Packaging is one of the most important marketing tools where companies have been heavily investing on. The product packaging is your last way to communicate to your consumers what your brand story is, as much as it serves as your best way to convince your target market to pick up your brand over any other competitor who has been fighting for the same space in your shopping cart. This makes packaging an indispensable tool in product development and marketing across local and international brands.
How will you be able to tell if your packaging is effective enough? Once you see consumer buying your product and still choosing your brand over and over again, it signifies that the product packaging design has served its purpose of efficient communication, thus enabling your consumers to understand what your brand can offer to them or to their households.
Packaging is indeed a big and growing industry across the globe. The global packaging material and machinery industry is able to generate $500 billion on an annual basis, which accounts for 1-2% of the gross domestic products in industrialized nations. In 2013, the World Packaging Organization was able to record 100,000 packaging manufacturing corporations, which gave jobs to 5 million people. This is also being driven by packaging technology which has been evolving through the years. Consumers now appreciate the importance of food safety packaging for instance. Packaging has also brought forth the growth of the supermarket and convenience foods industry.
Packaging is also the key player when it comes to aesthetic display. Thus, adding incremental sales to products with attractive packaging. This is proven helpful to perishable products such as food. Areas with poor packaging design pay the price with the waste they incur. There are specific parts in Eastern Europe wherein up to 50% of food products are already being converted to waste before even reaching the consumer. Less than 3% of food is wasted in Western Europe which can be attributed to its better and more efficient packaging design and system.
Freedonia estimates that the US market for converted flexible packaging will reach over $18 billion this year. The country’s economic recovery and the rise of demand for processed food products will help boost the packaging industry. Converted flexible packaging is seen to be one of the favorites of consumers and governments as this type of packaging is perceived to be friendly to the environment.
Visiongain estimates that the world’s tin packaging market is estimated to reach almost $32 billion in 2011. Growing demand for convenience foods in ready-to-eat format with accompanying demand for lightweight, aesthetically pleasing packaging both drive the growth of tin packaging industry. Advantages afforded by this type of packaging include sustainable packaging, re-sealable containers and the convenience of single-serve food products. Developing countries show bigger demand for tin packaging as compared to developed ones. For instance, the soft drinks industry will continue to drive the metal can segment.