In an unboxing check, Arvato Supply Chain Solutions analysed the packaging of fashion and beauty products in online retail. The result: there are similarities and differences in both sectors - and a need to catch up in terms of sustainability.
Packaging is an essential part of the customer journey for brand manufacturers. As the usual presentation of goods is no longer necessary when buying online, the Packaging actively acts as a link between the physical and digital shopping worlds can be used. The aim is to influence the brand image and the purchase decision as soon as the parcel is opened. This applies in particular to the Fashion and beauty industrythat offers customers highly emotional products. In addition to the important image and protective function, however, the packaging must not be too expensive.
Fifty test orders for the unboxing check
How do online retailers take customer satisfaction into account in this area of conflict? The eCommerce Competence Centre from Arvato Supply Chain Solutions in an unboxing check current packaging trends identified. For this unboxing check, 50 test orders were placed with online shops from the fashion and beauty industry. Their packaging, the accompanying customer communication on and in the parcel and the returns process were then analysed.
It turned out that both sectors make a clear distinction in the choice of packaging type. While 59 per cent of fashion suppliers use bags for shipping, boxes are the first choice in the beauty segment. This is not a question of price, but mainly due to the different product characteristics. Liquids or fragile goods need to be better protected than textiles.
"On the other hand, there is unanimity when it comes to branding. The majority of companies brand their packaging with logos and slogans and let it shine in the company colours. The cardboard packaging in the beauty sector often looks inconspicuous from the outside and only reveals its true beauty when opened." Franziska Kier, Senior Consultant at the eCommerce Competence Centre and author of the study
Many companies also use packaging to address customers directly. So the Placement of social media icons or apps for download are not uncommon. Newcomers in particular are increasingly using these means of communication. Another aspect that should not be neglected, according to the study, is the the convenience of packaging solutions. However, many companies still have a lot of room for improvement in this area.
Only half of online retailers offer opening aids
The packaging itself should added value for the consumer for example through easy opening, resealability or minimising the amount of packaging waste to be disposed of. Only 52 per cent of the companies surveyed rely on perforated packagingto make it easier for the customer to open the carton. The trend towards greater sustainability is also only partially perceptible in e-commerce packaging.
"Even though the topic of sustainability has received more attention again since the Fridays for Future movement at the latest, there is still a lot of catching up to do in this area: although many companies already use sustainable packaging materials and communicate this clearly, only 15 per cent of end customers can consciously decide against additional tissue paper, plastic or used cardboard." Franziska Kier
Since the customer experience does not end with the delivery of the goods, it should also be important for online retailers to Simple and uncomplicated returns processes offer. In addition to resealable packaging, this also includes the uncomplicated provision of return labels and free return options. Here are Fashion companies the clear test winners. Not only do almost two thirds of providers already provide the returns label in the parcel, 95 per cent of them also bear the costs of a return.
Beauty companies, on the other hand, win customers over with product samples, which customers can often even select themselves. In addition, there are value-added services such as gift packaging, which, however, are associated with higher logistics costs and are therefore rarely available without additional costs.
Creative packaging ideas from around the world
In the study "Packaging trends in online retail", the eCommerce Competence Centre at Arvato Supply Chain Solutions also took a close look at creative packaging ideas from around the world and the impact of the marketplace business on packaging. A detailed calculation example, which compares the impact of bag shipping based on CO2 emissions, also sheds light on the topic of sustainability and highlights its complexity.
The complete study is available for download.
Source: Arvato Supply Chain Solutions