Makro labeller investment leads to rapid ROI
In the early part of last year, a relatively small, independently owned UK water company purchased a Makro roll feed labeller and such has been the success of the installation the ROI has proved to be less than 12 months.
Richard Portman, Managing Director of Makro Labelling UK said, "When our client first talked to us about the new machine, they were using self-adhesive labels which at current market prices worked out at £10/1000 labels compared to roll feed labels at £3.35/1000. This in itself was a potential huge saving when you consider the line runs at 7,500 b.p.h. therefore at the point of purchase our client was at least looking for some really valuable savings on label costs of 66%."
Richard continued, "It is only now that the Makro labeller has been in full production for the wonderful summer of 2018, that some further great savings have been identified bringing the ROI down to a much shorter period."
"Our client used to receive about 4000 self-adhesive labels per roll, the OPP roll fed labels have around 25,000 labels. The label change-overs used to be 15 self-adhesive reel change-overs on an 8-hour shift which is now down to 2-reel change-overs on OPP."
"The time for a change over used to be 5 minutes on self-adhesive label reels, however, on OPP this is down to 4 minutes. This has given the client a 16.5% increase in production per 8-hour shift and has a direct saving of £214 per day, which equates to £53,500 per year, so if the additional label savings of £77,150 is also added into this sum the payback is really less than a year."
Richard concluded, "This is a classic case of thinking outside the box by our client. The differential in label costs was an easy sum to factor in to the equation, the other savings our client has found out for himself, which has brought forward his decision to buy another roll feed machine during the course of this year. There are some significant environmental issues as well in that there is no backing paper to dispose of, the OPP label is also preferred by the plastics recyclers when the empty bottles end up in the close looped system, so a win-win all round."