Why Packaging Can Make Or Break Your Business

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  1. Why Packaging Can Make Or Break Your Business Cards
  2. Why Packaging Can Make Or Break Your Businesses
By: phase1

What comes to mind when you think of marketing? If you’re like many, your mind drifts to television commercials, radio spots and online ads. While many marketing plans do include those things, marketing actually involves more. In fact, marketing involves everything necessary to sell a product, including the product’s packaging.

What Is Product Packaging?


In its basic form, product packaging is simply what its name implies — the manner in which an item is wrapped, boxed or bagged before it’s sold. Some items, such as food products, are packaged a certain way for safety reasons. Other items are packaged in a way that’s specifically designed to relay information to consumers.

  • Your branding, and packaging design specifically, can either make you or break you in a retail environment. To avoid collecting dust on the shelf, here are five must-dos when creating a package.
  • Although colorful packaging can help your products grab the attention of shoppers, your packaging is useful for other marketing and general purposes. It can help you establish a price point for your food products, for instance. Consumers make assumptions about a product’s desirability and perceived value based on how it’s packaged.

To understand how much meaning a brand can carry is to understand how it can make or break your business. The Importance of Branding. A brand is a business’s livelihood. No matter how close minded a business owner may be, it is undeniable that he or she needs to have a brand associated with their business or product.

If you look at product packaging in the context of marketing, it’s more than a way to keep products safe and share information. Product packaging is the process of designing, producing and using packaging to both package and sell products. When you view product packaging in this light, it’s easy to see that packaging is a big part of marketing that can heavily influence sales.

Packaging Effects on Business

According to the authors of Essentials of Marketing, product packaging has four marketing purposes, including:

  • Containing and protecting a product
  • Promoting the product it contains
  • Helping consumers use the product
  • Facilitating recycling and minimizing damage to the environment

While the functions outlined above are certainly important, successful product packaging does even more. Product packaging represents your brand and image, delivers your sales message, develops goodwill and shows consumers you share their values. It also provides product details such as nutritional information. Packaging makes your products stand out on stores shelves as well.

Why Packaging Can Make Or Break Your Business

Have you asked yourself the following question: “Why is my product failing?” The answer may be because your packaging is failing to deliver on its full marketing potential. If you doubt that the way your product is packaged influences sales, consider this — a study published in Psychology & Marketing showed that attractive packaging stimulates activity in areas of the brain that are associated with rewards, while unattractive packaging generates activity in areas related to negative emotions. Because emotions are intertwined with buying decisions, it’s easy to see that poor packaging can lead to lost sales and revenue.

How to Change a Product Package

If your product packaging is costing you sales, it’s time to make some changes. In other words, your packaging has to deliver what the consumers in your target market want it to.

While the demands of your niche market may vary, here are a few things that many consumers want product packaging to have:

  • Relevant Information: When you’re creating a new packaging design, you need to ensure the end result will deliver relevant information clearly and simply. This will help shoppers identify your product and brand and make it easier for them to find your product on store shelves.
  • Practicality: Consumers want packaging that’s practical to use. Whether your packaging is resealable or it can be used for storage once your product is consumed, shoppers want packaging that fits their lifestyle.
  • Green Packaging: With lifestyles in mind, remember that a lot of consumers are looking for green packaging they can either recycle or repurpose.

Prototype Packaging: A New Package

Why Packaging Can Make Or Break Your Business Cards

Developing a new product package is easy when you work with Phase 1 Prototypes. For more than 10 years, we’ve helped businesses in various industries develop new packages for their products. Once we receive your final design, we’ll make prototypes you can test with focus groups to make sure your new packages realize their full marketing potential.

We don’t require our valued clients to order a set minimum of prototypes like some of our competitors do. You can order 500 units or less when you work with us. This flexibility keeps your costs low as you’re creating a new packaging design.

To learn more about our services, contact Phase 1 Prototypes today.


When planning to start a new business, one of the first things to consider is where to launch it. Location, after all, is one of ‘The 5 Critical Elements to Make Your Business a Smashing Success’ — and for good reason. It can very well spell the difference between success or failure, and here are five considerations to show you why:

Access to the Right Talent

The geographic location of any company is important in attracting and retaining the right workforce for your business. For instance, it was a driving factor for Jeff Bezos to locate his second Amazon headquarters in Northern Virginia. The region was revealed to have the largest concentration of STEM (science, technology, engineering, math) workers in the country, and ranked as the top state for education, alongside Massachusetts. So, when deciding on your own business location, do some research on the current and future trends in the employment landscape in the area, and see how it can benefit your specific industry.

Business Requirements and Regulations

In choosing a business location, you’ll have to compare different state requirements and regulations, and determine which one would be the most favorable for your business. For instance, states like New Mexico, Delaware, and Wyoming don’t require new LLCs to submit the names of their members upon registration, which means they can be very good choices for those who want a little more privacy. Other states, meanwhile, can have extra requirements when registering. Case in point: The New York LLC publication requirement means that new businesses must publish a copy of their articles of organization in two separate newspapers within 120 days of registering. Although very much doable, it’s an extra cost that entrepreneurs must account for in the early days.

In terms of tax laws, Wyoming and South Dakota are the most tax-friendly states for businesses, as they have no individual income tax, corporate income tax, and gross receipts tax. Meanwhile, New Jersey is the worst state in terms of taxes, with the highest individual income tax rate in the country, along with high corporate, sales, and property taxes.

Cost of Living and Doing Business

A huge factor in choosing the right business location is its affordability. Real estate costs are the second largest expense for businesses, right after labor costs. Cities like New York and San Francisco are known for their expensive rent and food, so many entrepreneurs avoid settling down there if they can. Speaking to the Council for Community and Economic Research’s Cost of Living Index can help determine the most affordable states in terms of essential needs and real estate costs. For example, among the least expensive states in terms of housing, utilities, groceries, transportation, and healthcare are Arkansas and Texas.

Brand Visibility

Location can also influence the ability of a business to market itself and what competition it may face. For example, choosing a business address in Manhattan can change the perception of your business, as you’ll be able to tie your brand with the financial success and high growth commonly associated with the area. However, other key considerations like affordability and tax laws must be considered, too. So, it’s up to you and your financial plan to weigh up which factor will favor your business more.

Access to the Right Suppliers

Depending on the nature of your business, access to the best suppliers in terms of price and quality is another factor to consider when choosing the right location. Speed of delivery can have a huge impact on the productivity of your operations. This is why even though real estate and cost of living can be cheaper in smaller towns or cities, not every business is lining up to start operations there. The closer you are to the right suppliers, the faster your products and services can reach your intended markets — and the better it will be overall for you.

Why Packaging Can Make Or Break Your Businesses

Auto animate adobe xd. All in all, choosing the right location for your business depends on finding the right balance among these five factors. If some of them are conflicting, decide on which ones are more important to you and your business, and which disadvantages you can live with.