An Investigation into the Impact of Packaging on Consumer Perception

This report delves into the significant impact of packaging on consumer perception, a crucial element in marketing strategies. It begins with an executive summary and a detailed literature review, exploring consumer perception, packaging design, and their relationship to purchasing decisions and sales. The report examines the influence of packaging on consumer behavior, brand image, and the formation of long-term customer relationships. It also discusses how packaging adapts to changing consumer lifestyles and preferences, including the importance of information and design. The analysis extends to the evolution of packaging and its relevance to the Egyptian market, including current trends. The report concludes with recommendations based on the findings and includes figures and tables illustrating various aspects of packaging and consumer behavior.

Running head: TERM REPORT.
TERM REPORT
Name of the Student
Name of the University
Author Note

1TERM REPORT
Executive Summary
The consumer perception can be rightfully defined as the view of the consumer concerning a
particular product or a service, this perception of the consumer may be dependent on the aspects
like their social factors or the factors related to the product being sold. The main aim of the
report is to analyse the effect of packaging on consumer perception. The report follows a
structured format whereby the report began with a brief introduction which was then followed by
a review of literature about the topic-`Packaging`. A critical discussion on the topic has been
done, and reference to the Egyptian market has also been made.

2TERM REPORT
Table of Contents
Introduction......................................................................................................................................3
Review of Literature........................................................................................................................4
Consumer perception...................................................................................................................4
Packaging.....................................................................................................................................4
Relationship between packaging and consumer purchasing decision.........................................5
Relationship between buying perception and sales.....................................................................6
Contextual framework: Effect of perception on the packaging...................................................9
Discussion......................................................................................................................................10
Building long term relationships with customers through packaging.......................................10
Adapting with the changing lifestyle of the consumers with the packaging of the different
products......................................................................................................................................11
Consumer thinking while purchasing different packaged items................................................11
Packaging information and designs...........................................................................................12
Evolution of packaging..............................................................................................................13
Relevance to the context: Trends in Egypt....................................................................................15
Conclusion and Recommendations................................................................................................18
References......................................................................................................................................20

3TERM REPORT
Introduction
The primary aim of any particular business is to ensure that they are successfully able to
please the different consumers as present in the organisation`s external environment. This is the
reason, why it becomes critically important for any business to appeal to the various consumers
in a manner such that they are attracted to the products being offered by the organisation and
increase their sales (Yang and Jun 2002).
Figure 1: The packaging consumption by size
(Source: Trendingpackaging.com 2018).
In this aspect, it can be stated that the primary aim of the particular study is to understand
the impact of packaging on the perception of the consumer. The report begins with a review of
literature about the subject which is then followed by the discussion on the buyer`s behaviour in
the particular domain. The critical analysis of the importance of the specific issue will be done
which will be discussed in line with the consumer market in Egypt.

4TERM REPORT
Review of Literature
Consumer perception
The theory of consumer perception looks out to increase sales and to find the approach
related to consumer behaviour. The consumer perception goes a long way in understanding how
the consumer will make the buying decision at large (Yang and Jun 2002). The reason why
consumer behaviour and consumer perception theory may be considered to be of utmost
importance is that it is crucial to understand the perception of the different targeted markets and
segment groups because each impression is unique and varying (Silayoi and Speece 2004).
Hence, it stands the primary aim of the consumer perception theory to understand how an
individual is motivated and the different methods which tend to have a positive impact on the
consumer purchase. The consumer is the centre attraction of a firm and their decision as on the
product purchase is impacted by a large number of factors. According to Mohebbi (2014), these
factors may either be personal or influenced by different external factors.
Packaging
According to Rundh (2005), Packaging can be described as the technology through which
the products to be sold to the different consumers are enclosed or protected for distribution and
sales. It can also be defined as the specific procedure of designing, evaluating and producing the
various packages which not only assists the firm in engaging in significant sales and logistics but
also facilitates the firm in making the purchasing decision (Jansson-Boyd2010). Quester et al.
(2007), states that Packaging of a product also supports in informing and selling the products.
Very often the concept of package labelling may also be attached to the packaging whereby a
graphic communication is present on the packaging. Mohebbi (2014), argues that the purpose of

5TERM REPORT
the packaging has several objectives, each of which adds up to the value of the brand and the
product at large.
Figure 2: People preferring packaging
(Source: Packagingoftheworld.com 2018)
Relationship between packaging and consumer purchasing decision
According to Sara (1990), the different purchasing decisions which are made by the
different consumers are dependent on a large number of factors. These factors may be related to
the social environment of the consumers like their peer group, their social circles, their values
and beliefs along with an influence from the features of the different products which exist.
Packaging forms one such determinant of the consumer purchasing decision (Silayoi and Speece
2004). According to Shah et al. (2013), packaging assists in adding a unique value to the product
and also works as a tool of differentiation whereby it becomes comparatively more comfortable
for the consumer to decide from a range of items and also tends to stimulate their customer

6TERM REPORT
buying behaviour and as stated by Schiffman and Kanuk (2012), the package intends to attract a
consumer`s attention to the brand and helps in enhancing the influences of the consumer. Hence,
it can be stated that the packaging of a product has a crucial role to play and that it dramatically
influences the purchase of a product and the decisions as made by the customer (Shah et al.
2013).
Figure 3: The statistics about packaging
(Source: Packagingoftheworld.com 2017).

7TERM REPORT
Relationship between buying perception and sales
As stated earlier, the consumer perception can be defined as the perception which a
consumer holds about the overall organisation. This perception is generally influenced by
various social as well as economic reasons and often reflects on the purchases made and the sales
incurred by the firms. Firstly, according to Usunier, Lee and Lee (2005), the loyalty of the
customers is much dependent on the perception which a consumer holds about the particular
product.
Figure 4: Packaging statistics
(Source: Packagingoftheworld.com 2017)

8TERM REPORT
In addition to this, as agreed by Quester et al. (2007), the perception of the customers is
also related to the trust a customer generally reflects on the particular product. This perception
may have been built by the past purchases of the brand and other related experiences of the brand
with the consumer audience (East, Wright and Vanhuele 2013). For the customers, the trust is
always a determinant of their purchasing decision, and concerning this, the company`s sale and
the purchases of the customers is much dependent on the different abilities of the company to
build trust amongst the various individuals (Jobber 2009). In case the consumer has formed a
perception and is visibly sceptical about the brand, then the sales of the brand might be affected
accordingly (Usunier, Lee and Lee 2005).
Figure 5: Packaging statistics
(Source: Smitherspira.com 2017).
Hence, in this manner, as the consumer perception tends to have a significant impact on
the buying decisions, it also has a substantial effect on the revenues as well as profits of the
customer. For this reason, it is considered to be important for the firm to improve the consumer

9TERM REPORT
perception of the brand which in turn is the best way to influence the profits of the brand (Silayoi
and Speece 2004).
Contextual framework: Effect of perception on the packaging
Concerning this, it can be mentioned that there exists a robust contextual relationship
between the packaging of the product on the consumer perception (Jansson-Boyd 2010). This is
because the packaging forms one of the most reliable components of the purchasing decision and
the sales of a firm is greatly influenced by the consumer perception (Schiffman and Kanuk
2012). Hence, there exists a considerable impact of packaging on consumer perception, and for
this reason, it becomes enormous important for the different organisations to engage in a
decision which shall benefit their sales and have a positive impact on the firm at large
(Majumdar 2010).
Figure 6: The contextual framework
Packaging
consumer
buying
behavior
Consumer
perception

10TERM REPORT
Discussion
Building long term relationships with customers through packaging
As the competition in the consumer market has increased considerably it has become
challenging for the different firms to attract the various customers and hence, this is where
packaging comes to the rescue whereby the firm would have been able to help in differentiating
their product from the product of the different companies (Thang and Tan 2003). The packaging
helps the consumer to choose the various products from an aisle of a large number of products.
Hence, according to Slater (1997), the packaging of a product goes a long way in helping the
customer to look after the product and protect it from the wear and tear which can take place
concerning the different consumers and their use.
Figure 7: Preference for glass packaging
(Source: Recycleglass.co.nz 2018).

11TERM REPORT
Adapting with the changing lifestyle of the consumers with the packaging of the different
products
According to Silayoi and Speece (2004), it can be observed that the fundamental trends
and the lifestyle of the consumers have become more outgoing and the consumers are
consistently on the go at present. Regarding this, it becomes considerably essential for the
different marketers to come up with a more mobile packaging of the products which can be used
by the consumers while they are on the move (de Mooij 2004). As stated by Thang and Tan
(2003), earlier the different companies, usually engaged in the packaging which was quite large
and did not come up with a more economical and compact packaging.
Figure 8: The impact of packaging on brand perception
(Source: Packagingdigest.com 2018).
Consumer thinking while purchasing different packaged items
According to Tomlinson (2006), the consumers usually like to obtain smaller variants of
the product which means lighter packages as they are easy to carry and often assist the different
consumers in being economical. This trend is usually followed by general college students and

12TERM REPORT
young professionals who want to be on a strict budget and usually stay alone and thus, prefer to
buy items with smaller packages (Foxhall, Goldsmith and Brown 1998).
Packaging information and designs
The packaging information and the model have a significant role to play in determining
the success of the overall product (Solomon 2010). This means that a customer generally heavily
on the packaged information of the product and the design of the packaging. The designing of
the packaging has a crucial role to play in deciding upon the overall success of the product as it
assists in the formation of the first impression of the products in the eyes of the customer
(Tomlinson 2006). The packaging information helps in building the image of the brand from the
point of view of the customers and the more information as present on the packaging, the better it
is for the firm as it sells itself (Graves 2010).

13TERM REPORT
Figure 9: The relationship between consumer perception, product and the overall consumer
decision.
(Source: Medium.com 2018).
Evolution of packaging
Over the last few years, the companies have begun to understand the concept of
packaging and the impact it has on the perception of any brand from the side of the consumer.
Hence, concerning this, it can be mentioned that over the last few years, various brands have
changed their packaging and adopted an agile and leaner packaging base which is not only
visually appealing but at the same time, protects the product inside from various harmful
substances. These brands are the detergent brands like Tide, Coca Cola, different soap brands as
well as the chocolate brands. Through these changes, the brands have witnessed enormous
growth and an increase in their revenue.

14TERM REPORT
Figures 10, 11, 12, 13, 14, 15 and 16: The evolution of packaging concerning popular brands

15TERM REPORT
Relevance to the context: Trends in Egypt
The consumer market in Egypt has been undergoing a significant trend concerning which
it can be stated that there has been an emergence of the demographic micro-segments. This
means that consumers are becoming increasingly cautious and inclined towards price sensitivity
(Grunert 2005). According to Optimetriks.com (2018), 86% of the customers have claimed that
the price is the main decision making a factor. In addition to this, the customers want to ensure
that even if they have to pay a higher price, they get a product with a strong packaging. Although
the economy has been changing, the different consumers are engaging themselves in coping
mechanisms to ensure that they can adapt to the trends and the companies are also taking
measures to improve on the same (Holt 2004). In the given section, specific examples of
products as present in Egypt will be used to explain the manner, in which the companies plan to
bring considerable changes in their packaging from time to time and the kind of impact this has
on the consumer perception of the product and the purchase.
Product 1: Persil detergent liquid
The Persil detergent liquid can be considered to be a relevant product in the consumer
market of Egypt whereby the product has been present in the market since a long period and has
given a considerable competition to the international detergent brands. The left image reflects the
old packaging of the detergent which was made of paper and often led to leakages. Moreover,
this not only added up to the waste in the stock, the consumers often found it difficult to store the
product and hence, to avoid this the customers did not purchase the product and the sales of the
company also dropped (Solomon 2010). However, with the new design coming into question, the
brand adopted the plastic container style from the international brands, and this can be witnessed
in the right image which is the picture of the brand in the recent times. Hence, the customers

16TERM REPORT
after seeing this packaging found a solution for their storage and leakage problems and the sales
increased considerably and once again the brand was able to compete with its international
counterparts.
Figures 17 and 18: Persil detergent
Product 2: Cheetos
The Cheetos is an FMCG product which has been relatively favourite product by Pepsi
has also undergone a considerable change in its packaging design. The brand initially had a
different model on its cover, but currently has taken up a more contemporary approach whereby
the brand has changed the colour of the product and come up with a new style of logo (Mohebbi
2014). In addition to this, the Cheetos Popcorn packaging which is a new strategy of Pepsi has
been successful. Although the recent cover can be stated to be very trendy, the brand has not
been successful. Below is the comparison of covers being given, which was found almost the
same by the customers.

17TERM REPORT
Figures 19 and 20: Cheetos
Product 3: Edita`s Freska
Figures 21 and 22: Freska
The third favourite product which went under a change of its product packaging is the
Edita`s Freska Wafers brand. Although the product has been adequately popular amongst the

18TERM REPORT
general mass of the population, the firm was experiencing a sense of downfall in the sales of the
product and hence, decided to renew the life of the product by making it undergo a new
packaging design. Therefore, concerning this, the brand came up with a new idea to change the
overall look of the wafers and give more information to the customers about the product offering.
Previously, as it can be witnessed, the packaging was simple, but now it’s trendier and describes
the wafer component along with the image of a girl on the cover (Majumdar 2010). After this,
the brand has been able to experience an exponential growth rate.
Figure 16: The power of packaging
(Source: Pregis.com 2018).
Conclusion and Recommendations
Therefore, from the given analysis, it can be rightfully stated that the consumer is the
reason why a business usually functions and this is the reason, it becomes considerably crucial
for the firm to engage in ways in which the consumers can be attracted, and the overall revenue

19TERM REPORT
of the organisation increases substantially. The report examined the impact of packaging of the
product on consumer perception and analyzed the case for the concept of packaging and review
of the literature. To explain the manner in which the packaging of the products has evolved,
various examples of the method in which the multinational brands have changed their packaging
in order to gain consumer demand has been given which is then followed by the focus on the
packaging concept in Egypt and examples on how brands like Cheetos, Freska and Persil have
advanced their packaging to receive mixed and positive responses respectively. It can
recommend that the firms need to improve consumer perception to gain long term success.

20TERM REPORT
References
de Mooij, M. ,2004. Consumer behaviour and culture: consequences for global marketing and
advertising, Sage Publications
East, R., Wright. M., and Vanhuele .,2013. Consumer Behaviour Applications in Marketing (2nd
Edn). Sage.
Foxhall, G.R. Goldsmith, R.E and Brown, S. .,1998. Consumer Psychology for Marketing , (2nd
Edn), Thompso Business Press.
Graves, P. ,2010. Consumerology : The Market Research Myth, the Truth about Consumer
Behaviour and the Psychology of Shopping, Nicholas Brealey Publishing
Grunert, K.G., 2005. Food quality and safety: consumer perception and demand. European
review of agricultural economics, 32(3), pp.369-391.
Holt, D. (2004). How Brands Become Icons , B oston: Harvard University Press . Janson-Bovd ,
C.V (2010). Consumer Psychology, (1st Edn) Open University Press
Jansson-Boyd, C.V., 2010. Consumer psychology. New York, NY: Open University Press.
Jobber, D., 2009. Principles and practices of marketing. 6th edn McGraw-Hill Higher Education.
Majumdar, R., 2010. Consumer behaviour: Insights from Indian market. PHI Learning Pvt. Ltd..
Medium.com 2018. Product packaging. [online]. Available at: https://medium.com/digital-
packaging-experiences/the-psychology-of-product-packaging-29bf52ad6220 (Retrieved on: 29
Dec. 2018).

21TERM REPORT
Mohebbi, B., 2014. The art of packaging: An investigation into the role of color in packaging,
marketing, and branding. International Journal of Organizational Leadership, 3(2).
Optimetriks.com., 2018. Key consumer trends [online] Available at: https://optimetriks.com/key-
consumer-trends-in-egypt-post-economic-changes/ (Retrieved on: 27 Dec. 2018).
Packagingdigest.com 2018. Product packaging. [online]. Available at:
https://www.packagingdigest.com/shipping-containers/want-ecommerce-success-consumers-
think-premium-packaging1609 (Retrieved on: 29 Dec. 2018).
Packagingoftheworld.com., 2017. Product packaging. [online]. Available at:
https://www.packagingoftheworld.com/2017/07/the-power-of-packaging-you-probably-did.html
(Retrieved on: 29 Dec. 2018).
Packagingoftheworld.com., 2018. Product packaging. [Online]. Available at:
https://www.packagingoftheworld.com/2017/07/the-power-of-packaging-you-probably-did.html
(Retrieved on: 29 Dec. 2018).
Packagingoftheworld.com., 2018. Product packaging. [Online]. Available at:
https://www.packagingoftheworld.com/2017/07/the-power-of-packaging-you-probably-did.html
(Retrieved on: 29 Dec. 2018).
Pregis. 2018. Product packaging. [Online]. Available at: http://www.pregis.com/knowledge-
hub/research-reveals-premium-packaging-increase-perceived-product-value/ (Retrieved on: 29
Dec. 2018).
Quester, P., Neal, C., Pettigrew, S., Grimmer, M.R., Davis, T. and Hawkins, D., 2007. Consumer
behaviour: Implications for marketing strategy. McGraw-Hill.

22TERM REPORT
Recycleglass.co.nz 2018. Product packaging. [online]. Available at:
http://recycleglass.co.nz/sustainability/consumer-perception (Retrieved on: 29 Dec. 2018).
Rundh, B., 2005. The multi-faceted dimension of packaging: marketing logistic or marketing
tool?. British food journal, 107(9), pp.670-684.
Sara, R., 1990. Packaging as a retail marketing tool. International Journal of Physical
Distribution & Logistics Management, 20(8), pp.29-30.
Schiffman, L.G. and Kanuk, L.L., 2012. Consumer behaviour. impact of involvement level and
time pressure. British food journal, 106(8), pp.607-628.
Shah, D.V., Wells. C., Kim. Y.M., and Rojas, H, ,2013. Communication, Consumers, and
Citizens: Revisiting the Politics of Consumption. Sage.
Silayoi, P. and Speece, M., 2004. Packaging and purchase decisions: An exploratory study on the
Trendingpackaging.com., 2018. Product packaging. [Online]. Available at:
http://www.trendingpackaging.com/product-packaging-the-significant-statistics/ (Retrieved on:
29 Dec. 2018).
Slater, D., 1997. Consumer culture and modernity, Oxford: Polity
Smitherspira.com 2017. Product packaging. [online]. Available at:
https://www.smitherspira.com/resources/2017/june/article-how-poor-packaging-can-affect-your-
busines (Retrieved on: 29 Dec. 2018).
Solomon, M.R., 2010. Consumer Behaviour: A European perspective. Pearson education.

23TERM REPORT
Thang, D.C.L. and Tan, B.L.B., 2003. Linking consumer perception to preference of retail
stores: an empirical assessment of the multi-attributes of store image. Journal of retailing and
consumer services, 10(4), pp.193-200.
Tomlinson, A. ed., 2006. Consumption, identity and style: Marketing, meanings, and the
packaging of pleasure. Routledge.
Usunier, J.C., Lee, J.A. and Lee, J., 2005. Marketing across cultures. Pearson Education.
Yang, Z. and Jun, M., 2002. Consumer perception of e-service quality: from internet purchaser
and non-purchaser perspectives. Journal of Business Strategies, 19(1), p.19.