Pira Intl has released study results indicating that the global packaging industry by value, the personal care packaging market is set to reach almost $21.4 billion by 2014, growing by a CAGR (compound annual growth rate) of 4.1 percent over 2009 estimates of $17.5 billion.
The results were published in its study, The Future of Personal Care Packaging, which is written to offer insights into the industry's supply chain and the key drivers and trends shaping it by quantifying the current and future packaging sales of personal care products and looks at market sizes, end-use markets and product sectors by region, and regional markets by packaging product sector, with five-year value-based forecasts up to 2014.
Pira researchers cite the 10 key factors driving today's trends in personal care packaging: lifestyle; anti-ageing products; male grooming; fashion; luxury and super-premium; environmental; multifunctionality; health benefits; cost and economic factors; and global events.
The study notes that modern lifestyles are driving the need to create more agile, multifunctional and user-friendly packages, the supply chain model is also expected to evolve over time, with lot size reduction and compressed lead times becoming the norm in the aftermath of the global economic downturn. As consumers find more ways of spending their time and money, ease and speed of use together with multifunctionality will boost the development and sale of new products. This trend can also be linked to the inclusion of technologies such as electrics or electronics, as seen in the case of vibrating mascara brushes and vibrating razors. These technologies are attractive to manufacturers, delivering a competitive advantage through superior product benefits for the consumer.
With lifestyle choices, Internet-based education and awareness also are helping to promote environmental issues, consumers are becoming increasingly aware of their surroundings and the potential impact of packaging on the environment. According to Pira refill packaging formats are now emerging as the key contender to preserve existing resources, providing alternatives to conventional packaging formats like glass and metals, both of which consume vast amounts of energy in their manufacturing process. Pira researchers see refill formats that are lightweight, cost less, are difficult to break or damage (when compared to formats like glass), and use less space when empty, both before filling and after use, as the new winning formula.
Pira says environmental factors will drive the future agenda for all packaging companies: whether to gain competitive advantage, reduce costs, generate alternative, reusable and recyclable materials, or as part of corporate social responsibility agendas.