Packaging Design Services Market Is Estimated To Witness High Growth Owing To Increased Demand From Food And Beverage Industry
Packaging design services involve designing and developing packaging for consumer and industrial products. Packaging design plays a critical role in branding, marketing, and product differentiation. It helps attract consumer attention on store shelves. The packaging design process includes concept development, digital rendering, material selection, testing, and packaging engineering. Packaging design services ensure compliance with regulations and deliver value to brands through sustainable, innovative design solutions. The growing food and beverage industry is driving significant demand for effective packaging design to enhance shelf appeal, communicate nutritional information, and extend product shelf life.
The global Packaging Design Services Market is estimated to be valued at Us$ 24.63 Bn in 2023 and is expected to exhibit a CAGR Of 4.0% over the forecast period 2023 To 2030, as highlighted in a new report published by Coherent Market Insights.
Market Opportunity:
One of the key opportunities for growth in the packaging design services market is increased demand from the food and beverage industry. The food and beverage industry accounts for a large share of the packaging design services market due to growing demand for aesthetically appealing, informative, and sustainable packaging from consumers. Designing innovative packaging helps brands promote their products on shelves and communicate essential information like ingredients, nutrition facts, recycling instructions etc. Effectively designed packaging can boost product sales and brand loyalty in the competitive food and beverage space. As consumer spending on food and beverages increases worldwide, demand for specialized packaging design solutions from this industry is expected to rise substantially over the forecast period.
Porter's Analysis
Threat of new entrants: New entrants face high costs of investing in packaging design technologies, skilled designers and building industry reputation. Bargaining power of buyers: Large buyers have more bargaining power to negotiate lower prices and demand better services due to their high demand. Bargaining power of suppliers: Suppliers of packaging materials and technologies have moderate bargaining power as there exist many suppliers and it is easy to switch between suppliers. Threat of new substitutes: Threat of substitution is low as packaging serves major purpose of product protection and marketing that no other solution provides. Competitive rivalry: Intense competition exists between established players leading to aggressive pricing and investments in new technologies andclient relationships.
SWOT Analysis
Strengths: Established expertise, global reach, diverse portfolio, focus on innovation and sustainability. Weaknesses: High operation costs, reliance on few large clients, vulnerability to regulations. Opportunities: Growth in e-commerce, pharmaceuticals, food packaging, sustainability drive. Threats: Economic slowdowns, raw material price volatility, talent crunch.
Key Takeaways
The Global Packaging Design Services Market Demand is expected to witness high growth at a CAGR of 4.0% during 2023-2030 to reach a value of over US$ 24.63 Bn by 2023. North America currently dominates the market due to large pharmaceutical and food industries. The regional market is driven by presence of major players and customer focus on packaging for branding and marketing. Asia Pacific market is expected to grow at the fastest pace due to expanding manufacturing industries, rising incomes and western influences.
Regional analysis:
Asia Pacific packaging design services market will experience fastest growth at a CAGR of around 5% during 2023-2030 on back of rapid economic development, rising middle class, expanding healthcare and food sectors majorly in China and India. Large manufacturing bases especially in food and pharmaceutical industries and focus on product innovation and differentiation through packaging will drive services demand.
Key players:
Key players operating in the packaging design services market are Schawk Inc. (SGK Inc.), Interbrand Corporation, Packaging Corporation of America (PCA), Tetra Pak International S.A., Amcor plc, Rieke Packaging Systems, Landaal Packaging Systems, Gerresheimer AG, TricorBraun Inc., Design Packaging, Inc., Crown Holdings, Inc., Berlin Packaging LLC, Kush Bottles, Inc. (KushCo Holdings, Inc.), PaperWorks Industries, Inc., The Freeman Company among others. Major players are focused on acquisitions and partnerships to expand footprint and capabilities.
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