FPT 1:2019

Self improvement as a factor

What brings the future of flexible packaging

Flexible packaging: Is it me to find a more sustainable replacement?

tesa So print Performance Check (on board)

‘We created a new market for our business model’ 1

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Marketing Experts say that packaging is when science, technology and art mix to create a marketing sensation.

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The liquid packaging board industry is greatly affected by changes within our socio-economic environment.

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In August 2018, Amcor and Bemis announced their plans to merge the two biggest flexible packaging producing companies of the world.

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Flexible packaging is widely used but difficult to recycle. We need holistic solutions to address the problem. The flexible packaging market has grown steadily, increasing in value by 4 to 5% each year for the last 20 years.

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In 2015, ePac was founded to serve the small run flexible packaging market. We met with Jack Knott, CEO of ePac to learn more about the franchise business model (think McDonalds and the likes) and the goal of the start-up.

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From a starting point to the destination, getting acquitted with the path is very paramount for a successful target/end. After about 10 years of patience, one of the leading flexible packaging manufacturers in Turkey, Constantia Asas, invested in a new printing press.

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Failure in a Prospering Market It’s not exactly “news” that the flexible packaging industry is prospering and continuing to grow at a healthy rate. All forecasts point in the same direction: up.

The advantages of flexible packaging are well known and well described, with more and more branded goods manufacturers converting their packaging jobs to flexible packaging materials. At this point, we all should consider ourselves lucky to be in such a stable industry. Our friends from publication and commercial printing understand this better than anyone else.

However, I have received more than enough news of closures and even bankruptcies of late.

The reasons for this may have plausible explanations, such as an increase of productivity in machinery, the shifting of production capacities to the Far East, a catastrophe (fire, flood, earthquake) or a general change in the market. This is not the only industry where this happens—it’s just a sign of the times.

However, there are other instances where a business may fold. For example, companies where the management made key mistakes such as misjudging projected sales and weren’t able to generate enough profit or simply investing in the wrong areas, even in an otherwise lucrative market. If possible, I would like to interview a manager of one of these companies. If this has happened to you or anyone you know, please feel free to get in touch—it would be very much appreciated.

Until the end of April this year, I will be traveling through various European countries in order to visit a number of printers and manufacturers. If we haven’t set up a meeting yet, please don’t hesitate to contact me.

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The Future of Flexible Packaging Marketing Experts say that packaging is when science, technology and art mix to create a marketing sensation. This is no further from the truth. I mean, what better way would you define such a scientific innovative effort that enables grapes to last up to 70 days instead of the usual 7 days? Or that extends the shelf life of cheese to 90 days or more? That is the magic of Flexible Packaging!

Lately, Flexible Packaging has dominated the packaging industry. The reason is simple; it leads the way in packaging innovation. Not only that, it also adds greater value and marketability to both food and non-food products.

For instance, it mixes the best qualities of film, plastic, paper, aluminum foil etc to provide stronger, inexhaustible protective properties with minimal resources.

So, one can conveniently define Flexible Packaging as that package whose shape can be readily changed. More precisely, it is used for institutional and consumer products to preserve, protect, distribute and market arrays of products. It, as well, aids in barrier protection, provides heating, ease of use for different industries. Certainly, its advantages are nearly immeasurable.

But, to narrow it down, Flexible Packaging largely impacts five (5) important areas: Food Waste; Recycling; Smart Technology integration; Biodegradable materials and ECommerce. These areas have, in great measure, also impacted Flexible Packaging especially Ecommerce. For example, with shipping logistics in E-commerce, the need to achieve durable barrier protection and compactness, and at

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the same time, maintain lowest possible carbon footprint is now stronger.

Let’s take a good look at each of these areas and their two-way relationship with Flexible Packaging.

Food waste Research says “every year, 1.3 billion tons of food go to waste globally.” And U.S. consumers waste as much as “36 million tons, or an astonishing 40 percent” of the global score.

Again, fresh produce is in the top five of food wasted most often, after dairy and bread.

What do these figures show? A red alert of an impending global food crisis! Maybe, the major

reason we often waste food is because we are mostly caught by surprise with the expiration dates. So, what other evidence points to the dire need to preserve food? Does it not convince us there is a strong need to double the shell life of these food products?

Flexible Packaging knocks with solutions to food waste. According to Jack van der Heijden of Flexoplast, a (multilayer) flexible packaging with barrier features contributes immensely to the drastic reduction of the quantity of waste, the preservation of nutritional values and a longer shelf life. For instance, Film is used to fight food waste. A change in portion size has led to cus-

tomers requesting for packaging with natural, sizeable and fitting look and “touch.”

Another interesting twist to Flexible Packaging is the non-use of additive.

Mistubishi’s flexible packaging technology can, for instance, remove oxygen that is trapped in sealed packages. By so doing, it preserves all flavors, aromas, colours and textures of the foods without the use of additives. This is best suitable for all kinds of foods.

Recycling In a bid to prevent waste, packaging providers and brand own-

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ers have adopted innovative replacements for multi-layer plastic packaging that are difficult to recycle. Recyclable barrier pouch is one of such many innovative replacements . Amcor, a global packaging producer, developed this through Layers of different materials with a coated PP Film.

Its new HeatFlex AmLite pouch takes recycling a topnotch high-

er by generating a powerful barrier to oxygen and moisture through the use of OPP film coated with silicon oxide. And also, the film, which is made of barrier properties on pair PET, can be used for food like nuts, pet food, and coffee. That is recycling!

Again, the efforts of Werner Mertz to roll out all PE pouches for its Frosch brand products are a huge recy-

cling invention.

And when you look deeper, you find the wind of recycling penetrating all sectors.

Already experts are making strong prediction that the evolution of recyclable flexible film packaging will give rapid acceleration to the adoption of packaging type. Particularly, as the survey of Packaging Digest reveals, the first packaging evolution has to do with conversion from rigid

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to flexible film packaging. The second is moving to mono-material as well as other recycling options.

Biodegradable Materials Just as recycling is taking shape in the rise of Flexible Packaging, biodegradable materials are certainly feeling the direct impact. Daily, organisations and individuals become increasingly aware of the need to keep organics out of landfills. And this is the exact reason compostable foodservice packaging has largely been embraced as the right innovation.

For emphasis sake, Biodegradable packaging materials are broken down by fungi, bacteria, or some other microorganisms. It happens through either aerobic (i.e. with oxygen) or anaerobic (i.e. without oxygen) degradation.

So, biodegradable products do not actually

meet particular industry standards or regulations, which is unlike other sustainable products. And often, consumers are ignorant of the overall negative environmental impact these materials make.

It is, therefore, unsurprising why Flexible Packaging has been strongly evolving.

BPI member companies are catching in on the efforts of Flexible Packaging by producing such products like cold and hot cups, cutlery, and then, taking out packaging made from resins and fibers that perform in a foodservice context, but equally break down in commercial compost facilities together with other organic material. This is certainly a great way to begin.

Though, the need for compostable alternatives goes beyond the level of plates and cups to include flexible packaging for snacks, coffee etc.

Smart Technology integration Flexible Packaging will certainly not be possible without technological integration. Companies often offer commercially available technologies on four grounds: sensors/printed electronics; barcodes/QR; Augmented Reality (AR); smart indicators’ pigments and links. Smart packaging, itself, entails both intelligent packaging, which communicates product changes and other information, and active packaging, which offers functionality like moisture and oxygen control.

To aid the perfection of smart packaging, therefore, the technologies have to be properly integrated and readily available. These technological systems are decisive to the growth of flexible packaging and overall commercial activities.

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For instance, the Amcor MaxQ, a digital packaging device that features barcodes, print and QR codes grows consumer engagement and loyalty.

Consumers scan the MaxQ code on the product packaging to unravel all features of the product and the authenticity of the product.

How about EVRYTHING IoT? It’s an Internet of Things (IoT) that connects consumers to the web and manages realtime data to drive applications and analytics all through the product lifecycle. These are just two perfect examples of the interaction between Flexible packaging and technological integration.

online shopping, packaging is advancing its lead in both consumer and brand’s ecommerce experience. More than ever before, companies have been faced with a dire need to adapt to change, and innovate models of flexible packaging in order to meet with consumers’ demands. So, the impact of Flexbile Packaging is largely driving Ecommerce.

E-Commerce

Future of Flexible Packaging is very much bright. Daily, industry trends swing in its favour. To say the least, it has emerged as a strong force and pivotal element in both the packaging industry and the commercial world.

And there appears to be no slowing.

Off from technological integration, Ecommerce is rapidly taking shape and determining commercial trends. And we can clearly see how sharply it has connected with Flexible Packaging.

With many more customers embracing

On the other hand, the need to measure up to speed and efficiency has largely been a consequence of increased online sales volumes.

This in turn, has sped up printing and packaging to ensure that these E-commerce brands deliver as promised.

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tesa Softprint Performance Check on TRESU INNOVATOR Press The liquid packaging board industry is greatly affected by changes within our socio-economic environment. As such, the European Union’s August 2017 report expressed that one third of all households within the European Union in 2016 were single-person households, a statistic which corresponds with the market trend regarding smaller packaging. This, combined with an exploding demand for new flavors in the convenience food and beverages sector, has helped propel the liquid packaging board industry into a state of creative flux.

Water What is the im- packaging designers are pact for liquid packag- working on more chaling board printers? lenging and creative design elements, all of In order to increase the which lead to higher visual effects of smaller print quality requirepackaging sizes to at- ments. The increasing tract more consumers,

number of unique and complicated product designs push the industry to re-think existing production methods. This is vital in giving producers the opportunity to

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Foam Hardness level

Measuring field

Dot gain value [%]

Density

Measured in Color

Hard

50%

17,8

1,57

Cyan

Medium-Hard

50%

17,5

1,55

Cyan

Medium

50%

15,6

1,53

Cyan

Soft

50%

14,6

1,50

Cyan

react to changing condi- TRESU's innovative ma- rates can be achieved. tions and remain effi- chine concept, fast job cient and competitive in changes with low waste The outcome of the print test the market.

Proof of performance on the TRESU INNOVATOR PRESS To prove our influence on print quality we often test our tesa SoftprintÂŽ plate mounting tapes on-site, at industry leading print manufacturers. One of the latest tests was performed in the technical center of TRESU Group in Denmark. The goal was to evaluate the print quality on paper carton board when using different foam hardness levels.

The trial was conducted on the TRESU FLEXO INNOVATOR PRESS with a 6 color (CMYK + 2 spot colors) test form.

This printing press is designed to print on a variety of paper board material and thanks to

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The general belief regarding foam hardness is that plate mounting tapes with harder foams are recommended for solid motifs while plate mounting tapes with softer foams are recommended for screen motifs.

During the trial we tested our four main tesa Softprint® plate mounting tape hardness levels under identical conditions. For the printing plate, we used a 1,14 mm Kodak NX plate with 60L/cm and an anilox roller with 400L/ cm and 4,6 cm³/m².

The evaluation of the samples showed that the SOFT Foam (red color code) produced the best results. Even on solid prints, low dot gain and equal ink laydown without pinholing effects were achieved.

The outcome print test

of

softer foams are recom- achieved. mended for screen moConclusion tifs.

During the trial we test- The outcome of the ed our four main tesa print samples produced Softprint® plate mount- results that slightly difing tape hardness levels fered from the expected outcome. under identical condi- theoretical The reasons for this tions. For the printing plate, we used a 1,14 mainly relate to the pamm Kodak NX plate per, which behaves difwith 60L/cm and an ferently from materials anilox roller with 400L/ such as film during flexible packaging printing. cm and 4,6 cm³/m².

In addition, the printing The evaluation of the plate technology used samples showed that (Kodak NX) has micro the SOFT Foam (red structures (or enhanced color code) produced surface technologies) the best results. Even which provide a particuon solid prints, low dot larly high ink transfer to gain and equal ink the substrate. These laydown without pin- factors have to be conholing effects were sidered when selecting

the

The general belief regarding foam hardness is that plate mounting tapes with harder foams are recommended for solid motifs while plate mounting tapes with

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the appropriate anilox ble tesaÂŽ and TRESU roller and plate mount- sales representative. ing tape foam hardness.

Additional note (side When these individual box, if possible) components are perfectly coordinated, the The secret of the tesa whole process is signifi- foam plate mounting cantly simplified, lead- tapes: ing to a more stream- To provide excellent lined and efficient pro- print quality, tesa cess, and ultimately SoftprintÂŽ plate mounthigher print quality. ing tapes are equipped If you want to know with a closed cell PE more about our tesa foam which offers exSoftprintÂŽ products or cellent resilience and properties TRESU Group flexo cushioning printing presses please throughout the press contact your responsi- run. In addition to this the foam in our smart

tape production process is handled with the utmost care to avoid any mechanical stress, resulting in more intact cells for better cushioning and resilience over time.

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Merger of two giants In August 2018, Amcor and Bemis announced their plans to merge the two biggest flexible packaging producing companies of the world. This was not the first merger or acquisition in this industry, but by far the biggest and most likely the most impactful.

The food packaging industry is booming and rightly so. Food packaging isn’t important only because we would cease to exist if we did not have access to food, there’s actually more to it than just that.

tomers will be willing to purchase the item.

Hence, the marketing sector is greatly intertwined with the packaging angle of products.

stretching from people’s livelihood, people’s households and people’s lives would be hampered.

Amcor

Without food packaging, a whole range of areas Amcor is a food packaging company, which was

With the lifestyles people hold, whether in the east or west, packaged food has become a necessity in order to not only protect and preserve food but for presentations purposes as well. There’s no denying that if the food is packaged in a pleasing manner, more cus-

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founded in the 1860s in Australia, making it one of the oldest food packing companies. Amcor aspires to attain excellence in all of its work while trying to establish a trademark for high-end packaging. This is something Amcor has consistently maintained in its years of operation.

Clients for Amcor can be found worldwide, from Asia, North America to South America.

This makes Amcor a wellknown company not only on a local market level but on an international platform as well. The centuries of experience definitely help in allowing Amcor to play a key

role in food cialty cartons packaging and to closures, Amcor takes on distributing. a wide range of As for the packaging sernumbers, vices. around $5 billion dollars With the mergcomes in simp- ing of Amcor ly from the US and Bemis, and approxi- bigger nummately $18 bil- bers are prolion comes in jected for both from world- names as well wide, Australia as a great included. boost to the alAmcor has ready excelling around 195 image of both plants and em- companies. ploys approximately 35,000 Bemis employees in Bemis is a food 43 countries packaging worldwide. company that There are ap- started back in proximately 30 1858, making merging mar- it one of the kets linked oldest food with Amcor. packaging There are a to- companies. tal of 8 current There is a sayAmcor direc- ing that goes, tors, working “innovation is efficiently to the mother of If keep Amcor’s invention”. one were to name reigning at the high in the look Bemis food industry. work From flexible produces, it’s that packaging, rig- evident id plastic con- their line of tainers, spe- work falls right

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along this saying.

Currently, Bemis is a US based company, with Wisconsin holding a strong base for Bemis’ network plants. Bemis has more than 50 facilities existing in more than 10 countries worldwide. There are approximately 16,000 employees working to bring Bemis forward as its expertise continues to grow and expand.

Bemis looks to work collaboratively with companies that agree to move forward in an innovative way. One of the key areas Bemis keeps in mind is the environment and sustainability. Bemis firmly believes that the environment along with the global community needs to develop effective and meaningful solutions that allow for sustainability.

ing and reclosing after opening. All of this contributes to less time spent in the kitchen, making consumers’ lives a lot easier.

Bemis has a total of 3 current directors who will join the board with Amcor’s 8 directors, putting the total of directors up to 11. Wisconsin will continue being a stronghold for Bemis even after Amcor and Bemis merge.

What the merge means for the industry When two strong players join hands, it’s always better than one

player. Amcor and Bemis joining hands implies both teams getting one step closer to global leadership in consumer packaging. This is ever so important if we take into consideration the continuous need for world-class packaging with shifting consumer needs.

The latest focus on sustainability and its importance also sheds light on the intrinsic difficulties associated with recycling flexible packaging. This factor has brought the packaging industry and its products under media scrutiny. Not only is the en-

In line with the concept of sustainability, Bemis focuses on helping to reduce food waste by delivering packaging that preserves food freshness. Their packaging also allows for easier opening, portion-

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vironment of concern, people’s health and ultimately their lives are also related to environmental conscious packaging.

projected to go beyond $9 billion. With global listings like NYSE and ASX, there is greater liquidity for investors.

There is an expected inclusion in the S&P500 Sustainability is a global and S&P/ASX 200 inissue, demanding dexes. properly coordinated comprehensive action, Shareholders for Amcor Amcor and Bemis make and Bemis will be holda great team when ing 71% and 29% rethought of in these spectively of the comterms. bined companies. As for the benefits for shareWhen it comes to the holders, among others, food packaging indus- there will be a cash and try, people are perhaps tax-free setting for all hungrier than ever. This shareholders in a share means good business for share exchange. for those working under the food industry. The Amcor and Bemis joindemand for food is ever ing together mean the growing and it is practi- merging of big numcally impossible for the bers, innovation, envifood business to ever ronmental sustainability go out of business on a and experience.

As global front. To simply stated by William F. put it, this is because Austen, the President life would not be possi- and CEO of Bemis’: ble without the food in- "The combination of Bedustry. This definitely mis and Amcor is transshows green lights for formational, bringing those looking to invest together two highly or become greater play- complementary organiers in this sector. Amcor zations to create a and Bemis have kept global leader in conthis in mind while de- sumer packaging…” ciding to come together.

Moving forward, there Joined revenues for are likely to be great Amcor and Bemis are changes happening in

the food packaging industry, changes that are innovative and catered well to the ever growing needs of consumers. It’s safe to say that it’s only a matter of time before Amcor and Bemis packaged goods will be found in every household across the globe.

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Flexible packaging: Is it time to find a more sustainable replacement?

Flexible packaging is widely used but difficult to recycle. We need holistic solutions to address the problem. The flexible packaging market has grown steadily, increasing in value by 4 to 5% each year for the last 20 years. It has become an integral part of modern-day life. Is it now time to find a more sustainable replacement? Opinion by Simon King Business Director, Chemical Research, Films Wood MacKenzie Director, Flexible Packaging Ironically, flexible packaging became popular in Europe the 1980s in an effort to stop millions of tonnes of packaging waste being sent to landfill.

What was thought of as an answer to a growing waste problem has now become the problem.

How do we find a longterm, sustainable packaging solution that is viable and meets environmental objectives across the supply chain?

Why choose flexible packaging?

The stand-up pouch

neatly illustrates flexible packaging’s advantages. Pouches are appealing to producers because they are lightweight and strong, have a smaller carbon footprint compared to traditional rigid packaging formats and offer a larger surface area for eye-catching brand messages.

They meet the criteria for consumer convenience by providing functional properties such as they are easily resealable and microwaveable.

In addition, tailored

barrier materials in pouches and other forms of flexible packaging help protect food from moisture, oxygen, UV rays, grease, and contamination, and can significantly extend shelf-life.

How do we solve the waste problem?

Flexible packaging ticks a lot of boxes but there is one major challenge: it is not easy to recycle.

There are no simple solutions to this complex problem. At face value, switching to a biodegradable material such as a home-compostable

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food wrapper would help reduce the amount of plastic waste in our oceans.

But how would this affect the rest of the packaging supply chain?

For example, if all food manufacturers were to make the switch, we would need much more compostable film extrusion capacity than we currently have. Somewhere in the value chain, prices would have to increase to account for a product that is much more expensive than current packaging.

Most importantly, biodegradable plastics are not likely to solve the problem of ocean litter – almost all are designed to break down in soil, not water.

Can the industry do more?

chain. There are numerous initiatives already underway to improve sustainability.

Manufacturers are exploring new designs and ways to reduce overpackaging. Much has already been done to make plastic film production more energy efficient – could producers do more?

Work to improve recy-

cling technology would help to reduce the amount of material that ends up as litter.

While consumers are well aware of the problem of plastic waste, there needs to more education about its value. Plastic needs to be viewed as a product that can and should have another life, rather than as simply a throw-

Areas for improvement in the flexible packaging supply chain Why a coordinated approach will deliver maximum impact To address the problem effectively, we need holistic solutions that involve every stage of the packaging supply

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away commodity. Finding new markets for recycled plastics will reinforce the message that plastic has value.

Packaging waste is a complex problem. Coordinated, holistic solutions that involve every

part of the supply chain will have the biggest impact.

At the 2018 Living with Plastic Packaging conference, we asked, how we can carry on "Living with Plastic Packaging"?

Get your copy of the

presentation slides to learn more about sustainable solutions to address packaging waste.

Fill in the form on this page.

Do we really need plastic packaging?

Flexible Assessing the true value of packaging and how the sustainability agenda will influence the market. As consumer awareness about plastic pollution and waste grows, do we really need packaging? At our recent conference, Living with Plastic Packaging 2018, we explored how the sustainability agenda will influence developments in the market but won’t detract from its overall growth. Read on to discover why we conclude that plastics and packaging are set to remain integral to the global economy.

Opinion by Paul Gaster, Director Flexible Packaging Why do we need packaging?

Extremely versatile, packaging has developed over time as consumer needs have evolved – from simply protecting an item to communicating infor-

mation about a product: including ingredients, weight, calorie count, use by/sell by and its price. The rise of the supermarket culture has influenced its evolution: packaging is now not only a way to deliv-

er information but also a key marketing tool and a mechanism to differentiate one product from another. In future, technology will enable packaging to become even more sophisticated.

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The global packaging industry Packaging isn’t just about plastic Plastic makes up less than half of the volume of the global packaging market, worth around $900 billion globally. As well as plastic, this includes paper and board, glass, metal and other materials. And plastic has a myriad of uses outside of packaging; of the 335 million tonnes produced every year, 66% is used in other applications. For example, plastics have a vital part to play in the automotive industry. Its light -weight properties have helped vehicles to improve fuel efficiency and meet industry regulations.

Emerging markets drive growth The packaging industry is growing by 3% annually, mostly driven by emerging markets – particularly Asia-Pacific, which has the biggest share of global packaging volumes at 45%.

With a mix of fastgrowing economies including China, India, Indonesia and Vietnam, alongside more developed markets such as Japan and Australia, the area is home to more

than half of the world’s population and a rapidly expanding middle class.

Global population is on the rise, with Africa leading this trend. The continent’s population is set to double by 2050.

Rapid urbanisation will mean more consumers who want to take advantage of modern convenience products.

Technological innovation in mature markets More mature markets like Western Europe, with around 20% of packaging unit volumes, have limited scope for growth, but are using technology to introduce innovation. Similarly, consumer demands in North America for product convenience and natural ‘clean label’ foods will drive change.

US$900 billion The value of the global packaging market 3% per year Growth rate of the global packaging industry 45% Asia Pacific's share of global packaging volumes 20% Western Europe's share of packaging unit volumes globally Finding sustainable alternatives will be complex

How can technology help to improve packaging’s sustainability?

We’ve already seen improvements in the shelf life of food thanks to the use of high barrier materials, modified atmosphere packaging and other techniques.

As consumers and legislators put pressure on the supply chain to reduce, reuse and recycle, solutions such as environmentally friendly compostable materials are being explored. But evaluating potential solutions takes time and should be weighed up against a variety of factors, including cost.

Finding viable alternatives to plastic is complex, time-consuming and challenging – there are no quick fixes.

At the 2018 Living with Plastic Packaging Conference, we asked, how we can carry on living with plastic packaging? Get your copy of the presentation slides to learn more about what’s driving growth in the packaging market and opportunities for a sustainable future. Fill in the form on this page.

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‘We created a new market for our business model’ In 2015, ePac was founded to serve the small run flexible packaging market. We met with Jack Knott, CEO of ePac to learn more about the franchise business model (think McDonalds and the likes) and the goal of the start-up.

Jack Knott knows what he is talking about. Before founding ePac with some partners he has held several roles at companies in the industry.

A Unique Business Mod- was free to design workflows around the el HP Indigo press from the get-go. Maximum ePac Flexible Packaging was created with the exclusive goal to print flexible packaging jobs digitally, making it affordable for their customers who prefer smaller batches. For this, ePac relied solely on their digital press of choice—the HP Indigo 20000 Digital Press.

Without any legacy analog presses or workflows to support, ePac

productivity and efficiency were the top priority from day one. This meant that internal pro-

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cesses as well as external processes—such as how the customers did business with ePac—were designed with the digital workflow in mind.

While getting their digital workflows in place, the marketing team at ePac also spent a lot of time and effort in determining the right market for their digital printing solutions.

They knew that there was an increase in demand for short and medium run length multiple SKU orders as brands looked at reaching out to customers in a more engaging manner. They also knew that smalland mediumsized brands (SMBs) were struggling to find affordable, quality packaging.

This has given rise to increased SKUs and packages with customized content.

Moreover, with the rise of targeted product variations and test marketing, the demand for customized short and medium run length packaging was soaring.

However, with traditional flexography, printing customized short run packaging was not economical, and simply out of reach.

clusively on offering quick, personalized, shortmedium run solutions to local customers manufacturing consumer packaged goods.

Keeping things simple is integral to the ePac business model.

Knott specified that digital has helped them reduce much of the equipment associated with flexo as “going digital helps us eliminate complexity from our workePac used this flow.” trend to their advantage.

The team knew that He stated: “The the HP Indigo press operator’s 20000 was most role is now much cost-effective for easier as he is short runs and, focused on in many cases, maintenance and longer runs the print job itwhere different self more than product varia- anything else.” tions and fast to Despite such a time market drastic change in were key. With the technology, this information, Knott is pleased they focused ex- that they can do

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almost anything that others do on a traditional flexo press. Furthermore, he is quite confident that what they can’t replicate on digital as of yet, HP will help them achieve in the near future. He added, “It’s just a matter of time.”

For ePac, the future is 100% digital. In fact, Knott is clear that digital printing for packag-

ing is not their offering to customers. ePac’s “real” product is their business model that uses digital printing as a tool to offer customers what they want: customized, short run flexible packaging that can be shipped in the shortest time possible. The company states that they didn’t take away existing jobs from flexo but opened up a new market for small- and medium-sized business-

es needing great packaging. They don’t consider themselves a competitor to the traditional flexible package printing industry, but they do see themselves as a game changer for the SMB market, and brands seeking to differentiate their products with the power of digital.

In the next five years— or even less—Knott ex-

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pects that the digital printing business model will have developed so far that customers will be able to go to a web portal (like Amazon) and choose and buy a packaging design and order it online for delivery the next day.

ucts and more.

Typically, ePac’s digitally printed flexible solutions include multiformat pouches with 3side sealing, pillow and lay-flat pouches, zipper pouches, and stand-up pouches with bottom gussets. With ePac’s soProducts and Applica- lutions, short run, custions tomized printing was affordable for the first time and within the With the demand for reach of regular manucustomizable, flexible facturers. packaging on the rise, ePac offers solutions for a wide range of indus- Future plans tries and products.

Their current customer base includes local bak- With the customized, eries looking for cost- digital print-on-demand effective and visually business model, ePac appealing packaging seems to have found that keeps baked goods the perfect recipe for fresh longer, to frozen success for their niche. food manufacturers Their experience in the looking for packaging in existing plants has different shapes and shown them that with sizes, which will stay the digital workflow, fresh on freezer shelves they can reduce manulonger. They also cater facturing time and proto other customers such vide customers with as granola manufactur- customized print at afers, coffee producers fordable rates. and distributors, natural and organic foods, local cheese manufacturers, sports nutrition prod- This success is evident

in the company’s rapid growth. Since start-up in 2016, ePac has grown at a steady pace, with more flexible packaging printing plants being added across the US. They have recently announced plans to launch new plants in Austin, LA and even Boston. During the interview, Knott mentioned that their goal is to have at least 15 plants opened by 2020.

Each plant will be equipped to serve the customized, shortmedium run length packaging needs of customers who are looking to engage with their customers in a more interactive and engaging manner. They have already placed an order for 20 more HP Indigo 20000 digital presses to support their US expansion. Valued at $100 million, this is the largest deal that the HP Graphics packaging business has made yet, which is just another indicator of how confident ePac is about the future for digital flexible packaging printing.

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Self improvement as a factor From a starting point to the destination, becoming acquitted with the path is paramount for a successful target/end. After about 10 years of patience, one of the leading flexible packaging manufacturers in Turkey, Constantia Asas, invested in a new printing press. Preceding that, the company focused on improving internal structures with the intention of capacity building of its existing machinery. The effect of the change became notable and has shown how small tweaks and self-development can yield big results.

Asas has become a principal gravure printing company in Turkey.

Originally established in 1978 by Vural Baylan, the company has subsequently developed into an exceptional packaging manufacturing company.

In 2011, Austrian pack- Company. aging group, Constantia Flexibles, became a shareholder in the Asas The challenge Asas fac-

Over the years, Asas has grown with market demands. In 2009, the Asas Company changed its ink suppliers to cooperate with Siegwerk.

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es is the nature of the market. Since the market is mostly local, it is very price-sensitive. It is also difficult to compete in the market without investing in new technology for easier production.

process to deal with the challenges faced.

Once the mechanisms for growth were put in place, the next thing to do was to introduce practical phases. The company had to replace the manual fault of Rotogravure with the same width. In doing so, Asas experienced an improvement in production of at least 30%.

For a number of years, however, Asas didn’t make any large investments in new machinery. Instead, the company improved internal processes by making a number of small im- Asas did not consider provements. The results the cost to be a deterare rather impressive. minant to investment, however. The company expressed its initial investment to be as important as the subseA Case Study of the Im- quent running costs. provements The machines purchased earlier were expected to last for Asas has, over the around 20 years with years, grown with mar- limited maintenance ket demands. To first costs. However, with recognize and then rising maintenance overcome certain chal- costs after two to three lenges, the company years of purchase, the put in place a mecha- need for an upgrade of nism for self- the machine was not improvement. Put simp- necessary. ly, Asas invested in a

Asas also had to invest in technology as well as research and development. The company needed to pay a little more to individuals and professionals in this field for higher quality machinery, research, information and internal development and to ensure that the best service was obtained.

Asas was involved in the production of an average of 30,000 meters (in length) of task for larger works. For smaller jobs, it produced an average of 4,000 meters. Since the production was large, there was a need to increase the speed on the machine. In dealing with an increase in speed and the technicalities that go with it, there was the need to increase the price, though the company refused to do so as it would have a knock-on effect on its customers.

The machines available

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were simple with eight or nine colors and a reliable drying capacity.

The issues the company experienced with the machines, however, had been primarily related to the inking and the inking rollers. It was a problem with the doctor blade system which called for improvement.

Furthermore, the company needed to change the slitter on a regular basis to ensure the machines remained in one piece and for more investment in the future.

Above all, the company believed that developing relationships with others was crucial for self-improvement. Asas forged good relationships with its customers, business partners and peers to remain in business. The company even formed close relationships with their direct competitors. According to the owners, they visited a number of factories to share experiences and learn from each other. Of course, they learned a lot which further im-

proved the company’s dealings in terms of process, safety, hygiene and documentation among other measures.

Investment moeller & (W&H)

in WindHoelscher

For about 10 years, Asas decided not to invest in new machines.

Though the company had Italian machines available, there was a need a better and newer alternative to meet market demands. The

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reasons for the long period without investment was because the company had to concentrate on capacity improvement as well as the splitting of risk for selfdevelopment.

Recently, however, Asas felt it was time to invest in a new machine—the Windmoeller & Hoelscher gravure press. The last machines bought were starting to show signs of age and were now not meeting the de-

mands of the clients’ needs.

Furthermore, the machines had increasing performance issues and there were complaints that some of the operations/tasks done had been carried out badly due to the aging machines.

While searching for newer machines, Asas carried out some research. Not only did the company consider the prices and technical features of the machines, but also focused

on the company’s financial stability. At that time, a number of companies were experiencing certain financial issues and some were not financially stable.

However, as Asas needed to invest in new machinery, the company settled for the W&H. The reason for opting for the W&H was on technical grounds.

Though less expensive than other machines, the W&H performs at least as well as almost all other top machines on the market.

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