Retail Ready Packaging Market Forecast, Trend Analysis & Competition Tracking

Posted by Arslan on January 23rd, 2020

The demand for retail ready packaging has been on the rise owing to rapid advancements in the global retail industry. Recent years have witnessed a substantial shift in terms of developments in retail ready packaging, which has been generating opportunities for major international vendors, with a major focus being on increased durability of packaging materials.

Such innovations have resulted in superior profit margins, and to bolster the confidence of businesses in the retail scene. The global retail ready packaging market is projected to grow at a healthy CAGR of ~ 5.2 per cent through the forecast period till 2026. This figure will account for the sales of around 45,000,000 tons by the end of this period.

Rapid Rise in Multiple Retail Channels Supports Growth

The sales of multiple products for retail channels is being viewed as playing a major role in the rise of the global market for retail ready packaging. This format of packaging material can be attributed to variants which can be directly stocked in shelves of retail stores immediately after the procurement procedure.

The utility of such packaging formats has been playing a major role in the growth of the global market, which is further supported by the constant growth in the number of new products to be added to different retail outlets.

In addition, international retail brands are also spreading their presence to emerging markets owing to new opportunities arising from foreign direct investments. In addition, retailers are also paying attention to the role of packaging on market growth, with projections of increases in the years ahead. The sales of fresh veggies and fruit items in retail settings is also expected to help.

Food and Beverage Packaging Dominates Demand

With the increasing levels of population around the world, food and beverages continue to be the major end use application for retail ready packaging, with substantial shares of revenue in comparison to other end use applications. This trend is expected to continue growing owing to the rising demand to cut costs in terms of labor and losses from product handling activities.

While retail ready packaging variants are available in a variety, corrugated cardboard boxes and display containers, which are made from die cut methods continue to be the more popular options. In addition, sustainability initiatives being used by major retail chains are also increasing the adoption of biodegradable variants made from paperboard and paper, owing to high levels of recyclability.

Benefits over Conventional Packaging to Aid Rise

In addition to providing retailers with easier stocking procedures, retail ready packaging also aids in bolstering visibility, labor costs, and handling stock. This packaging type is attractive to brand displays, while also serving functions as shipping containers, boosting results from efforts for marketing.

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In addition, the recent influx of mass retailers, dollar stores, drug stores and club stores is expected to generate opportunities for use, with budget retail operations, as sales are made directly from the secondary packaging, with superior logistics solutions.

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