Pregis LLC, a leading name in protective packaging solutions in North America, is set to start charging equipment fees. Starting from July, the company’s new placements of sheeters, paper machines and inflatable systems will be charged with monthly usage fees.
When Pregis’ field technicians execute post-installation modifications, they too will bill hourly service charges.
Usually, customers pay for the consumable materials to run the packaging systems. However, they don’t pay for the equipment installed in their facility.
The move of Pregis to charge usage fees is aimed to support the development of next-generation protective packaging. At the same time, it will also help recover a small part of the service and equipment costs.
The company has announced that it will continue to offer preventative, routine maintenance free of charge.
Pregis Development – What This Means for Customers of Protective Packaging Equipment
Customers not used to paying for equipment may show aversion to this move of Pregis. However, Sean Condon – the company’s Executive Vice President, emphasized that it was a necessary move.
For years’, Pregis has made significant investments in service platforms and R&D to make sure its protective packaging equipment offer quality solutions to the industry’s.
This is why it’s a leading name in offering solutions for several consumer and industrial market segments.
These include beverage, food, medical devices, healthcare, agricultural, ecommerce, automotive, retail, electronics, furniture, military/aerospace and construction.
To continue its level of innovation, Condon said that it became essential to assign cost to the equipment placed in a customer’s facility. That’s why the decision to charge equipment fees was taken.
Due to increased online ordering and remarkable growth in parcel shipping, speed-to-market and protection have become two key factors for any business.
This means that productivity and performance are driving packaging decisions a lot more than ever before.
Pregis’ objective is to continue to develop cost-effective systems that add value to its customers’ operating efficiency.
Its move to charge fees for new placements of protective packaging equipment and services is a step towards this goal.