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The package mix in parcel shipping is getting more varied and complex — a positive trend in the long run, but one that presents challenges to carriers in the short term, says Nick Herbon, regional sales manager with EuroSort.
Carriers are seeing a changing packaging mix, in the form of new shapes, materials and concerns about sustainability. In addition, packages are getting smaller, as shippers strive to use fewer materials and better conform boxes to the size of the contents within.
All of that means that carriers are looking to fit more in the truck, while shipping less “air” and getting away from space-hogging plastic filler. There’s also, in some cases, a move away from palletizing to packing in Gaylords, bulk-sized corrugated containers that can hold a pallet’s worth of product.
Customization of packaging and orders is becoming more complex. Previously, automated packaging systems were designed for more traditional and standardized cartons. Adding a different set of sizes to the operation could throw a metaphorical wrench into the system. The result could be mis-sorts, damaged boxes or a complete shutdown of the operation.
Environmental concerns are a key driver of the move toward smaller packaging with recyclable materials. But the bottom line figures in as well. Shippers are keen to avoid the extra charges that are being levied by parcel carriers for oversized boxes, especially with the introduction a few years back of dimensional pricing.
Shippers also want to lower their per-package fees, by placing more product into a single handling unit. “If you can fit 20 parcels instead of 15, the middle-mile carrier is going to be paying less, and can pass that savings along to the end user,” Herbon says.
Additional advantages accrue in the long run, with fewer trucks on the road, each carrying more product. Adjusting to the change won’t be easy, Herbon says: “It’s going to be better when we get through it, but there are challenges in the meantime.”
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