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Why Sachets are Cheaper Than A Bottle of Shampoo? [Top 8 Reasons]

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Why Sachets are Cheaper
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Why Sachets are Cheaper Than A Bottle of Shampoo? Here we will discuss 8 top Reasons.

This question might sound absurd to many of you but its reasons will open your eyes and fathom your knowledge about the Product Marketing Industries.

Product Marketing Industries specifically deal with the Development, Distribution, and Progressive Sales of a product.

The development of a product that is fit for its Target Market (Targeted group of consumers), distributing the product accordingly as per demand, and boosting the sales of the very product are the main lookouts of product marketing.

The development of a product involves one important step which is Packaging. Consumers are lured by the quality of a product’s packaging.

Did you know that the more attractive the packaging is the costlier the product will be? The cost incurred in the packaging is added to its price to acquire profit.

The Reasons Behind Why Shampoo Sachets are Cheaper than a Bottle

Why Sachets are Cheaper

You are here to know the answer to the question, ‘Why sachets are cheaper than Bottles?’

Well, for knowing the answer to this question you need to be aware of these pieces of information. We’ll share here the most possible reasons to a Shampoor sachet is cheaper than a bottle.

 1. Quantity

Nowadays, multiple forms of packaging for one single product can be seen for its various quantities.

Yes, Quantity, this is one of the initial reasons behind the difference in the price of a shampoo sachet and its bottle. Sachets are relatively lesser in quantity as compared to bottles.

Their usage is measured to be one-time single usage. Through a shampoo bottle you can use as much as you want but in the case of a sachet, once it’s torn u have to use all of its material.

You can’t store the shampoo of the sachet for a long time as you can do it with the bottle.

In this huge Brand world of Fast Moving Consumer Goods (FMCG) marketing, portable is the trend, it is economical and highly preferable by the majority of consumers. Countless FMCG products come in a portable size or sachet like sauces, spices, toothpaste, creams, shampoo, oils, etc.

You name them and you can find a miniature version of almost all of your daily usage items. Sachets were mainly invented for the B2B (Business to Business) sales purpose i.e, in Hotels, Flights, Restaurants, etc because the usage was ‘one person one time.

But now great demography of consumers prefers sachets as it gives them accurate measure and zero wastage of the products they tend to use.

As for the bottle, the measurement for ‘one time one person’ use gets a bit difficult and lots of wastage of product and money occurs in the process.

2. Packaging and Distribution

Why Sachets are Cheaper

Another reason is observed for why shampoo sachets are cheaper than a bottle is the Packaging. The bottles are big, stiff, and designed broad.

The shampoo bottles are made up of solid PET (PolyEthylene Terephthalate) plastics. Its cap is made of even thicker plastic called Polypropylene.

Some shampoo bottles come in an outer shell of stiff paper cover. Overall a bottle of shampoo comes in double packaging which makes it bulky and heavy.

The distribution of the bottles becomes time taking and costly because of the heavy weight and space it takes.

For distributing a lot of shampoo bottles big crates and heavy transportation are necessary which results in a rise in the cost of distribution adding up to the price of goods. On the contrary, shampoo sachets are made up of thin PET plastics. The sachet doesn’t need any stiff paper cover boxes.

It’s a simple single packaging, in which the thin plastic is filled with the necessary amount of shampoo and the open edges are sealed with heat.

The process of packaging a shampoo sachet is relatively quick and economical compared to the process of packaging the bottles. Even the distribution process of the sachet is cheap, hassle-free, and in a sufficient quantity.

3. Price

The difference in quantity and packaging leads to the contrast in the overall cost of the products resulting in the price difference.

As we know that the various costing expenses are added to the overall price of the product.

In this case, also, the price of a shampoo bottle includes the cost of production, packaging, transportation, and other miscellaneous costs.

The same goes for the price of a shampoo sachet. But why sachets are cheaper? The reason is the quality of their packaging.

The sachet has low-quality plastic packaging; on the other hand, the shampoo bottles are made of high-quality plastic and rich quality design.

The shampoo bottles come in different weights of quantities like 100ml, 200ml, 500ml, 1L, etc. The most common bottle measurement in the market is 200ml and 500ml. These are the moderate weights or quantities.

However, some brands play the in-between games and offer 100ml or 150ml extra in the bottles for boosting the sales of their products. It’s a part of the advertisement and promotion of the product.

The average price for a shampoo bottle of 200ml is around Rs.250, it can be more than that or a bit less than that depending upon the brand.

Whereas, in the case of shampoo sachets, the quantity is 2ml to 6ml which can cost up to Rs.1 to Rs.5. That shows a huge difference between the prices of sachet shampoo and bottle shampoo.

4. Persuade to Try Variety

Sachet shampoo is an effective way for brands to promote their products cost-effectively and efficiently.

All small and big shampoo brands have shampoo sachets which they distribute in bulk. These sachets are easily available at retailers and even at smaller shops.

All the brands charge a minimal amount for their shampoo sachet as they want to persuade the customers to try out their brand without worrying about investing a big sum.

The extremely low price of the sachets enables the consumers of the lower, middle, and even several upper-middle-class consumers to try different brands.

By trying out different brands consumers can find a suitable brand and can invest a big sum in them later. Big shampoo bottles have a costly price which makes the consumer hesitant in trying them out in the first place.

That can reflect a lot of difference in the sales of the product. Sachet encourages consumers to try out different brands without sinking their large sum.

5. Convenient to Use

Why Shampoo Sachets are Cheaper

The shampoo sachets are very convenient and economical to use. Their little portion of quantity is good for one-time use for an individual.

The cost of the sachet is extremely reasonable which makes it easier for the middle to lower class of the society to add it to their hygiene.

Surveys had shown that earlier a large demographic of the consumers were unable to afford the luxury of shampoo bottles; after the sachet came into the market this large demography of consumers has become the most active buyers.

They tend to try various brands and give the brand an idea for their product development and expansion. The convenience of the sachet as compared to the bottle is greater.

The daily earner and tightly budgeted families use the sachets in bulks and prefer the shampoo sachets over the shampoo bottles. This is one more significant reason why sachets are cheaper.

The cheaper price and approachable convenience is making the sachet available for the majority.

6. Wide Availability

The shampoo sachets are easily available in every retail shop and small shack. The sachets are the main demand in the small towns and villages.

The availability of shampoo sachets is in every nook and corner of the market in every city, town, and especially village.

The variety of shampoo sachets available in the retail shops and shacks is always more than the variety and availability of the shampoo bottles.

The target demographic for shampoo sachets is higher than the shampoo bottles. The respected brands produce their shampoo sachets in huge bulks as its demand is higher and production cost is proportionately lower.

7. Preference of the Majority

Why Sachets are Cheaper

India is a society made up of poor, lower class, middle class, and rich people. In the population of 1.3 billion, rich people are 1%, and the rest is the fine mixture of poor, lower class, and middle class. Among this 99% of the Indian population, over 70% are the core consumers that can change the dynamic of demand in the market.

The majority of consumers prefer the sachet more than the bottle because they are cost-conscious. They believe in low cost and high variety.

While spending their earnings they focus on their optimum use of the product with minimum cost.

They roughly analyze the difference in costs between a shampoo sachet and a bottle and prefers the sachet as it’s cheaper per unit basis than those which are sold in a bottle.

8. Capture Market Segmentation

Various shampoo brands have made their miniature products in a sachet to penetrate the rough market segments.

Due to the high price and quantity clause, most of the brands were unable to expand their sales. Sachet Marketing has enabled the big brands also to enter the areas where the sales of the branded products were impossible.

The small unit of product and price in single digits had boosted the sales of the sachet shampoo, far higher than the sale of bottle shampoo.

Over 95% of sales of shampoo in India are through sachets, which results in quick and high turnover at a low cost. The sachet marketing is capturing a larger market area as compared to the bottle marketing.

Conclusion of  Why Sachets are Cheaper

conclusions

From all the above information we can gather that sachets have brought a revolution among the price-sensitive buyers.

Packaging designs have become an extremely important aid in the decision-making of consumers.

The majority of the consumers have shifted from non-branded or low-branded shampoo to various branded shampoo due to the affordability of products in the sachet.

Companies are doing their best to meet the requirements of the price-sensitive consumers.

For that, they have to work towards making more and more products affordable and reachable. And also the companies or brands have to make sure that the quantity may vary from sachets to bottles but the quality among them must not be compromised.

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Hi there! I am Kajal. I hail from Kolkata. I have written some quality content on Movies, Celebrities, and the entertainment world. Though I hold a master's degree in Commerce, I am intent on making fascinating and informative content of all sorts.

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