Paperboard packaging increased in 2022 and is expected to grow in 2023. This is driven mainly by the growth of ecommerce, the consumer requested use of environmentally friendly packaging, and lighter weight packages for a reduction in shipping costs. The global paper and paperboard container and packaging market size is poised to reach US$ 84.54 billion by 2023, according to a new report by Technavio. The global paper packaging market is stipulated to witness a decent growth between 2023 and 2028, reaching US$ 463.3 billion by the year 2028 (Mordor Intelligence). The key reason for this change in growth rate is due to its cost-efficient and versatile method to protect, preserve, and transport a wide range of products.
Paper and paperboard packaging can be customized to meet the customers’ or product-specific needs. The attributes like lightweight, biodegradability, and recyclability are the advantages of paper packaging that make it an essential component for packaging. (Industrial Packaging)
In terms of the increase of digital marketing and consumer response, it did not destroy the pulp and paper industry, however it required a strategic shift. For instance, there was a clear manufacturing conversion to packaging materials from print paper given the tremendous demands associated with shipping products purchased online. Not a surprise here.
The paper packaging market is segmented by grade (carton board, containerboard), product type (folding cartons), end user industry (food, beverage, healthcare, personal care, household care, electrical products), and geography. (Mordor Intelligence)
According to Statista Global, “The use of paper packaging has existed for centuries, with its roots dating to Ancient China. But it wasn’t until the Industrial Revolution that packaging solutions such as paperboard was first commercially made. Paper packaging’s popularity grew in the twentieth century, and it is now used for a wide range of applications such as food packaging, consumer electronics packaging, and protective packaging”. Today, lightweight packaging is being used across all industries. Lightweight packaging lowers pulp expenses, reduces CO2 emissions, and slashes shipping costs, which are just some of the many benefits.
“The paperboard manufacturing market growth outlook is positive with significant growth potential for folding paper boxes. There is pressure on paperboard container manufacturers to reduce manufacturing costs and also to use recycled paperboard as raw material to reduce sourcing of pulp by cutting trees,” as stated by Cision: PR Newswire.
Linchpin Solutions chimes in with information about higher packaging demand. “In 2023, the global demand for various packaging products will increase. This includes production in Japan, China, European countries, and the United States. In fact, one of the pulp and paper industry’s strengths is that the demand for packaging products is always expanding.” Remember that this is spurred by the boost in online shopping and the explosion of e-commerce entrepreneurial endeavors in recent years.
Let’s look at the advantages of paperboard packaging in terms of recycling. The ability to recycle pulp and paper products is non-negotiable for some consumers. As a result, there is an increase in recyclable products.
“The market is driven by the environmental benefits associated with paper and paperboard containers. Currently, paper and paperboard containers are biodegradable and are more sustainable than plastic, making them more acceptable to consumers. Some factors that make paper and paperboard containers environmentally friendly are that they are recyclable, reusable, save energy, and conserve natural resources”, according to Linchpin Solutions. “Thus, the environmental benefits associated with paper and paperboard containers will increase the adoption of such products by enterprises in several industries, such as retail, which will drive the growth of the global paper and paperboard container and packaging market. Furthermore, the growth of the e-commerce industry has a direct impact on the paper and paperboard container and packaging industry. Packaging plays a major role in the first impression that consumers have of brands. Therefore, most brands try to differentiate themselves by offering various types of packaging, such as paper and paperboard containers”.
In terms of marketing, in 2023, brands and retailers have an opportunity to utilize their packaging to effectively communicate the ethical implications of their products. Recent research from Mintel revealed that 40% of US shoppers would use on-pack labeling of environmental impact measures to help them shop sustainably. (Printpak)
Let’s look at the top five trends for 2023. (Industrial Packaging)
- Sustainable Packaging
- Packaging Automation
- Creative And Custom Typography For Product Packaging
- Minimalist Packaging
- Interactive Packaging Materials
Paper packaging refers to various rigid and flexible packaging materials, including corrugated boxes, liquid paperboard cartons, paper bags & sacks, folding boxes & cases, inserts & dividers, etc. They are manufactured by bleaching fibrous compounds obtained from wood and recycled wastepaper pulp. Paper packaging materials are usually highly versatile, customizable, lightweight, durable, and recyclable. They are available in a wide variety of colors, shapes, and sizes to meet the individual requirement of the customers. The growing retail and e-commerce industries, along with the growing demand for environment-friendly packaging products, are the key factors driving the growth of the market. With the rapid increase in the number of online shopping platforms, the requirement for paper packaging products has escalated significantly. Furthermore, increasing consciousness among consumers regarding sustainable packaging and the implementation of favorable government policies are providing a boost to the market growth. Governments of various developed and emerging nations are promoting the usage of paper-based products as an alternative to plastic for minimizing pollution and toxin levels in the environment. (businesswire)
Paperboard packaging is growing at a strong pace since there are many advantages particularly when compared to plastic. Paper packaging materials are usually highly versatile, customizable, lightweight, durable, biodegradable, and recyclable – benefits to printers and consumers alike. The ability to recycle paperboard products is non-negotiable for some consumers. In terms of marketing, brands and retailers have an opportunity to utilize their packaging to effectively communicate the ethical implications of their products. Also, there has been a manufacturing conversion to packaging materials from print paper given the tremendous demands associated with shipping products purchased online. The paperboard manufacturing market growth outlook is positive with significant growth potential for folding paper boxes.
To learn more about paperboard packaging and folding cartons, contact your Think Patented account executive or call 937.353.2299. We can take care of all your needs.