BETTER PACKAGING SOLUTIONS FOR DR. PEPPER SNAPPLE GROUP

Kitting & Packaging for 59,000 POP Kits Requires Best Practices for Accuracy & Reducing Shipping Costs

The Opportunity

New Line Noosh’s procurement of Dr. Pepper Snapple Groups’s (DPSG) point-of-purchase materials required a printing and fulfillment vendor that can manage the complexity of the beverage manufacturer’s varied brands. DPSG had decided to do fewer, but larger, campaigns three times a year vs. multiple, smaller campaigns per year. KDM was given one of their biggest versioning challenges to date… a P.O.P. campaign that required:

  • 59,000 kits plus ala carte items
  • Of these 59,000 plus kits, there were 58 versions crossing over 10 DPSG brands: Dr. Pepper, Orange Crush, RC, 7-up, Snapple, Canada Dry, A&W, Sunkist, Dr. Pepper 10 and Schweppes
  • Kits consisted of approx. 12 different components: pole signs, shelf talkers, 50 and 100 count tear pads, hybrid neck hangers*, IRC’s, smart rack header cards, stickers, counter cards, channel strips, static clings, case cards and neck hangers.
  • The quantity per component, per version requested was all over the place ranging from 1,000,000 of one PRL to 100 of another PRL. The majority of the long press run items were printed offset on paper or cardstock up to 24pt. Some of the versions were printed digitally due to the short run quantity.
  • The 59,000 kits had to be kitted, then distributed from KDM to 745 regional locations across the U.S. The regions then distributed to the local bottlers to display in-store.

DPSG needed a vendor that could handle the complexity of the kitting, keep the costs down on packaging, and make it easy for the regional locations to distribute locally to bottlers.

The Solution:

DPSG opens up the in-store POP order process to their bottlers approximately 3 weeks prior to placing their print order. This allows for consolidated printing which saves them time and money in the production process. By being able to go to one company for all the components they can also control the consistency of color across the items and across the print methods such as screen, offset, digital and flexo. Noosh can go to one company for the required press checks and oversee the staged kit packing as well.

Speaking of kit packing. This part of the project was the biggest challenge to overcome:

  • Noosh and KDM both agreed that due to the sheer number of kits and the number of versions the kitting and shipping tasks needed to be completed in an isolated area
  • KDM rented 18,000 sq ft space directly across the street so they could have more control over the process. This allowed for a better organized kit staging process in which each component was grouped numerically by its unique 5 digit PRL number
  • A designated kitting team was assembled for the account
  • KDM came up with a better solution for packaging by sub-kitting each kit in a clear labeled poly bag, then placing multiple bags inside larger boxes. This saved an enormous amount of space, thus saving
  • DPSG packaging and shipping costs. It also was a better space saving solution for the regional delivery trucks delivering to the local bottlers.
  • All overs on the project are inventoried in KDM’s custom online portal called INTELLITRAK so that ala carte items or any “oh yeah, I need X” needs can easily be met.

The Result:

KDM was able to ease the minds of all parties by going the extra mile to put best practices in place to assure for timeliness and accuracy on such a massive kitting challenge. By poly bagging the kits it saved the DPSG a substantial amount of money in shipping costs, and allowed for a much easier process of delivery by the local bottlers.

Another great result is we now have a smart new product to offer. KDM designed and created the die line for a “hybrid neck hanger” (also called bottle hanger) for the beverage industry that has a dual purpose. It can be used as a typical neck hanger that fits over the neck of a bottle to deliver a marketing message at the shelf. Or, the top section with the hole can be torn off along the perforated line and then attached to a beverage case via the double stick tape strip on the back.