by Jared Powell, Principal at Frontier Label
Starting a company and venturing into entrepreneurship is an exciting time. Everyone wants their ideas to be appreciated and to turn a profit, but oftentimes you hear, “It takes money to make money.” This doesn’t have to be the case as there are many options to invest a little money with the possibility of a larger payout.
One money-making opportunity an entrepreneur or business may not recognize is that of the label. While a label may seem like a small part of a company, it can help convey a brand image. Additionally, making smart label design and ordering decisions can have a significant ROI.
A few things to keep in mind during the labeling process is to jump on trends, order in bulk and to incorporate environmentally-friendly aspects whenever possible.
Using design trends to your advantage.
Consumer trends are constantly changing. One minute people are thrilled by bright, intricate designs on product labels, and the next they prefer something simple. Label design can make or break your sales – in fact, about one-third of decisions made on the purchasing level are done on packaging and exterior alone. Understanding trends in label design is crucial to standing out on the shelf for the right reason. Designs should be attractive, timely and cater to the intended audience.
For example, today’s consumer, especially millennials, crave label transparency. Label designers and printers may see a shift towards simple and clean designs that suggest a level of openness and honesty. On the flip side, if your target audience is older, incorporating retro designs can evoke a sense of nostalgia for years past. By understanding your target audience and leveraging design trends that meet their expectations, moving product (or services) off the shelf becomes easier.
Cost-saving through bulk orders.
It may seem like a no-brainer for consumers to buy in bulk to reap savings benefits, but businesses can do it too! Oftentimes, businesses may not know what to order in bulk and what to buy when the time comes. A safe rule-of-thumb is to identify non-perishable marketing collateral, both in a physical sense and a timely sense. Avoid buying items such as ink in bulk, as it may dry out, and steer clear of ordering things such as packaging that celebrates a specific year or uses a time-specific color scheme like special holiday labels. That aside, ordering timeless labels in bulk is smart once you confirm that the price per unit is indeed lower than if you didn’t.
If a brand has a limited packaging budget, ordering materials in bulk is a great way to save money. This could lead to big savings over time that you can trickle down to your consumers, making your product offerings more competitive amongst the crowd. In other words, lower expenditure, happier customers and increased competitive pricing.
Cutting down on waste with environmentally-friendly materials.
While the initial cost of choosing greener products may seem higher than that of more conventional marketing collateral, about one-third of consumers prefer to buy from brands they believe are doing social or environmental good. By bending to the wants of those consumers and incorporating environmentally-friendly materials into labels, entrepreneurs and brands can pick up more customers through more positive brand reception.
It can seem overwhelming to run a business while considering the environmental responsibility. Fortunately, there are options out there that help brands cut down on waste. Consider stone paper, a combination of calcium carbonate and resin that gives labels the feel of paper without the created waste. Similarly, options such as recycled paper are relatively low-cost alternatives to plastic as well and will help cut down on landfill waste. Adding “environmentally-friendly” to your brand image can help you reach a more socially or environmentally-conscious consumers and help move product to audiences you may have not previously reached.
A label may not be one of the first things that comes to an entrepreneur’s mind when considering ways to create more sales growth, but it definitely should be! Entrepreneurs can increase sales and save on money spent by incorporating design trends, ordering in bulk when possible and by being environmentally friendly. While the process can be a sticky situation, don’t be afraid to reach out to label printers and designers for advice – the resources are there!
Jared Powell is CEO of Frontier Label, a fully adhesive custom label company. With over a decade of leadership and a background in bio engineering, Jared has developed a workplace and culture that values problem-solving and growth through purpose, excellence and investing in others.