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E-Commerce Surge Drives Growth In Retail Bags Market: A Key Factor Shaping the Future of the Retail Bags Market in 2025
Retail Bags
The rise in e-commerce is expected to fuel the growth of the retail bags market. E-commerce involves the buying and selling of goods and services over the internet, driven by advancements in mobile technology, digital marketing, and logistics. Retail bags are essential for packaging products purchased online, improving the logistics and delivery process. In May 2024, the United States Census Bureau reported that U.S. retail e-commerce sales totaled $289.2 billion in the first quarter of 2024, marking a 2.1% increase from the previous quarter. The growth of e-commerce is thus propelling the retail bags market.
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What is the future CAGR of the retail bags market, and how will it impact industry expansion?
The retail bags market has also grown significantly in recent years. It will increase from $17.98 billion in 2024 to $19.3 billion in 2025 at a CAGR of 7.4%. This can be attributed to urbanization, higher tourism rates, increased home delivery services, growth in e-commerce, and the rise of online shopping.
The retail bags market is expected to reach $25.29 billion by 2029 at a CAGR of 7.0%. Growth is fueled by the expansion of the retail industry, the increase in shopping malls, waste awareness, and higher consumer spending. Key trends include technological innovations, biodegradable bags, eco-friendly materials, smart packaging, and subscription models.
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What are the most significant trends transforming the retail bags market today?
Major companies in the retail bag market are working on innovative products like locally-made retail paper bags to promote sustainability and enhance product durability. These bags are produced within local communities and support environmental stewardship. For example, in February 2024, Visy Industries launched locally-made heavy-duty retail paper bags, which are designed for strength and durability, suitable for carrying heavier items. The bags are fully recyclable through curbside recycling systems in Australia, offering eco-friendly disposal options.
Which key market segments comprise the retail bags market and drive its revenue growth?
The retail bags market covered in this report is segmented -
1) By Material Type: Plastic, Paper, Other Material Types
2) By Pattern: Textured, Printed, Solid, Other Patterns
3) By End User: Grocery Stores, Food Service, Other End Users
Subsegments:
1) By Plastic: High-Density Polyethylene (HDPE) Bags, Low-Density Polyethylene (LDPE) Bags, Polypropylene (PP) Bags, Biodegradable Plastic Bags, Reusable Plastic Bags
2) By Paper: Kraft Paper Bags, Recycled Paper Bags, Coated Paper Bags, Paper Bags With Handles, Paper Bags Without Handles
3) By Other Material Type: Cotton Bags, Jute Bags, Non-Woven Fabric Bags, Hemp Bags, Linen Bags
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What regions are at the forefront of retail bags market expansion?
North America was the largest region in the retail bags market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the retail bags market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
Who are the leading players fueling growth in the retail bags market?
Major companies operating in the retail bags market are Flexo Converters USA, International Paper, Smurfit Kappa Group plc, Mondi Group plc, Novolex Inc., Burberry Group plc, ProAmpac Intermediate Inc., Coveris SA, Antalis Group, Atlantic Packaging, Welton Bibby and Baron Limited, BioPak Pty Ltd., EI Dorado Packaging Inc., Global-Pak Inc., Rutan Poly Industries Inc., Atlantic Poly Inc., Attwoods Packaging, GreenPack Limited, Rainbow Packaging Inc., SPP Poly Pack Pvt Ltd., The Carry Bag Company, Kiwi Office, Europages UK
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What Is Covered In The Retail Bags Global Market Report?
•Market Size Forecast: Examine the retail bags market size across key regions, countries, product categories, and applications.
•Segmentation Insights: Identify and classify subsegments within the retail bags market for a structured understanding.
•Key Players Overview: Analyze major players in the retail bags market, including their market value, share, and competitive positioning.
•Growth Trends Exploration: Assess individual growth patterns and future opportunities in the retail bags market.
•Segment Contributions: Evaluate how different segments drive overall growth in the retail bags market.
•Growth Factors: Highlight key drivers and opportunities influencing the expansion of the retail bags market.
•Industry Challenges: Identify potential risks and obstacles affecting the retail bags market.
•Competitive Landscape: Review strategic developments in the retail bags market, including expansions, agreements, and new product launches.
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