As we start 2022, businesses across industries continue to struggle with two years’ worth of supply-chain issues, material shortages, and quality control challenges. For those who need packaging for their products, the problems are compounded. Material shortages and delays, for example, have intensified the problems of an aluminum can shortage that predated the pandemic. Preparation is the best way to make sure you can hit the shelves, on time, with quality packaging. Read on to see the plans we’ve implemented at Lorpon Labels, and how we can help you get your products to market.
Myriad challenges facing beverage producers in 2022
Beverage companies are scrambling to find packaging and as a result, are running into supply shortages and quality concerns with mediocre materials. Plastic’s negative impact on the environment has made it unpopular with consumers. This leaves beverage producers with two options: glass or aluminum. Since glass is heavy, expensive and breakable, more and more beverages are being canned. And, the pandemic has only made things worse by shutting down bulk products in retail and hospitality in favour of convenient, single-serve format, packaged beverages. This high demand has led to a serious shortage, to the tune of 10 billion-plus cans in North America.
The shortage of aluminum cans has created a real headache for producers trying to find standard materials at an affordable cost. This is especially true for those who are direct printing. Direct printing requires a huge amount of volume, making the costs for direct printing unaffordable for small producers. In fact, even some large producers can’t justify the volume that direct printing requires for each one of their products. And for those producers who can meet that volume, the cans are in short supply.
Shrink sleeves are an alternative to direct printing that doesn’t require large volumes but they come with a different set of challenges. Shrink sleeves are made of plastic, which means they aren’t welcome in Quebec. They require a long lead time to produce and while shrink sleeve wraps do cover more real-estate on the can, pressure-sensitive (PS) labels offer a wider range of colour options and finishes on press.
To add insult to injury, many labelling materials are also on backorder. This is forcing producers to constantly switch up label stocks to meet production line quotas, causing inconsistency in the label quality and appearance of those brands.
Attention beverage producers: starting planning your year now
At Lorpon Labels, we’re advising our customers to consider pressure-sensitive (PS) labels which you might think of as a sticky label adhered to the can. These can be printed with a wide variety of inks, films and papers such as silver metallic or white films, and wet strength or Aquashield papers. Those papers are both compliant for the Quebec market. In fact, many of our paper substrates are compliant with the Recyc-Quebec mandate for no plastic content in labels. With in-house creative and our commitment to ensure we have materials on the floor, we are able to design and produce the perfect PS label for your beverage in a short lead-time.
In an effort to be proactive, we have 2 million feet of beverage can material in stock and a restocking plan in place to ensure supply throughout 2022. We have three approved white films, as well as multiple silver films, and several paper label formats (all in stock) to differentiate your brand… not to mention unlimited embellishment options to ensure your can will #owntheshelf.
The bad news is that the supply chain issues are going to continue well into 2022. But there is also good news. When you work with Lorpon Labels, you’ll have access to our quality inventory, in-house experts and industry knowledge. Contact us today to discuss how we can get your products to market.