According to Future Market Insights research, during the projected period, the global smart tag packaging market is set to enjoy a market valuation of US$ 8.6 Billion in 2022, and register a CAGR of 10.1% to reach US$ 22.6 Billion by 2032. The smart tag packaging market revenues are estimated to propel with the top 3 countries projected to hold 30-35% of the global smart tag packaging market by the end of 2022.
The bags & pouches segment by application is projected to hold the major portion of the global smart tag packaging market. The target segment is estimated to account for around 19% of the market value share by the end of the forecast period.
| Attributes | Details |
|---|---|
| Market Size 2022 | US$ 8.6 Billion |
| Market Size 2032 | US$ 22.6 Billion |
| Value CAGR (2022 to 2032) | 10.1% |
| Collective Value Share: Top 3 Countries (2022E) | 30 to 35% |
The global smart tag packaging market forms around 40% of the global intelligent packaging market worth US$ 19.7 Billion in 2021.
The global smart tag packaging market reached US$ 7.8 Billion for the year 2021, according to FMI analysis. The demand for the smart tag packaging market is estimated to bolster with the top 5 companies estimated to hold approximately 15-20% of the global smart tag packaging market by the end of 2022.
The smart tag packaging market is projected to witness a growth outlook during the forecastable period. A new forecast by FMI anticipates that the smart tag packaging market will rise from 2022 to 2032 and is anticipated to offer a growth opportunity of US$ 14.8 Billion.
The increasing demand for interactive packaging among packaging brands is projected to augment the sales of smart tag packaging. The smart tag packaging market is expected to grow 2.9x the current market value from 2022 to 2032.
The global smart tag packaging market expanded at a CAGR of 7.4% during the historic period and reached US$ 7.8 Billion in 2021.
Smart tag packaging offers and carries out functions such as recording, tracing, tracking and providing information. Smart tag packaging is been adopted by various end-use industries among food, beverages, healthcare, cosmetics, shipping & logistics, and other consumer goods. The rising urge for interactive packaging among the various end-use industries to drive customer engagement is expected to fuel demand for smart tag packaging. Also, the increasing need for monitoring customer satisfaction and loyalty to gain business opportunities fuels the demand for smart tag packaging. The brands can analyze and monitor the number of customers that scanned the QR codes attached to their products which will help them to know their purchase pattern leading to customer satisfaction & loyalty.
Furthermore, technology-based packaging helps in reducing the sales of counterfeit products as it provides the product with a unique identity that protects the product from counterfeit issues. Packaging manufacturers and converters are also focusing on providing innovative and smart packaging solutions. Overall, the end-use industries are moving towards intelligent packaging formats from traditional packaging to ensure product safety along with providing a user-friendly experience to modern consumers. Not only does smart tag packaging helps in reducing the sales of counterfeit products but also enables manufacturers as well as the customer to trace their product starting from the factory to the end destination. Overall, the rising need for next-generation packaging among the end-use industries boosts the market demand for smart tag packaging across the globe.
Many other end-use industries such as cosmetics & personal care, electronics, FMCG goods, and logistics & transport are welcoming smart tag packaging as a solution to overcome the packaging challenges in their respective industries. Key manufacturers of electronic goods are focusing on providing smart tag packaging for all of their offerings to provide proper identification of each gadget they produce. Consumers can also avail proper information regarding the handling and storage of products by simply scanning a QR (Quick-Response) code, unlike the traditional packaging where they need to read the whole instructions manual.
Moreover, major market players and marketers are using space-saving packaging techniques for their products because providing the necessary information according to regulatory norms can consume all the space over small products. To overcome this problem, global players in the cosmetics & personal care industry are switching to QR codes and barcodes to save space and for marketing and branding purposes. For instance, Fresenius Kabi and Health Care Logistics, Inc. have collaborated for RFID compatibility. Identiv, Inc. has collaborated with OCTACA Tequila using NFC technology for providing better product insights and brand awareness. Thus, along with all the above-stated industries, the smart tag is witnessing exponential growth in the logistics & transport industry to overcome delivery errors and provide proper tracking of the goods at all stages.
A rise in the number of educated consumers in all regions and rapid urbanization across the world has resulted in significant changes in consumer perception and buying behavior. Today’s modern-day consumers are more concerned about proper packaging and the detailed labeling of every product they buy. Changes in government laws regarding the packaging and coding of products need to be complied with for the products to be sold directly to industrial or household consumers. Products that don’t meet the specific packaging standards set by regulatory authorities are not allowed to be sold in the market.
The evolution of the modern-day retail industry is also considered an important factor that creates the demand for smart tag packaging solutions among retailers across the globe. Retail shop owners prefer smart tag packaging because it facilitates inventory management and lower ordering costs. Global retail giants, being pioneers in the adoption of smart tag packaging, encourage the usage of smart tag packaging among other small and large-sized retailers. Thus, the above-mentioned dynamic changes in the lifestyles of consumers, along with the expansion of organized retailing across all regions, provide a much-needed boost for the expansion of the global smart tag packaging market.
Germany is anticipated to remain the leading country in generating demand for smart tag packaging along with holding a major portion of the market share for smart tag packaging in Europe. Germany is anticipated to hold around 20% of the European smart tag packaging market by the end of 2032.
The demand for smart tag packaging is rising in the healthcare industry to provide the right information about the product as well as to track & trace the product which ensures safe distribution to the end patients. As per the data provided by the European Federation of Pharmaceutical Industries and Associations (EFPIA), Germany is considered one of the leading manufacturers of pharmaceutical products. The increasing pharmaceutical production requires proper labeling and tag solution during its storage and transit. Thus, the increasing production of pharmaceutical products in Germany is anticipated to drive the demand for smart tag packaging in the healthcare industry.
India's smart tag packaging market is projected to register a CAGR of 11.2% from 2022 to 2032. The increasing demand for interactive packaging along with the increasing usage of a QR code in the food & beverage industry in India will create market growth opportunities for smart tag packaging in India. The trend of interactive & connected packaging is increasing in India, especially in the food & beverage industry. According to the Ministry of Commerce and Industry, the Indian food industry is growing at a CAGR of 11%. The expanding food industry is adopting connected packaging to ensure customer engagement along with providing product information just by scanning the QR code. Overall, the rising adoption of connected packaging in the Indian food & beverage industry is estimated to create market growth opportunities for smart tag packaging in India.
Based on the technology, the Radio Frequency Identification (RFIDs) segment is anticipated to remain the most lucrative segment among the other technology-based segments. The Radio Frequency Identification (RFIDs) segment is projected to hold around 34% of the market share in the next ten years along with expanding at a CAGR of 9.9% from 2022 to 2032. The reason behind the same is the increasing preference for technology-based packaging among various end-use industries to ensure traceability, safety, and interactive packaging solution.
The key players manufacturing smart tag packaging are trying to focus on innovation by launching new products along with adopting the advancement in technology to cater to the demand which is generated by various end-use industries. Also, the players are expanding their production capacity to meet the demand for smart, connected, and interactive packaging across the globe. Some of the latest development by the key players are as follows-
| Attribute | Details |
|---|---|
| Growth Rate | CAGR of 10.1% from 2022 to 2032 |
| Base Year for Estimation | 2021 |
| Historical Data | 2012 to 2021 |
| Forecast Period | 2022 to 2032 |
| Quantitative Units | Revenue in USD Billion, Volume in Units, and CAG for 2022 to 2032 |
| Report Coverage | Revenue Forecast, Volume Forecast, Company Ranking, Competitive Landscape, Growth Factors, Trends, and Pricing Analysis |
| Segments Covered | Technology, Application, End Use, Region |
| Regions Covered | North America; Latin America; Europe; East Asia; South Asia; Oceania; Middle East and Africa |
| Key Countries Covered | USA, Canada, Mexico, Brazil, Germany, United Kingdom, France, Italy, Spain, Russia, China, Japan, India, GCC countries, Australia |
| Key Players Key Companies Profiled | ZD TECH GROUP CORPORATION LTD; Alien Technology, Inc.; Muehlbauer Holding AG; Zebra Technologies; Smart Tag Inc.; Checkpoint Systems (CCL); Avery Dennison; JRI Company; Varcode, Ltd.; 3M Company; DS Smith; Tyco Sensormatic; Paragon ID; Varcode, Ltd.; Temptime Corporation; EVIGENCE SENSORS; APK-ID; STARNFC Technologies Ltd. |
| Customization & Pricing | Available upon Request |
The global smart tag packaging market was valued at US$ 7.8 Billion in 2021.
From 2017 to 2021, the global smart tag packaging market expanded at a CAGR of 7.4%.
The global smart tag packaging market is projected to reach US$ 8.6 Billion by the end of 2022.
The food & beverage segment is estimated to remain the leading segment of the global smart tag packaging market.
The high preference for advanced technology and safety during transit is anticipated to boost the demand for smart tag packaging across the globe.
The Indian smart tag packaging market is anticipated to register a CAGR of 11.2% from 2022 to 2032.
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