Rainbow Packs in Manufacturing

Rainbow Packs (a.k.a. Rainbow Products) are bundle packages consisting of multiple variants of the same item type, e.g., different flavors, brands, or formulations. They are a popular strategy used to boost sales, enhance customer choice and clear inventory, however they often introduce production and logistical complexities.

Common Examples of Rainbow Packs

Examples across industries:
● Beverages: Mixed soda 12-packs (e.g., 4 flavors × 3 cans each)
● Snacks: Assorted chip or candy variety packs
● Consumer Goods: Multi-color bundles (e.g., markers, apparel)

A 12-pack box of assorted soda cans featuring vanilla, orange, and grape flavors, with images of the cans and their corresponding fruits printed on the packaging.

Why Use Rainbow Packs?

  • Sales Lift: Pair slow-moving SKUs with bestsellers.
  • Customer Appeal: Offer variety in one purchase and introduce new varieties.
  • Inventory Management: Bundle excess stock into attractive packs.


Be conscious of:

⚠️ Higher labor costs (may involve manual repacking)
⚠️ Complex production scheduling (synchronize component item ratios)
⚠️ Inventory headaches (tracking both individual and bundled SKUs)

Four Common Methods for Producing Rainbow Packs

Depending on your facility’s capabilities, Rainbow Pack production choices include:
1. Same-Line Repacking (A)
○ Components are produced on one specific line, then repacked. ○ Best for: High-volume, low-mix production scenarios.

2. Cross-Plant Repacking (B)
○ Components are produced in different sites, then shipped for bundling.
○ Best for: Multi-site operations with central distribution.

3. Just-in-Time Hand-Adding (C) ○ Pre-made components and one produced item added during packing.
○ Best for: Limited storage and flexible labor scenarios. 

4. Dedicated Rainbow Filler (D)
○ A specialized machine produces all variants in one integrated operation.
○ Best for: Large-scale, high-demand production. 

Which Production Method should you choose?

● Methods A–C require tight scheduling and labor planning. 

● Method D is most efficient but needs capital investment.

Rainbow Pack Key Challenges & Solutions

1. Production Scheduling

A slide with the problem "Stalled packing if components aren’t ready as required" and solutions: "Forecast rainbow demand first, then schedule component production" and "Keep buffer stock for critical SKU components.

2. Inventory Management

Screenshot showing a highlighted problem: "Component overstock or shortage," with solutions: "Track ratios (e.g., 4 Lime + 2 Lemon per 6-pack)" and "Use real-time inventory updates.

3. Labor Efficiency

A slide with the heading "Problem: Manual Repacking bottlenecks throughout." Solutions listed: "Automate where possible (e.g., semi-automated bundling)" and "Cross-train workers for flexibility.

4. Demand Forecasting

A slide detailing the problem of "dead" component stock caused by overestimating demand, with solutions: testing small markets before scaling and analyzing seasonal trends like holiday spikes.

Best Practices for Rainbow Pack Planning

● Focus on Planning Component SKU Production Ratios Accurately ○ Avoid component mismatches (e.g., 10,000 Lime cans but only 2,000 Lemon).
● Optimize Workflow ○ Use pre-kitting stations and color-coded bins to increase packing efficiency.
● Monitor Waste ○ Adjust component production based on leftover SKU trends.
● Leverage Tech ○ Utilize ERP/MES systems and barcode scanning to reduce pack errors.

Conclusion: Are Rainbow Packs Right for You?

Implementing Rainbow Packs can drive sales and reduce waste, if you:
● Plan production meticulously.
● Control inventory dynamically.
● Balance labor vs. automation appropriately.

Always start small: Pilot rainbow packs in a small market, measure efficiency and then scale thoughtfully.

Optimize rainbow pack production by contacting Areté through our Contact page.

About the Author

JR Humphrey

JR Humphrey

JR has 2 decades of experience in Demand and Supply Planning helping customers achieve desired results.