For CPG food manufacturers, packaging is often just as important as the product itself. It plays a critical role in food safety, shipping performance, and capturing the attention of consumers.
When you factor in today’s rising costs and margin pressure, developing a winning packaging strategy becomes increasingly complex.
Decision makers are asking questions like, “Will our packaging perform well across retail, eCommerce, and direct-to-consumer channels?” and “How do we balance shelf impact with operational efficiency?”
This guide unpacks the answers to these questions and more. You’ll learn how to create packaging designs and systems that are right for your brand, while accounting for real-world constraints you’ll face in 2026.
Packaging that Protects Your Food Products
Your food product packaging plays a vital role in safeguarding your goods in their journey from warehouse to shelf to consumer. The right strategy requires careful consideration at two different levels of packaging. First, there is primary packaging, which is the packaging that touches and protects the food directly. Depending on the product, your primary packaging might require multiple layers such as the bag within a cereal box.
Primary packaging comes in many forms and serves multiple purposes. It is often designed to extend the shelf life of a product, enhance product performance, innovate the look of a product to stand out from competitors, or create production efficiencies. For example, in the cheese category, we see examples of brands innovating with edible coatings and films that reduce the use of plastics.
Equally important is secondary packaging. This includes everything you need to ship your food products to retailers, eCommerce outlets, or directly to consumers. This includes shipping cartons, stretch wrap, padding, tape, and labels. Using the appropriate secondary food packaging protects your products from damage and helps avoid costly returns. It can also help reduce shipping costs. As eCommerce continues to grow, this category of packaging has become even more important, as it is the first impression consumers have of your product or brand.
Some brands have found ways to save on secondary packaging by shipping display-ready packaging or recyclable insulated shipping cartons. But what works for retailers may not work for direct shipments to the consumer. Manufacturers should consider all channels when designing a complete packaging system.
Design and Consumer Impact in Food Packaging
Packaging design typically focuses on performance first, which covers product protection and shelf life. At this stage, manufacturers are considering designs that protect from oxygen, moisture, or light. For example, recyclable films that provide moisture barriers or vacuum-sealed packaging that locks in freshness and extends shelf life.
Great design extends beyond performance to cater to retail and consumer experiences alike. Does the design make it easy for retailers to stack the products? Do products fit easily into the category’s normal placement on the shelf? Is the package easy to open and use? Does the packaging convey a value that justifies the product price? Will the product catch the attention of consumers?
Packaging is your chance to tell a story that connects with consumers on an emotional and psychological level. From unique package shapes to the imagery and text fonts, the best packaging designs use product and brand identity to influence purchase decisions.
Food packaging designs can also increase operational efficiency and advance your corporate sustainability goals. Many tools are at your disposal in this area to help you manage costs and innovate with sustainable food packaging. Material reduction and optimized case sizes can also reduce freight costs. Successful CPG brands are designing product packaging with an eye toward omni-channel distribution to streamline their packaging systems.
Innovative design can lead to big success. Several yogurt brands have seen growth through implementing sustainable packaging such as turning to paperboard single-serve cups. This change reduces the amount of plastic and makes the product more sustainable. Additionally, moving to eye-catching designs like swapping out product images with illustrations can unlock further growth.
Compliance and Regulation in Food Packaging
Compliance in the food industry is becoming increasingly complex, and its impact on packaging decisions can’t be understated. CPG food manufacturers must account for food safety and food-contact material regulations, labeling and traceability requirements, as well as state-level regulations.
New regulations are continuously evolving, as seen with California’s newly passed SB54 legislation. It bans the sale, distribution, and import of expanded polystyrene (EPS) foam (i.e., Styrofoam) food service ware. Producers that violate the ban could face penalties of up to $50,000. Food manufacturers that want to sell in California must either use alternative packaging or stop distributing their products in the state.
In an environment with evolving standards, packaging systems benefit greatly from built-in flexibility to minimize the impact of regulatory shifts. Examples of this are choosing packaging that facilitates frequent label updates or designs that allow for material swaps. Shorr has partnered with food manufacturers to design innovative packaging systems that help reduce compliance-related risk. Our Safe Quality Food Certification also ensures food safety compliance for our contract packaging customers.
Sustainability in Food Packaging
Responsible manufacturing plays a critical role in a product’s success. 90% of consumers are more likely to buy from brands with sustainable packaging. Additionally, 80% of a product-related company’s carbon emissions come from its product and packaging design.
At Shorr, we understand that sustainability looks different for each brand. That’s why we help assess your environmental footprint and identify the right solutions for your long-term goals. Automation, packaging materials, material handling, and inventory management all provide opportunities to increase efficiency and reduce emissions while maintaining performance.
For example, when one of our food distributors set a goal to reduce material consumption, we partnered to optimize their stretch film use. The result was a 13.9% reduction in film usage and the elimination of 13,000 pounds of carbon.
Beyond environmental impact, sustainable packaging can contribute to revenue growth. Almost half of consumers will pay extra for a product with sustainable packaging, with Gen Z leading this shift across age groups. Investments in this area can have a positive impact on brand loyalty, premium positioning, and long-term margins.
Cost and ROI Considerations
Economic pressures and price-conscious consumers are pushing food brands to evaluate every opportunity for cost savings. Packaging is one of the most impactful places to start because of its effect on margins across the supply chain, not just material spend.
Optimized product packaging can reduce costs from production through distribution. Below are a few ways to increase cost efficiencies:
- Reduce material use by right-sizing packaging and eliminating unnecessary secondary materials
- Reduce transportation and freight costs by reducing packaging weight and improving pallet density
- Decrease labor and material handling with automation-ready designs and consistent case sizes
- Reduce product loss by preventing leaks, damage, and spoilage
The right packaging can also add value and support higher margins. This is a lever many manufacturers fail to use effectively.
Here is how food packaging can add overall value for your products:
- Convenient packaging often drives repeat purchases.
- High-quality materials can signal a premium product that justifies price.
- Sustainable packaging may command higher prices.
Have you taken a deep dive into how your packaging performs across the entire supply chain? Shorr’s packaging experts can evaluate your current system or design a new one to scale with your business.