Cover Image
close this bookThe Packaging of Fruit Juice and Non-Carbonated Fruit Drinks (CDI, 1998, 87 p.)
close this folderII. METHODOLOGY FOR CORRECT CHOICE OF PACKAGING
Open this folder and view contentsA - GENERAL APPROACH
Open this folder and view contentsB - EXAMPLE OF PACKAGING SELECTION

(introduction...)

The correct choice of packaging depends on the type of market, the cost of the packaging and the company's investment capacity.

1. The target market (segment)

· Top of the range:

- The customers: On the local and regional level they are mainly local people with high incomes, hotels, certain organisations, tourists and expatriates. The possibility of exporting to wealthier countries might also be considered.

- The finished products: will be of superior quality, identical to those found in Europe. They include natural juices with a short shelf-life or UHT sterilised products with sterilised packaging (see Chapter III-A and D). A full range of package sizes will be available with one litre being the preferred size for fresh products. Long shelf-life products will go for export.

- Distribution network: locally, products will be bought by supermarkets, retailers in residential areas, hotels, bars and restaurants. For export, the central buying offices of large distribution networks may be used.

· Products for large-scale distribution:

- The customers: the majority of African consumers may be considered as having a low income; children are often the most important market sector.

- The finished products: in most African countries, products are packaged in small volumes which are low-priced and are designed for immediate consumption. The juice will often be in the form of diluted fruit drink, always healthy and hygienic. Low cost types of packaging are also used (see the classification by cost of packaging types). Such products often belong to the long shelf-life products described in Chapter III-B and C.

- Distribution networks: the products are often sold by street vendors and by small shops without refrigeration facilities.

2. Cost of packaging

The costs of the different packaging types described in the technical sections obviously depend on several factors: number of colours in the graphics, purchased quantities, origin (imported or local) and suppliers. However, the prices listed below, allow a classification of the packaging as follows (range given for a volume of approximately one quarter litre; net production cost before tax in pence):

1. bulk packaging in drum (card 2)

< 0.62 p

2. bulk packaging into "bag in box" (card 20)

0.37 to 1.00 p

3. LDPE pouch, shelf-life 4 weeks (card 6 & 17)

0.5 to 0.62 p

4. PE/EVOH/PE pouch, long shelf-life (card 17)

1.5 to 1.62 p

5. HDPE or PP bottle, short shelf-life (card 1)

1.62 to 2.0 p

6. PP bottle, short shelf-life (card 1)

1.75 to 2.0 p

7. pre-formed LDPE pouch, short shelf-life (card 4)

2.0 p

8. pre-formed PS cup hot packaging (card 9)

2.0 to 2.37 p

9. P.V.C. bottle with preservative (card 7)

2.0 to 2.5 p

10. gable-top cartons, short shelf-life (card 5)

2.5 to 3.12 p

11. PP or PS pre-formed plastic cup short shelf-life (card 3)

2.5 to 2.87 p

12. Doypack pouch PE/PET hot packaging (card 10)

2.5 to 3.12 p

13. P.E.T. bottle with preservative (card 8)

2.5 to 3.5 p

14. Doypack pouch PE/ALU/PET (card 10)

3.12 to 3.75 p

15. PS/EVOH/PE pre-formed cup, long shelf-life (card 9 & 18)

3.5 to 4.25 p

16. alu cup, long shelf-life (card 15)

4.75 to 5.0 p

17. aseptic brick (card 16)

5.0 to 5.62 p

18. gable-top, hot packaging (card n° 13)

5.62 to 6.87 p

19. PET bottle with preservative (card n° 8)

6.25 p

20. Reusable glass bottle hot packaging (card n° 12)

6.0 to 7.5 p

21. glass bottle + lid, hot packaging (card n° 12)

6.0 to 7.5 p

22. can, hot packaging (card n° 14)

6.87 to 8.12 p

23. Cheerpack pouch (card n° 11)

8.75 to 10.0 p

3. Investment capacity of the promoter

It is also possible to class the likely level of capital investment necessary according to the type of packaging selected (packaging without prior preparation and heat treatment of the juice):

PACKAGING

INVESTMENT
Packaging machine

MINIMUM
Production (litres/day*)

1. plastic drum (card 2)

none

500

2. pre-formed plastic pouch (card 4)

from £3.75 k to £6.25 k

1 000

3. plastic bottle (card 1)

from £6.25 k

1 000

4. glass bottle (card 12)

from £6.25 k

1 000

5. Doypack pouch (card 10)

from £12.5 k

1 000

6. pre-formed plastic and alu cup (card 3)

from £12.5 k

1 000

7. pre-formed metallic cup (card 15)

from £12.5 k

1 000

8. plastic pouch from film (card 6)

from £12.5 k

1 000

9. gable-top carton (card 5 & 13)

from £25.0 k

1 000

10. Cheerpack pouch (card 11)

from £62.5 k

3 000 l

11. aseptic "bag in box" (card 20)

from £75.0 k

10 000 l

12. PVC bottle (card 7)

from £137.5 k

6 000 l

13. can (card 14)

from £187.5 k

8 000 l

14. thermoformed cup (card 9)

from £250.0 k

8 000 l

15. aseptic plastic pouch (card 17)

from £250.0 k

6 000 l

16. PET bottle (card 8)

from £275.0 k

6 000 l

17. aseptic thermoformed cup (card 18)

from £375.0 k

10 000 l

18. aseptic brick (card 16)

from £500.0 k

6 000 l

19. aseptic bottle (card 19)

from £1000.0 k

50 000 l

20. "Cartocan"

from £1250.0 k

30 000 l

* Litres of fruit juice to be processed by one shift per day in order that profits are higher than the break-even point.

1. Wide distribution product (informal distribution)

A promoter has £12,500.00 available for a packaging line and intends to sell the end product through the informal circuit as he already has his own distribution network. In such a case, the following solutions are feasible:

i) Concerning investment, according to the table in section 3 above, he can choose the plastic drum, the pre-formed pouch, the glass bottle, the Doypack pouch, the plastic cup, the metallic cup, the plastic pouch from a film.

ii) For informal circuit distribution, he has to provide a long shelf-life product. With reference to the different filing-cards selected in point 1 above, this narrows the choice down to the glass bottle, the Doypack pouch, the pre-formed plastic cup, the metallic cup and the plastic pouch from film.

iii) As the target market is low-income consumers it is necessary to select the least expensive packaging material from the table in section 3. When the criteria in paragraph III are considered, this leaves only: the plastic pouch, the pre-formed cup and the Doypack pouch.

2. Top of the range product (cold chain distribution)

A promoter has got £ 25,000 available for his packaging line and intends to sell the finished product to the hotels, restaurants and organisations. The product will be used either in its original packaging in 250 ml volumes (organisations) or redistributed in glasses (bars and restaurants) from a high-volume package (more than 5 litres). In such a case, the following solutions are feasible:

i) In terms of investment, according to the table in section 3 above, it is possible to select the plastic drum, the glass bottle, the Doypack pouch, the plastic cup, the metallic cup, the plastic pouch from film and the gable-top box.

ii) For the «top of the range» distribution, it is advisable to propose a natural short shelf-life fruit juice to hotels and supermarkets to be stored under refrigeration. With reference to the filing-cards selected in point 1 above, this narrows the choice down to the plastic bottle (card 1), the plastic drum (card 2), the pre-formed plastic cup (card 3), the pre-formed plastic pouch (card 4), the gable-top box (card 5).

iii) As consumption is either in individual 250 ml packages or in glass from a container of more than 5 litres, the final choice will be:

- The plastic cup (card 4) or the gable top box (card 5) for the individual 250 ml package; in such case, if the plastic cup is manufactured locally, it will preferred to the imported gable-top box.

- The plastic drum of a capacity of 5 litres and more (card 2) for bulk.