Internet of Packaging Market Synopsis
The Global Internet of Packaging Market size was reasonably estimated to be approximately USD 23970 Million in 2023 and is poised to generate revenue over USD 47850 Million by the end of 2030, projecting a CAGR of around 10.30% from 2023 to 2030.
The Internet of Packaging (IOP) refers to the integration of digital technologies and connectivity into packaging solutions. It involves embedding smart sensors, RFID tags, and other devices into packaging materials to enable communication and data exchange between the packaging and the surrounding environment.
- The worldwide Internet of Packaging (IOP) market is witnessing significant growth due to increasing concerns regarding cost reduction in packaging, improved logistics management, enhanced inventory efficiency, better customer service, brand protection, and effective branding strategies.
- By scanning a smart code, customers can access a landing page containing comprehensive product information that goes beyond what can be printed on the package itself. Additionally, IoP facilitates improved product tracking throughout the supply chain and can identify instances of product tampering or opening, which further contributes to revenue growth.
- However, it is important to address security and data privacy concerns, as IOP technologies have the potential to capture sensitive non-public information from customers, which could hinder market revenue development. Looking ahead, the market is expected to expand further with the adoption of technologies like blockchain, which can prevent fraud, efficiently handle safety violations, and safeguard information.
Top Key Players Involved Are:
"Avery Dennison Corporation (US), Smartrac N.V. (Netherlands), BASF SE (Germany), Thin Film Electronics Asa (Norway), Stora Enso Oyj (Finland), Tetra Pak (Switzerland), Kezzler (Norway), Digimarc Corporation (US), Evrythng Limited (UK), Thinfilm Electronics Ab (Sweden), Scanbuy Inc. (US), Identiv Inc. (US), Smartglyph Ltd. (UK), E Ink Holdings Inc. (Taiwan), Paksense Inc. (US), Schreiner Group Gmbh & Co. Kg (Germany), Smart Label Solutions (Spain), Gao Rfid Inc. (Canada), Systech International (Us), Tracelink Inc. (US) and Other Major Players."
Internet of Packaging Market Trend Analysis
Internet of Packaging Demand in E-Commerce
- The Internet of Packaging (IoP) is an emerging concept that combines packaging materials with Internet of Things (IoT) technologies to create smart, connected packaging solutions. While the IoP has various applications across industries, e-commerce has been a significant driver of its market growth. The rise of e-commerce has revolutionized the way products are packaged, shipped, and delivered to customers. As more consumers turn to online shopping, there is a growing demand for efficient and secure packaging solutions that can enhance the e-commerce experience.
- Product Authentication and Anti-counterfeiting, Track, and Trace, Customer Engagement and Personalization, Inventory Management and Supply Chain Optimization, and Sustainability and Waste Reduction, these factors, driven by the increasing dominance of e-commerce, have created a strong demand for IoP solutions in the market.
- As a result, companies specializing in Internet of Packaging technologies are developing innovative solutions to cater to the unique requirements of e-commerce businesses, enhancing efficiency, security, and customer satisfaction in the packaging and delivery processes.
Integration of Advanced Technologies
- The integration of advanced technologies presents significant opportunities for the Internet of Packaging (IoP) market. As IoP evolves, the adoption of cutting-edge technologies enhances the capabilities of smart packaging solutions, opening up new possibilities and benefits.
- As IoT continues to advance, with improvements in connectivity, miniaturization, and energy efficiency, it offers opportunities to enhance the functionality and performance of IoP solutions.
- Advanced data analytics tools and platforms enable IoP stakeholders to derive valuable insights from the vast amount of data collected through smart packaging. By analyzing this data, companies can gain a deeper understanding of customer preferences, supply chain performance, and packaging optimization opportunities.
- By leveraging these advanced technologies and integrating them into IoP solutions, companies can unlock numerous benefits, including enhanced functionality, improved efficiency, better customer experiences, and increased competitiveness in the e-commerce market.
Segmentation Analysis of The Internet of Packaging Market
Internet of Packaging market segments covers the Technology Deployed and Industry Verticals. By Technology Deployed, Sensor & Tags segment is Anticipated to Dominate the Market Over the Forecast period.
- The dominance of the Sensor & Tags segment in the Internet of Packaging (IoP) market over the forecast period is indeed anticipated. Sensor and tag technologies play a crucial role in enabling smart and connected packaging solutions by providing real-time data collection, monitoring, and communication capabilities.
- Sensors and tags embedded in packaging enable real-time monitoring and tracking of various parameters such as location, temperature, humidity, light exposure, and shock/vibration. This information is essential for ensuring product quality, safety, and compliance throughout the supply chain. Real-time monitoring helps detect issues or deviations promptly, allowing for timely intervention and corrective actions
- Sensor-enabled packaging provides visibility into the entire supply chain, enabling stakeholders to track the movement and conditions of products from manufacturing to delivery. This visibility helps optimize logistics operations, improve inventory management, and enhance supply chain efficiency. Real-time data from sensors and tags can streamline processes, reduce delays, and enable proactive decision-making to minimize disruptions.
- These factors collectively contribute to the dominance of the Sensor & Tags segment in the IoP market over the forecast period. The ability of sensors and tags to enable real-time monitoring, supply chain visibility, authentication, data analytics, consumer engagement, and sustainability makes them integral components of smart and connected packaging solutions.
Regional Analysis of The Internet of Packaging Market
Asia Pacific is Expected to Dominate the Market Over the Forecast Period.
- The Asia Pacific region has a massive consumer base, including both established and emerging markets. The rising disposable incomes, urbanization, and changing consumer preferences in countries like China, India, Japan, and South Korea are driving the demand for innovative packaging solutions. This growing consumer base creates a significant market opportunity for IoP technologies and solutions.
- The Asia Pacific region has experienced substantial growth in e-commerce activities, fueled by factors such as increasing internet penetration, smartphone adoption, and changing shopping behaviours. As e-commerce continues to expand, the demand for efficient and secure packaging solutions rises.
- Considering these factors, the Asia Pacific region is poised to dominate the IoP market over the forecast period. The region's expanding consumer base, increasing e-commerce penetration, focus on product safety, favorable government initiatives, and technological advancements create a favorable environment for adopting and growing IoP solutions.
Source – Statista
China ranks 1st with 46.3%, and further UK and South Korea rank 2nd & 3rd with 36.3% & 32.20 % respectively. The Asia Pacific region is seen to be in a strong position in online retail sales due to countries including China and South Korea, which contribute identically to the E–commerce market.
Covid-19 Impact Analysis on the Internet of Packaging Market
- The pandemic has led to a surge in e-commerce activities as consumers turned to online shopping due to lockdowns, social distancing measures, and safety concerns. This increased demand for e-commerce has driven the need for efficient and secure packaging solutions, including IoP technologies.
- The IoP market has witnessed growth as companies sought innovative packaging solutions to meet the rising e-commerce demand. Emphasis on Safety and Hygiene. The pandemic highlighted the importance of safety and hygiene in packaging, particularly in food, healthcare, and pharmaceutical industries. IoP technologies, such as tamper-evident packaging, anti-counterfeiting features, and temperature monitoring, gained prominence to ensure product integrity and safety.
- The need for contactless and hygienic packaging solutions has accelerated the adoption of IoP technologies. Overall, while the COVID-19 pandemic presented challenges to the IoP market, it also created opportunities for innovation, accelerated digital transformation, and highlighted the importance of efficient and safe packaging solutions.
Top Key Players Covered in The Internet of Packaging Market
- Avery Dennison Corporation (US)
- Smartrac N.V. (Netherlands)
- BASF SE (Germany)
- Thin Film Electronics Asa (Norway)
- Stora Enso Oyj (Finland)
- Tetra Pak (Switzerland)
- Kezzler (Norway)
- Digimarc Corporation (US)
- Evrythng Limited (UK)
- Thinfilm Electronics Ab (Sweden)
- Scanbuy Inc. (US)
- Identiv Inc. (US)
- Smartglyph Ltd. (UK)
- E Ink Holdings Inc. (Taiwan)
- Paksense Inc. (US)
- Schreiner Group Gmbh & Co. Kg (Germany)
- Smart Label Solutions (Spain)
- Gao Rfid Inc. (Canada)
- Systech International (Us)
- Tracelink Inc. (US) and Other Major Players.
Key Industry Developments in the Internet of Packaging Market
In May 2023, the Collaboration project shown multi-layer packaging can be separated and recycled on an industrial scale. A collaboration project involved the companies BASF, Krones, SÜDPACK, and TOMRA demonstrated that it is possible to separate PET/PE multi-layer packaging into its components and return them to the materials cycle as raw materials.
In June 2021, establishing its emergence as a leading innovator in the solid-state micro battery market, Thinfilm announced that it will become Ensurge Micropower ASA. This new identity builds on the company's fundamental transformation and reflected its differentiation and rapid progress in technology, product, and manufacturing innovation.
Global Internet of Packaging Market
2016 to 2021
Market Size in 2022:
USD 23970 Mn.
Forecast Period 2023-30 CAGR:
Market Size in 2030:
USD 47850 Mn.
By Technology Deployed
- Sensor & Tags
- Barcode & QR code
- Radio Frequency Identification
- Low-Energy Bluetooth
- NFC Technologies
By Industry Verticals
- Personal & Home care
- Health care
- Food & Beverages
- Consumer Electronics
- North America (U.S., Canada, Mexico)
- Eastern Europe (Bulgaria, The Czech Republic, Hungary, Poland, Romania, Rest of Eastern Europe)
- Western Europe (Germany, UK, France, Netherlands, Italy, Russia, Spain, Rest of Western Europe)
- Asia Pacific (China, India, Japan, South Korea, Malaysia, Thailand, Vietnam, The Philippines, Australia, New-Zealand, Rest of APAC)
- Middle East & Africa (Turkey, Bahrain, Kuwait, Saudi Arabia, Qatar, UAE, Israel, South Africa)
- South America (Brazil, Argentina, Rest of SA)