5 Steps to Lower Your Packaging Costs Without Sacrificing Quality: A Cost Controller's Playbook

Who This Is For

If you're buying glass jars, bottles, or closures for a food, beverage, or cosmetic business — and you're tired of getting nickel-and-dimed on shipping, setup fees, or minimums — this checklist is for you.

I manage procurement for a mid-size craft beverage company. Over six years, I've tracked every packaging order in our cost system. We spend roughly $45,000 annually on containers and lids. I've compared quotes from 12+ vendors, including Fillmore Container, and I've made expensive mistakes so you don't have to.

This isn't theory. These five steps came from real orders — some that saved us thousands, and one where I skipped a step and lost $1,400.

Step 1: Map Your Total Cost of Ownership (Not Just the Unit Price)

The biggest trap in packaging procurement is fixating on the per-unit price. I've done it. When I started, I'd look at a jar's list price and think, "Great, that's 10% cheaper than my current supplier." Then the invoice came and the line items told a different story.

Here's what belongs in your TCO calculation:

• Base unit price (obviously)
• Shipping — especially for glass. Weight eats margins fast.
• Setup or tooling fees — some vendors charge for mold setups on custom closures. Ask upfront.
• Minimum order quantities (MOQs) — a low unit price on 10,000 jars is worthless if you only need 500.
• Pallet fees or handling charges — we got hit with a $75 "pallet deposit" once that wasn't in the quote.

I'll give you an example. Vendor A quoted $0.82 per 16-oz glass jar. Vendor B quoted $0.74 — a 10% savings. I almost pulled the trigger on B. But when I added it up: B's shipping was $0.19/unit versus A's $0.11/unit. B also had a $45 setup fee. Total cost: Vendor A was $0.93/unit. Vendor B was $0.96/unit. The "cheaper" option cost more.

(Should mention: this was in 2022. I've since built a TCO spreadsheet that automatically flags these differences.)

Step 2: Check for Hidden MOQ Traps and Split Orders Strategically

This is the step most people miss. I did.

A vendor's MOQ might say "500 units per size." Fine. But what if you need three different jar sizes? Some vendors count each size separately. Others allow a combined MOQ across your entire order — meaning 1,500 total units in any mix. That flexibility changes your cost profile completely.

Fillmore Container, for example, tends to be flexible on mix-and-match for bulk orders. I've ordered 500 of one jar size and 500 of another without a penalty. But I've also worked with vendors where each SKU had its own MOQ — and I ended up ordering 1,500 units I didn't need just to hit the threshold.

Action item for this step: Before you get a quote, ask: "Do you allow mixed sizes within the same order to meet the MOQ?" Write down the answer. If they say no, factor that into your total cost — you'll likely be ordering extra units you don't need.

I want to say we saved about $2,100 on one order just by asking this question. But don't quote me on that exact number — I'd have to pull the invoice. The point is, it's real.

Step 3: Verify Closure Compatibility Before You Commit

This sounds basic. It isn't. I skipped the final check once because we were in a rush — and I paid for it.

We needed 5,000 wide-mouth glass jars with matching lids. The vendor's website said the jars used standard 89mm continuous thread closures. Great. We ordered the jars and a separate shipment of lids. Turns out the vendor's "89mm" had a slightly different thread pitch than the lids we bought. Not all 89mm threads are identical — who knew? The lids didn't seal properly. We had to reorder from the same vendor at $1,400 in extra cost plus lost time.

(Oh, and we also had to pay return shipping on the first batch. That stung.)

Step 3 rule: Always order a sample of both the jar and closure before bulk purchasing. Most packaging suppliers — including Fillmore Container — offer sample packs. If they don't, that's a red flag.

What I do now: I request samples from three vendors simultaneously. While they ship, I build my comparison spreadsheet. By the time the samples arrive, I've already narrowed the list. Then I physically test the closure fit on the jar before I place the order.

Step 4: Use Bulk Discounts and Coupon Codes — But Verify the Net Price

Fillmore Container and many other packaging suppliers offer bulk pricing tiers and discount codes. But here's the nuance: a "10% off coupon" applied to a high base price might still cost more than a vendor with a lower base price and no coupon.

I've seen this happen. A colleague of mine — another procurement manager — bragged about getting a 15% discount code from a vendor. She applied it to a $0.95/unit jar. The final price was $0.81/unit. But my base price from a different vendor was $0.78/unit with no discount code. She paid more despite the "deal."

What to do: Always compare the net price — base minus any discount — against other vendors' base prices. I track this in a simple spreadsheet column: "Base Price," "Discount Code Applied," and "Effective Unit Price." It takes five minutes and it's prevented me from falling for the discount illusion more than once.

If Fillmore Container has a coupon, I'll use it. But I'm also checking their standard bulk tier pricing because sometimes the tier price is already close to the discounted price on smaller orders.

Step 5: Negotiate on Shipping, Not Just Product Price

Shipping is where margins get eaten in packaging. A 16-oz glass jar weighs about 0.5 pounds empty. A case of 12 is 6+ pounds. A pallet of 60 cases is over 300 pounds. Freight costs can add 15-25% to your total order value.

Here's what I've learned: most vendors — including packaging suppliers — have more flexibility on shipping than on product price. The product price is usually set. But shipping? That's often negotiated per order.

Last year, I was comparing quotes for a $4,200 order. Vendor A listed shipping at $580. I asked if they could waive the handling fee or split it across two deliveries (we needed staggered arrival). They knocked it down to $420 — a $160 savings. Vendor B's shipping was firm at $510. Suddenly Vendor A was cheaper even though their product price was slightly higher.

Script for this step: "The product pricing works for us. Can we look at the shipping cost — is there any flexibility on the handling fee, or can we combine this with another order to reduce per-unit freight?" The worst they say is no.

I should add that this works better if you're ordering pallet quantities. Small individual-case orders don't have as much leverage. But if you're at $2,000+, it's worth asking.

A Few Things That Can Go Wrong

These are the mistakes I've made or seen others make:

• Assuming "standard" is universal. Not all 89mm closures are the same. Not all "case quantities" contain the same number of units. Verify everything.
• Ignoring lead time on closures versus jars. Sometimes closures and jars ship from different warehouses. I've had jars arrive on Tuesday and matching lids on Friday. That means the jars sit for three days — and you can't start production.
• Forgetting to account for breakage. Glass breaks in transit. Factor 2-5% breakage into your cost, especially if you're ordering large quantities. We budget 3% loss per pallet order and add it to our unit cost. If breakage is lower, it's a bonus.

This checklist isn't perfect. Every order is different. But if you run through these five steps before you commit, you'll catch the stuff that eats your budget. I know because I've caught it the hard way first.