The Category in Brief
This category, a necessary complement to Corrugated Supplies, includes all of the “other things” companies need to ship products out the door. It is a catch-all of high-volume, but non-strategic purchased items, including:
- Tapes and Films
- Corrugated Boxes
- Bubble Wrap
- Twist Ties
- Protective packaging
- Banding Materials
The Challenges for Buyers
This category, like Industrial Supplies is often managed by operational staff, users of materials, or as a minor nuisance item for procurement personnel. The category is dominated by a small number of very large players whose policies:
- Make margin management very difficult. Margin creep is difficult to spot, and price increases are non-negotiable.
- Supply logo trade gifts (Twins, Vikings, Packers, etc.) in each shipment to ensure buyer loyalty and larger average order size.
- Do not allow for large group leveraged purchasing, which would allow mid-size customers to buy as aggressively as their largest competitors.
Most companies are focused on supplies, not solutions. An understanding of alternative materials and sources in this category is crucial. Optimized solutions result in less wasted material, less shipping damage and lower costs.
The PurchasingDept Can Help
Optimized solutions result in less wasted material, less shipping damage and lower costs. We have partnered with leading national suppliers of Packaging and Shipping Supplies to give our members better choices at better prices. Our contracts have saved members between 10-30% on their expenditures in this category. Some of the features of our partnerships include:
- Competitive Large Account negotiated pricing.
- Lean Management of order/re-order of supplies
- Comprehensive process, product and spending analysis