To calculate Cost Savings from Bundle Wrapping vs Case Packing, you need to know more about your intermediate packaging costs.
Bundle wrapping offers tremendous potential to reduce waste and improve profitability.
Most consumer goods companies put their retail ready products into chipboard or corrugate boxes for shipment to stores and warehouses. These boxes are put on pallets and stretch wrapped to secure them prior to shipment. Retailers and wholesalers as well as big box stores are increasingly concerned about the amount of material for recycling this generates. They are putting pressure on manufacturers to reduce the amount of intermediate packaging.
Simply reducing intermediate packaging brings savings to the manufacturer in reduced costs, but also to retailers in reduced waste disposal/recycling.
Chipboard box
Bundle wrap offers an alternative to chipboard boxes, which are used inside of corrugate boxes for smaller items. Eliminating the chipboard boxes reduces the weight of the shipment and the size of the corrugate box. It also reduces the overall dimensions required for the corrugate box.
Savings come from
- price difference between film or kraft paper and chipboard
- weight reduction in transport costs from chipboard reduction or elimination
Corrugate Box
Because the ILW bundle wrapping machine can handle large sizes and collate larger shelf ready packages, there is an opportunity to reduce use of corrugate boxes.
Savings come from
- price difference between film or paper and corrugate
- weight reduction in transport
- more room on the pallet for product
Partially offsetting some of these savings can be the need to evaluate the strength of the shelf ready package when bundled or the choice to provide corner structures on pallets to protect contents. However the savings can be considerable.
Package Machinery offers options for small bundle creation with its FA-ST overwrapper and for larger bundles with its ILW bundle wrapping machine.
Call us at 413.732.4000 or email sales@packagemachinery.com to get the latest savings calculations.