The global thermal insulated bubble wrap market is expected to register a market value of US$ 11.2 billion in 2023 and is projected to accumulate a valuation of US$ 18.7 billion by exhibiting a CAGR of 5.2% in the forecast period 2023 to 2033. The thermal insulated bubble wrap market registered a growth of 4% CAGR in the historical period 2018 to 2022.
The thermally insulated bubble wrap market is anticipated to grow owing to the high demand for bubble wraps for the packaging of delicate items. Increasing demand of insulated bubble wraps in packaging industries and in electrical and electronic items will propel growth in the market during the forecast period. Also, rising disposable income among individuals and growing demand for variety of products and the availability of different kinds of goods are further expected to fuel the demand for thermal insulated bubble wraps.
In addition, growth in online shopping along with the easy availability of biodegradable bubble wrap are also anticipated to push the growth ahead during the assessment period. Advancements in technology and rapid innovations in packaging are likely to offer numerous growth opportunities for the market expansion in the forthcoming period.
Insulated bubble wrap packaging helps in preventing damage to products from fluctuating temperature & pressure and from physical forces. The wide use of these wraps in foods & beverages, cosmetic, pharmaceuticals, and electronics is fuelling product demand. Thermal insulated bubble wraps are also being employed in several industries. Future Market Insights says, the hazardous nature of chemical that can easily catch fire also require thermal insulated packaging which can assure the safe transit of the product. Bulk chemicals which come in solid, liquid, and gaseous forms, require proper handling which is fulfilled by utilizing bubble wraps.
On the other hand, increasing demand for pharmaceutical products across the globe is another prominent factor augmenting demand for insulated bubble wraps. The global pharmaceutical industry is on a growth path due to the increasing prevalence of chronic diseases and the growing aging population in countries like Japan and China. Pharmaceutical products like vaccines, blood, and temperature-sensitive drugs, are generally transported in insulated bubble wraps for the secure transportation of the product. This factor will boost the product sales in the coming years.
The global population is projected to increase by 1.25% per annum until 2030. Also, the proportion of people between 65 and 80 years of age is estimated to rise to 28% by 2030 as compared to 22% in 2000. This rising trend of aging population requires more medical assistance, which generates high demand for pharmaceuticals, thereby fuelling the demand for insulated bubble wraps in the pharmaceutical sector.
Region-wise, Asia-Pacific is expected to command the market by accumulating over 40% market share by end of the projection period. The growth is attributed to rising penetration of the internet and booming growth in the e-commerce industry along with increasing purchasing power of people, mainly in China and India. Also, rapid urbanization, increased government revenues which is resulting in increased spending over infrastructure, and rising disposable income are some other growth contributors to the regional market.
The entry of government in establishing Public-Private Partnerships (PPPs) to strengthen the automobile and electronics industries is positively influencing market growth in this region. The steps taken by various governments to provide efficient advanced electronics are also driving the insulate bubble wrap market. The market in North America is expected to grow with a CAGR of 4.8% during the projected period. The wide presence of online grocery stores that primarily prefer insulated bubble wraps for the transportation of fruits, vegetables, and processed foods is driving revenue growth in this region.
What Are the Key Market Drivers Shaping the Consumption of Thermal Insulated Bubble Wrap?
The increasing disposable income of people contributes as one of the major drivers of the thermal insulated bubble wrap market. The food industry is pulling rapid demand for protective packaging solutions, owing to increasing consumption of freshly produced vegetables and fruits across the globe.
Moreover, the increasing prevalence of the e-commerce websites related to food and beverages packaging is also aiding the need for protecting & packaging perishable goods without any major wastage, thereby proving to be a driver of thermal insulated bubble wrap market.
Also electronics packaging has seen wide applicability of thermal insulated bubble wraps to offer protection to the electronics items, especially during the transportation. Durable and moisture resistant characteristics of thermal insulated bubble wraps are contributing to the soaring demand in the next future.
What Are the Key Challenges That Can Restrain the Sales of Thermal Insulated Bubble Wrap?
According to United States Environmental Protection Agency, in 2018 containers and packaging contributed to the majority of Municipal waste that is around 82.2 million tons.
The food packaging increases the packaging waste and also gives rise to pollution and landfills. With that being said, the Governments across the world are pin-pointing the usage of single-use packaging coupled with non-degradable packaging waste.
Thermal Insulated Bubble Wrap are often made of Polyethylene (PE) are prove to be a threat to the environment, resulting in a major drawback or setback to the thermal insulated bubble wraps market. Moreover, the preference of consumers towards the eco-friendly materials across the globe is hampering the growth of the market.
How Competitive is the Market?
Recent developments and breakthroughs in technology, mergers, acquisitions, collaborations, and partnerships within the companies involved in manufacturing thermal insulated bubble wraps are anticipated to create new avenues for market expansion during the forecast period.
Sealed Air Corporation, the original developer of bubble wrap, has developed a new version of bubble wrap brand packaging solution that is made with almost 90 percent recycled content. Already popular across the globe for its optimal product protection properties, Sealed Air has manufactured bubble wrap brand packaging for over 60 years.
In November, 2022, Sonoco Products Company declared the expansion of its Sonopost Cornerpost manufacturing operations in Europe by opening a protective packaging production plant in Bursa, Turkey.
