Extra revenue from waste reduction
Effort was focused on reducing the overfill of product packs. The savings in materials were dwarfed by the extra revenue generated from sales because product was no longer being given away for free.
The original goal was to cut the amount of product being wasted through packs being overfilled near to the top of the legal limits for consumer and industrial pack sizes.
When the results were tracked it was shown that overfill had decreased but the material costs had not reduced by as much as expected. Further investigation revealed that sales had increased at an almost identical rate as the overfill declined. This cut the cost of raw material but used more packaging. The yield of the finished product increased per batch.
The additional sales generated due to giving away less ‘free’ product was worth a staggering £750,000 pa.
This case study highlights the huge impact that small changes can have when they are implemented in a consistent, sustainable way.