One of the biggest issues for retail stores is identifying and removing unsaleable merchandize. The items are either past the expiration date or it was damaged by customers handling them. Apart from representing a loss cutting into the profits of the store, unsaleable items must be identified and taken off shelves as soon as possible. Otherwise, they may contaminate other items or even be purchased by a customer – leading to a formal complaint against the store. In this case study we will demonstrate the benefit of using large foldable containers for this operation.
Product Removal Can Be Time Consuming and Ineffective
Our client, a large retail store, was unhappy with the time employees needed to pick unsaleable products from the shelves and send them to the regional warehouse to be written off. The employees used a cart on wheels to remove the items from store shelves. These carts would be taken to the store backroom and then each item would be manually moved into a larger container. When the container was full, the store manager would send it to the warehouse.
This way of performing the activity meant that, quite frequently, several employees would have to abandon other tasks to take care of unsaleable product removal and packing. The retailer’s logistics manager wanted a solution to streamline this operation and make it faster and more efficient.
Logistic Packaging Specialists Analyze the Client’s Problem
As soon as the logistics manager of the retail brand contacted our experts, we understood that the biggest issue was too many touch points for sending the damaged goods to the warehouse.
The simplest and most effective solution for improving this kind of activity is using only one type of packaging material to pick up the products from shelves and send them to the warehouse. After analyzing various potential solutions, the Logistics Packaging team decided that large foldable containers represent the best choice to solve the client’s problem.
Why Large Foldable Containers?
Also known as sleeve pack containers, these professional packaging materials consist of a pallet at the base and foldable walls, with a lid on top. One of the walls of this foldable pallet container has a sleeve door, which facilitates loading and unloading.
The pallet at the base of sleeve pack containers has feet, allowing easy handling by pallet truck or forklift from all for sides. Other benefits that we considered relevant for the client are:
- Sturdy build, adequate for many use cycles
- High loading capacity – up of 350 kg static load
- Stability in stack during transport
- Optimal protection for the goods inside, preventing spillage and contamination.
The Implementation Phase
The client decided to order the model of foldable pallet containers recommended by the Logistic Packaging specialists. They requested the customization of each container with their logo and the identifying code for each of their five regional warehouses.
Since each store is assigned to a specific warehouse, this choice was necessary in order to improve the traceability of each transport. Also, it would allow the retailer to identify the regions with the largest quantity of write-off goods in order to investigate the issue.
The Client’s Post-Implementation Feedback
Our specialists kept in touch with the client and offered assistance during the post-sale period. The feedback came within a few weeks. Large foldable containers made a significant difference in the time needed to remove damaged items and send them to the warehouses.
The total time to perform the operation was reduced to half. Also, the employees reported that their work was much easier and less strenuous. Thus, they could quickly return to their regular tasks.
Also, the warehouse employees reported an improvement in the unloading operation. The sleeve pack containers can be emptied easily with a pallet box discharge system. Once the operation is complete, the warehouse employees fold down the walls of the container, and return the packaging materials back to the store with reduced costs.
The Logistic Packaging team is always ready to help companies reduce costs, improve their operations and meet quality and safety standards with professional packaging materials. Send us an email presenting your packaging project and we will use our experience and know-how to identify the best solution for your business!