How Important is Packaging for An E-Commerce Business?

For E-commerce, the cardboard boxes are just not a mode of packaging but also helps in branding and making a brand popular.

The global pandemic forced people to shop at home, leading to an increase of online retail sales from 16% to 19% in 2020, according to the estimates by UNCTAD report. As per another report by UNRIC, online retail sales grew significantly in some countries with Republic of Korea having the highest share of 25.9% in 2020, up from 20.8 in 2019. The global E-commerce sales, amid these trying times, grew to a whopping $26.7trillion in 2019, 4% from 2018.

And almost 90% of these E-commerce orders are being shipped in parcel boxes.

The Most Important Role Played by Packaging

Most of us enjoy a hearty laugh when we read stories or experience ourselves how tiny E-commerce orders are often sent in large boxes. Many too, experience bruised or damaged products. While most of the times the packages are deliver-ed properly, sometimes it may happen that they reach the customers damaged, which creates a huge negative effect on their shopping experience. And this, can lead E-commerce sellers to lose their customers/potential customers. So, in short, the arrival of a package creates the first experience.

E-Commerce Packaging Facts That Talk About the Importance of The Right Packaging

With the boom in shopping from E-commerce retails, more attention is being paid to the packaging and branding. And, this has resulted to a number of findings.

Just as it takes 8.2 seconds to fall in love (as they say), consumers form their impression of a brand (and conclusion too) in the first 7 seconds. It becomes very difficult to change afterwards.

It has been se-en that the percent of consumers finding packaging important (10%) is almost same as the business-owners themselves.

Statistics show that approximately 90% of all products in the UK as well as US are sent in cardboard boxes with some descriptions written on them.

Another thing that hampers the sales (by almost 40%) is a slow shipping time, which are often influenc-ed by the packing processes which happen to be slow too.

Want to increase the average order value of customers by almost 30% more? Try to include (absorb) the shipping and packaging costs to offer free delivery.

Packaging is Almost as Important to Branding

Statistics have shown that nearly the same number of people think that the packaging is as important as the branding.

An E-commerce packaging sometimes introduces the brand, and plays an important role by implying about the business and products that the business offers. Apple has a great packaging which is sturdy, gives an overview of the model inside, and is aesthetically pleasing, which matches with their brand values and position of the brand within the market.

A Good Packaging Helps in Retaining the Interest of Customers

It has been seen those businesses, mostly online, who spend time on proper packaging can see as much as 30% more interest from buyers. But there is no solid proof that this happens only due to successful packaging. This may be because of a number of reasons.

A customer receiving his order in a gorgeous, striking package is more likely to tell their friends and family about your brand and obviously, the moving boxes and may even retain the empty package just as it is.

Shipping in Cardboard Boxes

Nearly most products are shipp-ed in plain, boring cardboard boxes. If a businessowner wishes to position themselves in the market, customised branding of the packaging boxes is requir-ed. If you are still using the usual, brown E-commerce packages. Then you are probably missing out on the chance of making a mark. A branded box will rather help you in develop your brand and add a real value to your products.

To sum up the importance of E-commerce packaging, we can say that while it is often overlook-ed. The parcel boxes for your products actually have the potential to increase your sales, establish yourself as a brand and drive customer loyalty. And all of these would make a significant mark on your business. So, if you are planning to set up a new business or have an already existing one, but send products in those simple cardboard boxes, it’s time you think about a makeover.

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