There is one core belief that we adhere to at Plastic Pallet Pros and that is the idea that pallets and plastic bins are more than the stage for storing and shipping your products. We believe plastic pallets are solutions. How can that be when market trends are under increasing scrutiny, manufacturing scrambles to rebuild in the United States, and the supply chain remains backlogged? What use are plastic pallets in the midst of these challenges and where are the upcoming opportunities? In this article, Plastic Pallet Pros will look at these questions through the eyes of Bryon Robbins of Robbins Resource Management and Plastic Pallet Pros Director of Operations Sam Dunham.
KEY TAKEAWAY
Plastic Pallet Pros podcast discusses the debate between plastic and wood pallets if plastic pallets are set to cannibalize the wooden pallet industry, and what strategic preparation industry leaders can make today to benefit from the manufacturing trends in the United States.
What opportunities exist for the pallet industry?
In a recent Plastic Pallet Pros podcast Byron Robbins, whose 25 years of experience dealing in wood and plastic pallets says, “There has never been an industry more apt to pivot and find opportunities.” Where are these opportunities? Referring to September 26, 2022, New York Times article “Factory Jobs Are Booming Like It’s the 1970s” Robbins continues, “… keep in mind that 80% of all of the products that are moving in the United States are moving on wooden pallets and skids. Just 6 years ago we were about 8 billion dollars in total sales of wooden pallets and skids and right now, this year, they’re looking at 13.9 billion. There is a lot of opportunity out there.” The capacity for plastic pallets to supply the industry is exponentially ripe. Differentiation, preparation, and opportunity to outsource the competition are in the hands of suppliers and packagers who are ready to respond to market demands. Plastic pallet pros is ready to meet the demand.
Wood Pallets versus Plastic Pallets, which is better?
One of the longest ongoing industry debates pits the wood pallet against the plastic pallet. Looking at the distribution of wood pallets and plastic pallets within the supply chain shows each product serves a purpose. Plastic pallet sales are on the rise however, wood pallets continue to surge. Is one better than the other? Customer needs and varying applications will determine the pallet solution. Yet urgent lead times and just-in-time manufacturing is on the rise, Plastic Pallet Pros believe that many suppliers have yet to investigate the benefits of plastic pallets. In addition, if manufacturing predictions are on point and warehouse space becomes integral, now is a good time to examine if your wood pallet solutions are saving you money.
Is plastic stealing from wood?
Dunham does not see a reason why wood pallet and plastic pallet manufacturers can’t both thrive with the manufacturing opportunities popping up in the United States. “Plastic is essentially a new product providing what wood pallets can’t. Plastic pallets fill an opportunity for customers to improve their product and it solves problems that wood pallets can’t along with the sustainability piece”, says Dunham. In addition, Dunham says customers are reporting they are very busy. His observations match reports indicating wood sales and plastic pallet sales are increasing in tandem. So yes, plastic pallet demands are at an all-time high, but concerns over plastic cannibalizing the wooden pallet market remain unfounded.
Robbins, Dunham, and the pros at Plastic Pallet Pros are keeping their eyes on local trends and are preparing to respond and pivot as demands shift. The extensive knowledge and prompt customer service experience built into Plastic Pallet Pros means vendors seeking package products get the solutions they need for successful shipping and storing.
Listen to the complete podcast here. Call Plastic Pallet Pros at 1-877-651-7816 or visit www.plasticpalletpros.com and hit the Chat feature for an instant connection.
