Brands are turning to specialised design firms to revamp packaging of their products to improve their appeal and ensure ease of use.
This year, for the first time in India, design outfit Desmania, under the aegis of Procter & Gamble, organised a competition for innovative packaging ideas, Packinnova 2011. The company invited students from leading design institutes in the country to submit ideas on ‘packaging for small volumes’. Apart from throwing up some interesting ideas — such as shampoo packaged in a capsule or a waterproof clay diya filled with shampoo or detergent, sealed with a foil and branded — the exercise points in one clear direction: That packaging has actually gained in importance in the marketing mix as brand loyalty flags and consumers closely scrutinise more products as they cruise the retail aisle before purchasing. That presentation and the whole “experience’’ of a product are as important to the consumer as the product itself.
Well, brands do have a reason to worry. Recent research on shopper behaviour shows the average consumer scans the retail shelf in 20 seconds or less. In other words, packaging — a brand’s first point of connection with consumers — has to deliver more than ever. Especially in categories for which children are the end consumers, appealing packaging can be a driver of brand choice. There are reams of literature to show that “pester power” can come from a kid’s attraction to a certain packaging, thus influencing the mothers’ choices as well.
Little wonder the demand for specialised packaging firms and agencies that have proven their mettle in head-turning graphics is on the rise. Brands now want to create innovative designs from scratch, rather than choosing an available option from a manufacturer. Indeed, packaging professionals are often involved in the product development process itself, ensuring the product is delivered safely into the hands of the grateful consumers. Specialised design firms like Icarus Design (Bangalore), Desmania (Delhi) and Tata Elxsi (Bangalore) all claim that business has seen an increase in the last few years.
Until a few years ago, most multinationals that brought products in India from their international portfolio had the basic mould or the structure and design of their packaging done by firms in their home markets. There were others who chose structures from the existing catalogue of manufacturers (for example, Tetra Pak or Manjushree Technopak), while advertising agencies fulfilled the job of designing on-pack graphics. “Packaging design was like an extension of the agency’s 360-degree services,” says Sujata Keshavan, founder, Ray + Keshavan.
Of course, while the prospects have improved, the market is still very small. The design fees earned by specialists hover in the Rs 50-100 crore zone for FMCG packaging design (pre-production). But design firms are confident that the market will grow in the days to come. What will drive the growth? While most Indian brands are no longer willing to settle for cheap knock-offs of popular Western motifs, companies like Godrej and Marico believe that packaging is just as critical to building brand equity and marketing return on investment (ROI) as advertising is.
And it’s not limited to the big players. “Even small- and medium enterprises are getting ambitious,” says Anuj Prasad, founder, Desmania. For example, regional brands like edible oil brand KS Oils, or McNroe Chemicals, better known for Wild Stone and Secret Temptations deodorant brands, are betting on design to take on the biggies in their turf. McNroe Chemicals, for instance, roped in a specialist design agency for its moisturiser brand Heaven’s Garden.
Specialists obviously have an edge. “Ad agencies may not necessarily factor in the nuances of packaging material — say, plastic or glass — and focus more on the look and feel,” says the head of a design firm. “And the designs they came up with often falter during production or are extremely costly.”
Look and feel
Pack graphics and messaging is one of the most obvious ways through which design firms drive changes in FMCG packaging, and brands have traditionally tinkered with these elements to make the best possible first impression. What has changed now is the cycle time for upgradation in packaging. The various elements that provide label content and information — including marketing promotions, product specifications, ingredients labeling, bar-coding and branding — that come together during package design and development, are all put up for scrutiny. “With markets becoming cluttered and increasing consumer fatigue, on average brands now resort to change in graphics every year and a half, instead of the typical four years,” explains George Matthew, founder, Icarus Design.
What is also interesting is that multinational brands that are eager to chew up a bigger share of the Indian market are spending huge sums to carefully study the Indian consumer to bring in elements that appeal to them. “For instance, the latest Kellogg cereal packaging to hit shelves has created more drama around food to make it look more appealing,” notes Matthew, who has worked on the design. The point to note here is, with any graphic makeovers, change has to be brought in with care. “While it is important to contemporise the brand, the key visual hooks that give the brand its equity must be retained,” adds Matthew.
Such graphic interventions are only the tip of the iceberg. A bigger change that is taking place in packaging relates to the innovations in pack structures and moulding, wherein brands are collaborating with design firms to create ‘ownable’ designs that differentiate a brand. Whether it is a uniquely shaped bottle for a hand wash or an air-freshener, companies are investing more in creating structures and designs that satisfy the need of both aesthetics and consumer convenience. Ergonomics is playing a huge role in making these structural designs sophisticated.
Take the packaging for ITC Fiama Di Wills’ recent extension into talcum powder (south). Here, the dispensing mechanism has two options — single hole and double hole — influenced by salt and pepper shakers. The pack, designed by Tata Elxsi, a pioneer in the field, also has a built-in slider instead of the regular twist and dispense mechanism. “This was driven by the insight that consumers may want to use the product using one hand, instead of pouring the powder onto the second hand before application,” says Shyam Sundar, chief designer, Tata Elxsi.
‘Usability’ was kept in mind when Hindustan Unilever conceptualised Kissan’s foray into cream spreads. The bottle was designed in a manner that a regular spoon can be used to scoop out the product. Kissan has worked on other packaging innovations too. In 2009, Kissan ketchup introduced the ‘squeezo’ bottle, which stands upside down. While this helped differentiate the brand in a category dominated by glass bottles, it also ensured ease of use. “The packaging had a silicon valve that enabled dispensing of the desired quantity of ketchup. The technology also ensured the ketchup was sucked back, so that it didn’t leave behind a mess,” says Vimal Kedia, managing director, Manjushree Technopak, who has designed the bottle.
Even for Bru Exotica the packaging was created to upgrade the imagery of the brand. “So, unlike other coffee brands where you need to rotate the cap a few times before opening, the Bru jar has a 45 degree cap to bring in an element of sophistication,” says Sundar of Tata Elxsi. Tata Elxsi had earlier done another innovation for one of Bru Instant’s largest selling stock-keeping units by introducing a feature called “Aroma Lock”. “Generally there is a tendency to decant the contents to a bottle or use your own ways to seal the pack. The Aroma Lock was designed to give consumers an added convenience,” says Sundar. Tata Elxsi also built in consumer convenience when designing the bottle for Elder Pharma’s AM PM brand three years ago. For other mouthwashes, it was difficult to measure the amount of mouthwash unless one poured it into the cap. In the AM PM pack, this element was built into the pack.
Shelf appeal
Consumer convenience is one aspect of packaging. The other is retail display. And brands are surely going the whole hog to ensure every package design represents an extension of the brand assets of that company. For instance, two years ago, Cadbury had approached Desmania to design a bottle that ensured effective storage of Bubbaloo (centre-filled chewing gum) at general trade stores. The existing plastic bottles put more weight on the chewing gums at the bottom, forcing them to leak. Desmania came up with an innovative design that distributed the weight in half. “The bottles were expensive, but we improved on the design to make them more cost effective,” says Anuj Prasad, founder, Desmania. “The new packaging will hit the shelves this month.”
Similarly, last year DMA Yellow Works designed a new packaging for Reckitt Benckiser’s Mortein mosquito repellent. This was driven by the need to ensure that Mortein stands out on retail shelves. “A special trapezoid shaped packaging was crafted. The three face shape not only allowed more space for branding, but also occupied more shelf space, making the brand more visible,” says Alpana Parida, founder, DMA Yellow Works.
Visual merchandising was foremost on the agenda when condom brand KamaSutra underwent a packaging change last year (after five years) for its premium stock-keeping units. Consumers expect a certain kind of “sensual” imagery from a brand like Kama Sutra, says Matthew. But the problem was, at the retail level, there is a certain reluctance to freely display condoms. “We came up with a structural innovation where a ‘flap’ created a feeling of a ‘peep’ show that allowed the brand to communicate without offending sensibilities,” says Matthew.
There are other considerations too. While redesigning a pack, for instance, volume perception is extremely important, notes Keshavan. Even if the contents are the same, a new pack should not appear smaller, or contain less of the product.
Packaging design must factor in the transportation and storage issues too. For instance, in the latest pack design for Adani Wilmar’s Fortune (edible oil), Tata Elxsi ensured the design aided stacking. “If you see Saffola, the neck is the topmost point in the overall design. With Fortune, the neck and shoulder are in the same line,” says Sundar. The weight is distributed throughout the pack and ensures a lighter overall pack compared to, say, a Saffola. Tata Elxsi has implemented similar designs for edible oil brand Freedom (Gemini Edibles and Fats) and Nature Fresh Acti-Lite (Cargill Foods).
Cost is key
If the brand identity and package design is in line with the brand strategies and marketing initiatives, the end result is packaging that contributes to marketing ROI in a substantial way. Yet why are package design budgets minuscule when compared to advertising budgets?
A major dampener for attractive packaging is cost, note experts. “Indian designers are competent to do as good a job as their Western counterparts, but in a price-sensitive market like India, mass brands cannot afford to increase their unit price to cover the design cost,” says Keshavan. So design gets a short shrift.
So getting the right cost-benefit equation is crucial. Ray + Keshavan kept this in mind when, together with Tata Elxsi, it redesigned the entire range of packaging for GlaxoSmithKline’s Horlicks last year. “The new packaging has an expensive bi-injection cap which allows dual colour display to showcase the variants; but the cost was balanced through standardisation of bottle shapes,” says Sundar.
Likewise, for the Fiama Di Wills range, caps were designed in a way that similar caps could be used for different SKUs (50 ml or 100 ml). “The most expensive item in packaging shampoo bottles is the cap; so there was a huge cost advantage with this design,” says Shekhar Badve, director, strategy and marketing of the Pune-based Lokus Design, which has designed the packaging for ITC Fiama Di Wills.
Very often decisions are driven purely by costs. For example, Dabur’s brand Activ, which was launched in a bottle shaped cardboard pack to create excitement, went back to the regular shaped packs to optimise costs. “By then it had already grabbed the eyeballs and established the sub-brand,” says Parida.
Challenges remain. “Largely, the decision about packaging is anchored in price. So, even if a new packaging raises cost by 10 paise, the brand manager of most marketing firms will think twice,” says Prasad of Desmania. For example, Cadbury Bubbaloo’s bottle for trade was recently modified to make it cheaper. “The innovative design was very expensive and hence the company decided on a design which is cheaper,” says Kedia of Manjushree Technopak.
All said, “the decision to come up with innovative packaging is still driven from the outside,” says Keshavan. “So you have design firms like us convincing clients to embrace new designs. The spend on marketing is still skewed towards television advertising.”
The other issue is that of sustainability. The impact of packaging material on the environment is at the centre of much debate. It is incumbent on the industry, therefore, to find materials that protect the product, run efficiently on existing equipment at the best cost and minimise the effect on the environment.
So forget what they say about not judging a book by its cover...
