Color Label Solutions

Color Label Solutions

Monday, February 4, 2013

Minimum Order Quantities Cost Money

General Data (www.general-data.coman industry-leading provider of innovative labeling, bar coding, RFID, automated data collection and mobility solutions, enables organizations to streamline workflow, minimize errors, better manage critical data, and improve business process accuracy, productivity and performance. General Data’s products and technical application expertise are put to use by companies in diverse industries across the globe to solve the most challenging identification and data management problems.

Production Labels with the names/logos covered from my sample book

One of General Data’s customers, a world-leading Ohio manufacturer with sales in more than 90 countries, was looking to cut costs and streamline labeling operations. The manufacturer produces 3,500 unique SKUs sold under its own name, as well its OEM brand names. The company faced a challenge with its previous labeling solution. To support its OEM customers’ labeling requirements, which included various label sizes and shapes for each product, the manufacturer resorted to purchasing pre-printed color labels. Ordering the pre-printed labels proved costly, due to large minimum order requirements, resulting in unneeded surplus and the need to stock large inventories. In addition, since the labels arrived in large pre-printed batches, the company faced large amounts of waste when their OEM customers required the slightest change to a label.

Initially, General Data designed and delivered seven different label formats to meet the needs of 50 SKUs, and the manufacturer saw immediate enhancements to its labeling process. Epson’s TM-C3400 label printer, combined with specialized media from General Data, offered the manufacturer a print-on-demand labeling solution.

“There was some initial concern that inkjet printing would not provide sufficiently colorful and durable labels to meet our customer’s requirements,” stated Grant Grooms, Vice President of Sales with General Data. “However, Epson is the leader in inkjet technology, and I knew that the pigmented inks would be colorful and durable if matched with the right media. We listened to what our customer needed and delivered the glossy labels that were required. Our customer is very pleased with the outcome.”

“An alternative to the Epson solution would be color thermal transfer printers, which are priced around $13,000,” commented Grant. “Epson’s TM-C3400 is around $1,500. When you factor in the print heads and ribbons required with color thermal transfer versus one cartridge for the inkjet, not to mention the ongoing maintenance costs and form factor of thermal transfer printers – which are double the size of the Epson – there really is no comparison.”

In the first month the General Data / Epson solution was installed, the manufacturer printed approximately 450,000 labels, saving over $20,000. In addition to the initial costs savings, the manufacturer is utilizing the Epson inkjet cartridge recycling program to reduce waste. This program enables a manufacturer to return the cartridges free of charge to reduce the waste. The Epson inkjet cartridge recycling program complements company commitments to environmental stewardship. With facilities that are ISO 14001 certified for environmental management systems as well as ISO 9001 certified for quality management systems, the manufacturer has demonstrated a strong commitment to sustainable manufacturing practices.

“Our customer is so impressed with the General Data / Epson solution that the customer is considering relocating label production to the factory floor so labels for more SKUs can be produced on demand at the end of our production lines,” commented Grant.

If you or your customers are required to purchase large minimum orders of preprinted labels, consider moving to print on-demand color labels.  You’ll save money and reduce your costs.

Guy Mikel

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