The packaging supply chain is ‘old fashioned’ and ‘inefficient’ according to UK ecommerce firms surveyed in Sourceful’s Solving the Packaging Puzzle study.
The study also found that a ‘typical’ UK ecommerce firm spends £1m-a-year on packaging and employs between one and six people in the packaging supply chain. It also revealed that ecommerce firms each absorb wastage of around £150,000 per year through late shipments, damaged goods and poor-quality product.
Another significant challenge identified in the report was the need to deliver sustainable packaging products. For 57% of firms, reducing packaging waste and increasing sustainability is one of their top priorities. Buyers said that this is largely a trend driven by consumers demanding more eco-friendly materials. Over half of businesses said that a key need is to strengthen relationships with suppliers who they rely on to inform sustainable decision making.
Close to half of the industry agrees the packaging supply chain is old fashioned, with 56% of ecommerce start-ups holding this view. One-in-four…