How Package Sourcing is Changing . . .

Many of us can agree that there is always something new, particularly in the realm of technology. Over the past five years, we've observed a shift in sourcing practices. The vast amount of data available online has transformed procurement processes. Prior to the internet, we depended on representatives from manufacturers, converters, and distributors to provide literature and consult on issues. Recent surveys show that buyers now prefer online research as their initial step in sourcing. Most buyers select products without consulting a company representative. Manufacturers have invested millions in enhancing their websites with rich content.

What do these changes mean for individuals responsible for procuring product packaging? Designers, buyers, and executives need to be knowledgeable about internet research and the different purchasing channels. Anyone who has tried to find packaging suppliers online knows there are thousands of websites claiming to meet all your needs. In reality, this is seldom true. The reason is that some manufacturers only sell directly to customers. If you need their product, you must purchase it from them, and they may not offer other products. Purchasing through a distributor will cost 20% to 40% more due to warehousing in a local facility. This might be sensible for certain items, but rarely for all your requirements.

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