When I first needed custom packaging for a brand I searched "cigar tube" on Alibaba and emailed the first factory I found. Today we import 40ft containers from that same factory.
Lorreta has saved us 7 figures, easy.
Here’s how you can do the same:
Lorreta has saved us 7 figures, easy.
Here’s how you can do the same:
Whether you have a farmers market side hustle or a booming DTC brand, your packaging is probably low hanging fruit for:
- Lowering cost of goods
- Elevating brand
Let me give you some context:
Left is domestic, $.23/piece
Right is China, a fraction of that.. landed!
- Lowering cost of goods
- Elevating brand
Let me give you some context:
Left is domestic, $.23/piece
Right is China, a fraction of that.. landed!
You can do ok with a stateside factory or broker.
Many use sites like Packlane that are huge in the DTC space.
Super limited options at crazy insane prices - but low MOQ. Great for an MVP, but otherwise 🤮
See below
Instead of $1.08, we'll get this 2"x6" for >$.20 in China.
Many use sites like Packlane that are huge in the DTC space.
Super limited options at crazy insane prices - but low MOQ. Great for an MVP, but otherwise 🤮
See below
Instead of $1.08, we'll get this 2"x6" for >$.20 in China.
Go to Alibaba and search for what you need whether it's a box, a bottle, or anything in between.
Throw "custom" in front of your search if you're having trouble.
I'd find 3 listings for items in your realm from 3 different factories.
Start your inquiries.
Throw "custom" in front of your search if you're having trouble.
I'd find 3 listings for items in your realm from 3 different factories.
Start your inquiries.
Besides telling them what you need, find out:
- How much for a sample pack
- How much for a production sample
- The MOQ for your item
- What are your capabilities
The first 3 are for this order. On the last Q, you're looking for a red flag.
If they can do anything, run away.
- How much for a sample pack
- How much for a production sample
- The MOQ for your item
- What are your capabilities
The first 3 are for this order. On the last Q, you're looking for a red flag.
If they can do anything, run away.
That's an indicator they're probably not a factory but a broker piecing things together. It can be great to have a fixer who can get you anything, but right now we're looking to establish a direct factory relationship.
You'll need bigger MOQs to get these prices, but you're going to save so much that your total PO (in this case 5x the quantity) is still going to be HALF the cost before freight and taxes.
Add to that a massive reduction in COGS, this is going to do wonders for your P&L.
Add to that a massive reduction in COGS, this is going to do wonders for your P&L.
Anyway, back to your 3 factories.
Order your sample packs. If they charge you for shipping, great. A lot of people will tell you they shouldn't.
This is the factory vetting you to make sure you're serious. Good indicator IMO.
Order your sample packs. If they charge you for shipping, great. A lot of people will tell you they shouldn't.
This is the factory vetting you to make sure you're serious. Good indicator IMO.
Ask for price quotes at 10k pieces for each piece in the sample pack or similar.
With this info in hand, you can verify the quality and shop the best pricing.
If you have your dims or a die line in hand, I'd move forward with the best option. Don't waste the others time.
With this info in hand, you can verify the quality and shop the best pricing.
If you have your dims or a die line in hand, I'd move forward with the best option. Don't waste the others time.
If you don't already have a die line because you've done this on a website or through a broker/agency up until now, they're not rocket science. It's a doc that lays out all the printable surfaces and pantones. Just add design.
The factory will provide based on specs.
The factory will provide based on specs.
If you need that and don't have a ID designer, Fiverr is a quick and easy way to go. Give em a brief and the die line and let it rip.
Tell the factory you want a production sample included with any one time plate or mold costs. They may not go for it, but it's a reasonable ask.
They won't finalize freight pricing until your order is complete, so this will be an unknown as those rates fluctuate.
They won't finalize freight pricing until your order is complete, so this will be an unknown as those rates fluctuate.
Your friends in China will never be as close as a vendor in your city. You're gonna have to ship this stuff.
Tell the factory to plan to DHL an 8 wk supply (that u define), and put the rest on a boat.
Even air shipping some units to beat the ocean freight - still way cheaper.
Tell the factory to plan to DHL an 8 wk supply (that u define), and put the rest on a boat.
Even air shipping some units to beat the ocean freight - still way cheaper.
Get that production sample in your hands and as long as it's as expected, let it rip.
At this point you've found a well reviewed vendor, vetted that they're actually a factory, confirmed their pricing is competitive and real.
Expect a 30-50% deposit.
Run it.
At this point you've found a well reviewed vendor, vetted that they're actually a factory, confirmed their pricing is competitive and real.
Expect a 30-50% deposit.
Run it.
Let's take a look at the impact of a move like this:
Assumptions:
$30 product
$1.08 packaging COG
New COG: $.25 (conservative)
Your packaging just went from 3.5% of your net to less than 1%.
On $1M/year that's more than $20,000 in your pocket.
Assumptions:
$30 product
$1.08 packaging COG
New COG: $.25 (conservative)
Your packaging just went from 3.5% of your net to less than 1%.
On $1M/year that's more than $20,000 in your pocket.
An OG Ford exec once said:
Mood.
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TLDR:
- Source packaging overseas
- Find anything on Alibaba by finding similar
- Sample and validate multiple vendors
- Ask em for help/introductions on customs details
- Air ship a small batch and float the rest
- Hit me w/ a RT on the top tweet!
Oh and...
BUILDERS BUILD!
- Source packaging overseas
- Find anything on Alibaba by finding similar
- Sample and validate multiple vendors
- Ask em for help/introductions on customs details
- Air ship a small batch and float the rest
- Hit me w/ a RT on the top tweet!
Oh and...
BUILDERS BUILD!
This quote is an absolute banger
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