The role of packaging has gone through a fundamental transformation in previous years. Where it once served the sole function of protecting products, it has in the meantime become one of the most significant and indispensable marketing tools.
Five key megatrends will affect the growth and profitability of players in the packaging industry over the next five to 10 years. Identifying them and learning how to capitalize on them should be our only goal. One of them is the rapidly changing consumer and customer preference.
An increase in consumer customisation and personalization of products has resulted in a massive expansion of SKU production. “If you walk into a big-box retailer or Walmart or a big grocery store, you tend to see 10 to 15 different products on the shelf of a given category. When you go to Amazon, you can see up to 2,000 different products in a category. And it’s feeding this consumer desire for variety and customization. What you’re seeing is that the world’s changing, and consumers are desiring more.
According to the latest market report published by Transparency Market Research titled 'Personalized Packaging Market': Global Industry Analysis and Forecast 2017-2025', global personalized packaging market attained a value worth US$ 25,577.9 Mn in 2017 and will possibly thrive at a promising CAGR of 5.1% over the forecast period (2017-2025).
Same segment, a whole different packaging history
In the past the goal of most manufacturers was to achieve high volume performance with high efficiency, paying attention to a kind of product standardisation. When change was required, switching the set-up to meet the new needs generated long periods of downtime or could even result in another piece of equipment being added to the line. Flexibility came at the cost of efficiency. Today’s challenge is to combine high flexibility with efficiency and versatility to meet consumers’ demands for greater personalisation, which are often driven by changing purchasing habits such as marketing campaigns and e-commerce.
How to put the self ‘outside-of-the-box’
The customization of certain products to the customers' individual wants and needs is indeed a megatrend.
Consumer behavior has changed, and as such, packaging companies continue to look for ways to win at the shelf and truly connect with their audiences - Learn more in this eBook.
We look forward to seeing you at ‘where engineering breeds creativity'!