July 16, 2024

How CPOs Can use Ecommerce Packaging for Product Differentiation?

How CPOs Can use Ecommerce Packaging for Product Differentiation?

As a CPO, you know e-commerce is more than simply the product itself. It combines product, delivery and packaging together into a differentiated experience.  

Unlike conventional storefronts, where customers can touch and check products, e-commerce is based on the visual and tactile experience of product delivery.  

Focus on packaging, especially in e-commerce space can act as strategic for CPOs to reduce clutter and stand out, establish brand identity, and improve the entire customer experience.  

Here’s how CPOs can use e-commerce packaging to effectively differentiate their products. 

We will not delve into basics of packaging like “follow brand guidelines”, “speak the brand” or “be cost effective”. Those are bases that we are sure you have already covered. We will delve into areas that are inherent to e-commerce packaging. 

Unboxing Experience is Inherent to E-commerce 

The unboxing experience has become a crucial part of the customer journey. Thoughtfully designed e-commerce packaging can create a memorable unboxing experience, encouraging customers to share free, user-generated content that can significantly boost brand visibility and differentiation. 

CPOs can work with designers to create packaging that surprises and delights customers. For example, unboxing any Apple product is more of a ritual.  

For many customers, the theatrics of opening the perfectly snug fit box is an experience that adds value to their purchase, showcasing Apple’s meticulous design and attention to detail.  

The box itself becomes a keepsake, symbolizing this memorable experience long after the product is removed. 

Beyond the Apparent Use 

Packaging needs to look good, be functional and especially in India, should have value beyond its apparent use.  

CPOs should come up with designs that make things easier for customers, like for example, using resealable poly bags for e-commerce, which allow convenience, and sturdy boxes to keep items safe during shipping. In India households these bags and boxes are reusable.  

Amazon did this with its frustration-free packaging, which is easy to open, recyclable, and makes shipping more efficient. This has made customers happier by cutting down on returns and has shown Amazon as a leader in packaging for online shopping. 

Do more with Technology  

Integrating technology into e-commerce packaging offers new ways to stand out. QR codes, for instance, can provide extra product details like sourcing and usage tips.  

A brand that is consciously working to reduce its impact on the environment and uses tech to do so is Nike. It uses AR in its packaging, where scanning the QR code gives customers access to content such as sustainability initiatives, product info, styling tips, and promotions.  

This technology focused strategy boosts engagement and creates a memorable brand experience. 

Sustainability in Packaging Can’t be Compromised 

Sustainability is a growing concern for organizations and consumers around the globe.  

CPOs can differentiate their products by adopting sustainable e-commerce packaging practices by including recyclable, biodegradable, or reusable materials like paper bag packaging and poly bags for ecommerce in India. IKEA, a furniture company, has committed to eliminate plastic from its packaging by 2030.  

They are also exploring innovative solutions like fully biodegradable packaging made from mushrooms, known as mycelium “fungi packaging.” This initiative is part of IKEA’s broader commitment to waste reduction and recycling. 

Reimagining Product Differentiation with Moglix Solutions for E-Commerce Packaging 

E-commerce packaging has come a long way from a mere protective layer to valuable, reusable commodity adding perceived value to the product itself.  

For CPOs, focused on incorporating thoughtful design, brand alignment, technology, sustainability, and functionality into packaging can significantly enhance the customer experience and set their products apart in a crowded market.  

However, as CPOs it’s essential to balance our admiration for design and branding with a commitment to sustainability and conscious consumption. 

At Moglix, we help both big companies and startups rethink their packaging needs. We offer solutions that cover everything from individual products to the entire process of getting them. To know more, speak to our packaging expert.