08/19/2024 | Press release | Distributed by Public on 08/19/2024 09:23
Electronic commerce (e-commerce) is an entirely different beast than traditional retail. From marketing and advertising to the shopping and purchasing experience to logistics and delivery, e-commerce requires a unique approach.
Packaging used in e-commerce is no different, as boxes and envelopes are both the vessels for carrying products safely and the "storefront," or first physical manifestation, of the brand to the consumer. This blog explores solutions for the unique challenges that manufacturers of e-commerce packaging face as they navigate trends. Here, we'll answer the following questions:
In e-commerce, products are often shipped individually instead of en masse. This means that the systems traditionally used to keep products safe in transit, like carefully loaded pallets, are no longer available. When e-commerce first took off, companies would put products in whatever size box was necessary to keep them safe. This became unpopular quickly with consumers, who didn't appreciate the large amounts of packaging they received with each purchase.
The solution, right-sizing, is to make a unique package for each product. Right-sizing protects products, satisfies consumers tired of excessive packaging, optimizes space during shipping and storage, and reduces material waste. It's a solution that is not only good for business but also good for the environment.
Right-sizing is done at scale through machines that use 3D scanning to automatically evaluate how large a package must be and then create that package. This is also known as on-demand packaging. Adhesive solutions for on-demand packaging have the challenge of bonding different substrates at different speeds to meet a variety of requirements.
To meet these challenges, H.B. Fuller works directly with e-commerce packaging providers to develop customized adhesives for each scenario. The end goal is a functional package that also protects the goods inside. H.B. Fuller's Tania Montesi, Global E-Commerce Manager, explains:
"There are all these technical requirements from the machine. But at the end of the day, we've got to make sure our adhesives keep that box tightly sealed, regardless of temperature ranges and regardless of where that box will be shipped-we test for climate conditions as well."
Unboxing videos, where people record themselves opening a package, received over a billion views in 2021. This trend doubles as entertainment and a source of purchasing information. It also highlights how e-commerce packaging design and quality are integral to a positive customer experience.
In addition to being beautifully designed, e-commerce packaging must be easy to open and easy to recycle, and the product must arrive when expected (Figure 1).
Figure 1. Trends in consumer expectations for e-commerce packaging
Well-designed packaging is key to meeting consumer expectations. At the heart of packaging design are the adhesives used to hold the package together. H.B. Fuller developed a suite of adhesives to meet the challenges unique to e-commerce packaging. Adhesive solutions include Open Sesame® tear tape, which allows customers to open the packaging without reaching for scissors or getting out their box cutter, and Close Sesame® and Swift®melt solutions for easy returns.
In addition to developing off-the-shelf adhesives, H.B. Fuller experts work with e-commerce packaging companies to create customized solutions to meet their specific needs. In fact, the majority (around 75%) of products in H.B. Fuller's e-commerce adhesives portfolio are custom-made. A sampling of the consulting services H.B. Fuller offers include:
Sustainability in e-commerce packaging is no longer a trend-it's becoming a standard. This is especially true in countries that belong to the European Union (EU), which has recently adopted measures to reduce unnecessary empty space in packaging and limit plastic packaging. One of the upcoming measures mandates all packaging be recyclable according to strict criteria.
In the United States, legislation around extended producer responsibility (EPR) is expected to grow in coming years. EPR legislation refers to rules that help companies be stewards of the material they introduce into the market. The goal is not to punish companies but to encourage innovation and more sustainable thinking. Currently, only a handful of states-Maine, Oregon, Colorado, and California-have EPR laws for packaging. However, more states are introducing EPR each year.
As EPR legislation grows in the US and legislation comes into effect for EU members, companies can take action by measuring their current plastic output and adopting innovative, environmentally friendly packaging solutions. H.B. Fuller developed the Earthic™ line of packaging adhesives to help customers and industry partners meet sustainability goals.
"Sustainability is not going to come and go; it's about re-designing the way things are. We are seeing our most innovative products around fiber-based packaging and recyclability coming from countries with sustainability legislation." -Tania Montesi, H.B. Fuller Global E-Commerce Manager
E-commerce companies gain a competitive advantage by partnering with companies actively developing new products and anticipating trends. H.B. Fuller works to stay ahead of trends by surveying consumers of e-commerce products about their expectations for packaging. The answers to consumer surveys help the H.B. Fuller team understand what consumers are not getting and what they are looking for, and then they develop products to meet those needs.
Although many of the paper-based mailers used in EU countries are made of recyclable material, the tear tape used to close them was not. It was a bright red color, which consumers instantly recognized as unrecyclable. This seemingly small detail could negatively impact a brand's reputation as a sustainable company.
H.B. Fuller developed a line of recyclable fiber-based tear tapes that improve fiber yield during the repulping process. E-commerce packaging companies using the fiber-based tear tape on their mailers can meet upcoming legislation on packaging recyclability and eliminate the red tear tape that previously alienated consumers.
E-commerce products must arrive at consumers' doorsteps in pristine condition, especially when they are susceptible to damage by moisture or other environmental factors during shipping. For example, a cashmere sweater or smartwatch needs extra protection to remain safe during shipping and handling.
Typically, non-recyclable polyethylene coatings or inserts like bubble wrap are used to protect goods. However, H.B. Fuller developed Advantra® Earthic™ water-based barrier coating that has the same protective benefits as plastic, in terms of its ability to repel moisture, while being recyclable.
Although e-commerce growth has slowed since its swift rise during the pandemic, it is expected to remain a huge force in the retail sector. In fact, global retail e-commerce sales are expected to grow by 39% in the coming years. To remain competitive, e-commerce companies must continue to listen to consumers, anticipate changes, and, with the right partners, incorporate new processes and materials.
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