How much does packaging cost in 2020? Most packaging professionals are hesitant to offer a quick answer. That is because packaging costs vary from one type of packaging to another. Some types of packaging are naturally more expensive than others, but all usually benefit from higher volumes in order to reach lower unit costs.
And each type of packaging has its set of components that influence costs. Labor, materials, tooling, set-up fees, design work, prototypes, testing, freight, shipping, fulfillment, storage, and of course, volume, are all aspects of packaging manufacturing that add to the unit cost of packaging.
Because there are so many variables that affect unit cost, and manufacturers, salespeople and brokers are often reluctant to give you an answer to this seemingly simple and straight forward question (and it truly is a tough question to allow for a quick definitive answer) I will attempt to offer some ball-park figures that should give you a rough idea of the cost of different types of packaging.
There are three common types of boxes in the world of packaging, folding cartons, rigid (set-up) boxes, and corrugated boxes. Folding cartons tend to be the least expensive, followed by corrugated, then rigid boxes generally being the most expensive.
A good price for a box should be under $1 for a folding carton, and under $2-3 for a fully printed labeled corrugated box, and $4-5 for a rigid set-up box. If I were buying packaging, these would be my goals.
To get to these goals, you have to have the volume or you’ll pay 3-10x per unit. And as packaging is so intrinsically tied to volume, these comparison charts below are focussed on volume vs price. Here is where the balance lies:
Cost of Folding Cartons | |||
Volume Classification | Volume (Units) | Investment $ | Tooling |
Prototypes | 1 – 100 | $200 – $500 TOTAL | $0 |
Digital | 1 – 100 | $380 – $480 | $0 |
Short Run | 500 – 1000 | $2.30 – $4.40 | $250 – $300 |
Mid Run | 2500 – 5000 | $0.56 – $0.96 | $350 – $500 |
Mid-Large Run | 10,000 – 25,000 | $0.28 – $0.49 | $350 – $500 |
**Large Run | 50,000 – 100,000 | $0.09 – $0.17 | $550 – $950 |
Cost of Corrugated Boxes | |||
Volume Classification | Volume (Units) | Investment $ | Tooling |
Prototypes | 1 – 100 | $250 – $1,000 TOTAL | $0 |
Digital | 1 – 100 | $350 – $400 TOTAL | $0 |
Short Run | 500 – 1000 | $2750 – $6,600 TOTAL | $550 – $2000 |
Mid Run | 2500 – 5000 | $2.75 – $3.30 | $550 – $2000 |
Mid-Large Run | 10,000 – 25,000 | $1.38 – $1.93 | $550 – $2000 |
**Large Run | 50,000 – 100,000 | $1.21 – $1.27 | $550 – $2000 |
Cost of Rigid Boxes | |||
Volume Classification | Volume (Units) | Investment $ | Tooling |
Prototypes | 1 – 100 | $500 – $5,000 TOTAL | $0 – $1,500 |
Short Run | 500 – 1000 | $5.50 – $12 | $550 – $1500 |
Mid Run | 2500 – 100,000 | $5.50 – $11 | $800 – $1200 |
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Jacob Rail