OXO Packaging
About the Company
OXO Packaging specializes in providing custom packaging solutions tailored to the needs of various industries, including cosmetics, jewelry, and retail. The company offers a wide range of packaging options, from material selection to printing and finishing, ensuring that businesses of all types can find the right packaging for their products. Salman Shahid’s vision for OXO Packaging is to be the leading custom packaging provider in its target markets, offering high-quality, sustainable packaging solutions. The company’s commitment to quality has helped it retain a broad customer base and achieve impressive revenue growth.
Idea Behind Company
Salman Shahid's entrepreneurial journey began with a desire to leave his 9-5 job and start a business that utilized his digital marketing skills. After extensive research, he identified the packaging industry as a low-risk, high-potential market. The global packaging industry was worth $400 billion at the time, with predictions of continued growth. Salman saw an opportunity in the demand for sustainable packaging, which aligned with his vision for a business that could not only succeed financially but also make a positive impact on the environment. This idea became the foundation for OXO Packaging.
Creating the Company
With no prior experience in the packaging industry and limited financial resources, Salman faced significant challenges in getting OXO Packaging off the ground. He sought out an investor, eventually securing funding from a trusted senior colleague. The brand name, "OXO Packaging," was inspired by a game of tic-tac-toe. Salman conducted thorough market research to find the best materials for sustainable packaging, opting to outsource manufacturing initially to keep costs manageable. Despite these early struggles, Salman’s persistence paid off, and he successfully developed the first version of his product.
Launching the Business
OXO Packaging was launched in November 2017, with Salman leveraging his digital marketing expertise to build the company’s website and reach out to potential clients. He focused on small businesses, using cold emails and digital marketing strategies to generate leads. The company’s first deal was closed in December 2017. Managing the initial orders was challenging due to the limited team size, but the business quickly gained momentum. By December 2018, OXO Packaging had set up its production unit to ensure better control over quality, and the company continued to grow, expanding its operations and team size.
Earnings
OXO Packaging has achieved remarkable financial success since its launch. In the first year, the company reported a 10% gross profit, which increased to over 30% in the following year. Currently, OXO Packaging generates around $500,000 in monthly revenue and has plans to increase its gross profits to over 40%. The company has expanded its operations beyond the USA, establishing a presence in Australia and planning further expansion into the UK. The business’s success is attributed to its commitment to quality, effective digital marketing strategies, and continuous efforts to innovate and improve its offerings.
