An Ode to Product Packaging on Amazon

Recently I have started to consider product packaging more. You might think that nearly all products on Amazon and E-Commerce have product packaging but that is not the case. In my selling journey, like many others, I found a product to sell and then put it in a clear polybag and that was that. I made money, my customers seemed happy (or at least content), and some reviews rolled in here and there….and this worked – for a while. 

Let me back up. On Amazon (since it’s online), there are no product shelves, end caps, or product displays. There’s no aisle upon aisle of bright product packaging with thousands of brands vying for a second of your attention. In retail there’s a finite amount of space – on Amazon there’s not. Naturally, there’s more of an incentive for brands in stores to have powerful and meaningful packaging. There also certainly isn’t a retail maze where a store places commonly bought items at the back of the store (think bread, milk, eggs), or where you’re funneled through multiple aisle with trinkets, snacks, or candy before checkout. More and more airports funnel through you the duty-free these days just to get out of the terminal.

All of this means that product packaging seemingly matters a lot less on Amazon. But does it really? As you’ll see below, it is still extremely important even on an online selling platform.

Amazon requirements state that the main image of the product must be a picture of the product “as is” with no digital or other alterations. So what most people do is simply that – take a picture of the product “as is” (no packaging). Lazy sellers try and sell a product that everyone else has the same idea for — and have it made as cheaply and simply as possible. All of this creates an ocean of “me too” products where everyone’s product looks nearly identical and the only variation is price (race to the bottom, anyone?). It’s an unsustainable business practice for anyone looking to build a real brand. This might have worked 5 years ago, but it certainly won’t work as well now.

There’s a better way. Here’s why product packaging could be important for your business:

1. Stand out from everyone else: Having product packaging means you can include it in your main image. Many people know that images are the #1 thing that effects customer buying decisions (followed by price, keywords/title/description, etc). If everyone is selling a widget, but you have a widget with a snappy box or bag (that you can include in the listing), you will stand out.
2. Put your main keyword on your packaging: Every product sold on Amazon has a main keyword. Why not put it front and center on your packaging? Imagine you’re searching for “Toy Rope for Poodle” on Amazon, and one of the listings has those words — in bold — on the packaging itself. You type in that phrase and one of the first things you see is that EXACT phrase repeated on the box – wow! That’s exactly what I want!
3. Perceived Value – Packaging costs money and makes a product look more professional. Customers will naturally associate your product with higher value. Boxes or bags usually cost only a few cents but can increase your price by a couple of dollars. Even better if the packaging is functional in some way! Perhaps you can use it in conjunction with the product? Or it’s compostable? Does the packaging allow you to dispense or store the item more securely and safely?
4. Giftable – Who wants to receive a gift that’s in a polybag or nondescript box? Not me! Adding packaging makes buyers who want to gift an item more interested in your product.
5. Add Inserts – Hiding an insert in the packaging makes the experience more enjoyable for the buyer – they are getting added value they weren’t expecting. Whether it’s a free item or a coupon code, inserts are a great way to increase the value of your product.
6. Add Contact Info & Socials – Increase your brand’s following online and give customers and clients a way to reach you. 
7. Sell Yourself – Having your logo, your design, and your vision on your packaging is a great way to help customers get to know you. This is especially important on Amazon where most of the time people don’t even realize that they’re buying from a 3rd party seller. Having packaging helps you stand out in a seat of copycat products and services.
8. Be Memorable – Packaging will help your customers remember your product. A product in a polybag is forgotten almost immediately. 
9. FNKSU/UPC Labels – Instead of labeling each individual unit with a barcode (as required by Amazon), simply print the barcode on the packaging. This alone will save you $.20-$.30 per unit.
10. Save Money on Fulfillment Fees – Amazon has structured fee tiers based on various sizes and weights. If you manage to — through the packaging — ensure that you product is packaged in a certain size and weight tier, you will save money. It is super fun to get creative here. I used to sell a product that was completely fabric (think towel). It was packed in a polybag and was 1″ thick. When I looked at the product sizing tiers, it said that if a product was 0.75″ thick or less, it would be placed in a lower tier. Learning this, I asked the factory if they would be willing to vacuum pack the fabric product. Doing that shrunk the thickness to 0.66″ (well under the limit of 0.75″) which saved me $.82/unit. I sold well over 5,000 units of this product after I did that, saving me $4,100. All of this because the product packaging was thought out and intentional. 
11. Save Money on Shipping – Like above, shrinking your box or bag will allow us to get more items into the master carton from your manufacturer. More items on a pallet = less shipping costs per unit. Simple.
12. Increase your Multiple – Buyers want to buy real brands with real creative and that includes packaging. Having packaging makes you more professional (even if you feel like you’re not… impostor syndrome, d’oh!). Time to get that widget in a box or bag that looks good.
13. Transfer to Retail – Thinking of selling your products into Walmart or the mom-and-pop store down the street? They’ll be much more likely to work with you if you have packaging.

There are probably even more reasons that I’ve missed here. Hopefully you can now see the value of adding packaging to your current line of products or making sure that it’s part of your product design process from the beginning. Packaging is a crucial opportunity to increase customer conversions and brand loyalty. It’s also a step in the right direction to creating a sellable business — you don’t want to work forever do you? Margarita at the beach, anyone? Best of luck in your packaging adventure!