As the consumer market grows, both buyers and producers have different concerns from before.
Producers, packaging professionals, and others in the consumer cycle must adapt to the changing conditions.
For example, distribution networks now display product versions in different regions. The goal is to create language and cultural considerations for people worldwide.
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These days, consumers take an interest in the source of your product packaging. Also, regulations are different in regions. So, every business must account for the standard of products it releases.
Is your business trying to reach a wider audience or break into a new market? Or establish and maintain a global presence?
Then, you need an experienced US-based packaging provider. This article will cover five reasons you should consider US-based packaging.
5 Benefits of Using Packaging Made in the USA
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The trend of outsourcing packaging supplies to overseas contractors is slowly coming to an end. Many businesses these days are bringing it back home through “reshoring.”
Reshoring is a process that involves bringing back the production and manufacturing of items to a company’s country of origin. Sometimes, a company can move some of its processes overseas to reduce manufacturing costs.
This process is called “offshoring,” and reshoring is the process of bringing it back home. Here are some benefits of packaging made in the USA:
1. US-based Packaging Complies With FTC Rules
The Federal Trade Commission (FTC) is a regulatory body that enforces consumer protection laws. Its primary function is to prevent deception and unfairness in the market.
It fights against unfair business practices. These business practices often result in higher prices and fewer choices for consumers.
The FTC investigates and sues companies that break the law and engage in these practices. Before claiming that your product is made in the USA, you must meet certain requirements.
First, significant parts of the production process must be of US origin. These include the processing and assembling of your products. Then, your products must not have foreign content.
So, under the law, you cannot advertise your product line as made in the US when only some of the products follow the standard. It is very important to obey consumer protection laws.
If you make false claims on your products, you may attract an FTC investigation. In the end, you will get bad publicity and attract enforcement actions.
You will also need to adjust your packaging to meet FTC regulations. This can be an extra expense you did not prepare for.
So, to avoid all the drama, get a packaging company in the US to handle the process for you.
2. Cheap Manufacturing and Reliable Shipping
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Unlike some other developed countries, the US has lower labor costs. Making your product packaging overseas sounds cheaper only when you calculate it per piece.
But, once you add the extra costs of shipping, inventory, and even the exchange rate, it becomes more expensive.
Many companies make their sourcing decisions from price alone, which can be a mistake in the end.
Speed makes all the difference when getting your product to your customers. Any delay in getting the goods out of the door means you may lose sales. Then, if a customer switches to your competition, it is hard to get them back.
Sourcing packaging abroad can affect your delivery speed. There are common delays with shipments like bad weather, foreign holidays, and even political crises.
You will also face import and border checks, leading to delays at the Customs office. On a good day, shipments can take about six to eight weeks to come into the country.
This can make you may lose sales from valuable customers since you can’t control the process. Yet, if you use a manufacturer in the US, your products can get to you in days rather than weeks.
The shorter lead times make it easy to respond to customer inquiries and demands. You also get to save money you would have spent on getting supplies into the country.
3. Reduced Risks and Safer Products
Contaminated plastics and other packaging items can cause illnesses and even death. If you are in the food and beverage industry, you cannot afford to play with your customer’s well-being. Safe products give buyers peace of mind and protect you from lawsuits.
The chances of selling safer items are higher if you produce your packaging locally. The US Food and Drug Administration has a high-quality standard for things produced in the country. So, you don’t have to hold your breath if your packaging supplier is in the US.
Customers in the beauty industry like to know everything about their product, down to its packaging. But, it is hard to get information and documentation on products made overseas. So, manufacturing origin is too important to overlook, and your business should answer questions on them.
The last thing you need is a poor product resulting from contamination, which you cannot defend. You can only track the process if you source within the US.
The Environmental Protection Agency demands manufacturers follow strict environmental standards. So, you have nothing to worry about with local producers.
4. Better Communication and Support
Another benefit of local sourcing is better product support and easier communication. Your packaging solutions help to show your products in the best light.
Yet, product packaging is only one part of the customer experience. Sourcing packaging items involves a lot of questions and back-and-forth.
You need this process to be fast, easy, and stress-free. If you have suppliers in the US, you don’t have to deal with time-zone differences and language barriers.
So, it’s easier to get answers to your questions. Manufacturers in the United States can also help you react to product trends.
The reason is that they are in the local market and know what works and what is in demand. So, they can help you customize your products and easily increase production volumes.
Without a doubt, many local producers put more technology into finished products. As such, many items made in the USA are durable and worth the price paid.
5. Guaranteed Quality and Consistency
One thing you can be sure about US manufacturers is that they are always on top of their game. We often hear stories of customers losing money because some products don’t do their jobs.
Imagine buying an item with the tamper-evident band already broken. Or dropper inserts falling out of its cap. Maybe you waited weeks for an item to arrive, only for it to come broken.
The product became a disaster because it was kept in a proper sealable container. So, you may not want to patronize a brand that sells items like these because there is already la ack of trust.
One of the reasons people get bad products is that the manufacturer was penny-pinching. Sometimes, producers save money by going for cheaper caps and bottles from overseas dealers.
This often results in a disaster because cheaper doesn’t always mean better. Other disadvantages of low-cost production are long delays, poor communication, and interruptions in the supply chain.
In the US, packaging manufacturers use the best technology and skilled workers. It guarantees better quality and consistency in packaging.
The US has some of the best workers globally because of its high labor standards. Also, there are effective labor laws that guarantee safe and high-quality work environments.
With packaging made in the USA, you are guaranteed cutting-edge technology and better quality products.
Why Are Many Businesses Reshoring?
The “Made in the USA” trend is a good boost to domestic manufacturing. Here are some reasons why companies are deciding to reshore:
1. Increasing Manufacturing Costs in Developing Countries
As more countries develop, it only makes sense for their labor costs to go up. Increasing costs of shipping is also another feature of a fast-developing world. Given all these, it makes less sense for US companies to depend on offshore production.
The price difference between operating offshore or onshore is no longer much for most businesses. The gap keeps getting smaller as the years go by, so bringing the production process back home makes sense.
2. Humanitarian Reasons
The United States is a very patriotic country, and it thrives on this patriotism. Whatever state you live in, you will be proud to be a US citizen.
People travel to other countries for many reasons, but their love for America does not change. American customers love their country and favor products made in the USA. So, many companies are making the wise decision to reshore.
Manufacturing in the United States can boost the country’s economy and create jobs for many Americans. To many producers, supporting the country makes them feel patriotic.
They feel better knowing that industry workers are not suffering low wages, unsafe conditions, and exploitation.
The Department of Labor and local labor unions are also there to ensure this. So, the “Made in the USA” tag is a solid marketing campaign for many businesses, and the good part is that it works.
3. The US Has a Better Skilled Workforce
The United States is a technically advanced country, and it stands out among other countries. Apart from this technical advantage, it also has a lot of skilled workers.
Also, the USA’s workforce is populated with very educated workers compared to other countries. Since there is a large population, there are many people on the ground to do the job.
So, companies do not need to go overseas to find skilled workers who can handle an advanced manufacturing environment.
4. Intellectual Property Concerns
When manufacturing jobs are taken overseas, they raise intellectual property concerns. These concerns are whether the designs are original or copied and the methods used in manufacturing.
Although there ought to be Non-disclosure Agreements (NDAs), it is not always followed. Many international companies still use the information to make new products for other parties.
It breaks the NDA agreement and is one of the risks of taking production offshore. These are some of the concerns bringing companies back home.
The US has better intellectual property protection laws and ensures that NDAs are followed. Many businesses have realized that the benefits of reshoring outweigh the cost.
5. Better Productivity and Automation
Nothing takes the place of being on the manufacturing floor, seeing how the products are made. Design engineers know this, and they come in to ensure the process goes well.
Yet, the design engineers may be many miles from the manufacturing factory if the production is offshore. They need to be close so that they can improve the design quality and reduce waste, where possible.
Flying a design engineer to the manufacturing site is too expensive and time-consuming. It makes a solid argument for bringing the entire process home.
Also, the world is changing, and so are customer needs. There needs to be an automated process to free up more hands for companies to meet up.
Like we said before, the US has some of the best technology to get things done. So, there’s no need to go out looking for something that is right at home.
Conclusion
As a business owner, we know that you want to meet your customer needs and attract more buyers. That is why we encourage you to use the kind of custom packaging that will get buyers to trust you. You can consider using Arka's top-notch custom shipping boxes or mailer boxes that enhance unboxing experience!
We have compiled some reasons you should switch to US packaging if you haven’t. You don’t have to take our word for it, but we hope you do!