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Bennett Digs Success From a Limestone Mine
April 1, 2007 By: Tom Andel Paperboard PackagingThis independent corrugated converter tailors value-added services and quality products for some of Wal-Mart's biggest suppliers — from a 400,000-sq-ft hole in the ground.
Companies confronted by the challenges that the box business has faced might be tempted to bury their heads in the ground. Bennett Packaging buried its entire operation in the ground — not to escape reality but to rise to its challenges.
Bennett's packaging plant is part of Kansas City, Missouri's rich geology. It occupies 400,000 sq ft of space in the limestone mines leased to businesses by Space Center Kansas City Inc. What has sprouted since the company planted itself here in 2000 was recognized this year by the Greater Kansas City Chamber of Commerce as one of the region's "Top 10 Small Businesses." Mark Martin, president of Space Center, uses Bennett as a barometer for measuring the success of the rest of his tenants who lease plant and warehouse space from him.
 Bennett Packaging's management team, from left: Ramon Reynolds, manufacturing service manager; Doug Hay, plant manager; Doug Bennett, owner and executive vice president; Kathy Bennett, owner and ceo; Craig Bradley, vice president of manufacturing; Garrett Bradley, corporate sales manager; Don Daly, sales manager. |
"If they're busy, usually my other customers will do very well," he says. "They've taken a strategy of doing value-added services to leverage their ability to make boxes. That includes displays and labor-intensive, hands-on repackaging. It's a very competitive niche."
What further distinguishes Bennett is the fact that it is a woman-owned business. However, Kathy Bennett, the president and owner, doesn't want that to be the reason customers do business with her company.
"The fact we're woman-owned is important to some of our customers, but at the end of the day it's a lot less important than the fact we're performing," she says. "Everybody in our organization, from top to bottom, makes this company successful. It's also the type of facility we have. We were once constrained by how few dock doors we had. Here, that's not an issue for us. We have 30-plus to help us run the pallet programs we do for the major retailers."
In fact Bennett benefits from the fact that the space they now use was previously a General Mills distribution center, which gives them plenty of room for production flow and the performance of value-added services.
Leveraging the Wal-Mart Connection
Garrett Bradley, Bennett's corporate sales manager, sees these services as Bennett's greatest opportunity for growth.
"The brown box market in the U.S., because of all the manufacturing going offshore, isn't growing," he says. "So to set yourself apart, you have to offer more than the next guy. Any kind of logistical services, fulfillment, warehousing, developing custom programs for customers, and delivering to suit their needs, that's where the most growth potential is."
Bennett is particularly strong on the display side. It offers a one-stop shop. Customers can either come in with an idea of their own for implementation, or they can rely on Bennett to suggest the best way to make an appearance in the marketplace. Bennett's display headquarters is in Bentonville, Ark., only a few blocks from Wal-Mart headquarters. This is another strategic location for Bennett.
"Working with Wal-Mart buyers in Bentonville, we can make suggestions based on how many units they want to merchandise, and their budget," Bradley explains. "They don't have to go to five different places to execute. Something may come in from China through a port, brought directly into our location in Kansas City. It's unpacked, put into a display that's ready for the store, then either held in our warehouse until that time or shipped directly out."
Bentonville is a strategic nexus for Bennett, not only to reach out to Wal-Mart, but also to gain access to Wal-Mart's huge circle of business partners.
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