Corrugated Containers Ease Farm-To-Market Shift These Handy Boxes Make Display Options Easier for Produce Retailers
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Corrugated Containers Ease Farm-To-Market Shift These handy boxes make display options easier for produce retailers. BY KIMBERLY RINKER For years produce retailers have received the corrugated industry — explains that the corru- their products in cardboard containers. gated common footprint (CCF) is a standard applied to corrugated containers establishing It was not until the past two decades, however, dimensions and stacking features. While a variety that they began utilizing corrugated containers as of companies can produce the corrugated contain- an all-purpose vehicle — for the shipping, storage, ers, each adheres to a basic standard of dimensions handling and display of all types of produce. that provide consistency to retailers. First, corrugated materials are relatively inex- This allows for more efficient packing, handling, pensive, making them attractive to most retailers. storing and shipping of produce. It enables produce Second, they are durable, can be custom-made to to be handled by fewer people, thereby lowering individual chain specifications, and in most cases, the risk of damage to the product. In many cases, are stackable. Third, they are environmentally the produce is handled by the grower and not friendly. In 2004, over 24 million tons of corrugated touched again until purchased by a consumer. products were recycled in the United States. Corru- Many corrugated containers are printed or gated products have the best recycling rate of any embossed with high-end graphics when they arrive packaging material in use today, notes the Corru- at the growers. Thus, they can go directly from the gated Packaging Alliance (CPA), Indianapolis, IN. fields to the distribution center and then straight into the supermarket produce section with little THE CORRUGATED altering. It is the ultimate in convenience for ship- COMMON FOOTPRINT pers and retailers alike. These containers also are The Fibre Box Association (FBA), Elk Grove Vil- stackable, with a design that allows for exceptional lage, IL — a non-profit organization representing stability when loading and shipping in store. According to Dwight Schmidt, FBA president, an association program initiated within the industry in October 2005 showed recyclable corrugated prod- ucts are extremely popular with retailers because the retailers can earn money for returning old cor- rugated containers. Their design also makes them a tough cushioning product — an advantage when shipping and distributing produce. Schmidt recommends retailers use corrugated containers of the CCF configuration that are “display- ready with high graphic appeal. These containers readily column stack to reduce shrink in the supply chain, provide maximum impact for mass displays of seasonal items and fit on the standard Euro-table to provide an attractive display-ready, rapid replen- ishment solution. “For those whose merchandising technique is to hand-stack produce, leaving some colorful boxes floor-stacked with the shelf-stacked items cascading into them is another very effective method to call 92 PRODUCE BUSINESS • OCTOBER 2006 attention to that commodity,” he continues. modular and inter-stackable,” she notes. cushion produce to reduce shrink due to “Stores catering to the organic and envi- “This ensures that single commodity damage during transit. These corrugated ronmentally conscious market might con- and mixed loads work together to maximize containers can be custom designed to per- sider specifying containers that use new, full pallet-load performance. Supermarket fectly fit and protect each product, and they certified recyclable wax alternatives and retailers and produce managers can use cor- inter-stack with CCF-compatible boxes made marking the boxes as recyclable,” he adds. rugated packaging in their produce depart- by other corrugated manufacturers.” Susan McHenry, director of produce ments to reduce labor costs, retain product Corrugated packaging offers an infinite marketing for Weyerhaeuser Container- freshness, highlight product attributes and variety of colorful graphics that can be used board Packaging & Recycling in San Ramon, increase store revenue,” she notes. CA, agrees with Schmidt while stressing the “Weyerhaeuser’s One Touch modular importance of corrugated packaging as a boxes are available in display-ready designs great tool for shipping and in-store merchan- that allow produce to be packed, shipped “Supermarket dising. “Boxes that are compatible with the and merchandised in the same box,” corrugated common footprint standard are McHenry explains. “Corrugated designs retailers and produce managers can use corrugated packaging in their produce departments to reduce labor costs, retain product freshness, highlight product attributes and increase store revenue.” — Susan McHenry Weyerhaeuser Containerboard Packaging & Recycling to identify product attributes such as coun- try or state of origin, product size or weight, nutritional information and product brand- ing, McHenry notes. “Graphics catch con- sumers’ eyes and slow them down so they’ll spend more time in the produce depart- ment. For maximum impact, consider using retailer or brand-specific graphics across boxes, corrugated bulk bins, point-of-pur- chase displays and kraft bags to highlight featured items in the produce department.” Charlie Pierce, general manager of pro- duce sales, Packaging Corporation of Ameri- ca (PCA), Lake Forest, IL, says the simplici- ty corrugated products offer to produce retailers is their best feature. “Every time you move produce you risk damaging it. With CCF set-ups, tomatoes, cucumbers and all different types of produce can be on the same pallet and be visible and viable. When you have a store-ready display box, it simpli- fies the whole process. And I believe that a semi-open box is definitely the way to go for all types of produce. “I think retailers do well to have a 6-down corrugated box with an open top that all fits Reader Service # 59 on one pallet,” Pierce adds. “The secret to 94 PRODUCE BUSINESS • OCTOBER 2006 Clamshells Transform The Berry Category BY MIRA SLOTT he berry category is a fabulous exam- Driscoll’s, under the leadership of president packs for strawberries were converted from “ ple of how packaging revolutionized and CEO Miles Reiter, would take a huge leap pint to pound, evolving to options of 2-, 4- and 1 T an industry,” says Bryan Silbermann, in transforming the industry by pioneering ⁄2-pound clamshells as well as other varia- president of the Produce Marketing Associa- the adoption and rollout of a completely clear, tions.The larger pack sizes were brought in for tion (PMA), Newark, DE. plastic clamshell format.“We had to be consid- a more orderly market and increased con- In the 1970s and throughout the mid- erate of key areas, how to deal with the labor, sumption. 1980s, strawberries were sold primarily in the cost relative to current cost, analyzing “During the same time, we had tremen- naked pint trays in plastic mesh green bas- grower and market economics.” dous problems with raspberries and blackber- kets, explains Michael Hollister, vice president Tremendous opportunities that would ries, which were handled multiple times from sales and marketing for Driscoll Strawberry come from converting the strawberry catego- being picked and harvested.” They were Associates, Watsonville, CA. Retailers had to ry to clamshells could not be realized immedi- packed in a chipboard basket with over-wrap put a lot of labor into selling through peak ately.“Driscoll’s was only a certain percentage attached by a rubber band. The basket col- seasonality of the fresh strawberry crop, of the industry,”Hollister continues.“In the late lapsed when it got moist and did not protect reworking the fruit. Strawberries were packed 1980s/early 1990s, the retailers found it diffi- the fruit, and the consumer could not see the just like today, every strawberry hand-picked cult to get other suppliers to convert, so the fruit. The industry was challenged to create and place packed, he notes. whole rollout took longer. Once the retailer retail value because the berries could not In the mid- to late-1980s, Driscoll’s con- sold strawberries in clamshells, it needed to withstand the rigors of a typical supply-chain ducted observations, interviews and in-store assure it could get adequate supply so it program. “The conversion to clamshells was focus groups with produce managers and wouldn’t have to go back and forth, requiring smoother because we already had a con- clerks, and time and time again, found stores different labor needs and inventory packag- sumer unit,”Hollister notes. that could sell 100 trays a day could only work ing requirements. “Blueberries took longer to transform, a third of those and so would only order a “I give credit to the very first retailer, because they were very seasonal, regionally third to control inventory and the manage- Kroger’s Louisville division, for taking on the located and primarily a New Jersey and Michi- ment needed to rework, Hollister continues. challenge,” he says. Shelf-ready consumer gan crop that came in waves of six to eight increased sales it that with this type of box, nobody has to touch the product once it leaves the field — it goes straight from the farmer to the customer. Thus, you have a fresher product that is also more appealing appearance-wise to the consumer.” McHenry believes corrugated’s simplicity goes a step further. “With corrugated packag- ing, there’s no need to clean, break down or return boxes when they’re empty. Boxes can go directly into the baler to generate addi- tional store revenue through recycling.” Corrugated products are more likely to be recycled over any other product, with 74 percent of all corrugated containers being recycled. In 2004, over 24 million tons of corrugated products were recycled in the United States, according to the American Forest & Paper Association (AF&PA), Wash- ington, D.C. DIFFERENT CORRUGATED CONTAINERS FOR DIFFERENT PRODUCTS Because of the seasonal changes in pro- duce production, different corrugated prod- ucts are needed at different times, and tradi- tional year-round favorites, such as apples and bananas, have their own set of contain- er challenges.