We recently met Canpac’s directors, Nilesh and Preeti Todi for the first time along with some of their senior colleagues and were quite openly surprised by the number of modernization projects that are taking place simultaneously even as the new construction is nearing completion. We kept looking for some kind of techno-economic logic in this complex plan. From our conversations and from what Todi himself says, a fairly convincing logic emerges – the plan is to provide brand owners and packaging buyers a one-stop solution for all their packaging needs (except rigid plastic and labels – at least for now).
Many, if not all, of Todi’s calculations are made on how to add value to a sheet – he even sees litho-lamination as an opportunity to add operations and hence value and so he has geared up for this segment in a big way. “We want to offer one stop solutions in an organized and structured way that incorporate quality as a given,” he says. It is clear that he does not want to be the lowest bidder in reverse auctions that erode margins; he is nevertheless keen to innovate and add value and shelf impact to his clients’ packaging.
He is keen to provide every type of packaging to his customers. Primary packaging such as flexible packaging wrappers and pouches, monocartons, and even the secondary litho-laminated cartons for shipping or shelf-ready display that are needed for confectionery, chocolate and snack brands. Hard boxes for textiles and other products. Shipping cartons for all the products for which he provides primary materials and which he expects will eventually require more of the extra branding that multi-color flexo and screen printing can provide and which he is already equipped for – a set or bouquet of packaging variants across technologies and substrates that are produced in the same plant.
Lastly, Canpac can supply several types of carry bags for brand owners and retailers. Todi wants to leverage each brand owner and customer with strong client servicing by a team member who will look after the brand in each and every type of packaging. If a customer orders several types of packaging, he will deliver it as a consolidated consignment in one of the twenty trucks that Canpac has just purchased (there are more trucks in the plan). He sees economies of scale in his one stop solutions coming in administration, client servicing, marketing and logistics. This is key to adding value to every sheet printed or converted and remaining competitive and creating the confidence amongst stakeholders of reaching the company’s growth objectives without inordinate financial stress. He says that he can innovate and add more value while remaining profitably competitive, “We are innovating without charging the customer.”