Packaging can be divided into three categories namely: primary, secondary and distribution packaging (Kotler, 2002), it can further be divided into two other categories: convenience and wasteful packaging (Copley, 2004). Packaging contributes to simplifying the process of distribution of products to the consumer (Büsser & Jungbluth, 2009). Distribution has a broader approach by paying attention to the life cycle of the product within the packaging, from manufacturing to consumption to determine the entire system’s environmental footprint to create a respectful sustainable production and consumption process (Büsser & Jungbluth, 2009; Kelsey, 1985). The quality of the product can be affected during the distribution process in a chemical, biological and physical manner. Therefore the food packaging has to extend the shelf life and maintain the safety and quality of the product (Kelsey, 1985; Han, 2005).
Distribution in simple words comes down to making a product available to the target market by distributing it through elements of transportation, packaging and delivery (Sonntag, 2017). Furthermore, a distributor is a company that works on behalf of the brand by purchasing the product, gathers them in a storage facility and sells them through channels of distribution. They work between the companies that manufacture the goods and the retailers that sell the goods to the consumer (Sonntag, 2017).
SUSTAINABLE COFFEES
The sustainable coffee distribution market has expanded immensely over the last couple of years. This is the result of an increase in the number of traders, incorporating some of the largest global companies’ exponentially getting involved. The retail intensive distribution supermarkets have infused themselves with speciality retailers. Broadening the exposure level to these types of coffee (Giovannucci & Koekoek, 2003). With this positive shift, the consumers are losing the personal touch and attention from the specialized retailers which introduced them to sustainable coffees. Therefore branding, promotional and advertising strategies need to be put into place to compete with the lower-priced brands (Giovannucci & Koekoek, 2003). The retailers in the end have the power to decide which products are distributed and placed on the shelf. Some green businesses try to make the change of their position by having more sustainable coffees represent what they stand for (Giovannucci & Koekoek, 2003).
DISTRIBUTION CHANNELS
A distribution channel is described as the movement of a commercial sale between the manufacturer and consumer. There are four levels that describe this kind of sale process from manufacturer to consumer. The first level is a direct sale from the manufacturer to the client. The next level has one person in between for example the retailer. The third level has two people that work on behalf of the producer for example the wholesaler selling to the retailer. The last level has three people the only person that is added is an agent that works on behalf of the company and works with the wholesaler (Sonntag, 2017).
TYPES OF DISTRIBUTION
To find the right type of distribution process one has to understand that there are three types of distributions. The first is the intensive distribution that aims to supply to as many outlets as possible and connect with as much of the market. The second is a selective distribution that focused on specific outlets within the chosen location. Creating a more customizable shopping experience. The last is an exclusive distribution with limited chosen outlets to promote luxury and exclusive brands (Sonntag, 2017).
The current definition for the term Premium is a higher than normal quality product and packaging, with high prices, only offered through distribution channels of high quality and advertised on a selective basis (Quelch, 1987, p. 39; see also Anselmsson, Bondesson, & Johansson, 2014; Lyons & Wien, 2018; Sjostrom, Corsi, & Lockshin, 2016). MOCO Coffee will fall between a selective distribution and exclusive distribution.
DISTRIBUTION PACKAGING
The MOCO COFFEE brand has two distribution packaging channel options. The first is the generic distribution company that uses a square cardboard box to pack and transport the coffee bags to the retail stores, this is also known as secondary and tertiary packaging. This option will work with packaging option 1: the recycled plastic bag. But for the second and third packaging options, another packing decision needs to be made as these two are made out of a more fragile material known as wax and glass. The second distribution packaging option has to be custom made. When looking at the box or container the product needs to be transported in a reusable recycled plastic container that can be designed and created in the form of a retractable shape to become more than one size container. This will benefit any company once the amount of product distribution is increased. Added to this design are retractable sliding dividers providing support for each product.
The two distribution packaging protecting layer options will not only protect the product but facilitate the amount of time and packaging material that is being used by the distribution companies. The first design is a material known as HEXCELWRAP or FLEXI-HEX. The product is wrapped with the material and placed into a cardboard box. The second is a custom recycled plastic bottle container holder that can be reused with every delivery.
“HexcelWrap is a product made from easily recyclable and 100% biodegradable materials. It is seen to be the seamless protective packing material substitute for bubble wrap and foam” (Cartier, 2019).
HexcelWrap offers numerous advantages:
It’s made from Forest Stewardship Council® (FSC) certified paper.
It reduces packing time.
Less packaging material is required per order.
It has a smaller storage footprint (using up to 80% less space).
It reduces product damage.
It’s eco-friendly.
“This solution is a self-sealing, interlocking design, keeping products in place without the use of adhesive tape. The protection of this product’s hexagonal cells further reduces the risk of damage. The fact that it is paper-based, reinforces reusability, compostable and recyclable aspects” (Cartier, 2019). “Its continuous perforation means that you can easily tear off the exact length of material you need. Less cubic space is required. HexcelWrap is ideal for wrapping glass or ceramic products, cosmetics, electronics and other fragile items. It offers the additional advantage of supporting smaller box sizes for reduced cubic space usage” (Cartier, 2019).
“With its unique patented honeycomb design, Flexi-Hex is a great alternative to plastic and other protective packaging solutions such as polystyrene and is much more cost-effective than other paper solutions such as ‘pulp‘ packaging” (Kite, 2020). “Extremely strong and adaptable, it is suitable for glass, bottles, homewares, ceramics and much more. Simply place the product between the two-honeycomb structures and use it in conjunction with Kites single wall outer box for the ultimate protection during transit” (Kite, 2020).
“Another option from this company is CORRUGATED SLEEVING. Designed to mould itself around a variety of shapes, this 100% recyclable and biodegradable corrugated sleeving is suitable to protect a wide range of products, from glass, bottles, ceramics, jars, homeware and many more” (Kite, 2020). “Moisture resistant, adaptable, and extremely easy to use they are a lightweight plastic-free alternative. Simply place the product in-between the cylinder shape structure and place it into postal boxes” (Kite, 2020).
