Business Services Industry

Beyond the box: converters thrive in the marketplace by finding creative and competitive ways to rethink the traditional box

Paperboard Packaging, Jan, 2004 by Peter Fretty

Customers thus far have responded favorably. "Since we already have their box business and in many cases we were already setting up their boxes, this is just going one step further," he says. "We are looking to be a strategic partner with our customer. It is a very natural extension. Fortunately, these services fit within our existing abilities so it did not require an extensive investment."

Since the corrugated industry has been stagnant in recent years, having logistics in-house has given Horn's existing direct sales force a new tool to add to its arsenal. "Having multiple ways to serve the customer gives us a way to move away from price being the only issue--customers find value in service," Hamilton says. "For example, a box customer just called wanting 50 bags of peanuts. While everyone sells peanuts, not many can get them to the customer on a JIT basis. This ensures that we compete favorably in the market regardless of the market status."

Plastic Producer Now Paperboard Friendly

Those in the box business do not need to be afraid of plastic, according to Dan Ahern, Transparent Container Corp. marketing manager. The Berkley Ill.-based firm, which specializes in making plastic inserts or windows for folding cartons, has ventured into the arena of creating plastic folding cartons using PVC and RF scoring.

After getting its start making round plastic containers, Transparent started supplying paperboard packagers with the clear lids for the tops of greeting card boxes. "Folding cartons were just a natural extension of what we do," Ahern says. "However this should not be seen as a threat to traditional paperboard packagers."

While Transparent currently does not have any formal partnerships with paperboard packagers to supply them with plastic folding cartons, Ahern foresees this type of relationship unfolding in coming months. Since Transparent considers paperboard packagers a valuable part of its client base, its intention is not to lose this. Instead, the firm hopes to build upon the relationship. "There is a lot that we can do together," he says.

According to Ahern, the industry is going to see more folding cartons go clear primarily because consumers want to see the product inside the box. "We can now do things that were not possible with the traditional paperboard and how we decorate that plastic will also continue to evolve."

For instance, Transparent can frost areas, make some areas clear while others are opaque and essentially make the product appear more dimensional rather than being just a billboard. "Designers need to get used to using this as a substrate," Ahern says.

Looking Inside The Box

What do Graphic Packaging International (formerly Riverwood International), Premier Boxboard and paper industry giant Boise Cascade all have in common? In order to succeed, each firm decided to look within the box and see how it could restructure its own operations to be more successful. Plus the tool each firm used was consistent--multivariable testing or MVT as it is coined by Knoxville, Tenn.-based QualPro Inc.

 

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