Pregis LLC, starting next month, will institute monthly fees for new placements of equipment.
The Deerfield, Ill.-based maker of protective packaging materials and equipment, said the fees will cover its inflatable systems, paper machines and sheeters.
Post-installation modifications done by field technicians from the company also will charged hourly fees, Pregis said.
“Pregis continues to make significant investments in research and development and service platforms to insure that its protective packaging equipment leads the industry in providing solutions. In order to maintain the level of innovation we've brought to the market over the past several years, it has become necessary to assign cost to the equipment placed in a customer's facility,” said Sean Condon, executive vice president of sales, in a statement.
Charging monthly equipment fees is a change from what has been the norm, which saw customers pay for consumable materials but not for equipment installed at their facilities.
The new usage fees, the company said, will support future packaging system development and help Pregis recoup what it calls “a small portion” of equipment and service costs.
While post-installation modifications will become subject to hourly fees, the company said routine, preventative maintenance will continue at no charge.