When you look to reduce packaging costs, the most common first step is to look at the price per unit.
That makes sense because it’s the way it’s always been done.
But what if the traditional way is actually not the best way?
When you begin chasing the lowest price point, a natural progression occurs: Procurement sees a lower box cost and checks the savings column. But operations sees downtime. Marketing sees brand inconsistency. Finance sees freight creep.
And suddenly that “cheap” packaging doesn’t feel like you saved you much at all. In fact, it’s probably about to cost you a lot of extra meetings.
The question isn’t:
What does this box cost?
The question is:
What does this packaging cost the business over time?
That’s where Total Cost of Ownership Packaging becomes the conversation that matters.
Why Unit Price Can Be Misleading
A corrugated box that costs $0.18 less per unit looks like a win.
But what happens when that box:
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Increases freight costs?
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Slows your packaging line?
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Causes a 2% increase in damage?
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Requires more labor to assemble?
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Forces larger inventory buys?
True packaging cost reduction doesn’t come from shaving pennies; it comes from eliminating inefficiencies across the system.
Here’s an example of how we helped Aran USA do exactly that:
Let’s break down FIVE hidden costs that are easy to miss:
1.) Freight Inefficiencies (DIM Weight Impact)
Freight is often the largest hidden packaging expense.
Dimensional (DIM) weight pricing means carriers charge based on size, not just weight. A slightly oversized box can increase shipping costs significantly over time.
Small changes create big impact:
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Reducing void space
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Optimizing case dimensions
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Improving pallet configuration
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Increasing trailer density
If you’re shipping thousands of units per month, even a 0.5″ dimensional improvement can translate into tens of thousands of dollars annually.
A lower-cost box that increases freight? That’s not savings; that’s leakage.
2.) Damage Rates & Product Loss
Packaging that looks strong but lacks proper structural design can quietly increase:
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Product returns
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Replacements
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Customer dissatisfaction
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Chargebacks
A 1–2% increase in damage rates can wipe out perceived material savings instantly.
Protective performance must be engineered, not assumed.
This is where thoughtful Total Cost of Ownership Packaging analysis protects margin.
Check out how we helped custom cabinetry powerhouse John Michael Studio address transit-related damage.
3.) Labor Inefficiency
Does the box:
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Require manual taping?
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Slow down your case erector?
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Create jams on automation?
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Require two hands instead of one?
If packaging adds 3–5 seconds per unit on a high-volume line, the labor cost can exceed material savings quickly.
And in today’s labor market, efficiency equals resilience.
Packaging should support uptime, not sabotage it. Our Automation team can help.
4.) Over-Spec Materials
It’s possible to overspend without realizing it.
Examples:
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Board grades are heavier than required
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Excessive foam density
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Unnecessary coatings
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Multi-material designs that complicate assembly
Overspecification often happens when packaging is designed once and never re-evaluated.
A structured packaging evaluation frequently uncovers material reduction opportunities without compromising performance.
Smarter engineering beats heavier engineering.
Want to grab a coffee and talk more about our approach to packaging and process evaluations?
Tell us where to bring your cup of joe, and we will.
5.) Inventory Waste & SKU Complexity
Multiple box sizes for slight variations.
Large MOQs due to outdated print methods.
Inventory sitting for 6–12 months.
Cheap packaging often forces large production runs that tie up working capital.
Modern manufacturing capabilities — including digital print and right-sized production — reduce:
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Obsolete inventory
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Storage costs
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Cash flow constraints
Packaging should move with your business, not slow it down.
At Morrisette Packaging, we want to help make life easier for the people we collaborate with every day.
This Is Why We Recommend a Structured Packaging Evaluation, Not Just a Quote
At Morrisette Packaging, we approach every engagement through the lens of Total Cost of Ownership Packaging.
A structured packaging evaluation looks at:
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Freight optimization
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Structural performance
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Labor impact
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Automation compatibility
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Material efficiency
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Sustainability considerations
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Brand presentation
Because true packaging cost reduction isn’t about cutting corners.
It’s about removing inefficiencies.
When packaging is aligned with your operations, logistics, and growth strategy, savings compound.
Final Thought
Cheap packaging is easy to buy.
Strategic packaging is smarter and much more valuable.
If your packaging hasn’t been reviewed through a Total Cost of Ownership lens in the last 18–24 months, there’s likely an opportunity waiting inside your current system.
And that opportunity starts with a conversation.
We will even bring the coffee!
