The global reflective air packaging market is anticipated to accumulate a market value of US$ 7.7 billion in 2023 and is expected to garner a valuation of US$ 14 billion by exhibiting a CAGR of 6.1% in the forecast period 2023 to 2033. The Reflective Air Packaging market reflected a 4.8% CAGR in the historical period 2018 to 2022.
Reflective air packaging features various qualities like resilience, durability, relative clarity, and others. Moreover, burgeoning demand for flexible air packaging in furniture is another factor expected to create the need for reflective packaging during the forecast period.
The e-commerce industry is propelling reflective packaging demand from past years as it widely used in packaging of electronics and other products. This high growth in the e-commerce market will most likely increase the air packaging demand during the forecast period.
· Reflective packagings are durable, lightweight, moisture-resistant, abrasion-resistant, and versatile among others, due to which it is widely used in various applications in industries.
· This packaging is also used for cushioning applications in mattresses and furniture. Due to the unique properties of reflective packaging, it is used by several end-use industries, which is expected to increase the product demand over the forecast period.
· On the other hand, increasing adoption of e-commerce and the need for convenience are shaping up new B2B and B2C customer expectations. Booming e-commerce and home delivery businesses are expected to create massive demand for air packaging solutions in the coming years.
· Shifting consumer purchasing preferences from offline to online, ease of comfort in online shopping, high smartphone and internet penetration, and the continuing digital transformation across the developing nations are some of the factors that are increasing the adoption of these packaging materials and driving market growth.
Region-wise Asia Pacific is expected to growth with the fastest CAGR of 6% during the forecast period. With the rising awareness among the population for protective packaging and increasing government efforts regarding adoption of eco-friendly and sustainable packaging across the developing nations like China and India are anticipated to drive market growth in this region. Moreover, flourishing e-commerce industry in this region is boosting the demand for reflective packaging solutions.
India is witnessing growth in sustainable packaging solutions like reflective packaging because of the increasing packaged food consumption and demand for electronics products. It is anticipated to be continued by the rise in home deliveries for grocery purchases and other home care products across the country. Companies in this region are focusing on product innovations, marketing strategies, and service offerings to cater to the evolving needs of consumers.
Food packaging companies are on a lookout for packaging materials that support longer shelf-life. This trend is expected to fuel the demand for reflective air bags packaging during the forecast period.
North America is expected to dominate the market by accumulating more than 38% market share by end of the forecast period. The growth in this region is driven by strong presence of packaging giants, technological advancements, booming e-commerce, growing focus towards recyclable packaging solutions, and increasing consumer spending on daily use products.
Reflective Air Packaging Market- Regional Outlook
Reflective air packaging market has been evaluated based on sales growth and value across different regions that include Asia Pacific, Latin, and North America, Oceania, Europe, and the Middle East and Africa.
North America holds the highest share of production of reflective air packaging in the world. North America and Europe will dominate the reflective air packaging market due to its large shipping market and high spending population in the areas.
However, due to the presence of developed markets, growth of reflective air packaging in these areas is usual. Europe and the Asia Pacific, on the other hand hold high potential for growth in the reflective air packaging market. However, the Middle East and African markets are expected to observe slow but steady growth compared to other regions in the world.
How Competitive is the Market?
Recent developments and breakthroughs in technology, mergers, acquisitions, tie-ups, and partnerships within the companies involved in manufacturing reflective air packaging solutions are expected to create lucrative opportunities for market growth during the forecast period.
In March 2021, Recticel announced that it successfully purchased FoamPartner, the Swiss-based global provider of high-added-value technical foams. The companies have collaborated to form the Recticel Engineered Foams business line. The new organization will leverage numerous synergies in resources and talents to promote excellence, expand its global presence, and accelerate the commercialization of sustainable innovations and leading-edge solutions to global markets.
In February 2021, Zoatfoams announced the digital opening of its new plant in Brzeg, Poland with a designed capacity of 13,000 square meters, the new plant adds 50,000-meter cubes of annual foam production to the company incrementing its global capacity and optimizing its service level for its customers in Europe.
In 2022, Cargo Tuff LLC launched the Cargo Tuff Airbag Compacter. This new launch will aid the company in reducing the use of used air bags. With this launch, the company is marching a step ahead of reusability and recycling. This innovation is cost-efficient and supports the easy deflation of air bags.
Reflective air packaging is done to protect a product from exterior environment, sunlight and moisture, and also keep to it safe. Aluminium is the most preferred material for reflective air packaging due to its high resistivity against moisture and heat. It can be used as a secondary packaging inside a carton or on its own.
It is often used as secondary packaging inside a paperboard container to ensure double safety and also keep the temperature in check. It also maintains insulation and allows packed products to stay in the same condition and temperature.
This not only maintains the integrity of the product but also increases their shelf life. It is one of the best choices for shipping perishable items. Reflective air packaging provides strength and enables the load-bearing capacity of the packaging.
Reflective air packaging is preferred due factors like re-usability and recyclability, waterproof and leak-proof and its biodegradable nature. It could also be used to ship chilled or frozen products from one place to another without damaging the products.
