Variable Data Printing (VDP)
Printing
Technologies
Quality
The last few decades have seen the number of FMCG products available to consumers increase exponentially, driven by a multitude of factors, including brands’ desire to increase sales and act on changing market conditions and consumer behaviors.
While this diversification presents opportunities for growth, it also introduces significant challenges, including increased costs, supply chain complexities, and forecasting difficulties.
To navigate these challenges and stay ahead of the curve, brands must adopt innovative strategies that enable rapid product development and effective market response.
One powerful solution to this is: Variable Data Printing (VDP) :
It offers a transformative approach to packaging and labeling. By leveraging VDP, brands can enhance product personalization, optimize supply chains, and gain valuable insights into consumer behavior.
In this article, we are going to delve into –
1. What is variable data printing and how does it work?
2. Different use cases of VDP in product packaging
What is VDP and how does it work?
VDP sometimes goes under the names Variable Information Printing (VIP) or Variable Imaging (VI). No matter the name, the idea is the same: use customization to create packaging (labels or pouches) with unique information for every container moving through your production system. This allows you to personalize each product package with unique information and lets you change text, graphics, and images without stopping the printing process.
In traditional printing, a static design is applied uniformly across all prints. Whether you’re printing 100 or 10,000 copies, each one will be identical. VDP shifts this paradigm. While the general design remains consistent, specific elements can vary. For instance, a brand could print 10,000 packages, each with a different customer name, graphic, or personalized message.
What enables this variation? The answer lies in technology. Unlike traditional printing methods, VDP doesn’t require separate printing plates for each design, making it easy to print even small quantities of unique packages.
Here’s how VDP works:
Prepare Data:
A database containing variable information (like names, codes, or images) is created before the print job starts.
Merge Data:
Software integrates this database with the print design, telling the printer which data to use for each item.
Print: The printer then prints each item with personalized information.
Therefore, VDP offers unprecedented customization and increased efficiency by allowing for targeted and specific print runs.
Different use cases for VDP
In this section, we’ll explore a variety of creative and practical applications that can help you differentiate your brand and drive sales.
1.SKU proliferation
The number of SKUs has exploded in recent decades, driven by evolving consumer preferences, intense brand competition, and technological advancements. While this trend offers opportunities for growth, it also presents significant challenges for brands.
Challenges of SKU Proliferation:
Higher Costs: Managing many SKUs increases costs due to inventory, supply chain complexity, and marketing.
Slower Turnaround: Introducing new SKUs takes time, impacting time-to-market.
Forecasting Issues: Predicting demand for various SKUs is difficult, leading to stockouts or excess inventory.
Performance Tracking: Monitoring individual SKU performance is challenging, hindering product identification and resource allocation.
But digital variable data printing can help brands mitigate some of the elements of each of these challenges: It can help lower the cost of product development by reducing the cost of the packaging element, and shorter lead times increase a brand’s agility by supporting faster response in packaging innovation. Smaller minimum quantities reduce supply chain challenges and packaging waste from overstock.
2.Increasing agility
Traditional packaging methods often fall short when it comes to supporting new product development. Brands and converters recognize that digital printing offers faster turnaround times, but the potential of variable data printing (VDP) is often underestimated.
VDP offers a significant advantage in terms of agility and responsiveness, particularly in today’s fast-paced market by empowering brands to:
Accelerate Time-to-Market: Brands can now quickly introduce new products or product variations without the need for extensive pre-production processes. This enables brands to capitalize on emerging trends and meet consumer demands promptly.
Respond to Market Changes: Its easier for brands to adapt their packaging to changing market conditions, such as seasonal trends, ingredient shortages, or regulatory updates. This flexibility helps brands stay competitive and relevant.
Conduct A/B Testing: VDP enables brands to create multiple versions of packaging with different designs, messages, or offers. By tracking the performance of these variations, brands can gather valuable insights and optimize their packaging strategies.
Support Limited-Edition Products: VDP is ideal for creating personalized packaging for limited-edition products or seasonal offerings, enhancing their appeal and exclusivity.
3.Interactive options
Traditional packaging methods often fall short when it comes to supporting new product development.
Variable Data Printing (VDP) offers a powerful way to increase consumer engagement with your packaging through the use of QR codes. You can incorporate unique QR codes onto each package to create a personalized and interactive experience that goes beyond the physical product.
This leads to increased engagement, stronger brand loyalty, and better insights into consumer behavior.
Here are some ways you can leverage QR codes and VDP to enhance consumer engagement:
Provide Additional Product Information: Direct consumers to a webpage with detailed product information, such as ingredients, nutritional facts, or usage instructions.
Run Contests and Promotions: Use QR codes to link to contests, sweepstakes, or exclusive offers, generating excitement and encouraging customer participation.
Gather Customer Feedback: Incorporate a QR code that leads to a survey or feedback form to gather valuable insights into customer preferences and satisfaction.
Example: Coca-Cola’s “Share a Coke” Campaign
Coca-Cola’s “Share a Coke” campaign was a global marketing initiative that utilized VDP to create personalized packaging. The campaign featured limited-edition cans and bottles with names printed on them. Consumers could search for their names or the names of friends and family, creating a sense of personalization and connection.
Here’s how VDP played a role:
Personalized Names: Coca-Cola used VDP to print thousands of different names on their cans and bottles, ensuring that consumers could find their own names or those of their loved ones.
Increased Engagement: The campaign encouraged consumers to share photos of their personalized cans on social media, generating significant buzz and engagement.
Brand Loyalty: By creating a personalized experience, Coca-Cola fostered stronger connections with consumers and increased brand loyalty.
This campaign was a huge success and is often cited as a prime example of how VDP can be used to create memorable and impactful marketing campaigns.