Amazon reports having reduced the weight of its outgoing packages by one-third since 2015. It makes the net weight of reduced packaging materials nearly 915,000 tons, which means more than 1.6 billion shipping boxes. Less volume of shipments results in a reduced transportation impact, resulting in a reduced environmental impact.
Leading brands are now partnering with Amazon Web Services (AWS) customer packaging experience team to gain access to data analytics. These analytics help those brands in bringing substantial packaging improvements. For instance, using statistical models helps optimize product packages, leading to an overall reduction in costs and damages. With the help of AWS machine learning (ML) tools and services, scientists can build and deploy advanced models at different scales.
Influence of machine learning on e-commerce packaging
Machine learning is a method to use updating datasets to figure out patterns and make automatic improvements in the system. Amazon uses this method to find multiple ways to reduce packaging wastes. The fact of the matter is that this technique has allowed companies to shift items from boxes to padded mailers, thus reducing packaging wastes significantly.
According to a report, machine learning has helped companies reduce the use of boxes by up to 69% in certain areas. They now use padded mailers. This report was made public after Amazon partnered with Henkel to develop its packages. Before this partnership, Amazon launched a fully recyclable padded mailer that not only protects the products but also minimizes transit space requirements. The application of heat makes the adhesive, which holds two layers of paper expand, to provide cushioning and that too without affecting the recyclability of the mailer.
Analytics based on machine learning helped the company decide which products can use mailers instead of boxes without having their safety compromised. Before working on this analytics-based strategy, Amazon used to pack all vinyl toys under $25 in flexible mailers.
According to Matthew Bales who is a research science manager, there are a lot of exceptions to that traditional approach. Machine learning allowed the development teams to dig into all of those rules to find what’s right for a particular product.
Bringing change for good
Amazon shares its grand vision in the Climate Pledge, which it co-founded in 2019. Its signatories now include several public and private sector brands and organizations that pledge to reduce carbon emissions down to zero by 2040.
According to Amazon CEO Jeff Bezos, it may be a bit more challenging but not unachievable. Amazon is in a position to set trends beyond its domain due to its online marketplace and AWS market share.
While only large brands are using these analytics and datasets to improve their packaging applications, they make a sufficient amount of data available to small businesses that are unable to buy such expensive subscriptions. It means that if you are a small business looking to increase your profit margin through well-thought product packaging, you can do it quite easily. You may want to discuss your requirements with your packaging supplier get workable suggestions.
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