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What Drives Packaging Purchasing Decisions Most?


Service attributes scored highest.

 
Research conducted by marketing consulting firm Priority Metrics Group (PMG), found that service attributes are more important than product characteristics, in driving purchases of packaging containers, materials, equipment and supplies.

The company conducted more than 40 proprietary research projects on behalf of packaging (materials, containers, equipment, supplies) suppliers over the past two decades. After interviewing more than 4,000 purchasers, PMG said they were able to identify a consistent pattern. The objective was not only to identify how buyers of packaging rank performance, but also to determine which categories rank higher in importance.

Service attributes scored highest. Packaging buyers identified the most important factors as responsiveness, communication, customer service and accessibility. Product attributes—including product quality, product performance, product line, equipment and systems, even innovation—are of lesser importance.

“It may come as a surprise to many in the packaging community that business is won, and enduring competitive advantage achieved, by building and maintaining strong personal relationships between the buyer and vendor,” said John Barrett, president, PMG. 

“Product quality and performance are more easily duplicated—by using the same equipment to produce the packaging components or buying from the same raw material suppliers. Service performance is much more difficult to replicate and consequently can lead to sustainable advantage,” Barrett explains.

Product improvement and innovation should be centered on delivering lower cost to customers. Price is something most suppliers do not want to use as a lever. However, helping customers to lower their total cost also can be a powerful way to establish and grow a long-term, profitable relationship.

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