03/09/2025

Is Premium Packaging Worth the Investment?

In 2023, every person in the UK RECEIVED ABOUT 80 PARCELS.

Most of these come as plain brown boxes. And even once the shipping box is opened, the actual product packaging is usually just an obstacle to what’s inside.

These packaging materials get people excited about the product, but not so much the person who sent it.

So as soon as your boxes hit the recycling, the memory of your brand disappears.

That’s because most brands treat packaging as a protective shell. But savvy, growth-focused brands understand that premium packaging is a powerful tool for CREATING MEMORABLE UNBOXING EXPERIENCES and deepening customer relationships.

Bespoke branded packaging is, of course, more expensive than a boring brown box. So what’s the return on investment (ROI) of high-end packaging, and does it justify the added expense?

Short answers: lots and yes.

But let’s dive a little deeper into the real value of a luxury packaging investment to see how making the change improves your brand image and your bottom line.

6 PREMIUM BRANDED PACKAGING BENEFITS

Pencil Truffle Box 04

1) MORE SALES AT HIGHER PRICE POINTS

When a customer encounters high-quality packaging materials that look and feel luxurious, they instinctively place greater value on what’s inside.

This perception allows products in high-end packaging to command prices 15%-30% HIGHER THAN STANDARD PACKAGING.

But that’s not all. Around 45% of consumers are more likely to buy from a retailer that offers premium packaging.

So a luxury packaging investment not only lets you charge more, but sell more as well!

2) BETTER BRAND PERCEPTION AND RECALL

Most of the time, PACKAGING IS THE FIRST BRAND TOUCHPOINT a customer has. And first impressions matter.

Luxury finishes, bespoke details, and thoughtful design all communicate quality craftsmanship and attention to detail, even before your product is revealed.

In fact, a massive 75% of consumers JUDGE A PRODUCT’S QUALITY BY ITS PACKAGING. And bespoke branded packaging can lead to a 33% increase in brand recall.

3) ENCOURAGING LOYALTY AND REPEAT PURCHASES

A premium unboxing experience with luxury brand packaging doesn’t simply end once the box is opened.

It lingers in the customer’s mind, strengthening their connection with your brand and giving them a reason to return.

52% of online shoppers say they’re MORE LIKELY TO BECOME REPEAT CUSTOMERS if their order comes in high-quality bespoke branded packaging. So making a luxury packaging investment can have a big impact on your revenue.

4) ORGANIC MARKETING THROUGH SOCIAL MEDIA

Luxury custom packaging is as much protection as it is a marketing tool.

A beautifully designed box can lead to a 28% INCREASE IN SOCIAL MEDIA SHARING of the unboxing experience on Instagram, TikTok and other social media sites.

This creates valuable brand visibility and allows your products to reach audiences far beyond the original buyer, all without an additional marketing spend.

5) PROTECTING PRODUCTS AND REDUCING RETURNS

Let’s not forget that packaging also protects your products during storage and transit.

Premium packaging materials and bespoke construction can REDUCE DAMAGE RATES BY UP TO 80%.

That means you can maintain your luxury brand image and enhance customer satisfaction while reducing overheads from returned items.

6) STRONG CUSTOM PACKAGING ROI

Investing in bespoke branded packaging is an effective way to increase sales, strengthen brand recognition, and encourage repeated purchases.

Together, these create the potential for ROI OF UP TO 2.5X on your luxury packaging investment.

For premium brands, LUXURY VS STANDARD PACKAGING is a strategic tool that delivers far beyond its expense.

ENHANCING BRAND PERCEPTION WITH A LEADING FASHION CLIENT

The clearest evidence we have that premium packaging is worth the investment is that we’ve made it happen.

Since 2022, we’ve been partnered with the FASHION brand Victoria Beckham to design and deliver brand-defining luxury packaging.

When the team came to us, they were struggling with excessive packaging that detracted from the unboxing experience.

So we streamlined their system to REDUCE PACKAGING WASTE WITHOUT COMPROMISING QUALITY.

That included designing perforated ecommerce boxes with a dual-seal for easy reuse and returns, as well as luxury carrier bags and a wide range of other materials.

Everything we designed was paper based, FSC® certified, and fully recyclable. So even the packaging materials we kept in became more sustainable.

With our support, Victoria Beckham experienced faster lead times and fewer packaging complaints. And since we used darker tones for a premium look, any delivery marks and handling wear also became less noticeable!

After the redesign, Victoria Beckham told us: “Blake Made provides a fully integrated luxury packaging solution that maintains the high standards our brand demands.”

And we still help them keep sales high and customers happy with bespoke brand packaging that offers high ROI.

Read the full VICTORIA BECKHAM X BLAKE MADE story to see how we can support your brand, too!

SUSTAINABLE PREMIUM PACKAGING

Today’s consumers are switched on to environmental issues. And they choose brands that align with their own values and priorities.

Packaging is one of the clearest touchpoints where sustainability becomes visible.

So for brands that aspire to lead their market, investing in premium packaging also means INVESTING IN SUSTAINABILITY.

Bespoke branded packaging from Blake Made is designed with FSC®- and PEFC-certified materials. And we use recycled and recyclable papers, biodegradable laminates, and water-based inks.

That means you and your customers can enjoy high-end luxury packaging that’s built with responsibility in mind.

CHOOSING A LUXURY PACKAGING SUPPLIER whose materials and processes minimise environmental impact lets you build a powerful reputation and strengthen brand trust.

With Blake Made, premium design and sustainability aren’t trade-offs. They’re built into every box, bag, and envelope we produce.

HOW PREMIUM PACKAGING GENERATES ROI: THE FACTS AND FIGURES

WHAT YOU’RE DOING NOW

Let’s say you’re a mid-size SUBSCRIPTION BOX BRAND delivering gourmet snacks to 10,000 subscribers each month.

Your average subscription value is £30 per box. So you bring in a monthly revenue of £300,000.

You pay £0.80 per box for a standard printed carton, meaning a monthly packaging spend of £8,000 a month.

You also have an annual churn rate (how many customers cancel) of 30%.

YOUR NEW PREMIUM PACKAGING

You want to increase your monthly revenue while elevating your brand image. So you upgrade to bespoke branded packaging with sturdier board, a refined printed interior, and premium finishes that reflect your artisanal identity.

Your new premium packaging costs £1.50 per box. 

That means you’re now spending £15,000 a month on packaging.

That’s a £7,000 increase – but how much more money does it bring in?

THE BENEFITS OF YOUR LUXURY PACKAGING INVESTMENT

Greater customer retention

The improved unboxing experience reduces cancellations. So rather than churning 30% of your 10,000 customers (3,000) each year, you only churn 25% (2,500). That means you always have an extra 500 customers on your books that you otherwise would’ve lost. 

500 customers x £30 = £15,000 extra monthly revenue

You get more referrals

Your new premium packaging encourages social sharing. 2% of your subscribers (200 customers) bring in one new customer over a year. That’s about 17 new customers each month.

17 new customers x £30 = £510 monthly revenue growth

Fewer refunds

Stronger packaging cuts returns by 0.5%. That’s 50 boxes saved each month.

50 boxes x £30 = £1,500 revenue preserved

Your final ROI for premium packaging

  • Extra monthly revenue: £15,000 + £510 + £1,500 = £17,010
  • Additional packaging spend: £7,000
  • Net gain: £17,010 – £7,000 = £10,010 per month

That means by switching to premium packaging you’re making an extra £120,120 every year!

This works out as a 2.4x return on your luxury packaging investment – as well as an elevated brand image and a better customer experience!

IS PREMIUM PACKAGING RIGHT FOR YOUR BRAND?

Premium packaging is a strategic investment. But not every company needs the best of the best.

The key is to assess whether luxury packaging investment supports your brand objectives, audience expectations, and position in the market.

Consider the following 5 criteria to decide if premium packaging is right for you.

1) YOUR AUDIENCE EXPECTS A LUXURY EXPERIENCE

If your customers are accustomed to exclusivity and refinement, your packaging must deliver an experience that meets those expectations.

Luxury buyers judge brands on the whole experience, not just the product. And packaging often sets the tone for the entire encounter.

2) YOU WANT TO STRENGTHEN YOUR MARKET POSITION

For brands aiming to enter or expand into the premium niche, packaging is one of the clearest signs of intent.

Bespoke designs, high-quality finishes, and tactile materials reinforce your position as a luxury brand. This distinguishes you from your mainstream competitors.

3) YOU WANT TO BOOST REVENUE OR JUSTIFY A HIGHER PRICE

Premium packaging communicates value before your customer even uses the product.

By elevating the perceived worth of your offering, you can confidently charge more. And the uptick in customer retention and organic sharing can similarly increase revenue.

4) YOU WANT TO AMPLIFY DIGITAL VISIBILITY

In a digital-first world, packaging doubles as content.

Shareable, photogenic designs turn customers into brand advocates. This helps you reach new audiences organically.

5) YOU WANT TO BUILD LOYALTY AND LONG-TERM RELATIONSHIPS

Luxury thrives on repeat business. And LUXURY BRANDS VALUE BESPOKE PACKAGING because it turns their products into a lifestyle.

High-end packaging creates a memorable unboxing moment that deepens customer attachment to your brand. This helps reduce churn rate and increase repeat purchases.

DELIVER A LUXURY EXPERIENCE WITH BLAKE MADE

Premium packaging is a reflection of your brand identity, values, and ambitions.

When you partner with Blake Made, we create packaging that boosts revenue, grows your customer base, and improves brand loyalty with the finest bespoke branded packaging. And the best part is it’s sustainably produced, so you can develop a reputation for both care and quality.

GET IN TOUCH with us today to explore how we can design premium packaging that drives growth and helps you create your ideal luxury brand.