Chris Cunnane decided to order paper towels and toilet paper online. His shipment arrived in one very large box, which contained bubble wrap and two other large boxes. Inside those two other boxes were the paper towels and toilet paper respectively, plus a bunch of extra empty space. As Cunnane notes, two unbreakable paper good items do not require three boxes, let alone bubble wrap.
When you ship a box full of empty space, you are paying to ship air, and it takes up room in a truck that could have been allotted to more actual goods. You are also wasting money on packaging that is unneeded, and subsequently relying on consumers to recycle that packaging. Cunnane says that if you want to drive up your ROI, you need to get smarter about how you package your products. He recommends a solution embedded in TMS applications, as, “A packaging optimization module within a TMS allows the retailer to match products with the right size boxes to eliminate shipping air or additional packaging materials.” You can read Cunnane’s original article here: http://logisticsviewpoints.com/2014/04/16/supply-chain-inefficiencies-cost-packaging/