Wal-Mart’s wage increases in 2016, and the implication to restocking labor costs, seem to have substantially increased the pressure on CPG manufacturers to transition to SRP - John Panaseny, president of Rovema NA.
Norcross, GA (PRWEB) August 24, 2017
Rovema North America announced today publication of its new Guide to Consumer Package Goods Shelf Ready Packaging Trends. Published in conjunction with Vanguard Packaging, a retail ready corrugated and paperboard innovator, the guide provides CPG teams with the background and implementation framework necessary for planning an effective, staged implementation of SRP mandates from large retailers.
Rovema NA, a fully owned subsidiary of Rovema GmbH, has extensive experience with SRP end of line packaging which has been common in Europe for a number of years already. Labor costs, small footprints and retail aesthetics and economics contributed to earlier adoption of SRP in European grocery stores.
While there’s been talk for years about similar implementation in the US, it hasn’t been widespread.
“Recently we’ve seen a substantial increase in SRP applications.” commented John Panaseny, president of Rovema NA. “Wal-Mart’s wage increases in 2016, and the implication to restocking labor costs, seem to have substantially increased the pressure on CPG manufacturers to transition to SRP,” he continued.
It’s common for CPG manufacturers to hesitate to transition to shelf ready packaging, or PDQ (pretty darn quick) in Wal-Mart’s original lexicon. Concerns include additional packaging material costs, capital equipment requirements and production disruption. Chet Rutledge, former director of SRP for Wal-Mart and now Vanguard’s Director of New Business Development for Retail Ready Packaging, understands but offers reassuring guidance.
“What we find in project after project is that taking a systemic approach allows companies to optimize the entire packaging and logistics process. There are often substantial savings which can be found that offset material cost increases. What’s exciting though for CPG teams is the boost in sell through that often accompanies an initiative as out-of-stocks are substantially reduced.”
The free 18-page guide, which can be downloaded at http://www.RovemaSRP.com, provides project teams with an approach that will minimize typical complications and increase the likelihood of net savings. It’s written for entire CPG teams including engineering, process, maintenance, packaging, management, finance, merchandising, sales & logistics and draws on the combined 20 years of SRP project experience of Rovema and Vanguard.
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About Rovema North America, Inc.
Rovema NA is a wholly owned subsidiary of Rovema GmbH. Our operation in Atlanta is the North American sales, service and parts presence for all of Rovema’s engineered vertical form/fill/seal and end-of-line packaging solutions.
With over 1,100 machines installed in North America we’re fully committed to the ongoing support of our machines. Although occasionally certain drive or control components are obsoleted by our suppliers, we provide all available parts and ongoing technical support for any operating Rovema machine.
Our team in Norcross is combining German quality & engineering with American market awareness and responsiveness. All our machines are built under a single roof (not a global master brand) and we’re aggressively building our staff to meet growing demand.
Vanguard Packaging is a full service designer and manufacturer of corrugated displays, retail packaging, signage and industrial packaging. Vanguard is headquartered in a 700,000 square feet underground facility in Kansas City and is known nationally for its leadership role in sustainability previously having earned the Sustainability Innovator of the Year Award for North America.
Vanguard offers a full range of products and services for those retail vendors who require shelf ready packaging. Options will not only include custom designed packaging solutions but case erecting and case fill equipment, testing and licensing of patented shelf ready designs. Vanguard can also act as a consultant for CPG companies with existing packaging contracts. These services are available nationwide from offices in Bentonville, Kansas City, St Louis and Phoenix. For further information, please contact Chet Rutledge at cwrutledge(at)vanguardpkg.com.
Rovema North America
(973) 227-8080 ext. 116
Rovema North America