The Covid-19 pandemic exposed something that most businesses have known all along—some supply chains are shoddy at best, and the pandemic merely confirmed this weakness. And it wasn’t just toilet paper that had people up in arms about poor planning and mismanaged supply chain relationships.
Supply chains across nearly every industry were subjected to mass breakdowns through a harrowing combination of clogged ports, lack of a stable workforce, and trucking industry disarray.
Now in 2023, the cost of shipping has reached an all-time high.
According to Cass Freight Index data from 2022, U.S. freight rates increased 28% year over year. And although supply has stabilized since the pandemic breakdown, truck prices have doubled since 2019 and a shortage of truck drivers will keep pressuring freight capacity.
The result is what businesses have always turned to in times of crisis: innovation. From forging better partnerships and automation to lightweight, sustainable packaging materials, here are three ways your packaging strategy can help you outsmart the logistics nightmare.
Managing high customer expectations amid logistics constraints is no small feat, but if you strategize effectively, it can be done. Of course, a lot of that can be managed internally by optimizing operations and processes. But building trusted relationships for the external components is critical to a well-managed supply chain—and that includes your approach to packaging.
The increase in prices has left customers to foot the bill with higher shipping costs, leading as many as 50% to abandon their carts before completing a purchase. With brands desperate for ways to lower the cost of shipping, more are turning to lightweight packaging options.
Corrugated packaging is among the most popular, as it offers businesses a lightweight and sustainable solution that helps reduce shipping costs. This 100% recyclable material is sturdy enough to protect precious cargo while remaining light enough to reduce logistics costs.
Finding a reliable packaging partner who can provide high-quality materials and meet your deadlines is crucial to keeping your business running smoothly. But when it comes to many packaging partners, their own supply chain logistics struggles could throw a wrench in their ability to help you meet your logistics goals.
That’s why it’s so important to do your research and find a packaging partner that can guarantee access to the right materials and ensure timely deliveries. In addition, look for packaging partners with more control over their supply chain and complete supply chain visibility so you can track orders from production to delivery.
Once you’ve chosen the right packaging partner, it’s time to implement your new packaging strategy. Test out different approaches to see what works best for your business and track results in real time.
When it comes to shipping logistics, data is key—and the more you collect, the better.
Monitor logistics performance indicators to track logistics costs, such as delivery time window success rates and customer experience ratings.
By implementing these strategies, brands can beat the logistics nightmare and regain control over their supply chains—all while delivering excellent customer experiences at a lower cost.
At BCI, we’re constantly evaluating and improving our project development and manufacturing capabilities while optimizing fulfillment services to reduce production time for our clients.
In 2014 BCI entered into its first joint venture in a sheet feeder plant—a corrugating plant that only produces corrugated sheets. This gave us more control over access to the sheets we need to produce products.
Since then, we’ve become involved with four more sheet feeder joint ventures, with a total of five. So what does all this mean for BCI’s partners?
With control over the sheet feeders, BCI is ready to ship orders on time regardless of supply chain breakdowns or market conditions. That means no more delays in getting orders out the door.
With our state-of-the-art facilities and commitment to excellence, BCI provides the best possible service to all of our clients. If you’re looking for a partner who can help you with your corrugated packaging needs, look no further than BCI. Explore how BCI can help you get the most out of your production process today.