Page 16 - Packaging News Nov-Dec 2019

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INDUSTRY INSIGHT
E-commerce packaging shifts the playing field
The e-commerce packaging market is enjoying double digit growth and is worth tens of billions of dollars, according to new reports on how online shopping is changing the game for packagers. Jake Nelson reviews the findings.
“The on-demand satisfaction con- sumers want from e-commerce shopping is driving the need for new manufacturing practices, packaging changes, and ultimately equipment advancements,” says one vice-presi- dent of packaging research and development quoted in the report.
In the report, PMMI discovered that an overwhelming 96 per cent of all Americans with internet access had made at least one online purchase, while 51 per cent of US consumers preferred to shop online.
Additionally, 95 per cent of consumers say that packaging significantly affects their online purchasing experience, while 49 per cent share their online experi- ence on social media, according to a cited Smithers report from 2017.
According to PMMI, packaging considerations for e-commerce are fundamentally different for retail. The report advises that packagers consider the first im- pression their packaging will de-
he Impact of E-Commerce on Packaging Long-term Forecasts to 2029, a report by analyst Smithers, found that e-com- merce packaging, including corrugated, flexible, protec- tive, and transit packaging, is
worth around $35bn and has experi- enced growth of over 20 per cent across the last few years.
“Mail order might not be a new concept, but e-commerce takes it to new levels with a fast-developing digital infrastructure and falling prices for enabling technology. The e-commerce packaging sector is thus characterised by creative solutions and innovative concepts that optimise distribution and satisfy consumer needs.
“The next generation of e-com- merce packs must be lightweight to save energy, robust enough to protect the content, right-sized to save space, and easily recycled,” says Smithers, which adds that packaging design becomes even more significant when the first moment of truth moves from the store or the supermarket aisle to the consumer’s kitchen.
PMMI, the Association for Packag- ing and Processing Technologies in the US, released its E-commerce: Think Inside the Box report in 2018. It found that the rise of online shop- ping means packagers need to adapt quickly to shifting consumer de- mands – that, rather than shifting the rules of the game, e-commerce is creating a whole new game.
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November-December 2019