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Building Bulletproof Relationships
By: Martin Kleinman
Posted: November 25, 2013, from the December 2013 issue of GCI Magazine.
The interrelationship between brand strength and package design has been well documented in the pages and webpages of GCI. The package is a critical touch point, and should be the distilled expression of a beauty brand.
But the operative phrase here is “should be.” How often have you walked the aisles at major trade shows, or visited your favorite retail outpost on an industry recon mission, only to stop and gape at the misfires. The success of a package depends to a large extent upon the strength of the brand/customer-packaging supplier relationship. This is especially true in today’s business environment. Like mushrooms that follow the rain, the world’s retail shelves are crammed with new launches and flankers, all competing for consumer attention. And the competition will only intensify in the years ahead.
In the following, industry experts work to help shed light on various facets of the customer-packaging supplier bond. Hopefully, their insights can illuminate answers to questions you may be harboring on the topic, as well as help lead the way to innovative packaging solutions that protect your brand from the avalanche of new products that is sure to continue arriving on shelves every day.
Today’s Key Drivers
To frame the conversation, the packaging supplier experts were first asked to discuss the key supply chain-related drivers in today’s beauty product market. Overwhelmingly, the responses were about the quest for innovation and speed to market. Hervé Bichon, CEO and president of Le Papillon Bioplan, part of the Ileos Group, said, “Speed to market is at the top of the list—you have to be quick in this market. The supplier must be responsive and [offer] service [that is] completely there for the customer.”
Added Robert Brands, principal and founder of InnovationCoach.com, “Along with speed comes the need for innovation. The personal care product market is an innovation-driven business. The consumer constantly searches for something new, and that newness must remain true to the core brand essence.”
The Ideal Customer-Supplier Match?
With the need for speed and innovation in mind, the next topic to explore is the definition of the optimal customer-supplier match.
“The metaphor I use is the restaurant sommelier,” says Costas Papaikonomou, founding partner of innovation agency Happen.com. “You first guide the sommelier with your food selections and what you like in a wine. A good sommelier will then be able to recommend choices you might never have considered if left to your own devices. By extension, the optimal supplier will understand your brand’s DNA and suggest packaging alternatives that will turn heads, sell product and remain true to the brand.”
Christopher Yows, business unit manager of R&D/Leverage, addressed the all-important issue of chemistry between customer and supplier. “The supplier must get you to market on budget and on time,” he acknowledges. “And technical proficiency is critical. That said, at the end of the day, relationships matter. You have to ask yourselves, ‘Are we comfortable working with this group?’”
“The right supplier can handle all aspects of the assignment seamlessly, with innovation and technical proficiency, and be able to work collaboratively—with trust,” says Nathalie Nowak, executive vice president of marketing, innovation and development with Albéa Group. “When customer and supplier are in sync, grand visions can become reality.”
Keeping an open mind is essential in defining who and what the ideal supplier is, according to Papaikonomou, who authored Thoughts from a Grumpy Innovator (Aikono Bv Book, 2013). “Some might say, the ideal supplier is a company that looks like us,” he notes. “I think a better way to look at it is: a company that has the technical chops and knows our business, sure, but that also pushes us to higher levels with fresh perspectives, and raises the bar. Of course, not every corporate culture is capable of that kind of thinking.”
Timing, as usual, is everything. But specifically, when is the optimal time to bring the supplier into the new product development process for beauty brands? Without hesitation, Bichon, Brands, Papaikonomou, Yows and Nowak all offer: “The sooner, the better.”
Papaikonomou explains, “The boring answer is, early in the project. But ideally, you want the supplier in there before you even start.”
Bichon also notes, “Of course, with stock packs, the supplier can come in a bit later. But for the innovation many brands require, it is best to have the supplier onboard quickly, which frees the savvy supplier to initiate the truly breakthrough solution.”
Ins and Outs, Dos and Don’ts
Clearly, this is a topic that requires a fair degree of introspection on the part of the brand owner. “To get the most from your supplier—true, breakthrough packaging—[you need] to have a top-down innovation mindset,” says Brands, who also authored the book Robert’s Rules of Innovation (Wiley, 2010). “And part of that is a comfort level for some degree of failure and a culture that fosters and rewards risk-taking.”
Adding to that, Papaikonomou says, “On the customer side, the project has to have a passionate stakeholder, and in early discussions, you don’t want operational issues to get in the way of the discussion.”