Next Generation Packaging Market
Next-generation packaging is an advanced packaging solution that offers various benefits in terms of product quality information and traceability. It helps in tracking and monitoring the product during the entire supply chain process from shipments to delivery of the product to the location. This ensures the safe delivery of the product to the consumer while preventing damages of the packaged materials. Food & beverages, personal care, healthcare & pharmaceuticals, and logistics are some of the major end-users of next-generation packaging.
The global next-generation packaging market is projected to surpass US$ 68.0 billion by the end of 2027, in terms of revenue, growing at CAGR of 3.7% during the forecast period (2020 to 2027).
Drivers
Increasing demand for a product with longer shelf-life especially food products which are gaining huge demand across retailers as well as consumers are projected to augment market growth. Active packaging is mainly done to enhance the shelf-life of the product as it remove leftover oxygen from closed packets which extend the shelf-life of the product. Thus, growing need for a product with longer shelf-life is expected to augment the market growth of next-generation packaging.
Rapid urbanization and industrialization across developing regions along with the increasing trade worldwide is expected to propel the market growth of next-generation packaging. Moreover, growth in the packaging industry due to overall economic development coupled with the increasing disposable income of the consumer is driving demand for consumers goods is further expected to foster the market growth of next-generation packaging.
Regionally, North America dominated the global next-generation packaging market in 2019, reporting 34% market share in terms of revenue, followed by Europe and Asia-pacific, respectively.
Figure 1. Global Next-Generation Packaging Market, Revenue Share (%), By Region, 2019
Market Restraints
The high cost of installation of next-generation packaging technology is expected to restrict the adoption of this technology. This is expected to hinder the market growth of next-generation packaging.
Privacy issues associated with the RFID next-generation packaging solution is expected to curb market growth. Moreover, limited commercial applications of certain next-generation packaging solution are also expected to hinder the market growth.
| Report Coverage | Details | ||
|---|---|---|---|
| Base Year: | 2019 | Market Size in 2019: | US$ 40.0 Bn |
| Historical Data for: | 2016 to 2019 | Forecast Period: | 2020 to 2027 |
| Forecast Period 2020 to 2027 CAGR: | 3.7% | 2027 Value Projection: | US$ 68.0 Bn |
| Geographies covered: |
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| Companies covered: |
Amcor Limited, WestRock Company, Sonoco Products Company, Sealed Air Corporation, Stora Enso Oyj, Bemis Company, Inc., MULTIVAC, WS Packaging Group, Inc., Active Packaging Ltd., and ULMA Packaging, S.Coop |
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Market Opportunities
Growing research and development expenditure by major players supported by favorable government policies is expected to serve major growth opportunities. Demand for next-generation packaging is surging across emerging economies due to changing lifestyle of the consumers creating demand for a quality product with longer shelf-life is expected to foster the market growth of next-generation packaging.
The growing export of automobiles around the globe is expected to provide lucrative opportunities to the market of the next-generation packaging. According to the European Automobile Manufacturers' Association, the European Union exported 6.1 million motor vehicles in 2018, worth US$ 156.32 billion. Therefore, the growing export of the automobile is expected to spur the market growth of the next-generation packaging over the forecast period.
Figure 2. Global Next-Generation Packaging Market – Opportunity Analysis
Market Trends
Advancement in technology by major players supported by favorable government policies is the current major trend in the market. For instance, in March 2020, Aptar Food + Beverage, part of AptarGroup, has launched InvisiShield platform technology. The new product is a “first of its kind” anti-pathogenic packaging solution which can be integrated into sealed packages to protect fresh-cut produce from harmful pathogens like bacteria, fungi, and viruses.
Collaboration and agreement among next-generation packaging provider is a growing trend in the market. For instance, in Janurary 2018, Henkel and Selinko, the all-in-one Internet of Things (IoT) solution provider, have announced a collaboration agreement to expand and improve smart and interactive packaging solutions especially focusing on FMCG markets. Thus, such partnership and agreement among providers will favor the market growth of the next-generation packaging.
Figure 3. Global Next-Generation Packaging Market, Revenue Share (%), By Application, in 2019
On the basis of application, food & beverages dominated the global next-generation packaging market in 2019 with around 44% of market share in terms of revenue, followed by healthcare & pharmaceuticals and personal care, respectively.
Global Next-generation packaging Market - Impact of Coronavirus (Covid-19) Pandemic
Key players functioning in the market are adopting new strategies in order to mitigate the impact of the Covid-19 pandemic. Rising demand for packaged food & beverage products among consumers across the globe has fuelled the growth of the market during the pandemic situation. This scenario is expected to continue with the extension of lockdowns in various countries across the globe in response to the Covid-19 pandemic.
Competitive Section
Key players are operating in the global next-generation packaging market are Amcor Limited, WestRock Company, Sonoco Products Company, Sealed Air Corporation, Stora Enso Oyj, Bemis Company, Inc., MULTIVAC, WS Packaging Group, Inc., Active Packaging Ltd., and ULMA Packaging, S.Coop.
Few Recent Developments
Next-generation packaging are the effective technologies which maintains the quality of food products or any other easily perishable products by modifying the atmosphere which surrounds the product within the packaging. Due to this, the shelf-stability of the product is enhanced to longer periods of time, freshness of the product remains intact and product worth is increases due to convenient packaging.
Market Dynamics
The global next-generation packaging market has witnessed significant growth in recent past years, owing to the rising growth of food & beverages and pharmaceutical industry in emerging economies which in turn has resulted the rise in demand for innovative packaging solutions. This is expected to foster the demand for next-generation packaging in the next few years.
Major players in the global next-generation packaging market are increasing their investment on innovative product launchings, research & development and marketing & promotional activities to capitalize on emerging trends in various end-use industries such as chemical, food & beverages, electrical & electronics, pharmaceuticals, and others. This scenario is expected to fuel the market during the forecast period.
Key features of the study:
Detailed Segmentation:
“*” marked represents similar segmentation in other categories in the respective.
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