Process

We will review your business and packaging needs upfront and articulate what value we can save you across the entire year. We are focused on the lifecycle of true partnership and want to help optimise your business where we can.

  • Upon validating your project, we will advise and quote on various suitable options. We then add no unnecessary margin to the cost price of your packaging and break down all charges to illustrate how the price stacks up.

  • We make our money from the annual or month-to-month fee charged on subscriptions. This is communicated up front so you can articulate your expected packaging spend in advance of the year ahead. Your membership is what gives you access to buy your packaging at the quoted price ongoing and as needed.

  • Industry-standard pricing is based on getting a quote in USD, applying the relevant exchange rate at the time of quote, adding anywhere from 15%- 20% for freight and import duties, 5% for local delivery, and then a margin anywhere from 20%- 50%. We know this from working in the industry.

  • Apart from the savings, your packaging procurement becomes a much easier task. A few things to make note of include:

    • No need to place individual orders from drawdown stock.

    • No need to track shipments and pay for express couriers around peak and holiday season.

    • Money is saved on these individual shipments.

    • Committing to the stock you need, not overbuying and getting stuck with an out-of-the-blue delivery and bill.

    • In charge of managing your own inventory.

    • Reduced time spent with sales staff and taking calls.

  • We know this is a different way of buying your packaging. But to be great and create real change, different is what we must be. We encourage you to sit down with your accountant and financial advisor and look at the numbers. It may take some adjustment with your cash flow, but we guarantee the savings will be noticeable, your resource allocation will halve, and you will contribute with all members to create the first flexible packaging user-generated fund for future innovation.

Traditional Model:

Cost + exchange + freight + last mile courier + 35- 50% margin = Your cost

If the landed cost from the supplier was $100 USD per 1000 units and you were to work with a traditional packaging supplier, we could apply the below logic.

Exchange at $0.59: $169.49
Import/ freight at 15%: $194.91
Local delivery at 5%: $204.66
Margin at 35%: $276.29
Sell price: $276.29

If you required 100,000 units, your total packaging spend would equate to $27,629.23.

REVO® Model:

Cost + exchange + freight + last mile courier + 2% PFG Plastic Tax = Your cost

If the landed cost from the supplier was $100 USD per 1000 units and you were to work with a traditional packaging supplier, we could apply the below logic.

Exchange at $0.59: $169.49
Import/ freight at 15%: $194.91
Local delivery at 5%: $204.65
PFG Plastic Tax at 2%: $208.75
Sell price: $208.75

If you required 100,000 units, your total packaging spend would equate to $20,875.23.

Comparing Models

When comparing these two models, we look at the reduction in initial cost but also the contribution and savings gained in the long run. While we have used $100 as a baseline example, please note that values may vary depending on the margins used.

  • The difference on this order alone equates to $6,754.00 saved. Even if you based this scenario inclusive of our “Accelerator” membership fee (allowing a packaging spend of up to $50,000 per annum) you would still have saved $1,754.00 on this one order.

  • You would then be able to purchase a further $29,124.77 worth of your cost-price packaging with no additional costs. A repeat order would gain a $6,7540.00 saving, leaving a $8249.54 balance.

  • You would also accumulate $417.50 per order in plastic tax payments, which would accrue in the “Packaging for Good®” plastic tax fund.

  • Keep in mind, a higher margin than 35% would result in an even greater saving if you were to work with REVO®.