Product Packaging & Labeling | Functions | Materials Used | Importance

What is Product Packaging?

A ‘Package‘ is nothing but a container in which things are packed. ‘Packing‘ is the process of covering or wrapping goods into a package. ‘Packaging‘ is the process of designing or producing the container itself.

Product Packaging and Labeling

Product Packaging and Labeling – Meaning, functions, materials used, importance

Functions of Package

1. To protect the contents from getting spoiled or damaged.

2. To allow easy handling of certain bulky goods like rice, wheat, sugar, etc.

3. To facilitate transportation of goods to different places.

 4. To facilitate storage of goods in warehouses. Packed goods can be easily placed in a warehouse.

5. To prevent loss of goods due to evaporation, pilferage and so on.

6. To provide space for giving details of the goods like price, quantity, date of manufacturing, etc.

7. To allow space also for pasting label.

8. To provide scope for reuse. Bottles, for example, can be reused.

9. To facilitate self-service (in a Departmental Store).

10. To enable the buyer to stock and use certain goods over a longer period of time.

According to Philip Kotler, protection, convenience and economy are the three important purposes served by package.

Materials used for packaging

1. Wooden boxes: Lightweight wooden boxes are used to pack certain fruits like apple, tomato, etc.

2.. Plastic containers: Edible oils, mineral water, softdrinks, etc., are packed in plastic containers.

3. Cardboard containers: TVs, music systems etc., are packed in cardboard containers.

4. Glass: Glass is used in bottle form to pack pickles, softdrinks etc.

5. China clay jars: They are used. in households to preserve pickles mainly. Their use in business marketing is much less.

6. Tin containers are used to fill edible oils, butter etc.

7. Bamboo baskets: These are used to pack fish, flowers, betel leaves etc.

8. Gunny bags: These are used to pack bulky items like rice, wheat, sugar, etc.

What is Labeling?

A label is a slip of paper pasted on the package and/or on the product giving the following details:

1. The nature of the product,

2. The manufacturer,

3. The date of manufacture,

4. The date of expiry (in some cases),

5. The ingredients used (in some cases),

6. The price (the MRP — Maximum Retail Price) and

7. The taxes as applicable.

A label is essentially a medium through which the manufacturer gives necessary information to the consumer.

Importance of Labeling

1. It is informative.

2. It enables the buyer to satisfy himself about the quality of the goods he buys.

3. It enables the manufacturer to give all the necessary information, as may be necessary, to the buyer.

4. It helps to avoid price variations in the market for the product, as the price is mentioned on it.

5. It helps to prevent false claims for the product by the manufacturer.

6. It also helps as a medium of advertisement.

7. It also helps to comply with legal requirements.

Leave a Reply

This site uses Akismet to reduce spam. .

Recent Posts

Related pages

disadvantages and advantages of e commerceobjectives of mbosales forecasting meaningdefinition of capital expensewto functions and objectivesadvantages and disadvantages of psychological pricingretail definition by philip kotlernpv disadvantagesprofitability index meaningmethods of collecting primary data with merits and demeritsadvantages of target costingaltra viresauditors negligencecaveat vendor definitionwhat do you mean by vouchingaccount payable turnover formulahundiscapital gearing meaningred clause lcadvantage and disadvantage of organizational structuremanpower planning procedurenominal damagesmatrix structures advantages and disadvantagesneed and importance of partnership firmprepare a sales budgetprofit motive definition economicsunethical advertising definitionsidbi.inwhat is securitization with examplesole trading concern meaningintra vs inter companystock market speculatorraw materials inventory turnoversecuritisation meaningfeatures of tqmbailmentproduct forecasting methodsdefine caste system in indiaadvantages of classical management theorydefine profitability indexwhat are the limitations of ratio analysisinventories turnovermarket research advantages and disadvantagesadvantages and disadvantages of sole traderdifferentiate between wholesaler and retaileradvantages of perfectly competitive marketincoterms definedwhats a good quick ratiowhat is irr in accountingseven steps of the sales processmaterial overhead costdefinition of amalgamationinstallment purchase agreementmeaning of securitisationcapitalistic systemmeaning of senioritydisadvantages of perpetual inventory systembill of lading in international tradeprecis meansdirect materials usage variancetrade promotion examplesdisadvantages of economic order quantity modelcalls in arrearswhat is the difference between amalgamation and mergeradvantages and disadvantages of e business pptdumping definition economicsdefinition of operational auditpetty cash accountingadvantages of functional departmentalizationdso days sales outstanding formularetained profits advantages and disadvantagesprocedure for forfeiture of sharescif transportation