Pretium Packaging’s (Chesterfield, MO) motto is “packaging ideas into your solutions,” something it has been doing for years exemplified more recently by the innovative SureHandle bottles, a technology platform that leverages one of the molder’s core competencies, injection stretch blow molding (ISBM). The handleware technology produces PET bottles with an integrated PET handle so that the entire container is optimized as 100% PET for recyclability. The company has also gained a firm foothold in extrusion blow molding through acquisitions.We interviewed Paul Kayser, president and ceo, to discuss these and other of the company’s developments as well as solicit his thoughts about industry trends and challenges.
Please describe the company in a nutshell.
Kayser: Pretium Packaging is a trusted supplier of blow molded plastic containers and closures, helping brand owners across the United States and Canada meet their objectives via custom and stock packaging solutions. Pretium provides a wide array of container and closure solutions, emphasizing superior quality, value and customer service. At the core, Pretium is routed in market knowledge, product innovation, and highly responsive operations.
What distinguishes your company and products?
Kayser: Pretium provides private label, brand or distribution customers both stock and custom packaging solutions. Pretium has dedicated market segment leaders focused on the continuous development and launch of innovative stock and custom products. From market insights to the latest bottle and closure technology, we earn our customer’s business by offering products and services that differentiates us.
What are your key product markets and geographic areas?
Kayser: Pretium serves four core markets in North America: food/specialty beverage, household and industrial chemical, health and beauty aids, and sports nutrition.
What can you tell us about your latest products including the glass replacement bottle?
Kayser: In February 2018, we launched our 2-Liter SureHandle PET bottle which features an integrated handle. This is the second stock container in the SureHandle line. The first stock container was a 64-ounce size launched July 2017.
Also, we continue to stay very close to trends involving glass-to-plastic conversions. Factors such as tighter controls and larger liabilities around glass filling, along with retail environment increases in online shopping, relates to higher packaging and freight expenses for glass products. The transition from glass to plastic is still very much in play (see image below).
With a continued focus on market research and trends, Pretium continues to invest in product development activities and plans to introduce more new product innovations in the very near future. Stay tuned!
What are key trends in your markets? What’s driving growth?
Kayser: There are general trends and also market-specific trends. Current general trends driving packaging and purchasing decisions are millennial shopper preferences, growth of online retail channels and tech-savvy, price-sensitive consumers. Additionally there are additional trends in each specific market segment. These include on-the-go packaging for food, demand for more eco-friendly household chemicals, preventative care driving sports nutrition and “clean” formulations for health and beauty products.
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What do you see as the biggest challenge for container molders?
Kayser: Managing just-in-time requirements, real-time demands and the availability of materials can be challenging. Pretium has made significant investment to ensure we have the visibility and meaningful data to make educated production decisions quickly with our world-class Sales and Operations Planning (S&OP) process. This continues to be a very important initiative and focus for our entire Pretium team.
What’s your latest production investment?
Kayser: Pretium has made significant investment in several areas:
- We expanded our single-stage PET capacity to accommodate both the growth of existing customer business, as well as support the onboarding of new customer business.
- We invested in new tooling to bring our SureHandle technology to the marketplace.
- With the acquisitions of Custom Blow Molding (Escondido, CA) and Patrick Products (Leipsic, OH) we expanded our extrusion blow molding production.
What pain point keeps you up at night?
Kayser: The real pain points are those that can take us by surprise. During these unforeseen times, proactive communication and the relationships that you have with customers are key. As an example, last fall, the entire market felt the effects of Hurricane Harvey. Pretium took a hands-on approach and initiated a multi-tiered customer communication campaign that provided regular updates on hurricane activity, customer open order status and resin market conditions.
Kayser: Since 1992, Pretium has been one of the most trusted suppliers of blow molded plastic containers. We focus on the development of the total package solution for our customers– with precision. Our team has a sense of urgency and a passion for our business that customers respect. We call it the Pretium Operating Way. In short it’s what differentiates us in the market.