• Login
    • Join
  • Subscribe Free
    • Magazine
    • eNewsletter
    Checkout
    • Magazine
    • News
    • Exclusives
    • Labels & Packaging
    • Markets
    • Technology
    • Equipment
    • Supplies
    • Buyers' Guide
    • Events
    • Jobs
    • More
  • Magazine
  • News
  • Exclusives
  • Labels & Packaging
  • Markets
  • Technology
  • Equipment
  • Supplies
  • Buyers' Guide
  • Events
  • Jobs
  • Current / Back Issues
    Features
    Editorial
    Columns
    Digital Edition
    eNewsletter Archive
    Our Team
    Subscribe Now
    Advertise Now
    Top Features
    Digital and Hybrid Printers and Presses

    Digital Printing Market Update

    Overlamination Films

    Narrow Web Profile: Quality Tape & Label

    Companies To Watch: Arrow Systems, Inc.
    Breaking News
    Converter News
    European Label News
    Industry News
    Industry People
    M&A News
    New Products
    Expert's Opinion
    Live From Shows
    Top News
    VPF launches deep-freeze adhesive

    Gallus planning virtual event for March

    Lemu Group engineers mask-making machine

    Niagara Label upgrades with Nilpeter flexo press

    Soma partners with Moore & Moore in US
    Blog
    Video Bites
    Beauty & Personal Care Labels
    Beer Labels
    Beverage Labels
    Flexible Packaging
    Folding Carton
    Food Labels
    Glue-Applied
    In-Mold
    Industrial Labels
    Medical Labels
    Pharmaceutical Labels
    Pressure Sensitive
    Prime Labels
    Promotional Labels
    Security Labels
    Shrink
    Smart Labels
    Specialty Labels
    Spirits Labels
    Wine Labels

    VPF launches deep-freeze adhesive

    New Polyonics label material helps metal processors avoid recalls

    Mactac enhances spirits bottle label

    Designing returnable and reusable takeout packaging

    Western Shield improves efficiency with new Nilpeter FA-17
    Africa
    Asia
    Australia
    China
    Europe
    India
    Latin America
    Middle East
    North America

    Soma partners with Moore & Moore in US

    Acucote expands FSC-certified portfolio

    FTA planning in-person Forum & INFOFLEX

    Fortis Solutions Group achieves SGP certification

    Accraply introduces Sirius MK6
    Flexography
    Digital Printing
    Prepress
    Finishing
    Sustainability

    Niagara Label upgrades with Nilpeter flexo press

    INX introduces new inks for flexible packaging

    Highcon and EFI announce global partnership

    Domino grows installation and service teams

    Acucote expands FSC-certified portfolio
    Digital Printers & Presses
    Flexo Presses
    Label Converting Equipment
    Label Finishing Equipment
    Prepress Equipment

    Domino grows installation and service teams

    ABG keeps pace with demand with recruitment drive

    Loftware and NiceLabel join forces

    Flint Group announces new XSYS division

    Bobst opens digital inkjet demo center in Barcelona
    Dies And Tooling
    Flexo Supplies
    Ink & Coatings
    Prepress Supplies
    Pressrooom Supplies
    Substrates

    INX introduces new inks for flexible packaging

    Acucote expands FSC-certified portfolio

    UPM Raflatac strengthens linerless business

    Techkon USA partners with Konica Minolta

    New Polyonics label material helps metal processors avoid recalls
    All Companies
    Categories
    Company Profiles
    Label Converters
    Trade Associations
    Add New Company
    International Buyers Guide Companies
    Ashe Converting Equipment

    HP, Inc.

    KTI

    QC Electronics, Inc.

    Mechanical Specialties, Inc.
    Industry Events
    Webinars
    Live from Show Events
    • Magazine
      • Current & Past Issues
      • Features
      • Editorial
      • Columns
      • Digital Edition
      • eNewsletter Archive
      • Subscribe Now
      • Advertise Now
    • Breaking News
    • Buyers' Guide
      • All Companies
      • Categories
      • Company Profiles
      • Label Converters
      • Trade Associations
      • Add Your Company
    • Labels & Packaging
      • Beauty & Personal Care Labels
      • Beer Labels
      • Beverage Labels
      • Flexible Packaging
      • Folding Carton
      • Food Labels
      • Glue-Applied
      • In-Mold
      • Industrial Labels
      • Medical Labels
      • Pharmaceuticals Labels
      • Pressure Sensitive
      • Prime Labels
      • Promotional Labels
      • Security Labels
      • Shrink
      • Smart Labels
      • Speciality Labels
      • Spirits Labels
      • Wine Tables
    • Markets
      • Africa
      • Asia
      • Australia
      • China
      • Europe
      • India
      • Latin America
      • Middle East
      • North America
    • Equipment
      • Digital Printers & Presses
      • Flexo Presses
      • Label Converting Equipment
      • Label Fishing Equipment
    • Supplies
      • Dies And Tooling
      • Flexo Supplies
      • Ink & Coatings
      • Prepress Supplies
      • Pressrooom Supplies
      • Substrates
    • Online Exclusives
    • Slideshows
    • Experts Opinions
    • Videos
    • Podcasts
    • Infographics
    • Blog
    • Whitepapers
    • Events
      • Industry Events
      • Live from Show Events
      • Webinars
    • Jobs
    • Resources
      • Supplier Gallery
      • Literature Showcase
      • Homepage Showcase
    • About Us
      • About Us
      • Contact Us
      • Advertise With Us
      • Privacy Policy
      • Terms of Use
    Columns

    Packaging and the pandemic

    ...

    Related CONTENT
    • SWEETLEAF: ENABLING PLASTIC RECYCLABILITY WITH UPM RAFLATAC SMARTCIRCLE ™ WASH-OFF
    • The Critical Importance of Workflow in Production Printing
    • VPF launches deep-freeze adhesive
    • Convergence of print markets: Is it inevitable?
    • ProMach strengthens flexible packaging business
    Steve Katz11.12.20
    By definition, a megatrend is a major trend, pattern or movement that emerges and is likely to have a significant impact on products and consumer behavior.

    According to Zeev Efrat of Frost and Sullivan, who takes the definition further, megatrends are “global sustained and macro economic forces of development that impact business, economy, society, cultures and personal lives, thereby defining our future world and its increasing pace of change.”

    Prior to the onset of the COVID-19 pandemic, there were certain megatrends in place in the world of packaging, among them sustainability and e-commerce, to name just two. But now that we’re smack in the thick of this global pandemic, experts and analysts are looking at how the coronavirus is actually reshaping packaging megatrends reflecting shifts in packaging design and areas of focus.

    ‘The Next Normal’
    McKinsey & Company is a packaging consultancy comprised of a diverse range of medical professionals, engineers, scientists, business managers, designers, entrepreneurs and others. Recently, the firm identified how COVID-19 is changing the megatrends that were in place prior to the pandemic and calling these changes “the next normal of packaging.”

    Among the packaging industry’s next normal, McKinsey & Company reports that sustainability is being “reemphasized and redefined, with hygiene concerns addressed.” The firm states, “Packaging-sustainability goals have not been abandoned by leading fast-moving consumer goods (FMCG) companies and retailers, which remain committed to achieving high recyclability across their packaging portfolio over the long term. However, given the strong emergence of the new hygiene megatrend – one likely to become a key element of the next normal in packaging – companies will have to rethink the materials and design requirements of sustainable packaging.”

    E-commerce is another area McKinsey & Company points to as a pandemic-affected megatrend. While stay-at-home orders have played a large role in consumers’ uptick in buying products online, online grocery shopping in particular has surged. “Some industry forecasts predict that penetration will reach 10% in 2020, compared with 2-3% before the crisis. This will have significant implications for packaging design. Understandably, most of today’s packaging has been optimized for traditional brick-and-mortar requirements, not online shipments,” McKinsey & Company says.

    The pandemic has driven other shifts in consumer behavior, as well.  For example, according to McKinsey & Company, “In packaging’s next normal, we expect consumers to go on being price sensitive, to further accelerate their online shopping across all categories, and to focus even more on health and hygiene. These changing consumer preferences will make it necessary to rethink the product mix at FMCG and retail customers. Inevitably, there will be implications for packaging design.”

    “Before the COVID-19 crisis, FMCG companies and retailers facing significant margin compression passed these pressures up the line to converters. This issue has already affected packaging design in multiple ways: for example, the substitution of different packaging materials, ‘light-weighting,’ redesigned formats to increase filling efficiency and volume density, smaller pack sizes, and shelf-ready packaging. Given the crisis, we expect such cost pressures to continue, and this could amplify the existing need to use packaging design to reduce costs,” the firm reports.

    McKinsey & Company also emphasizes the megatrend that us in the label industry have long recognized, observed and participated in – the digitalization of the value chain. “Another expected outcome of the pandemic is increased digitalization of the value chain through automation and the more widespread use of AI – not only for cost efficiency and productivity, but also to make supply more resilient and transparent through real-time tracking,” the firm predicts, adding, “The result could be a greater need to integrate technology – radio-frequency identification (RFID) tags and near-field communications (NFC) – into packaging. Innovative packaging designs will play an important enabling role. Packaging companies will need to reassess their strategies in light of these evolving megatrends.”

    Supply chains and sustainability
    UK-based packaging company Duo UK recently conducted research analyzing the initial impact of COVID-19 and how changing consumer behavior and market trends are driving brands to rethink their packaging strategies.

    The research findings revealed that half of future packaging strategies are being driven by the increase in online shopping. Duo notes that most retailers have had to shift to e-commerce, while e-commerce retailers have had to meet new challenges brought on by increased site traffic. In some cases, Duo says, this increase has exceeded demand only seen during Black Friday sales and is expected to increase further as more retailers develop their e-commerce strategies in response to COVID-19. 

    Due to the uptick, challenges abound, with nearly one in four businesses Duo surveyed citing “managing stock availability” and “increase in e-commerce traffic” as the biggest supply chain challenges resulting from the pandemic. 

    The pandemic has played a role in packaging perceptions. According to market research firm FMCG Gurus, due to the pandemic, 40% of consumers globally now have a more positive perception of plastic packaging. The shift illustrates how consumers are prioritizing hygienically-wrapped products over environmental concerns when it comes to packaging. However, Duo’s research also found that 45% of companies surveyed believed ‘”type of packaging material” to be the most important factor influencing packaging strategies, and that number increases to 57% when considering strategies over the next decade. In addition, over half (53%) of respondents participating in Duo’s research believe that “reducing environmental impact” remains the most important factor defining packaging strategies in the next 10 years, indicating that change is on the horizon.

    “It is our collective responsibility to respond to changing consumer behavior, to drive change and build a better future,” says Anthony Brimelow, commercial director at Duo UK. “Our latest research considers the increase in e-commerce demand and how a lifecycle-led approach to packaging strategies will deliver benefits to businesses across their supply chains, to people and the planet. We believe businesses have the power to drive change. COVID has provided an opportunity to create a new normal. It’s time to harness these opportunities and accelerate change to find a sustainable way forward for packaging.”

    Personal care packaging expected to soar
    The global personal care packaging market is projected to reach around $36 billion by the end of 2027, in terms of revenue, growing at CAGR of 4.3% during the forecast period (2020-2027), as highlighted in a report published by Coherent Market Insights.

    Growing demand for personal care products around the globe, coupled with improvements in overall packaging systems, are expected to propel the market growth of personal care packaging. Packaging helps in attracting consumer attention and creating brand awareness among consumers. Moreover, the packaging also helps in preventing contamination and damages to the products. Thus, packaging is expected to be an important part of branding and protection against damages. This is expected to drive the market growth of personal care packaging.

    The advent of bio plastics as an advanced packaging solution with improved functional properties, such as durability and shelf-life, is expected to provide lucrative opportunities to the market of personal care packaging. Growing demand for hair care and skin care products is fueling demand for bottle packaging. Moreover, increasing young populations are expected to augment the market growth over the forecast period.

    Strict rules and regulations regarding the production of personal care products are expected to hinder the market growth. For example, the US Food, Drug, and Cosmetic Act have imposed strict rules on the production of personal care products for maintaining consumer safety. The law mandates that every personal care product and its ingredients have to undergo testing before the commercialization of the product.

    On the basis of product type, the flexible packaging segment dominated the global personal care packaging market in 2019 with a 42.9% of market share in terms of value, followed by rigid plastics and paper, respectively. Increasing demand for lightweight and aesthetically appealing packaging is expected to drive demand for flexible packaging over the forecast period.

    According to the Coherent Market Insights research, based on application, the skin care segment dominated the global personal care packaging market in 2019 with 38.3% of market share in terms of value, followed by hair care and bath and shower, respectively. The rising prevalence of skin diseases is driving demand for skin care products globally.

    The rising trend of lightweight and durable packaging materials for personal care products is expected to accelerate the market growth of personal care packaging. Increasing consumption of gel, hair serum and lotions among male consumers is expected to foster the market growth over the forecast period. Rising adoption of healthy lifestyle habits among consumers and improving the manufacturing of personal care packaging products is further expected to propel the market growth.

    The coronavirus outbreak has led to sharp declines in demand for certain types of packaging, which has affected the personal care packaging industry. According to Coherent Market Insights, demand for luxury packaging is expected to decline, owing to decreased consumer spending on such products. However, increasing demand for essential products, such as hand wash and sanitizers, is expected to drive demand for personal care packaging products. As crude oil prices have fallen, owing to  the pandemic’s effect on demand, the cost of oil-based raw materials, such as plastic resins, is expected to fall.


    Steve Katz is the former editor of Label & Narrow Web and is now a regular contributor. He is focused on helping companies in the label industry share their news and tell their stories. Follow him on twitter @LabelSteve.
    Suggested For You
    INX International introduces Genesis™ GS  washable inks for Label market INX International introduces Genesis™ GS washable inks for Label market
    Guide To Sustainable Packaging Guide To Sustainable Packaging
    Going Beyond Environmental Claims Going Beyond Environmental Claims
    LABELS & PACKAGING HEAT TRANSFER LABEL SUITE LABELS & PACKAGING HEAT TRANSFER LABEL SUITE
    A GUIDE TO SUSTAINABLE LABELING A GUIDE TO SUSTAINABLE LABELING
    SWEETLEAF: ENABLING PLASTIC RECYCLABILITY WITH UPM RAFLATAC SMARTCIRCLE ™ WASH-OFF SWEETLEAF: ENABLING PLASTIC RECYCLABILITY WITH UPM RAFLATAC SMARTCIRCLE ™ WASH-OFF
    The Critical Importance of Workflow in Production Printing The Critical Importance of Workflow in Production Printing
    VPF launches deep-freeze adhesive VPF launches deep-freeze adhesive
    Convergence of print markets: Is it inevitable? Convergence of print markets: Is it inevitable?
    ProMach strengthens flexible packaging business ProMach strengthens flexible packaging business
    Food Safety and Digital Printing Food Safety and Digital Printing
    Lemu Group engineers mask-making machine Lemu Group engineers mask-making machine
    INX introduces new inks for flexible packaging INX introduces new inks for flexible packaging
    Mark Andy teams with Bulgarian distributor Mark Andy teams with Bulgarian distributor
    Highcon and EFI announce global partnership Highcon and EFI announce global partnership

    Related Columns

    • Black swan brings opportunity

      ...
      Steve Katz 10.09.20

    • When e-commerce meets CBD, technology – and labels

      ...
      Steve Katz 09.02.20

    • Pandemic-proof

      ...
      Steve Katz 07.13.20



    Trending
    • APR, SpotOn! Launch New Color Management Platform
    • Niagara Label Upgrades With Nilpeter Flexo Press
    • ProMach Strengthens Flexible Packaging Business
    • L&NW Sits Down With PPG's Amy Mercante
    • Alon Bar-Shany Appointed Chairman Of Highcon Board
    Breaking News
    • VPF launches deep-freeze adhesive
    • ProMach strengthens flexible packaging business
    • Gallus planning virtual event for March
    • Lemu Group engineers mask-making machine
    • Niagara Label upgrades with Nilpeter flexo press
    View Breaking News >
    CURRENT ISSUE

    November/December 2020

    • Digital and Hybrid Printers and Presses
    • Digital Printing Market Update
    • Overlamination Films
    • Narrow Web Profile: Quality Tape & Label
    • View More >

    Cookies help us to provide you with an excellent service. By using our website, you declare yourself in agreement with our use of cookies.
    You can obtain detailed information about the use of cookies on our website by clicking on "More information”.

    • About Us
    • Privacy Policy
    • Terms And Conditions
    • Contact Us

    follow us

    Subscribe
    Nutraceuticals World

    Latest Breaking News From Nutraceuticals World

    Clinical Evidence Suggests Potential Oral Benefits for Curcumin Extract
    Oleic Acid Possibly Implicated in MS Pathology
    NIH Study Compares Low-Fat, Plant-Based to Low-Carb, Animal-Based Diet
    Coatings World

    Latest Breaking News From Coatings World

    APV Engineered Coatings Reflects on 2020
    LINE-X Launches Dealer Program with International Truck
    BCF CEO to Chair Royal Society of Chemistry Surface Coatings Interest Group
    Medical Product Outsourcing

    Latest Breaking News From Medical Product Outsourcing

    Alleviant's Transcatheter Tech Obtains Breakthrough Status
    Signia Appoints New President
    At-Home COVID-19 Test Kits Boosts Disease Monitoring Capabilities
    Contract Pharma

    Latest Breaking News From Contract Pharma

    Civica to Build an Essential Medicines Manufacturing Facility in Virginia
    Humanigen, Emergent Enter Covid-19 Partnership
    Samsung Bioepis Opens New Headquarters
    Beauty Packaging

    Latest Breaking News From Beauty Packaging

    Fitglow Beauty Wins Big at Annual Dirty Thinker’s Choice Awards
    e.l.f. Cosmetics Unveils Mint Melt Collection
    Estée Lauder Companies Updates Supply Chain Leadership
    Happi

    Latest Breaking News From Happi

    Some Good News at Inter Parfums
    Professional Beauty Association Names New Executive Director
    Curcumin's Role in Oral Care
    Ink World

    Latest Breaking News From Ink World

    Paragon Expands Direct Mail Capabilities with Ricoh Pro VC70000
    BOBST Demonstrates Future of Flexible Packaging Production at Virtual Open House
    Morancé Soudure France Adds Comexi F2 MC 10-color Flexo Press
    Label & Narrow Web

    Latest Breaking News From Label & Narrow Web

    VPF launches deep-freeze adhesive
    ProMach strengthens flexible packaging business
    Gallus planning virtual event for March
    Nonwovens Industry

    Latest Breaking News From Nonwovens Industry

    Kimberly-Clark Releases Q4, Full Year Results
    Freudenberg to Establish Apparel Interlining Competence Centers
    Minet Adds Spunlace Line in Romania
    Orthopedic Design & Technology

    Latest Breaking News From Orthopedic Design & Technology

    First Patient Implanted With NEXXT MATRIXX SA Cervical Turn-Lock System
    Cretex Companies CEO Steps Down
    Conformis Enters Development & Supply Agreement with SITES Medical
    Printed Electronics Now

    Latest Breaking News From Printed Electronics Now

    First Solar Signs Definitive Agreement to Sell US Development Platform to Leeward
    Imec Technology Taking Off to Space
    North American Semiconductor Equipment Industry Posts December 2020 Billings

    Copyright © 2021 Rodman Media. All rights reserved. Use of this constitutes acceptance of our privacy policy The material on this site may not be reproduced, distributed, transmitted, or otherwise used, except with the prior written permission of Rodman Media.

    AD BLOCKER DETECTED

    Our website is made possible by displaying online advertisements to our visitors.
    Please consider supporting us by disabling your ad blocker.


    FREE SUBSCRIPTION Already a subscriber? Login