As we gradually get rid of the global epidemic and continue to move forward, the packaging industry has developed to adapt to the new attitude of consumers and new business methods. The packaging industry is facing new and continuous challenges. Packaging gateway discusses the main trends shaping the future of the industry in 2022 and beyond, mainly including advanced materials, artificial intelligence (AI), COVID-19, demography, direct to consumers (D2c), e-commerce, environmental and social governance (ESG), health and health, online food distribution and robotics.
COVID-19
The whole world has experienced the impact of the pandemic and has prompted a change in consumer attitudes towards shopping. Concerns about virus contamination have led to an increase in contactless delivery and the use of disposable items. As the pandemic recedes, institutions such as the North London waste authority (nlwa) and Oceana Canada, a non-profit marine conservation organization, have called globally for reducing the use of single plastics.
The report said that more attention must be paid to getting consumers out of the "regression" of disposable items, unfilled and recyclable items. The report also pointed out the need to increase investment in post consumption recycling infrastructure to meet the demand of the United Nations Climate Change Conference (COP 26) for reducing plastic. Packaging suppliers must focus on the upstream to "face the future" their solutions. These actions achieve greater sustainability through ethical changes in the supply chain. The upstream fundamentally solves the problem of excessive plastic, rather than letting consumers deal with waste residues. According to GlobalData's consumer survey for the third quarter of 2021, 75% of global consumers said that "environmental issues" were very / extremely important. Therefore, people increasingly expect brands to prevent waste from the beginning.
online takeout
The pandemic has accelerated the growth of online food delivery, bringing more attention to packaging and its waste. New regulations and environmental calls against disposable plastics are forcing enterprises to reconsider their packaging options. The report points out that catering service operators must consider cooperating with (business to business) B2B packaging suppliers that provide reusable alternatives. The rapid growth of fast commerce has established an on-demand channel for the rapid delivery of a small amount of food. Some platforms such as Getir promise to deliver orders within ten minutes. The development of this model shows that convenience has become a commodity for time starved consumers.
Transport packaging must be developed to adapt to the tremendous acceleration of e-commerce and eventually be compatible with home recycling systems. Packaging suppliers must minimize non recyclable secondary packaging, because consumers do not want and do not expect to bear the burden of post consumption processing. At the beginning of the epidemic, Amazon India began to use paper mats instead of plastic mats in all its operation centers, such as air cushions and foam packaging. These measures enable Amazon India to eliminate a large amount of plastic use while continuing to protect customer orders. Due to the high attention of consumers to waste, disposable compostable takeout packaging may gain more attention after the pandemic.
ESG
According to the report, many organizations "face the future" by acquiring companies compatible with the circular economy to avoid falling behind their competitors. With governments and environmental agencies calling for a ban on the use of disposable plastics, the report recommends that packaging suppliers must deploy comprehensive sustainable development plans that go beyond ESG goals.
After the epidemic, people pay more attention to trust and accountability. According to the consumer survey of GlobalData in the second quarter of 2022, 78% of consumers around the world actively look for "sustainable / environmentally friendly" functions when purchasing. As consumers make more active choices in their shopping habits, the "reuse and supplement" program is becoming more and more popular.
In Europe, regulations support the development of refilling schemes, as the 2021 disposable plastics directive aims to encourage waste reduction. The presence of terracycle's loop, a global recycling platform, in many countries and regions, such as the United Kingdom, Japan and Canada, shows that reusable packaging has an appeal that transcends national attitudes and emotions.
Advanced materials
According to the report, advanced materials have great advantages for consumer goods brands. In addition to plastics and cardboard, more and more innovative materials are opening up new potential applications in the packaging field. The report explains that in the UK, the national graphene Institute has studied several new methods of using graphene and other two-dimensional (2D) materials in a range of applications, including food packaging.
3D printing is the construction of 3D objects from digital models. It plays a role in on-demand packaging and has the advantage of rapid prototyping. This growth trend enables companies to create packaging faster and at lower cost than ever before. Coatings that reduce decay, such as polysaccharide films, can also be used as an environmentally friendly way to extend the shelf life of fresh food. Advanced materials provide an alternative way to reduce waste and consider new resources. Soaring inflation and the cost of living crisis have caused the cost of raw materials and energy to soar, making packaging suppliers vulnerable soon after the pandemic. Nowadays, the low cost of 3D printers provides manufacturers with the flexibility to try new ways of working, especially when dealing with prototype design.
Electronic Commerce
Due to the growth of e-commerce during the epidemic, the importance of packaging visual effects has increased. During this period, consumers spend more time online than before. According to global data's consumption survey on the epidemic so far in 2020, nearly a quarter of consumers (24%) spend more time browsing social media, and 69% avoid going to large supermarkets.
The combination of e-commerce and social media networks has brought a seamless shopping experience. Social media is now a very important marketing platform for the whole consumer goods industry. According to the report, as the online mode becomes more and more important, the company will hope to take this opportunity to develop a more digital supply chain management system to help serve these and other channels. Therefore, packaging suppliers will need to work with brands and retailers to ensure that all stakeholders from production to final consumers can achieve digitalization.
artificial intelligence
By implementing artificial intelligence technologies such as machine learning (ML), the company can better standardize programs and eliminate human errors. One trend theme is the use of robots to sort goods for recycling. The American carton recycling industry organization, the North American carton Council and amp robotics, a renewable energy semiconductor manufacturer, have cooperated to develop an artificial intelligence robot named Clarke. The robot is used to assist in the sorting process of cartons, plastic bottles and containers.
Because AI systems use predictive analysis, AI improves supply chain management. The report states that "using demand forecasting tools, these AI systems can balance supply and demand, thereby optimizing warehousing and inventory costs. Greater AI integration will support retailers and manufacturers to respond to future opportunities and threats faster."
Demography
The packaging industry has seen that brands and manufacturers are seeking to improve the readability of labels and the ability of packaging to suit elderly consumers without bringing them stigma. For example, the French bottled water company watville redesigned the bottle cap into a daisy flower shape to make its product easier to open. In the coming years, intergenerational approaches will be crucial to creating successful product packaging to attract consumers of all ages.
D2c (direct to consumers)
Due to the epidemic, the increase in home consumption and remote work have become deeply rooted behaviors. According to a survey conducted by GlobalData in the third quarter of 2021, 22% of millennial and generation Z consumers worldwide purchase beauty and beauty products directly from online brands. In addition to clothing, personal care products are the largest category of consumer goods purchased through D2c channels.
During the pandemic, Nestle UK also adapted to changing needs by working with the deliveroo essentials platform, which allows consumers to buy a series of groceries delivered directly to their homes online. This shows how the D2c channel enables brands to sell additional goods to existing customers because they usually lack physical space to sell products. This also means that packaging is regarded as the key to improve brand awareness.
Health and health care
According to GlobalData's consumer survey for the first quarter of 2021, three quarters (75%) of global consumers said that "packaging information or statements about production methods" were essential or happy to have. Consumers attach more and more importance to transparency and hope that brands can clearly explain the benefits of ingredients on product packaging. The pandemic has prompted people to raise awareness of health. Therefore, brands are encouraged to describe ingredients such as probiotics, superfood, CBD and plant-based formulas to attract health conscious consumers.
robot
During the epidemic, the use of robots in factories became a tool to protect the health of employees. Placing the robot in every other location helps ensure that employees keep a sufficient distance to reduce the risk of contracting the virus. In the United States, Costco's highly automated chicken packaging plant in Nebraska has reported only one covid-19 case out of 800 employees.
The use of cooperative robots in factories is improving efficiency and helping to increase profits. Packaging and palletizing collaborative robots are used in a series of industries to optimize the performance process of many tasks. According to the report, packaging robots can simplify production because they can improve more products at any time, improve packaging capacity and reduce labor costs.
