The on the go packaging market size is projected to reach a value of USD 1.92 billion in 2024, at a CAGR of 2.9% from 2024 to 2034. Sales are predicted to reach USD 2.57 billion by 2034.
The on the go packaging market is experiencing significant growth due to rising demand for convenience food, urbanization, and a growing preference for snacking between meals. This packaging, featuring resealable tops, easy-open lids, and single-serving portions, caters to modern consumers' busy lifestyles, offering quick and hassle-free options for meals and snacks.
The market offers various packaging options like bottles, pouches, trays, and boxes, catering to the growing demand for ready-to-eat and drink products. These convenient, portable options accommodate busy schedules, boosting the market.
For instance, Kellanova reduced plastic usage in its packaging for top snack items in December 2023, ensuring the same amount of food is preserved while using less material, addressing environmental concerns, and making packaging more sustainable for busy consumers.
Creating eco-friendly and convenient packaging is challenging due to the lack of performance of sustainable materials, especially related to food freshness and leak prevention. Biodegradable plastics, for instance, may not offer the same level of protection as conventional plastics, leading to shorter shelf life and increased risk of damage during transportation.
The shift toward paper-based packaging is a significant challenge for brands, as it can be less durable and effective in preserving food quality. Along with that, the attractive and creative packaging attracts more consumers. For instance, MSCHF launched limited edition Scout Cookies in July 2024, featuring 528 boxes and four full uniforms, entailing a retro scout camp aesthetic and vintage logo design.
Consumer acceptance of sustainable packaging is crucial, as consumers still expect the same level of convenience and product protection, which if not met, can lead to dissatisfaction and reduced sales.
| Attributes | Description |
|---|---|
| Estimated Global On The Go Packaging Market Size (2024E) | USD 1.92 billion |
| Projected Global On The Go Packaging Market Value (2034F) | USD 2.57 billion |
| Value-based CAGR (2024 to 2034) | 2.9% |
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The table below highlights the projected CAGRs for the global on the go packaging industry over semi-annual periods ranging between 2023 and 2024. The analysis offers businesses with a better analysis of the growth over the year by revealing acute shifts in performance and growth patterns.
The industry is projected to report a CAGR of 2.6% in the first half (H1) of the decade from 2023 to 2033 and 2.9% in the second half (H2) of the same decade, indicating a rise in sales trajectory.
| Particular | Value CAGR |
|---|---|
| H1 | 2.6% (2023 to 2033) |
| H2 | 2.9% (2023 to 2033) |
| H1 | 2.5% (2024 to 2034) |
| H2 | 2.7% (2024 to 2034) |
The global market’s growth trajectory is estimated to shift during the succeeding decade. Predictions indicate that the CAGR is estimated to upsurge from 2.5% to 2.7% in the observation period.
According to industry experts, the demand for processed and ready-to-eat food items, coupled with a high focus on hygiene and quality, is expected to drive the demand for high on-the-go packaging films.
Proliferation of Food Delivery Services in Urban Areas
People with no space for spacious kitchens and limited time rely on packaged food or ready-to-eat food items; hence, they modify their meal patterns. With the increasing penetration of online food delivery platforms, the demand for on-the-go food packaging is expected to surge over the coming decade.
The lifestyle in the urban areas is fast-paced and it calls for quick a meal, which improves the demand for singular self-contained units, easy-to-cook meals, and snacks.
Nestlé unveiled a new assortment of smoothies that do not require any preparation in November 2023, targeting the city dwellers whose busy schedules do not allow them to consume healthy meals, and to whom environmental issues are as important as to the rest of the population, and who buy pre-packed salads, fruits pots, and snack bars.
Food delivery apps such as Swiggy and Zomato are focusing on creative and sustainable packaging solutions to ensure that the food is preserved during transportation, catering to the needs of the working class.
Composite Solution’s Popularity Boosts Portable Packaging Demand
Composite packaging solutions are a popular type used in grocery stores for food and other products, offering a range of sizes, barrier alternatives, and easy-to-use open ends. They are likely to replace rigid containers and cans due to their eco-friendliness and affordability.
Consumers prefer composite packs for dry and granular food goods due to their minimal weight and easy-to-open membranes. Consequently, manufacturers are focusing on lightweight composite options due to their weight and consumer inconvenience.
For instance, in September 2024, Trioworld Höxter showcased its new composite packaging method, 70% post-consumer recycled stretch film, and WENTOPRO brand, alongside other companies like BEUMER Group and UPM Specialty Papers.
Convenience and Sustainability Make Single-serve OTG Packaging Popular
The demand for OTG packaging, which allows for direct consumption of food, has surged due to modern lifestyles and the availability of a variety of food and drinks.
Single-serve packaging has gained popularity due to its convenience and its effectiveness in promoting portion control and health-conscious eating habits among consumers. Additionally, single-serve packaging presents a lower environmental impact compared to traditional options, as it contributes to reduced spoilage and minimizes litter. This attribute is a significant reason why a substantial portion of consumers favor single-serve formats.
Principal Consultant
The global on the go packaging industry was valued at USD 1.68 billion in 2019 and witnessed growth at a CAGR of 2.4% from 2019 to 2023. As per the report, on-the-go packaging sales reached a value of USD 1.84 billion in 2023.
Consumers’ preference for sustainability is rising, with 76% expecting retailers and brands to be more sustainable. Innovations in single-use packaging and smart packaging are being explored in the observation period.
Achieving a balance between companies’ sustainability goals and the functional properties of their products is crucial. For instance, in July 2022, Costa Coffee and McDonalds collaborated with Roadchef to co-fund a cup collection and recycling scheme, reducing takeaway cup recycling by 50%.
Another leading packaging company, Frugalpac, proposed scalable solutions that are compatible with current consumer behavior and waste collection systems.
The industry is projected to reach USD 1.92 billion by 2024 and is anticipated to register a CAGR of 2.9% during the forecast period. The demand is predicted to reach USD 2.57 billion by 2034.
Since 2023, food-packaging innovation has seen the development of recyclable and reusable products; however, concerns about return processes and hygiene need to be addressed. Hence, companies like CLUBZERØ, Smurfit Kappa, Street Food Box, Coca-Cola, and Kite Packaging are manufacturing reusable and compostable products to cater to the growing concerns.
Companies like Amcor plc, Berry Global, Inc., Crown Holdings Inc., Ball Corporation, Tetra Pak Inc., Westrock Company, Smurfit WestRock, Huhtamäki Oyj, Stora Enso Oyj, DS Smith plc, and Mondi plc are well-known for their wide range of products and substantial market share.
Companies in the Tier 2 category with a sizable revenue share and a strong regional presence such as Glenroy, Inc., Coveris Holdings S.A., Adapa Group, Constantia Flexible Group GmbH, Ardagh Group S.A., Graphic Packaging International, Inc., and ALPLA Group.
Brands such as Novolex Holdings, LLC and others are classified as Tier 3 enterprises due to their specialized product lines and little market presence. Tier 3 firms are often smaller, more specialized enterprises with a more focused market presence or specialty, perhaps serving specific geographic markets or industries.
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The section provides a comprehensive industry overview, examining emerging trends and opportunities on a country-by-country basis, aiming to help organizations comprehend the intricate nature of the business.
The demand from Germany is anticipated to report a CAGR of 1.2%; on the other hand, the demand from India is foreseen to register a CAGR of 5.6%.
| Countries | CAGR 2024 to 2034 |
|---|---|
| India | 5.6% |
| Germany | 1.2% |
| Spain | 2.6% |
| United States | 1.8% |
| Canada | 1.3% |
| China | 4.9% |
In the United States, the demand for OTG packaging is estimated to record a CAGR of 1.8% from 2024 to 2034. Brands in the United States like Grocers, Sabert Corp., Eastman, and Sealed Air are introducing green packaging solutions to meet consumer demand for environmentally friendly packaging.
For instance, in July 2024, Klöckner Pentaplast launched food packaging trays made entirely of recycled PET, while Celestial Seasonings is reducing plastic overwrap on tea boxes to eliminate up to 165,000 pounds of plastic waste in 2024.
India is recognized as a lucrative pocket for manufacturing and production in several sectors. Global food brands are establishing their production capacities in India due to the favorable workforce and regulations.
Additionally, with the growing dominance of online delivery food platforms, the need for on-the-go packaging solutions is witnessing a significant boost. Hence, giants like Swiggy and Zomato are launching subsidiary platforms like Blinkit and Instamart.
Moreover, emerging platforms such as Zepto are providing grocery and food items within minutes with eco-friendly packaging solutions, such as paper boxes and recyclable bags. This is encouraging leading packaging brands to collaborate and generate revenue. On the back of these factors, sales are anticipated to grow at a 5.6% CAGR over the projected period.
In July 2024, BENZ Packaging expanded its manufacturing capabilities in India, acquiring prime land for a new manufacturing plant in Haryana and a new facility in Chennai.
India is set to become a global manufacturing hub, attracting investment and creating job opportunities. Strategic expansion by companies like BENZ Packaging enhances local production capabilities. With supportive policies and a robust workforce, India is considered to be a promising destination for innovative manufacturing solutions.
Paper-based packaging is gaining immense popularity in various industries across Spain, covering from FMCG to construction. The demand for OTG paper packaging is estimated to grow in Spain with a CAGR of 2.6% from 2024 to 2034.
Manufacturers in Europe are capitalizing on the growing demand for sustainable packaging in Spain. For instance, in January 2024, Dutch food company Upfield introduced paper-based tubs in plant-based spreads to reduce single-use plastic content.
Furthermore, in October 2024, Mondi co-founded Paper Sacks Go Circular Spain, a twelve-company alliance aimed at enhancing the circularity of used paper bags in the construction industry, as the sector becomes more accustomed to paper packaging for loose materials.
The section explains the growth trajectories of the two leading segments. In terms of materials, the plastic will likely dominate the market and generate a share of 47.2% in 2024.
Additionally, based on the end use, the food segment is likely to account for 48.5% of share in 2024.
| Segment | Plastic (Material) |
|---|---|
| Value Share (2024) | 47.2% |
Plastic is the preferred choice for on the go packaging due to its lightweight nature, durability, and flexibility. It simplifies transportation and handling, ensures product protection during transit, and can be molded into various shapes and sizes, catering to diverse packaging needs.
Plastic’s excellent barrier properties enhance shelf life and adaptability, making it suitable for various products like food, beverages, cosmetics, and household goods. Market trends predict plastic will capture 47.2% of the market value share in 2024.
As demand for convenient and portable packaging continues to rise, manufacturers are likely to innovate and expand their use of plastic materials, solidifying their place in the packaging industry.
| Segment | Food (End Use) |
|---|---|
| Value Share (2024) | 48.5% |
In 2024, the food segment dominated the global on the go packaging market due to the increasing trend of dining out and ordering takeout or delivery. Nearly half of the on-the-go packaging sales are generated from the food industry.
Busy lifestyles and the need for convenience have encouraged consumers to opt for easy and quick services, especially in the food industry. With the advent of quick commerce platforms, grocery shopping has become quite easy.
The fast-food industry players are collaborating with leading online food delivery platforms to provide convenient and cost-effective packaging solutions, a trend expected to accelerate due to growing reliance on digital platforms.
Leading companies in the on the go packaging market are adopting a merger and acquisition strategy to expand their resources and strengthen their market position. This strategy aims to tap into new technologies, expand their market reach, and leverage complementary strengths to improve customer offerings.
In addition to mergers and acquisitions, these companies are prioritizing the development of innovative products that meet consumer demands, creating eco-friendly packaging solutions. They invest in research and development to create convenient and sustainable packaging solutions.
To stay ahead of market trends, these companies are upgrading their production facilities with advanced technologies and automation processes. This enhances efficiency and output quality, allowing them to respond to increasing demand and adapt to market changes. These efforts reflect a proactive approach to satisfying consumer needs while ensuring long-term growth and competitiveness in the on the go packaging sector.
Industry Updates
In terms of materials, the industry is categorized into plastic, metal, paper and paperboard, and glass. The plastic material is further available in polyethylene (PE), polypropylene (PP), polyethylene terephthalate (PET), bioplastics, and others (PA, EVOH, etc.).
On the basis of packaging format, the industry is split between flexible packaging and rigid packaging. The rigid packaging is further divided into boxes & cartons, bottles & jars, cans, trays & clamshells, and other containers. The flexible packaging is further divided into films & wraps, pouches & bags, and sachets & stick packs.
The industry is employed in the end use industries such as food and beverages. The food section packs dairy products, fresh produce, ready to eat/snacks, baby food, chilled/frozen food, bakery & confectionery, and processed food products. The beverages section utilizes o-t-g packaging for alcoholic beverages, and non-alcoholic beverages.
The industry is spread across North America, Latin America, Europe, South Asia, East Asia, Oceania, and Middle East and Africa.
The market is predicted to reach USD 1.92 billion in 2024.
It is estimated to reach USD 2.57 billion by 2034.
On the go packaging is a convenient and portable solution for single-serving portions in the food and beverage industry.
Amcor plc, Berry Global, Inc., Crown Holdings Inc., Ball Corporation, Tetra Pak Inc., Westrock Company, and Smurfit WestRock are a few players.
It will likely rise at a CAGR of 2.9% from 2024 to 2034.
India is anticipated to dominate with a CAGR of 5.6% during the forecast period.
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