Who This Checklist Is For
If you're a beverage brand owner, procurement manager, or supply chain coordinator sourcing aluminum cans, this is for you. Specifically, if you're dealing with volumes from 50,000 to 5 million units per order, and you've ever been surprised by a line item you didn't expect. I'm a cost controller at a mid-sized beverage company. I've managed our packaging budget for six years, negotiated with 12+ can suppliers, and tracked every single invoice in our system. Here are the traps I’ve seen—and the checklist to catch them before they catch you.
There are five steps here. Each one addresses a specific cost pitfall. By the end, you'll have a repeatable process for avoiding the same overruns I used to fall into.
Step 1: Calculate TCO, Not Unit Price
You get a quote: $0.12 per can. Looks good. But what about everything else? Total Cost of Ownership (TCO) matters way more than the sticker price. In 2023, I compared costs across 8 vendors. Vendor A quoted $0.12 per can with all-in shipping. Vendor B quoted $0.10 per can—looked like the obvious choice. Until I dug deeper.
Vendor B charged for: palletizing ($0.02/can), warehousing if orders sat for more than 3 days ($0.01/can/day), and a 'setup fee' for each new SKU ($500). Vendor A? All included. The difference? About 17% more on the total invoice. That's a lesson learned the hard way.
Checkpoint for Step 1: Before signing, ask for a full breakdown of all fees—not just the unit price. Use a spreadsheet. Calculate the total for your annual volume. Then compare.
Step 2: Verify Spec Sheet Details With Your Production Team
Here's a trap I see constantly: the spec sheet looks perfect, but the can doesn't fit your filling line. Honestly, this happened to us in Q2 2024. We ordered 100,000 cans based on standard industry dimensions. The supplier's spec said 'standard.' But their 'standard' had a 0.3mm difference in neck diameter. The cans jammed our filler. We lost 2 production days.
The fix? Have your production team review the spec sheet before you place the order. Not just you, the procurement person. The people who run the line. (We now have a mandatory 'spec review' step with our operations manager before any order goes out.)
Checkpoint for Step 2: Get a physical sample or, at minimum, a certified spec sheet from the supplier. Cross-check it against your line's requirements. Don't assume 'standard' means the same thing to everyone.
Step 3: Ask About Minimum Order Quantity (MOQ) Breach Fees
Most suppliers have a MOQ. But do they charge you if you don't hit it? Not always stated upfront. Everything I'd read about MOQs said they're just a volume threshold—go below and they won't take the order. My experience with 200+ orders? Some suppliers will take a smaller order, but they'll hit you with a 'shortfall fee' of $0.05-$0.10 per can.
For example, a supplier's MOQ is 250,000 cans. You order 200,000. Their quote showed $0.10/can, but the final price was $0.15/can after the fee. That's a 50% markup you didn't plan for. Seriously annoying.
Checkpoint for Step 3: Ask: 'What happens if I order below the MOQ?' Get the answer in writing. If there's a fee, negotiate it down or find a supplier with a lower MOQ.
Step 4: Check for Hidden Ink and Decoration Costs
Aluminum cans are blank until you decorate them. And that's where costs hide. Most suppliers quote a base price for a plain can, then add per-color costs for printing. The conventional wisdom is 'ask about ink costs.' My experience? Ask about everything in the decoration step.
In 2022, we approved a quote for a 6-color can design. The unit price seemed fine. But the supplier charged: $0.02 per can for 'ink setup' (a one-time fee), plus an extra $0.01 per color for 'increased complexity.' That's $0.08 per can just for decoration. We'd assumed it was included in the $0.12 base price. It wasn't. The total? $0.20 per can—way more than expected.
Checkpoint for Step 4: Get a separate quote for decoration costs. Ask for per-color pricing, setup fees, and any 'complexity surcharges.' If they can't break it down, that's a red flag.
Step 5: Include Sustainability Credentials in Your Criteria
This isn't just about cost—it's about long-term risk. Many beverage brands are under pressure to show sustainability, but not all suppliers have third-party certification for their aluminum recycling claims. I've seen suppliers claim '100% recycled' without certification. That's a liability if you're audited.
Ball Corporation, for example, is a known advocate for recycling infrastructure and has third-party verified data. When I sourced from them, I didn't need to worry about verifying their claims. That saved me time and legal risk.
Checkpoint for Step 5: Ask for third-party certification (e.g., ASI, SCS Global Services). If they can't provide it, consider it a risk. Factor that risk into your TCO—a potential audit issue could cost way more than the can price.
Common Mistakes to Avoid
Here are things I've seen—and done—that you should steer clear of:
- Relying on a single quote. I always get quotes from 3 suppliers minimum. Even if I have a preferred vendor, competition reveals market rates.
- Not including shipping in the comparison. A supplier 500 miles away may have lower unit cost but higher freight. Factor it in.
- Assuming 'rush order' is always expensive. Some suppliers, like 48 Hour Print for packaging, offer standard rush services at a fixed price. Check before assuming.
- Ignoring the contract's 'force majeure' clause. I had a supplier use this to cancel an order during a raw material shortage. Now I ask about backup sourcing plans.
The best approach? Build a checklist from these steps. Share it with your team. And remember: the lowest quoted price often isn't the lowest total cost. You know how much caffeine is in a cup of iced coffee? (About 95 mg for a standard 8 oz cup, depending on brew method.) You wouldn't rely on a single fact for your morning routine. Don't rely on a single number for your procurement.
Finally, I'll leave you with one last thought: transparency builds trust. I've learned to ask 'what's not included' before 'what's the price.' The vendor who lists all fees upfront, even if the total looks higher, usually costs less in the end. That's not ideal, but it's real.
