5 Ways Small Businesses Can Reduce Packaging Costs

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Running a small business is always challenging. In order to make good profit, you need to find ways to reduce various costs.

Packaging is an important part of any product based business and you have to spend a significant amount of money for attractive, distinctive and reliable packaging of your products.

Reduce packaging cost

But there are ways you can save good money from packaging of your products. We made a little research and figured out how some of the really successful small businesses are saving cost when it comes to product packaging.

Here we have 5 useful and amazing ways you can save big and reduce overall packaging costs of your business:

1. Outsource Packages

Making packages of your product can sometime be costlier than just buying it from a packaging supplier. So, before  you buy all the packaging related machinery, tools, and hire workers to make those packaging, look out for various packaging suppliers around your locality and see if you can get any cost advantage by simply making a deal with them.

Chances are, packaging suppliers will be able to offer you very affordable prices. In order to make them say, Yes pretty fast, you can make them an offer to become your packaging supplier for a definite period, say 5 or 10 years.

Outsourcing your packaging is a perfect option when your packaging requirement is not that big. But when you slowly move to large scale production, outsourcing might not be the most ideal option. As you work on growing your business, learn to save cost by outsourcing your packaging.

2. Buy Packaging Materials In Bulk

One of the things that differentiate many self-made billionaires from an average citizen is that they are quick to buy in bulk whatever they use consistently while poor people prefer to buy them daily.

In an interview with Forbes Magazine, billionaire entrepreneur, Mark Cuban said,

I look at my annual budgets for everything and anything, and I look to see where I can save the most money on those items. Saving 30% to 50% buying in bulk – replenishable items from toothpaste to soup, or whatever I use a lot of – is the best guaranteed return on investment you can get anywhere.

Buying in bulk is always a great way to have economies of scale.  Contact various packaging material suppliers and know their best rates for various bulk purchases.

Most of the time, you will get notable difference between the prices of small purchase and bulk purchase. Same thing applies if you want to run a successful e-commerce business that make truckload of money.

3. Get Rid of Unnecessary Layering

Packaging design is an important part of cost effective packaging. If packaging is already costing a lot, chances are your product’s packaging has one or more unnecessary layering. So, consider redesigning your packaging with intention to remove unnecessary layering.

4. Adopt Flexible Packaging

Flexible product packaging is lightweight, easy to store and carry, environmentally-friendly, attractive, and most importantly cost-effective.

Especially if you run a food product-related business, flexible packaging is by far the best option for you. Visit any nearby departmental store, you will find so many products packaged with flexible packaging.

You can simply contact one of the top flexible packaging providers around and make a deal with them for a regular supply of packages for your products.

If your business is getting bigger every day, you can produce flexible packages in your factory as well. Either way, you can save big by adopting flexible packaging.

5. Looks For Ways To Reduce Wastage

Sometimes wastage accounts for a lion’s share of packaging costs. If that is the case with your business, you need to identify the key reasons the waste is being generated.

Once you know the main reason behind the generation of wastage, you can find ways to get rid of that. It may take a while but once you are successfully able to reduce or eliminate wastage in packaging production, you will have a significant cost saving from the packaging.

These are some effective ways you can reduce packaging costs. So, try applying them to your business and make higher profits. If your startup dream team considers the best product packaging method, you are going to save costs.

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Emenike Emmanuel
I am a multiple Award-winning blogger, CEO of Entrepreneur Business Blog, Chief Evangelist of Ebusinessroom Ventures, Lead Coach of The Excellent Entrepreneurs' Network (TEEN) and Convenor of #NaijaSitUp. My business is to help you start, manage and grow a profitable and sustainable business using digital marketing strategies. I have been featured and mentioned on platforms like, BloggingTips, StarterStory, StatusBrew, Realty Times, Emerald TV, SmartBCamp, Blogging from Paradise, Write Worldwide, Enterprise Boom, Atang Magazine, etc. In 2019, my blog won the Best Digital Media Award from AB Afrikpreneur. When you want to hire a professional to handle your online marketing, I'm your go-to-expert you can speak to. In 2019, I won the Blogger of the Year from the Global Excellence in Marketing Awards, USA and my brainchild, EBB won the Best Digital Media Award at the AB Afrikpreneur Awards. You can connect with me on Facebook, Twitter, Instagram, Pinterest and LinkedIn with this handle, @EmenikeNg

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  1. Hello Emenike,

    Great tips over here 🙂

    Indeed packaging requires some investments, sometimes big too. Sometimes people need to apply extra packaging materials
    for the little amount of goods they need to deliver to their customers.

    Buying packaging materials in bulk is a good thing. It can help us to cut down the extra cost for us.
    These are some indeed great tips to reduce the package costing.

    Thanks for the share.


    1. Thanks, Shantanu for your kind words.

      It’s a great pleasure to have you here.

      Enjoy your week.


  2. Hey Emenike
    It’s great post dear, i really impress to read it about small business reduce packaging cost
    i appreciate your effort for explain in good way
    Thank you for sharing

    1. You are welcome, Stacy.

      It’s a great pleasure to have you here.


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