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Rising E-Commerce Drives Expansion In The Packaging Market With Enhancing Convenience, Efficiency, And Consumer Experience: Strategic Insights Driving Packaging Market Momentum in 2025
Use code ONLINE30 to get 30% off on global market reports and stay ahead of tariff changes, macro trends, and global economic shifts.How Large Will the Packaging Market Size By 2025?
The consistent expansion of the packaging market in recent years is notable. From the figures of $1133.65 billion in 2024, it is projected to reach $1182.85 billion in 2025, growing at a compound annual growth rate (CAGR) of 4.3%. The upswing seen in the previous years can be ascribed to elevated packaged items consumption, improvement in living standards, surge in usage of paper packaging, transition of the food and beverage industry from plastic to paper packaging, and oscillating costs of raw materials.
How Big Is the Packaging Market Size Expected to Grow by 2029?
The value of the packaging market is anticipated to experience consistent expansion in the coming years. The market is projected to climb up to $1397.06 billion by the end of 2029, with a Compound Annual Growth Rate (CAGR) of 4.2%. The increase during the forecast period might be due to the need for sustainable packaging solutions, the rise in demand for protective packaging, the accelerated development of e-commerce, adherence to regulatory standards, and concerns about food safety, along with increased urbanization. Significant trends during the forecast period are expected to be the development of new packaging techniques, intelligent packaging technologies, advances in digital printing, technological enhancements, an increased focus on environmental consciousness, and design innovation in packaging.
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Which Key Market Drivers Powering Packaging Market Expansion and Growth?
The rise in e-commerce usage is predicted to drive the expansion of the packaging market. E-commerce involves the online purchase and sale of goods and services and includes online retail, digital dealings, and electronic business operations. Factors such as better customer convenience, ease of access, and integration with social media are driving the demand for e-commerce. Packaging plays a crucial role in enhancing the e-commerce experience by boosting customer satisfaction, increasing operational efficiency, and making the handling, storage, and sorting of products simpler in warehouses and during transportation. For example, as reported by the International Trade Administration, a US governmental organization, in November 2023, consumer e-commerce represented 36.3% of the entire UK retail market in 2021. Furthermore, it is predicted that by 2025, e-commerce revenues will hit $285.60 billion, growing at a pace of 12.5%. Thus, the escalating demand for e-commerce is encouraging expansion in the packaging market.
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Which Fast-Growing Trends Are Poised to Disrupt the Packaging Market?
Prominent entities in the packaging industry are focusing on technological advancements, such as AI-powered tools, to boost packaging effectiveness, minimize waste, streamline logistics, and enhance overall eco-friendliness in their supply chains. AI-powered alternatives support packaging procedures and businesses in achieving improved efficiency, cost-effectiveness, and superior product quality as they attempt to address ecological issues. An instance of this can be seen in April 2022, when DHL Supply Chain, a logistics corporation based in Germany, introduced OptiCarton, an original AI tool designed to optimize packaging for e-commerce consignments. OptiCarton employs sophisticated AI algorithms to pinpoint the most efficient packaging size and arrangement, possibly cutting down shipment expenses by as much as 35% and lessening carbon output. The solution suggests ideal box sizes from a pre-established set and offers visual guidance for making the most of the space within the boxes.
What Are the Emerging Segments in the Packaging Market?
The packagingmarket covered in this report is segmented -
1) By Product: Stick Packaging, Blister Packaging, Sachet Packaging, Single-Use Packaging, Metalized Flexible Packaging, Other Products
2) By Packaging Material: Plastic, Paper And Paperboard, Metal, Glass
3) By Printing Technology: Offset, Flexography, Screen, Gravure, Digital
4) By End User: Food, Beverage, Pharmaceutical, Beauty and Personal Care, Industrial, Other End-Users
Subsegments:
1) By Stick Packaging: Single-Lane Stick Packs, Multi-Lane Stick Packs, Customizable Stick Packs
2) By Blister Packaging: Thermoformed Blisters, Cold-Formed Blisters, Clamshell Blisters, Blister Cards
3) By Sachet Packaging: Liquid Sachets, Powder Sachets, Granule Sachets, Single-Use Sachets
4) By Single-Use Packaging: Food and Beverage Single-Use Packs, Pharmaceutical Single-Use Packs, Personal Care Single-Use Packs, Medical Devices Single-Use Packs
5) By Metalized Flexible Packaging: Metalized Films, Aluminum Foils, Pouches with Metalized Layers
6) By Other Products: Flexible Pouches, Cartons, Shrink Wraps, Rigid Containers
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Who Are the Global Leaders in the Packaging Market?
Major companies operating in the packaging market are WestRock Company, International Paper Company, Ball Corporation, Amcor Group GmbH, Berry Global Group Inc., Smurfit Kappa Group, Crown Holdings Inc., DS Smith PLC, Mondi Group, Sonoco Products Company, O-I Glass Inc., Can Pack SA, Silgan Holdings Inc., Greif Inc., Sealed Air Corporation, Alpla Group, Huhtamaki Oyj, Verallia SA, Aptar Group Inc., Gerresheimer AG, Vidrala S.A., UFlex Limited, Coveris Holding SA, Vitro S.A.B. De C.V.
Which are the Top Profitable Regional Markets for the Packaging Industry?
Asia-Pacific was the largest region in the packaging market in 2024. Asia-Pacific is expected to be the fastest-growing region in the market. The regions covered in the packaging market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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