Tag Archives: packaging

How Important is Packaging?

There are many different factors that can influence consumers’ product selection. One of the most important is the way a product is packaged and labeled – the way a product is packaged/labeled immediately provides information to the buyer. Some packaging is very complex and busy, while others may be simpler in nature. A recent study conducted by Texas Christian University examined the trend towards minimalist packaging and how design influences consumer perceptions about products at grocery stores.

The results of the study showed that minimalistic packaging (fewer colors, word, and neutral boxes) leads consumers to believe that those products contain fewer ingredients, and thus are more pure. However, the reverse is true when considering generic or store brands. For those products, consumers seem to prefer bold shapes and fancy text, perhaps to convince them that the product is valuable.

 Some of the necessary ingredients to successful labeling and packaging design are:

  • Category or product type
  • Brand
  • Variant
  • Functional benefits
  • Reasons-to-believe
  • Emotional promise or benefit
  • Call-to-action
  • Content details (such as size, weight, etc.)

In addition, the packaging must protect the product and be easy to handle, transport, and store. If any of these factors are lacking, consumers may choose to buy an alternative product.

Remember, the main goal of packaging is to make the product visible to consumers, communicate the brand and benefits, and persuade the consumer to buy it.

What package is most effective?  

Group Activities and Discussion Questions:

  1. Instructors: Bring several packaged items to class for students to examine.
  2. Have students look in their bags and backpacks and pull out any item that is in a package/wrapper.
  3. What are their impressions of the package? How does it influence the purchase?
  4. Show video about tips for packaging design: https://youtu.be/qenDKgHL3aA?si=c6tu53SKLywX27Iy
  5. Show blog article about best product packaging examples: https://filestage.io/blog/product-packaging/
  6. Have students work in teams and go to a local grocery/convenience store. Have then identify several products in the same category (ex: soups, juices) and examine how the packages attract consumers.
  7. What changes could be made?
  8. In teams, have students select a common product and design new packaging for it.
  9. What are key considerations for the packaging?
  10. To access the original research study done by Texas Christian University: https://journals.sagepub.com/doi/10.1177/00222429231192049
  11. Consider assigning a project to replicate the study and examine findings.

Source:  Mitchell, H. (26 January 2024). When consumers prefer simple packaging – and when they don’t. Wall Street Journal.

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Vending Machines Evolve

Distribution, food, global marketing, innovation, market segmentation, merchandising, packaging, retail, shopping, supply chain

Vending machines are everywhere – and we do mean everywhere, and selling virtually everything possible. There are in stores, hallways, dorms, offices, laundry mats, gas stations, train stations, airports, and more. And now we don’t even need coins or cash to make a purchase – we can use phones and credit cards.

One might think that not everything can come from a vending machine, but they neglect to factor in how creative people can be, as well as products consumers want as convenience items. In Las Vegas, one can buy comfortable shoes from a vending machine. In California, hospital workers can get lab coats and masks (free). In Tennessee schools provide access to basic hygiene products (also free) to students. And that is just scratching the surface; there are vending machines that dispense pizza, eggs, fresh food, ramen, underwear, and even gold.

Recently The Donut Trap, a bakery business in Minneapolis, spent months with vending machine manufacturers to come up with a vending machine that keeps homemade donuts fresh, and serves them without smearing or smushing the donut frosting.

Vending machines can also serve the public good. For example, many cities are now deploying Narcan vending machines to help keep people from dying due to drug overdose. Free of charge, the Narcan kits provide doses of Narcan (naloxone) in risky areas.

According to the National Automatic Merchandising Association, the vending machine industry accounts for $34.9 billion in sales. And it’s growing in size, shape, and purpose. Called Micro Markets, vending provides retail areas where consumers can pick up products, review nutrition information, and more as they shop open coolers, use self-checkout and cashless payment.

But perhaps no geography has as many vending machines as Japan, with an estimated total of 5 million machines nationwide (out of 17 million machines worldwide). They carry something for everyone – from bananas to flying fish soup!

Now that’s convenience!

Group Activities and Discussion Questions:  

  1. Poll students: Where are vending machines? What do they buy form vending machines? Why buy from vending machines?
  2. Show video about wild vending machines (this is long, so make sure to preview it and select the video section to show in class): https://youtu.be/4CTZXG6_Qqs?si=mkE70k8HASU1rJin
  3. Show the National Automatic Merchandising Associate (NAMA) site: https://namanow.org/
  4. Show video about Narcan vending machines: https://youtu.be/LVTVzS4t6S8?si=GY1VKbrSB-vlS9Qh
  5. Divide students into teams. Have each team develop a concept for a vending machine.
  6. Develop a marketing plan for the new vending machine. What will it stock? Where will it be placed? How will it be promoted?

Source:  Gibbs, K. (31 January 2024). Hygiene vending machines offer a fresh start for students in Rutherford County schools. News Channel 5  Nashville; Kovanis, G. (19 January 2024). 100 Narcan vending machines coming to Wayne County. Detroit Free Press; Williams, N. (22 December 2023). Vending evolution. Minneapolis Star Tribune; other news sources.

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McDonald’s Offers Adult Happy Meals – Complete with Toy

We’ve discussed the impact of nostalgia on marketing. (Nostalgia is when someone longs for a different time period when they were happy.) We usually think of nostalgia as being an older person longing for an earlier time period or event. Perhaps it is caused by seeing or wishing for something that happened when a consumer was younger.

Marketers know how to use those desires. For example, Mattel recently brought back several older toy lines to gain more adult buyers. And now McDonald’s appears to be following suit by launching a limited edition of “adult Happy Meals” that include not only food, but older versions of collectible toys.

Why the adult meals? Well, that’s easy. McDonald’s hopes to lure back older consumers to the fold by reminding them of the pleasures of toys and burgers (or chicken nuggets). For a limited time, when ordering the adult Happy Meal, one gets slightly warped figures of Grimace, the Hamburglar, and Cactus Buddy (new figure).

The collaboration with Cactus Plant Flea Market for the toys is a little unusual for McDonald’s as CPFM represents younger designs and apparel for a streetwear market.

The meals have different packaging and higher prices. Adult Happy Meals range from $14.09 to $17.99. Demand has been high with most franchises sold out of the meals. And buyers are already flipping their toys on resale sites such as eBay with reports of sellers pricing the toys for thousands of dollars (although a recent search show much lower prices).

Don’t you feel like a kid again?

Group Activities and Discussion Questions:

  1. Have students define the target market for McDonald’s. Then have them define the adult Happy Meal target market (demographics, psychographics, etc.).
  2. View ad: https://youtu.be/sYdNnkz1bik
  3. View brief video story: https://youtu.be/p5ZfSlwMz8g
  4. Have students do a search on social media for the toys. What had the response been on social media?
  5. Also have students search resale sites for the toys.
  6. Divide students into teams. Have each team identify a product that could be revamped for a different market segment.

Sources:  Gallagher, J. (13 October 2022). With adult Happy Meals, McDonald’s sparks a collecting frenzy. Wall Street Journal.  

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