LONDON — Technavio’s latest report on the global dairy packaging market provides an analysis on the most important trends expected to impact the market outlook from 2016-2020. Technavio defines an emerging trend as a factor that has the potential to significantly impact the market and contribute to its growth or decline.
Sharan Raj, a lead analyst from Technavio, specializing in research on the packaging sector, says, “With an increased demand for dairy products, vendors in the global dairy products packaging market are investing in new technologies for the development of packaging material with specific properties suitable for the packaging of a variety of dairy products.”
The top four emerging trends driving the global dairy packaging market according to Technavio transportation and logistics research analysts are:
- Introduction of new and advanced products
- Increased use of biodegradable plastic
- Increased demand of multi-pack and variety pack
- Increasing demand for sustainable packaging materials
Introduction of new and advanced products
New product launches will create a demand for advanced dairy packaging in several regions such as APAC, Europe, and North America. For instance, Emmi Roth, launched a Fondu All-in-one, which is a convenient and oven-safe dip with natural, premium cheese from Switzerland.
The launch of new products will positively influence the global dairy packaging market during the forecast period as vendors will try to establish an edge over their competitors or maintain their market share by introducing new and innovative packaging options.
Increased use of biodegradable plastic
A trend that will have a positive impact on the growth of the global dairy packaging market is the growing use of biodegradable plastics. Biodegradable plastics are easily decomposed by microorganisms, thus reducing the toxic effect on the environment as compared to conventional plastics. They are not necessarily fully made from renewable materials, but are plastics made from petrochemicals with biodegradable additives.
Adoption of these materials will reduce the market share of conventional plastic packaging materials over the next few years. With environment compliance regulations across the globe becoming more stringent, vendors will be more likely to adopt biodegradable plastics as a substitute to avoid hefty penalties.
Increased demand of multi-pack and variety pack
Since each retail chain approaches packaging differently, dairy manufacturers are under more pressure to customize their packaging designs. In addition, many merchants want packaging that takes up less shelf space and is attractive, thereby increasing its shelf presence. In order to overcome this difficulty, packaging vendors have developed multipack and variety pack solutions.
“Retailers prefer this marketing strategy as it increases unit sales and entices consumers to try new products and varieties of a brand in small quantities. The advantages of multipack and variety pack are fueling demand for the global dairy packaging market,” says Sharan.
Increasing demand for sustainable packaging materials
Sustainability is a major aspect being pursued in the global dairy packaging market. Consumers are expecting dairy packaging materials to be environmentally-friendly and sustainable. Vendors are investing in R&D to develop materials that can be recycled and have the traditional capability of friction, moisture, and heat resistance.
Major input comes from marketing departments after feedback from major business-to-business (B2B) customers. They may include incorporation of design upheavals, creation of resistant quality packaging material, and boosting the visual appeal factor of both rigid and flexible containers.
About Technavio
Technavio is a leading global technology research and advisory company. The company develops over 2000 pieces of research every year, covering more than 500 technologies across 80 countries. Technavio has about 300 analysts globally who specialize in customized consulting and business research assignments across the latest leading edge technologies.
Technavio analysts employ primary as well as secondary research techniques to ascertain the size and vendor landscape in a range of markets. Analysts obtain information using a combination of bottom-up and top-down approaches, besides using in-house market modeling tools and proprietary databases. They corroborate this data with the data obtained from various market participants and stakeholders across the value chain, including vendors, service providers, distributors, re-sellers, and end-users.
Source: Technavio
