Packaging Design Blog

How Much Does Luxury Packaging Cost?

Written by Scott Kuhnel | Aug 18, 2021

If you sell a high-end product, it’s imperative to use luxury packaging to complete your brand image. Most companies assume luxury packaging will be prohibitively expensive, but in reality, it’s often surprisingly affordable. You can easily support a successful marketing plan and increase sales with custom luxury packaging.

The cost of a luxury packaging box is dependent on the size of your order, the materials you use, and the complexity of your design. A “low volume” order is considered anything below 5,000 units. If this is the case, expect to pay between $2-6 per box.

Bear in mind that manufacturers will offer a wide variety of prices per box. Some may offer boxes for 15 cents, though this usually means they’re cutting corners. Others offer luxury rigid boxes for 15 dollars, which is far too expensive for most budgets, but this all depends on the price point of the product involved.

Try to find a packaging company that offers a high-quality product at a competitive rate.

 

What’s the Difference between Luxury Packaging and Regular Packaging?

Many products require simple, no-frills packaging, while others depend on deluxe product packaging to bolster their brand image. To decide which option is best for you, it’s important to understand the difference between luxury packaging and regular packaging.

A luxury package usually uses higher-quality materials. For example, if your customer base is concerned with sustainability, packaging companies can source your packages from recycled materials. Luxury packaging can also include elaborate design elements like embossing or multiple colors. These additions inevitably cost more, but the cost can usually be absorbed in the price of a high-end product. In many cases, if you buy luxury products in bulk, the price differential can be negligible

How is product packaging cost calculated?

  1. Size matters when it comes to luxury packaging. The price increase especially applies to rigid luxury boxes because they cannot fold flat, which increases shipping costs.
  2. Volume matters. There are many fixed costs baked into the price of luxury packaging. Printers often spend thousands of dollars in color and glue tests before they even begin printing the final product. That means that if you only order 100 boxes, you are still paying for the initial sunk cost. While the overall total will still increase, your price per box will drop dramatically as you order more inventory.
  3. The materials of the packaging box affect the overall price. Some materials and color inks are virtually identical in price, but you might pay extra for special finishes like matte or UV. Determine whether or not your product will benefit from a special finish or elaborate design before choosing your materials.
  4. The printing process and surface treatment of the box have huge ramifications for the final cost. Multi-color boxes tend to increase the cost of product packaging, as do custom decals or inks. Be aware that each of these processes usually leads to increased labor costs as well.
  5. Make sure to track the difficulty and manual cost of the packaging. If you use a US supplier that manufacturers in the United States, your luxury rigid boxes will be much more expensive than a supplier that manufactures overseas. However, most companies prefer to work with a US supplier because of the ease of paying in dollars, talking to someone in the same time zone, etc. Often, the best choice is a US supplier who handles overseas manufacturing for you. 


     

Before committing time, money, and resources to an expensive packaging order, do your research and contact multiple suppliers—it will save you money and stress down the line. After getting several quotes, you can determine whether your product needs regular or deluxe packaging. Once you’ve settled on a reputable printing and packaging company like Global Printing & Packaging, you can sit back and relax as they deliver high-quality luxury packaging at a competitive price.

It’s also worth mentioning that COVID-19 disrupted numerous supply chains around the world, creating unpredictable price increases in the packaging industry. This has to do with higher shipping costs, higher prices for raw materials, and constantly fluctuating fuel prices. So, be sure to get a real-time quote for your product packaging to ensure there are no surprise fees. Even well-established manufacturers are adapting to find new materials and keep customers happy. When in doubt, contact a professional and get a quote.