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Corrugated Material and Freight Cost Reduction

Realized a $2,058,306 annual reduction in packaging material and freight savings, 32% reduction in master carton cost and 16% more product per pallet.

Client Needs:

A large diaper manufacturer wanted to identify ways to reduce packaging material and freight costs. The project included optimizing the corrugated master cartons for 39 packaging SKUs. The optimized package design lowered material and freight costs by millions of dollars per year.

Project Plan:

  1. Complete onsite visit to all domestic manufacturing facilities
  2. Review current packaging process
  3. Create optimized packaging designs, specifications, and samples
  4. Complete transit testing at a testing lab, line trials and ship tests
  5. Send packaging specifications to six corrugated manufacturers for pricing
  6. Build financial analysis comparing current packaging to optimized package design

Optimized Package Statistics:

Shipping:

  • 16% more product per pallet
  • 662 fewer trailer loads annually
  • 109,000 gallons of diesel reduction

Packaging Material Cost Savings:

  • 32% reduction in master carton cost

Total Cost Savings:

  • $2,058,306 annual reduction in packaging material and freight savings
Learn more about the packaging optimization services BoldtSmith Packaging offers.

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