Shifting demographics reshaping US packaging market

The US is seeing considerable changes in its demographic and macroeconomic structure, resulting in the formation of new consumer groups, and changes in consumer behavior and preferences, according to research from Canadean.

Latest Trends and Key Issues in the US Retail Packaging Market - The outlook for primary packaging containers, closures and outers to 2017, as published by Canadean, states that growing customer demand and aspirations create opportunities and challenges for FMCG manufacturers that have to redefine the methods of production, packaging, marketing and selling of products.

The growing aging population in the US is transforming into an increasingly important consumer segment with its rising purchasing power, and enhancing demand for healthier food products and convenience in packaging with clear labeling.

A rise in the number of single-person households in the US creates a huge demand for diverse consumer products which are packaged in smaller packs, as well as for easy-to-prepare and ready-to-eat foods. The expanding immigrant population in the country spurs the demand for ethnic foods.

 Cost effectiveness, reduced weight, and ease of molding has made flexible packaging and rigid plastics the preferred packaging material for FMCG products. However, rigid metal continues to sustain its market share, as there has been no viable alternative for aerosols or food and drink cans.

Glass packaging faces stiff competition from lighter plastics, as the drawbacks of glass still outweigh the benefits, although there is a gradual shift in perception noted whereby glass packaged products are seen as more exclusive, premium products.

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