyone and you should really not need to use a tool to get in to the product.
UK based packaging supplier Essentra conducted last year a survey asking 500 consumers about their packaging experiences. The aim was to identify and understand consumers’ concerns with packaging. To make a long story short, you could say that this is the “Christmas wish list” that came out from the study. The list contains the top 10 packaging solutions that frustrated consumers the most. Or the top 10 packaging issues and opportunities for the industry to address to satisfy consumers and get a commercial edge. Something for Santa?
E-commerce is showing double digit growth year out and year in. We are now on our way into the holiday seasons which will give the trade yet another boost. Clothing and electronics are still the two dominating categories. Food is not quite there, but coming strongly.
Sealed Air recently made the results from an e-commerce study available, obviously with a packaging angle. The study was made in the US but there as here or anywhere the first physical encounter with the buyer/consumer is the packaging.
A staggering 66% of the interviewed also hold the view that “the packaging of their shipment shows them how much the retailer cares about them and their order”. I’m not surprised at all, you position your brand with packaging also in this business.
What is then irritating people the most when it comes to packaging and e-commerce? The top two items coming out of this study are concerning recycling and disposal of packaging. Here is room for improvement and a challenge for the innovative packaging industry.
My opinion is that packaging is just as important for the e-retailers. But today it seems forgotten and an opportunity missed by the e-commerce industry. I was at an e-commerce conference and trade show a few weeks ago. There was only one exhibitor who addressed the packaging issue. It was RePack who are offering a great reusable solution but this is a big and fast growing market and there must be space for more alternatives.
Yes, you are right! It’s the global market for packaging. According to the usually well informed people at Smithers Pira the figure for 2013 is, more precisely, $797bn. This is an amazing number covering everything from Industrial and Transport packaging, 41% of the total, to Cosmetics, 3% of the total value. Or if you look at only consumer packaging the split looks as below.
More than 2 out of 3 produced packaging solutions are destined for the food and beverage industry. The total market grows steadily with 3-4% a year, pretty much following the global GDP development. Almost everything that is produced needs some kind of packaging. To protect, to promote, to support consumption and simply to look nice.