Does Your Packaging Company Have This Crisis?

If you’re a company that manufactures products or packaging for products, you know this well. Whether it’s a package misprint, a wrong formula or some kind of other mistake, the product is no longer viable and must be destroyed.

A packaging company is often the one responsible for ensuring that a faulty item has been properly destroyed, whether it’s the packaging or the product itself that has been deemed unsellable. That means for companies that package products for manufacturers, their reputation is on the line. 

If a manufacturer discovers that their products have not been properly destroyed and instead sold on the grey market, the packaging company can be held liable. And that’s just the beginning of the problems a company may face. If a packaging company can’t control the packaging that goes out of its door, a crisis could ensue, with the packaging company’s reputation being the final casualty. 

Certified product disposal can help prevent leftover and unsellable products from falling into the wrong hands and facing these unwanted consequences.

What Is Certified Product Disposal?

Many types of industries rely on packaging companies to complete the final step of preparing their products for sale, from the beauty industry to the food industry.

Certified product disposal is the process by which the goods that a company produces are destroyed or disposed of legally. This can include anything from products that have expired to goods that have been replaced by a newer version or product line.

In the food industry, for example, packaging may need to be destroyed if pre-printed labels contain the wrong information or are illegible. This could be a life and death situation for consumers with allergies if the wrong nutritional information is on a label. 

Other scenarios that would warrant the destruction of packaging in any industry include a recalled product, unused excess packaging due to new product runs or damaged packaging during the shipping process.

Certified product disposal removes this packaging that is no longer needed, is damaged or has been incorrectly labeled, and ensures it is properly destroyed so that it does not become available on the market. 

What Improper Disposal Can Cost You

As a packaging company, you likely have several clients you work with on a regular basis. One of the most detrimental things that can happen is if a product or the product packaging from one of these clients lands on the grey market. Here’s why.

Your Relationship With That Client May Be At Risk

If one of your employees or an unscrupulous disposal company steals the damaged or unwanted goods you are packaging, and then sells them on sites like Facebook Marketplace or eBay, your client’s trust in your safety procedures may be broken. 

For example, if the company you work with has updated its package design and you now have to dispose of the old packaging in your possession, an individual looking to make a quick buck can easily sell a knock-off product inside the old packaging. A consumer is none the wiser, but the product manufacturer will be.

Remember, that company’s brand is at risk as well and any bad press can degrade the value of that brand.

Your Relationship With ALL Your Clients May Be At Risk

As a business, your reputation is of the utmost importance. Carelessly disposing of another company’s product packaging will damage your reputation … putting at risk your relationship with all your manufacturing clients and any future clients.

You’re also giving your competitors an advantage by providing a reason not to choose you as a business partner.

Your Liability Increases

Your liability increases if improper packaging hits the market. This can be especially problematic if courts have ordered that all parts of a product, including the packaging, be destroyed. This can occur when a product is defective, is part of a proprietary dispute or has entered the country illegally.

The manufacturing company that produces the product that you are packaging also relies on you to properly dispose of any faulty packaging. If incorrect packaging is taken and used to sell a knock-off product by an unscrupulous character, you may face legal action from the original brand.

How To Ensure Your Packaging Company Doesn’t Have A Crisis

When a good’s packaging is properly disposed of, there is little to no risk it will end up on the grey market. Proper certified destruction services will maintain tracking and security throughout the disposal process so that you can have peace of mind.

This chain of custody includes photographic and video evidence of the destruction and ensures the highest level of professionalism. When looking for a certified product disposal company, make sure the company will offer this proof of destruction.

Other features to look for in a product disposal company include:

• The disposal company is properly certified, licensed and bonded.
• The disposal company has experience disposing of product packaging.
• The disposal company provides references from other companies that produce product packaging.

Remaining assured that an experienced and certified product disposal company will properly dispose of any defective, outdated or no longer needed packaging is of the utmost importance so that you can give your clients the same assurance.