20% more expensive! Cosmetic gift packaging ushered in a surge in prices 2

      

5. 15-20% increase in cosmetic gift packaging

      

5.1. The increase in paper price has a great impact on the price of cosmetic gift packaging:

    

The most obvious impact of the rise in paper prices on the cosmetics industry is that paper cosmetic gift packaging will inevitably usher in price increases. "The paper cost of many paper cosmetic gift packaging accounts for 60%-70%." A relevant person of a cosmetic gift packaging printing company revealed. Due to cost considerations, printing companies that mainly serve cosmetic companies naturally need to adjust the prices of outer packaging such as cosmetic gift packaging.

    

     

5.2. The cost of paper has increased by 30%, and the cost of cosmetic gift packaging has increased by 10%:

      

90% of the customers of a cosmetic gift packaging printing company in Guangzhou are cosmetic manufacturers, and they mostly use white cardboard with obvious price increases to make cosmetic gift packaging flower boxes and sets of boxes. Previously, the price of paper was 5,800 yuan/ton, and it has risen by about 1,700 yuan. Since there is no price increase for cosmetic gift packaging, there is a lot of pressure at present. "The price of upstream paper industry continues to rise, and we will definitely increase the price." Lan Naiying said that if the cost of cosmetic gift packaging paper increases by 30%-40% during production, the company will also increase the price to customers by about 10%.

   

     

She gave an example that the cost of making different card boxes and hardcover cosmetic gift packaging is different, and it takes up a lot of paper. For card boxes that only involve the printing and gluing process, the main cost is on the paper, and the price of such products will definitely increase. For delicate cosmetic gift packaging with more processes and less paper consumption, the main cost is the process cost, and the impact is relatively small.

   

    

Of course, for major customers with strategic cooperation, Lan Naiying will try to avoid excessive price increase of cosmetic gift packaging, but control the cost in subsequent processing. It is understood that there are more than 2,000 cosmetics-related companies registered with the company's customers.

  

     

5.3. Cosmetics processing factories have felt the rising tide of paper cosmetic gift packaging:

    

In fact, some cosmetic processing factories have already felt the rising tide of paper cosmetic gift packaging. "For the same box, the price of newly arrived products is obviously higher than before, with an increase of about 15%-20%." Manager Yao of Shantou Qiwei Industrial Co., Ltd. said. According to him, before the end of the year, the price of cosmetic gift packaging and paper packaging would often increase, and the increase was around 10%. "Last year, the small color box did not go up, but the carton went up, but it soon dropped. This year's price is still high, and recently I saw a price increase notice." The person in charge of a cosmetic OEM/ODM company said that the market itself is not optimistic, and the cost of cosmetic gift packaging has risen, which has virtually increased the pressure on the company.

   

     

6. Under the dilemma, how can upstream enterprises seek stability for cosmetic gift packaging factories to absorb the pressure of price increases?

       

The price increase phenomenon on the supply side such as paper companies and outer packaging companies has an impact on cosmetics companies mainly concentrated in upstream foundries. "The market situation is not good. In this case, it is difficult for our foundry service to increase the price. Enterprises can only digest this cost and pressure as much as possible." A cosmetic gift packaging supplier said helplessly. How to digest it? The person in charge of the above-mentioned cosmetics OEM/ODM company pointed out that there are three main countermeasures:

    

    

6.1. For old orders cosmetic gift packaging negotiation try not to increase the price:

    

For cosmetic gift packaging in old orders, enterprises try their best to reach a consensus with suppliers and no longer increase prices;

    

    

6.2 The cosmetic gift packaging for new orders has a breakthrough in design:

     

For the cosmetic gift packaging of new orders, we will make breakthroughs in design, reduce the processing of the process, and avoid too much change in the cost of cosmetic gift packaging;

    

    

6.3. Lengthen the order cycle for cosmetic gift packaging:

     

Extend the order cycle of cosmetic gift packaging, and slow down the ordering speed for materials that are not urgently needed. For example, in the past, the normal cycle of cosmetic gift packaging was one month in advance, but now you can place an order one week before production. "In this period, we only hope that the market will stabilize and customers will place more orders, so it can only reduce profits." He said.

    

    

6.4. Looking for new suppliers of cosmetic gift packaging:

     

The person in charge of a foundry said that in order to seek more cooperation, some cosmetic gift packaging packaging material manufacturers chose to control costs or reduce profits to digest pressure internally, so the pressure has not been transferred to the brand. In addition, some brands have product inventory, especially some big brands have more inventory. Therefore, the current increase in the price of cosmetic gift packaging will not have much impact on them.

    

     

7. Expect the price of cosmetic gift packaging to drop later:

    

Zhang Qiaohong, general manager of the Frog Prince Maternal and Infant Division, also pointed out that under normal circumstances, the cost of cosmetics core containers and contents is higher, especially for mid-to-high-end brands. The impact of cosmetic gift packaging price increases on them can be said to be minimal. Regarding the price increase of cosmetic gift packaging, some upstream foundries maintain a wait-and-see attitude, thinking that the price of cosmetic gift packaging should drop in the later period. "According to the situation in previous years, it will generally fall back in March and April."

 However, some people said: "This year's situation is special, and it is unlikely that prices will fall back in the short term. Even if they drop in the later period, it will be difficult to return to the previous level."