Retail Ready Packaging Market Size, Share & Industry Analysis, By Material (Paper & Paperboard and Plastic), By Product Type (Corrugated Boxes, Folding Cartons, Trays, and Containers), By End User (Food & Beverages, Personal Care & Cosmetics, Pharmaceutical, Printing & Stationary, and Others), and Regional Forecasts, 2024-2032

The global retail ready packaging market size was valued at USD 88.74 billion in 2023 and is projected to grow from USD 92.69 billion in 2024 to USD 140.02 billion by 2032, exhibiting a CAGR of 5.29% during the forecast period. Europe dominated the retail ready packaging market with a market share of 37.32% in 2023. Moreover, the retail ready packaging market in the U.S. is projected to grow significantly, reaching an estimated value of USD 33.40 billion by 2032, driven by growth of big retailers and supermarkets to maintain consistency in product display while minimising the time required for shelf replenishment.

Retail-ready packaging mainly uses paper and cardboard, making recycling easy; the most important driver of this market is recyclability. The styling and details added to the box increase the product's value and provide excellent brand promotion. Consumers want this type of packaging when using cosmetic and food & beverage products. They are lightweight, easy to handle with effective replenishment, and make the product easier to use.

Rising demand for packaged processed foods and beverages is expected to drive the market growth. The growth of the FMCG sector, which mainly consists of packaged foods, is expected to drive the growth of the retail ready packaging industry. Their innovative and effective functional design helps retailers identify products to facilitate efficient storage, improve store efficiency, and save labor by placing products directly on the shelves without unpacking the contents and increasing turnaround time to stock up on final goods that increase the store's sales, boost shelf space, and enhance profits. Besides these benefits, retail ready packaging products enhance the shelf life of fragile and sensitive products. From the consumer's point of view, such packaging offers products their identity, which helps consumers have a convenient shopping experience, thereby driving the growth of the market for retail ready packaging.

The closure of local retail stores and large convenience stores affected the growth of the retail-ready packaging market. Virtual and online stores drove the growth of the packaging industry, which, in turn, hindered the development of the retail-ready packaging market. Due to lockdowns, the demand for premium brands and B2B shipping packaging declined considerably.

Retail Ready Packaging Market Trends

Growing Use of Paper & Paperboard will Complement Market Growth

Paper and cardboard are recyclable and comply with various packaging regulations, making them a highly recommended material for product packaging. These materials are cost-effective alternatives to plastic and have similar properties. Retail-ready packaging products have many functions, making them the most popular in food, beverage, pharmaceutical, electronic, and cosmetic industries. Corrugated boxes have excellent properties, such as impact resistance and impact & shock absorption, making them suitable for packaging food, beverages, cosmetics, and personal care products. Retail-ready packaging solutions also help improve product identification features.

According to the Indian Paper Manufacturers Association (IPMA), the Indian paper industry accounts for about 5% of the world’s paper production. The sector's estimated turnover is USD 700 billion (domestic market size of USD 800 billion), and its contribution to the exchequer is around USD 636.15 million. The sector provides direct employment to 500,000 persons and indirectly to around 1.5 million. India's per capita paper consumption, at approximately 15 kg, is way behind the global average of 57 kg.

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Retail Ready Packaging Market Growth Factors

Innovation in Printing to Increase Brand Image will Propel Demand for Retail Ready Packaging

Innovations in finishing systems and digital printing now offer various options to customize content for specific events, customer preferences, and store locations. The efficiency of retail-ready packaging systems is increased by standardized packaging, which requires less time to set up the machine, fewer pressed variants, and ultimately the efficiency of the retail staff. Innovative printing techniques, such as high-definition printing, metallic inks, and embossing enable brands to create eye-catching packaging designs that stand out on retail shelves. Vibrant colors, intricate patterns, and visually appealing graphics help capture consumer attention, increasing brand visibility and recognition. Moving away from models that use bars for hanging bags, major retailers encourage using flexible packaging for minimizing labor costs.

Consumers seek transparency from brands about their environmental activities and the impact of their products and packaging on the environment. Innovative printing technologies help brands meet the regulatory requirements and compliance standards for retail-ready packaging. Variable data printing enables the inclusion of mandated product information, nutritional labels, and allergen warnings, ensuring the packaging meets legal obligations while maintaining aesthetic appeal and brand consistency. These factors will fuel the adoption of retail ready packaging items.

Increasing Product Demand from the Retail Sector to Boost Market Growth

Die-cut display containers are being extensively used due to the rampant evolution in the retail sector. These containers are considered a modern retail packaging solution and expected to gain popularity as hypermarkets and supermarkets expand their operations. Retailers are expanding their product portfolios to meet diverse consumer preferences. This expansion includes introducing new product variants, sizes, and formulations. Retail packaging must adapt to accommodate this growing variety, requiring flexibility and innovation in packaging design to cater to the unique requirements of different products. The demand for die-cut display containers is growing rapidly as they reduce costs and provide safety to the product. A growing middle-class income group, fast-paced lifestyle, and increasing consumption of packaged foods are expected to drive the market growth, contributing significantly to the adoption of die-cut display containers.

RESTRAINING FACTORS

Expansion of E-commerce Sector to Hinder Market Growth

The e-commerce sector has shown continuous growth, so the demand for ready-made packaging has decreased as more customers are leaving retail stores and opting for online shopping. Factors limiting the market growth are online shopping that makes everything accessible to people via their smartphones, lack of flexibility in product or customer-based sales promotion, and additional inclusion of packaging costs.

Retail Ready Packaging Market Segmentation Analysis

By Material Analysis

Paper & Paperboard Packaging to Dominate Market due to High Usage in Retail Sector

Based on material, the market is segmented into paper & paperboard and plastic. The paper & paperboard segment holds a dominant retail ready packaging market share. Due to growing consumer concerns about waste generation, manufacturing industries are focusing on recycling and reusing packaging materials and increasing their shelf life.

By Product Type Analysis

Demand for Corrugated Boxes as Sustainable Packaging Solution to Gain Momentum

Based on product type, the market is segmented into corrugated boxes, folding cartons, trays, and containers. Die-cut display cases and corrugated boxes or cardboard boxes are likely to remain the largest source of revenue for the global retail-ready packaging market. The demand for these products is influenced by the growing base of retail customers and demand for sustainable packaging solutions.

By End User Analysis

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Growing Consumption of Ready-to-Eat Processed Food to Fuel Product Use in Food & Beverage Sector

Based on end user, the market is segmented into food & beverage, personal care & cosmetics, pharmaceutical, printing & stationary, and others. The food & beverage segment is set to dominate the market due to the rising consumption of ready-to-eat & processed foods by consumers worldwide. Moreover, cost initiatives by retailers and increasing consumer demand for sustainable packaging products also contribute to the segment’s growth.

REGIONAL INSIGHTS

The retail ready packaging market analysis has been done across North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa.

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In North America, advanced solutions and technologies are readily available due to the region’s solid economic position. This benefit has helped organizations across the region gain a competitive edge in retail packaging. There are also several key suppliers of corrugated packaging in the region, such as International Paper Company, Georgia-Pacific LLC, and WestRock Company. As per research, the U.S. market is also strengthening its pace with the recent announcement of collaboration between LVHM and DOW. Both the companies collaborated to improve sustainable packaging in major perfume and cosmetics brands.

Additionally, regional retailers, such as Walmart, Kroger, and others, are increasingly adopting retail packaging solutions. These stores are developing guidelines for standardizing and modifying their shelves when introducing new packaging designs. For example, in August 2023, Walmart released a retail-ready guide to set future standards for retail displays and shelf-to-shelf packaging in its stores. These guidelines will help manufacturers understand the EIA requirements and implement them in stores. A steady rise in supermarkets and hypermarkets also contributed to the regional growth. In addition, the development of polygraph technology has facilitated the printing of exciting patterns and texts on packages.

In 2020, according to Plastics Europe, the turnover of the European plastic sector accounted for USD 335 billion, which highlighted a slight decrease than the previous year, primarily due to the COVID-19 impact on the majority of customer industries. However, in 2021, plastic manufacturers planned crucial investments in the technologies for chemical recycling. The Asia Pacific region holds a significant share in the retail-ready packaging industry. According to the India Brand Equity Foundation (IBEF), India is the world’s fifth largest destination in the retail space. India’s retail industry is expected to increase by 9% between 2019 and 2032, growing from USD 779 billion in 2019 to USD 1,407 billion by 2026 and over USD 1.8 trillion by 2032.

List of Key Companies in Retail Ready Packaging Market

Key Participants in the Market are Witnessing Significant Growth Opportunities

The report for retail ready packaging depicts that the market is highly fragmented and competitive. Some of the key players dominate the market in terms of market share by providing innovative packaging. They are also constantly focusing on product innovation and expansion of customer base & supply chains across several regions.

Key players in the market include DS Smith plc, Smurfit Kappa Group plc, Mondi, Amcor Limited, International Paper Company, and Georgia Pacific LLC. Several other local and small manufacturers operating have increased their focused on offering advanced retail ready packaging solutions.

List of Key Companies Profiled:

• DS Smith plc (U.K.)


• Smurfit Kappa Group plc (Ireland)


• Mondi (U.K.)


• International Paper Company (U.S.)


• Caps Cases Limited (U.K.)


• Orora Packaging Australia Pty Ltd (Australia)


• WestRock Company (U.S.)


• Kapco Packaging (India)


• Amcor Limited (Australia)


• Georgia Pacific LLC (U.S.)


• Clearwater Paper Corporation (U.S.)


• Packaging Corporation of America (U.S.)


• Weedon Group Ltd. (U.K.)


• STI Group (Germany)


• Ashtonne Packaging (India)

KEY INDUSTRY DEVELOPMENTS:

• July 2024 – Cepac announced the launch of the U.K.’s first curved corrugated packaging. The extensive range includes round-front, tray, wrap around, and bag-in-box, and can be utilized for packaging of retail-ready, consumer & transit packaging products, and in-store displays & gifting.


• February 2024 – Preferred Packaging, a major division of C-P Flexible Packaging, and Northwest Frozen LLC declared their significant collaboration to launch an innovate line of refrigerated, prepared meals along with extended shelf life for retail distribution.


• September 2021 – Komo Plant Based Foods Inc., a premium frozen plant-based food company, introduced new packaging developed for large scale distribution & improved shelf appeal. The packaging was designed with sustainability in mind and complying with all the requirements from retail chains.


• August 2021 - DS Smith announced the launch of 100% recyclable e-commerce packaging for Blaue Helden. The highly sustainable packaging gives the environmentally friendly cleaning tabs from Blaue Helden an alluring appearance in online retail, with 100 % corrugated cardboard & no plastic filling material.


• October 2019 – Morrisons partnered with DS Smith to launch a new sustainable product holder for the supermarket’s Best bacon range. The company traditionally utilized single-use plastic trays to maintain the products upright on shelves and focused to move to a sustainable method after signing the U.K. plastic PACT.

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The research report presents a comprehensive industry assessment by offering valuable insights, facts, market size, industry-related information, and historical data. Several methodologies and approaches have been adopted to make meaningful assumptions and views to formulate this report. Furthermore, the report makes a detailed analysis of the market segments, including material, product type, end-user, and regions, helping readers get a comprehensive overview of the global industry.

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