Global demand is projected to increase at a CAGR of 3.8% over the forecast period. A touch of sustainability and growing popularity of online shopping will provide additional thrust, with global consumer packaging market size predicted to reach a staggering USD 950 billion by 2034.
The future of consumer packaging looks bright and exciting, with factors like growing consumer product demand and e-commerce boom dictating its growth. Future Market Insights estimates global sales of these packaging products to total USD 655 billion in 2024.
From protecting consumer products during storage and transportation to providing essential details, consumer goods packaging is becoming an essential tool for industries. It is also used as a marketing and branding tool for companies.
Top players are deeply analyzing customers' evolving choices and requirements, with sustainability becoming an X factor. Today, more and more customers are seeking sustainable packaging solutions, compelling companies to use biodegradable and recycled materials.
Flexible packaging products are prominently used by industries, capturing around 2/3rd of the value share in 2024. This is because of its unique properties, such as flexibility, lightweight, versatility in design, product protection, and extended shelf life.
Plastic is the most widely used material for manufacturing consumer goods packaging, resulting in the target segment capturing more than half of the market share. On the other hand, eco-friendly packaging materials like paper, bioplastics, and wood are making inroads into the industry.
Market Forecast for Consumer Packaging Industry:
| Attributes | Key Insights |
|---|---|
| Base Market Value (2023) | USD 633 billion |
| Market Size in 2024 | USD 655 billion |
| Market Revenue in 2034 | USD 950 billion |
| Value CAGR (2024 to 2034) | 3.8% |
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Global consumer packaging sales recorded a CAGR of 2.3% during the historical period, with total market revenue reaching USD 633 billion in 2023. Over the next ten years, Future Market Insights estimates the target market to grow at 3.8% CAGR, indicating a 1.5% spike from the historical growth rate.
The consumer packaging industry is largely propelled by the necessity to keep the products safe from damage during their lifetime. Consumer goods packaging that is convenient, attractive, economical, and protective is gaining importance in the industry. The consumer goods packaging industry is changing steadily with the increasing consumer demand.
Growth in new sales channels, such as retail, e-commerce, etc., is creating significant opportunities for consumer packaging manufacturers. Significant growth in the food and beverage industry fueled by the consumption of daily staples and fresh food is also influencing the consumer goods packaging industry. Rising digitalization and growth in online shopping will benefit the market.
Several anti-counterfeit technologies are being used in the consumer goods packaging industry to protect the brand value and integrity of the products. The inclusion of smart packaging, such as QR codes, RFID labels, etc., is one of the latest trends in consumer packaging, which is gaining popularity.
The personalization trend is also making strides in the consumer goods packaging sector. More and more companies are looking to offer customized labels and packaging designs based on consumer preferences and behavior.
Escalating Demand for Packaging Solutions from Beauty and Personal Care Companies
The growth of consumer packaging industry is fueled by the increasing demand for packaging materials from the beauty and personal care industry. The evolving preferences of consumers, the flourishing e-commerce sector, and the growing importance of product presentation within the beauty and personal care industry are upscaling the demand for consumer goods packaging.
Increasing competition among companies operating in the beauty and personal care industry demands innovative and convenient packaging solutions. Packaging is a crucial factor in differentiating the products in a competitive market. Brands adopt innovative and visually appealing packaging to multiply the perceived value of their products, influence purchase decisions, and contribute to an enhanced brand experience.
The rise of e-commerce has transformed the need for consumer goods packaging. Consumer purchasing decisions are based not only on the product itself but also on the visual appeal and functionality, prompting companies to use innovative packaging solutions.
Today, companies are investing in packaging that protects and preserves the product, along with focusing on branding and marketing. Beauty and personal care companies are providing premium and customized packaging solutions to meet the demands of their consumers.
Packaging Companies to Prioritize Superior Customer Engagement
The consumer goods packaging industry stands out for its enduring customer relationships, exemplified in segments like liquid carton packaging with few suppliers and long-standing clients. While other grades offer more choices, periods of uncertainty often prompt customers to seek better alternatives, leading to increased turnover.
Successful companies in categories like paper and paperboard prioritize superior customer engagement. They invest in deep collaboration, encompassing demand planning, inventory management, logistics, and new product innovation. Even in grades with more choices, companies that prioritize long-term relationships over chasing short-term gains are now reaping the benefits, maintaining customer loyalty.
Long-term relationships contribute to brand loyalty. Clients experiencing consistent reliability, exceptional service, and a commitment to their success are more likely to remain loyal, transforming them into brand advocates. This loyalty not only enhances the reputation of the manufacturer but also attracts new business through positive word-of-mouth referrals.
Principal Consultant
The table below shows the future growth rates of the top countries. India and China are anticipated to record higher CAGRs of 5.7% and 4.9%, respectively, through 2034.
| Countries | Value (CAGR) |
|---|---|
| United States | 2.9% |
| Canada | 1.9% |
| Brazil | 2.4% |
| Mexico | 3.8% |
| Germany | 0.9% |
| France | 1.7% |
| United Kingdom | 1.4% |
| China | 4.9% |
| India | 5.7% |
| Japan | 2.0% |
| GCC Countries | 4.1% |
| South Africa | 3.4% |
India is anticipated to showcase remarkable growth during the assessment period, with sales of consumer packaging products set to rise at 5.7% CAGR. This is attributed to booming food service sector, rapid urbanization, high consumption of processed food, and surging demand for convenience packaging.
The food service in India has experienced significant growth, and this trend is predicted to persist in the foreseeable future. India Brand Equity Foundation (IBEF) reported that the food service market in India is projected to reach USD 79.65 billion by 2028, up from USD 41.1 billion in 2022, expanding at an 11.19% growth rate.
The growth of the food service sector in India will generate demand for safe and portable packaging to meet the growing demand of consumers. It will create expansion opportunities for consumer goods packaging manufacturers in India.
The United States consumer packaging market is projected to reach a valuation of USD 117 billion by 2034, recording a CAGR of 2.9%. This growth will be fueled by increasing spending on processed and convenience foods, booming e-commerce, and increasing demand for sustainable packaging.
As per the United States Census Bureau, retail and food service sales in the United States increased by 0.6%. The sales soared from USD 700.7 billion in February 2024 to USD 708.6 billion by March 2024. High spending by consumers on fast food in the United States will continue to spur demand for consumer packaging during the upcoming decade.
Top United States-based consumer goods packaging manufacturers are innovating to meet evolving needs of customers. For instance, they are using biodegradable and recyclable packaging materials to woo environmentally conscious consumers.
Germany has one of the leading e-commerce markets in Europe. Internet penetration, number of e-commerce consumers, and the average amount spent per year are above the total European average, as stated by the International Trade Administration. Retail sales in Europe accounted for USD 141.2 billion in 2022, which translates to an 11% growth compared to 2021.
Online retailers require packaging materials that are durable, sustainable, and cost-effective. They need packaging that withstands the rigors of shipping, making them a reliable packaging option for e-commerce companies. This has generated the demand for innovative packaging solutions.
The section below throws some light on top revenue-generation segments and their future growth rates. Companies can use this information to invest in popular packaging formats to stay ahead of the competition.
By packaging format, the flexible packaging segment currently dominates the market, with a share of 67.1% in 2024. Based on end-use, the food segment will hold a market share of 54.5% in 2024.
| Packaging Format | Value CAGR |
|---|---|
| Flexible Packaging | 3.2% |
| Rigid Packaging | 4.8% |
Flexible packaging format dominates the consumer good packaging industry and is set to capture around 2/3rd of value share by 2034. This can be attributed to growing usage of flexible packaging solutions like pouches, wraps, films, bags, and stick packs for packaging a wide variety of consumer goods.
In flexible packaging, pouches, films, & wraps are mostly used in consumer goods sector. The convenience and flexibility offered by flexible packaging are contributing to the growth of the target segment.
Flexible packaging uses less material than rigid containers. This is making it an efficient and sustainable option, especially for eco-conscious consumers. It also provides product protection and extends the shelf life of the products.
Growing popularity of online shopping and rise of on-the-go lifestyles are other factors propelling demand for flexible packaging. As a result, the target segment is anticipated to record a CAGR of 3.2% through 2034.
On the other hand, demand for rigid packaging formats like bottles, jars, cans, and trays is predicted to grow at a higher CAGR of 4.8% through 2034. This is mainly due to excellent barrier properties of these packaging formats.
| End-use | Value CAGR |
|---|---|
| Food | 3.2% |
| Pharmaceuticals | 3.8% |
As per the latest analysis, food industry remains the leading end user of consumer packaging. It is anticipated to hold more than half the market share in terms of value by the end of 2034. Growing demand for packaged food products and the reliance of food sector on packaging for safety, convenience, and marketing are boosting segment growth.
The food industry demands optimal food safety, hygiene, and convenience. This is creating need for innovative packaging. The high competition in the food industry has led the manufacturers to offer attractive and easy-to-use packaging to meet evolving consumer expectations.
Consumers' inclination toward ready-to-eat and packaged food is boosting segment growth. Urbanization and digitization in several regions, propelled by growing packaged food consumption, are also contributing to the growth of consumer packaging industry.
On the other hand, the pharmaceutical industry is anticipated to grow at a significant growth rate of 3.8% during the forecast period. The increasing focus on health and self-care activities and surging sales of over-the-counter drugs are anticipated to influence segment growth.
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Several opportunities exist in the market as consumer product demand continues to rise. To capitalize on emerging opportunities, key manufacturers of consumer packaging solutions are using various tactics, including adoption of recycled and eco-friendly materials, clean labels, and innovative designs.
The minimalism trend is gaining traction in the industry. Similarly, packaging that is easy to open and reseal is becoming important. Companies are integrating QR codes and other digital features in their products. Strategies like partnerships, new product launches, collaborations, acquisitions, and mergers are also becoming popular as players look to strengthen their presence.
Recent Developments
| Attribute | Details |
|---|---|
| Market Value (2024) | USD 655 billion |
| Market Size (2034) | USD 950 billion |
| Growth Rate (2024 to 2034) | 3.8% CAGR |
| Historical Data | 2019 to 2023 |
| Forecast Period | 2024 to 2034 |
| Quantitative Units | Revenue in USD billion, Volume in tons, and CAGR from 2024 to 2034 |
| Report Coverage | Revenue Forecast, Volume Forecast, Company Ranking, Competitive Landscape, Growth Factors, Trends and Pricing Analysis |
| Segments Covered | Packaging Format, Material, End-use, Level of Packaging, Manufacturing Technology, Distribution Channel, Region |
| Key Regions Covered | North America; Latin America; East Asia; South Asia & Pacific; Western Europe; Eastern Europe; Middle East & Africa |
| Key Companies Profiled | Westrock Company; International Paper Company; Smurfit Kappa Plc; Mondi Plc; DS Smith; Stora Enso Oyj; Sealed Air Corporation; Georgia Pacific LLC; Oji Holdings; Gerresheimer AG; Silgan Holdings; Plastipak; Amcor Plc; Huhtamaki Oyj; Ball Corporation; Crown Holdings; Mayr-Melnhof Karton AG; Billerud AB; Aptar; Sonoco Product Company; Ardagh Packaging Group; CCL Industries; Avery Dennison; 3M Company; Coveris; Constantia Flexibles; Berry Global Company; Winpak Ltd |
The global market is estimated to be valued at USD 655 billion in 2024.
Global demand is projected to rise at a CAGR of 3.8% through 2034.
In 2034, the consumer packaging market size is anticipated to reach USD 950 billion.
Booming food and beverage industry and growing popularity of online shopping.
Amcor Plc, Berry Global Company, and Ball Corporation.
It is a segment of packaging industry that designs and manufactures packaging solutions for consumer products.
Consumer product packaging is packaging solutions for products that are consumed and restocked regularly.
Packaging products that can be used for protecting and marketing consumer products.
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Consumer Packaging Market
