In Response to My Article 12.04.07
Tuesday, December 4th, 2007Is Packaging Innovation The Chicke Or The Egg?
This from Tim at KTM Industries
tcolonnese@ktmindustries.com
I can only concur with your findings. As a producer of strictly sustainable packaging materials, I am amazed that the vast majority of packaging professionals that I have met with at some of the largest, most respected companies find Green Cell Foam a novelty or curiosity, even though we discuss that Toyota, Honeywell, Volvo, Sony and other majors have been using this for several years with excellent results. Why do so many packaging folks eschew “green” technologies? Here are my best guesses:
1. Investment – many companies are so heavily invested in machinery and fixtures that the idea of integrating new materials goes directly against corporate strategies
2. Overloaded – packaging engineers are so busy that they rather select materials and processes that are “tried and true” rather than go through the extra work of investigating/testing/etc.
3. Job protection – it’s a lot safer to use materials that are “tried and true” rather than try new materials that may go wrong (even if the chance is near nil)
4. Not important – “green” technologies are just not high on the list of imperatives (no bonus check for going “green”)
5. Relationships – many professionals have been working with the same companies/persons for many years and they remain loyal
6. Costs – while many “green” technologies carry a price premium, we’ve found that even at cost parity, companies stay with current designs to avoid the hassle of switching for no bottom line gain
7. Lack of vision – (I may be burned at the stake for this one) with energy costs going through the roof, hydrocarbon-based materials will cost a lot more in a very short period of time. Biobased materials, on the contrary, have a much lower energy cost component and, thus, are not subject to oil-based price increases. And with more cities/states/countries enacting environmental legislation, there will be a clear market advantage to using sustainable materials. Oh, yes, and add Wal-Mart to the list of drivers…
I travel extensively and I always carry Green Cell Foam with me. People invariably ask what it is and when I explain it to them – along with the environmental benefits and ease of disposal – about 118% of them instantly like the material (OK, so I need a new calculator…)
So how do we bridge the disconnect? Marketing…
I am starting to meet with the MARKETING departments of these companies, rather than the packaging and operations groups, to explain the benefits to the company through their customers. Will this strategy work? Clearly, I don’t know, but I believe that it comes down to this facet of the business to drive innovation.
