Why Are Cardboard Boxes Expensive?

Cardboard boxes have always been the most flexible, popular, and widely used packaging solution in the market. From packing retail products and displaying bakery goods to e-commerce shipping, businesses across industries choose cardboard packaging boxes.

However, a recent market trend has shifted these boxes to an expensive option. Why and how? Well, there must be some valid reasons for this. Let’s dive deeper into the factors driving the rising cost of cardboard boxes and tips to reduce them.

Why Are Cardboard Boxes Expensive in the US?

First of all, what is the average cost of a cardboard box recently?

The price of a standard cardboard box starts at $1, $1.60 for a small one, $3.50 for a medium one, and $2 to $6 for a large one.

So, basically, cardboard boxes are not inherently expensive in the USA. Yet, if you frequently use these boxes to pack and deliver products, you must have noticed that cardboard box costs are increasing daily. The continual rise in its price has definitely affected both brands and consumers.

So, what factors are driving the rising cost?

Let’s break it down

The Rising Costs of Raw Materials

The main reason behind the high cost of cardboard boxes is the material costs. Usually, cardboard is manufactured from raw material, such as wood pulp. If we start from raw materials, you may see a shortage. Various factors, such as deforestation and high costs, affect the supply of raw materials. All these factors double the packaging cost.

Plus, material prices continue to fluctuate with environmental regulations and transportation costs. The recycling process, which is essential for producing eco-friendly cardboard, also requires energy-intensive procedures, further increasing overall costs. As a result, when the price of raw materials increases, the overall cost of cardboard boxes also increases automatically.

High Processing & Manufacturing Costs

The process of converting raw wood pulp into cardboard involves several steps, such as pulping, pressing, drying, and cutting. Each method requires machinery, labor, and energy. Accordingly, the entire process has become more expensive due to inflation and supply chain disruptions.

Another thing to note is that cardboard box manufacturers must meet strict environmental regulations, which may require them to invest in cleaner production technologies. Yes, adding to the production costs.

Market Demands

The higher the demand, the costlier a product will be. Well, cardboard boxes are not an exception.

The boom in online shopping has sharply increased demand for cardboard boxes. More than 80% of all products sold in the USA are packaged in cardboard boxes. Amazon, eBay, and other e-commerce giants rely heavily on cardboard packaging for shipping their products.

Meanwhile, for the retail sector, a wide range of cardboard box styles, such as folding cartons and packaging sleeves, have become more popular. This high overall demand forces manufacturers to produce more boxes, ultimately leading to shortages and price hikes.

Higher Transportation Costs

Despite market demand, fuel prices worldwide are rising. These prices are passed on to customers, resulting in higher cardboard box prices.

Consumer Perceptions and Brand Image

The perceived value of a product is often linked to its packaging, which influences consumer purchasing behavior. Brands that position themselves as environmentally conscious or premium may choose to customize their cardboard packaging boxes to enhance aesthetic appeal. Whether it is the size, shape, or the finishing options like Aqueous coating and embossing, customization options will likely increase the prices brands pay for their cardboard boxes.

Environmental Regulations and Sustainability Initiatives

Some governments and businesses are implementing stricter sustainability measures that require packaging companies to use recycled materials and reduce carbon footprints. Of course, these initiatives benefit the environment. However, regulations and sustainability initiatives often increase production costs. How?

Recycled cardboard materials are more expensive to process than virgin pulp. The process includes sorting the required amount of energy, cleaning, and reprocessing the products. More costs to be added.

Tips to Reduce the Costs of Cardboard Boxes

Despite their increasing cost, cardboard boxes remain the preferred choice for many businesses.

Although the prices of cardboard boxes are rising, it doesn’t mean that you cannot get them affordably. Below are some tips to reduce the costs you have to pay.

Opt for Minimalist Designs

Sometimes, your box design and labelling make cardboard boxes more expensive. To minimize costs, you can opt for minimalist designs. Without you realizing it, this approach also helps you to set a unique look for your products. To further enhance your boxes, don’t forget to read our blog about the latest packaging design trends.

In addition to a minimalist box design, measure the product’s dimensions accurately to ensure you get a perfectly sized cardboard box.

Purchase Cardboard Boxes in Bulk

Bulk purchasing custom boxes can save money. In fact, you can order cardboard boxes in bulk to get the lowest prices. Most packaging suppliers, such as Custom Box Makers, provide better prices for bulk orders. This way, you can get all the benefits of custom cardboard boxes without spending a huge budget.

Choose Alternative Options

There are some alternatives to cardboard boxes, such as paperboard boxes, mylar bags, and compostable mailers. If possible, choose the cheaper option that fits your budget.

Wrapping Up

No doubt, cardboard boxes have always been the most flexible, popular, and widely used packaging solution in the market.

However, a recent market trend has shifted cardboard boxes to an expensive option. The factors driving rising costs include rising raw-material costs, supply-chain disruptions, higher processing & manufacturing costs, market demand, higher transportation costs, consumer perceptions and brand image, as well as environmental regulations and sustainability initiatives.

To reduce the costs you have to pay, you can opt for minimalist designs, purchase cardboard boxes in bulk, and choose alternative options.

Nevertheless, despite their increasing cost, cardboard boxes remain the preferred choice for many businesses.

FAQs

Are cardboard boxes expensive?

Cardboard boxes are not inherently expensive. Yet if you frequently use these boxes to pack and deliver products, you must have noticed that cardboard box costs are increasing daily.

What is the average cost of a cardboard box?