6 Key Projections on Future of Retail Ready Packaging Market for Forecast Period 2017-2026

Published: Wed Sep 19 2018

The global retail ready packaging market will reflect an average 4.6% CAGR, in terms of volume, during the forecast period (2017-2026), as slated by a recent Fact.MR report. The report estimates the market to surpass US$ 100,000 in revenues by 2026-end.

Retail Ready Packaging Attractive for Displaying Brands as Value-added Specialty

Retail ready packaging (RRP) is gaining paramount importance as a means of secondary packaging for retailers. This is mainly because RRP enables placing products directly onto the retail shelves or selling floor post-arrival, and deprives unpacking requirements of inner contents. Numerous benefits are offered by retail ready packaging compared to traditional retail packaging apropos to the product visibility, labor costs, and stock handling. This type of packaging, which persists on store shelves and aids marketing efforts, has been attractive for displaying brands as value-added specialty, and appealing to brand owners and retailers who use it as the shipping container.

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Demand for RRP will further be underpinned by expansion of club stores & mass retailers, and surging food and beverage sales across nontraditional outlets that include drug and dollar stores. The proliferation of deep discount grocery stores as well as club stores has prevailed as the leading driver for growth of the retail ready packaging market globally. These stores sell merchandise from the secondary packaging directly, requiring their vendors to ship products in various solutions of retail ready packaging. Retail ready packaging solutions have been witnessing widespread acceptance in various industrial sectors, on account of their provision of effective & fast escalation of products through the supply chain, meanwhile enabling the product storage in an efficient manner. Demand for RRP is further bolstered by its indispensable role in improving the product identification and enhancing brand visibility.

6 Key Takeaways from Fact.MR’s Report on Retail Ready Packaging Market for Forecast Period 2017-2026 (In Terms of Volume)

1- The most lucrative region for growth of the retail ready packaging market is anticipated to be Asia-Pacific excluding Japan (APEJ) during 2017 to 2026. Sales of retail ready packaging products in APEJ are likely to latch onto over one-third market share through the forecast period.

2- North America and Europe are also expected to persist as major markets for retail ready packaging. In addition, APEJ and North America are likely to exhibit the highest CAGRs in the market through 2026.

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3- Based on material type, the largest share of the market is projected to be accounted by paper & paperboard. Additionally, paper & paperboard, polyethylene terephthalate (PET, PETE, PETG or polyester), and high density polyethylene (HDPE) are poised to reflect a parallel sales expansion at a steady CAGR through 2026.

4- Among various products available in the market, die-cut display containers are expected to remain the most preferred, trailed by corrugated cardboard boxes. Sales of these two product type segments are collectively forecast to reach roughly 58,000 thousand tons by 2026-end.

5- Meat, poultry, & seafood, non-alcoholic beverages, and alcoholic beverages are likely to remain leading application segments in the global retail ready packaging market.

6- Food & beverages will continue to be the dominant end-user of retail ready packaging.

In a bid to gain an edge over their competitors, leading players in the global retail ready packaging market are focusing on enhancing their product portfolios through huge investments in research & development activities and acquisition of smaller firms with innovative technologies but lacking in resources. Key companies actively supporting expansion of the market include Creative Corrugated Designs, Inc., Orora Packaging Australia Pty Ltd., Caps Cases Ltd., i2i Europe Ltd., LINPAC Packaging, International Paper Company, Amcor Limited, Mondi, DS Smith plc, and Smurfit Kappa Group plc.

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