Introduction
In recent years, the prices of cardboard boxes have soared exponentially. According to stats, the prices have increased 4 times and it is continuing to rise. People who are doing online business have seen the impact of these rising prices, but the questions are, why cardboard boxes are getting expensive? What are the reasons? And what can we do to reduce the cost of cardboard prices? Let’s talk about this in this blog.
Why Cardboard Box Prices Have Continued to Rise in Recent Years
If we compare the prices of cardboard in 2021 to this point, the prices have witnessed a rise of more than 100 percent. This increase is well enough to grab the attention of product sellers, and manufacturers.
We can say that COVID-19 is the main reason because it disturbed all markets, leading to an increase in prices. Secondly, cellulose products like paper bags, tissues, and paper towels have also created a demand for cellulose fiber. Lastly, since 2021, the world has shifted towards a digitized world, and the e-commerce industry has witnessed a boom because of that, the prices of cardboard boxes have increased the meet the demand.
Reasons for the High Cost of Cardboard Boxes
The year of 2024 is becoming a game-changer for many industries. The prices of cardboard boxes may change this year due to trends, market volatility, and regional parameters.
Apart from those, here is the information about the reasons that could potentially impact the prices of cardboard boxes.
Raw Material Costs
One of the first and most important reasons for price increases is the cost of raw materials. Cardboard boxes are made from paper pulp. Producing paper pulp is an extensive and expensive process. The production of pulp production can be affected due to many reasons such as environmental change and deforestation. This impacts the prices of raw materials, hence affecting the prices of cardboard.
Production/Manufacturing Costs
In the above section, we talked about the production of pulp and how costly it is. Moving forward, the production of cardboard boxes itself is an expensive process. The steps include pressing, forming, and cutting. To achieve such processes, machines, labor, and energy are required. Altogether, this increases the prices.
Supply and Demand
Supply and demand is another factor contributing to the surge in cardboard prices. The demand for paper pulp is increasing day by day because it is used in a variety of products. If the demand is not met, the supply is affected. This leads to an increase in the prices.
Rules and Regulations
The latest world is concerned about the environment and is adopting the use of recycled or eco-friendly packaging to reduce environmental waste. This is not by choice. Governmental bodies are pushing this agenda to reach net zero emissions. Moreover, the institutions are also changing the regulations of cutting down trees to save forests.
This is resulting in manufacturers practicing new technologies and using more eco-friendly solutions to comply with these rules. This is increasing the prices of cardboard.
Transportation Costs
Transport charges are also affecting the prices of cardboard prices. The price of moving cardboard boxes from the supplier to the customer has significantly increased because of the surge in fuel prices. Since the customer has to bear these charges, the overall prices of boxes increase.
Customizable Solutions
If you are an e-commerce business owner, obviously, you want to make an impression among your user base. And, the best way to do that is by creating your own custom boxes. Well, this customization increases the price because a special die is designed, colors are selected, and tools are used to create custom boxes.
How to Reduce the Cost of Using Cardboard Boxes – Tricks and Tips
If you have a business that has a wide range of catalog of products, then creating customizable boxes will be economical for you. However, if not, then here are the tips to reduce the costs of using cardboard boxes.
Evaluate Your Requirements
The first tip to reduce the cost is to evaluate the requirements for your product. There is no need to create irregular designs because that leads to raw material wastage. Moreover, when selecting the size of the box, ensure that it meets your product dimensions so that no extra material is used. That will not only give a snug fit but also save the product during travel and shipping.
Follow Unique Design but Keep it Simple
Always try to go for a box that has a unique design, and is simple. Consider using straight packaging because no extra tools will be required to make that. Go for simple yet minimalistic printing. This will exponentially decrease the production prices, making it economically suitable for your business needs.
Choose Specific Customizable Options
Choosing limited customizable options is a good way to reduce the prices of cardboard boxes. For example, if you are selling luxury watches, then you have to choose tailor-made luxury packaging. If not, then going for high-end packing is not for you. The idea is to select custom options that represent your product’s mission.
Emphasize Reusability and Recycling
Leveraging the use of recycled cardboard boxes is an excellent way of reducing the prices due to the fact that their production costs less than the recycled ones. This is a win-win situation because it will lower the costs as well as pollution.
Always Buy in Bulk
Many suppliers out there offer discounts if you buy cardboard boxes in bulk. Since it depends on minimum order quantity (MOQ), the more the quantity, the lower the price. So, try to get boxes in bulk quantities.
Consider Alternative Packaging
Different types of packaging are available that can help you lower your costs. For instance, bubble wrap, polystyrene, and folding cartons are perfect alternatives to cardboard boxes.
Conclusion
Cardboard box are important for business because this are the first thing your customers will see. The right box makes a good impression. But, we know that the prices of cardboard boxes are increasing day by day. And, they will continue to rise because of the factors such as material supply, demand, customization, transport charges, and regulations. However, you can lower the costs by using the tips that have been given above.
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