Soft Drinks Packaging Market - Forecasts from 2023 to 2028

The soft drinks packaging market is estimated to grow at a CAGR of 3.46% during the forecast period.

Soft drinks packaging refers to the design, materials, and methods used to contain and present carbonated or non-carbonated beverages for consumer consumption. It plays a crucial role in preserving the quality and freshness of the drink while also serving as a marketing tool to attract consumers. Common soft drink packaging formats include cans, bottles (plastic or glass), and pouches. Packaging innovation has also led to the development of sustainable and eco-friendly options, such as using recycled materials or reducing plastic usage. Overall, soft drink packaging continues to evolve to meet consumer demands for convenience, sustainability, and product integrity.

Introduction:

The soft drinks packaging market refers to the industry that focuses on the production, distribution, and sale of packaging solutions specifically designed for carbonated or non-carbonated beverages. It includes various types of packaging formats, such as cans, bottles, cartons, pouches, and others. The market is driven by the demand for convenient and attractive packaging that preserves the quality and freshness of soft drinks while also serving as a marketing tool to attract consumers. Packaging manufacturers continually innovate to meet consumer preferences for sustainable and eco-friendly options, and they collaborate with soft drink companies to develop efficient and cost-effective packaging solutions. The soft drinks packaging market is influenced by factors like consumer trends, regulatory requirements, technological advancements, and environmental concerns.

Drivers:

• Rising Demand for Soft Drinks: The increasing consumption of soft drinks globally is a major driver for the packaging market. As people's lifestyles become more fast-paced, the demand for on-the-go beverages escalates, requiring efficient and convenient packaging solutions.
• Urbanization and Lifestyle Changes: Rapid urbanization and changing consumer lifestyles have led to a shift in consumption patterns, favouring packaged soft drinks over traditional alternatives. Urban dwellers often seek ready-to-drink options due to busy schedules, spurring the demand for innovative packaging formats.
• Expanding Food and Beverage Industry: The growth of the food and beverage industry, especially in emerging markets, drives the need for sophisticated soft drink packaging solutions. As the industry expands, packaging manufacturers cater to the rising demand from soft drink producers.
• Branding and Marketing: Packaging serves as a vital marketing tool for soft drink brands. Eye-catching designs, logos, and color schemes on packaging attract consumer attention and contribute to brand recognition, positively impacting sales.
• Convenience and Portability: Consumers seek packaging that offers convenience and portability. Packaging formats like cans and pouches are favoured for their lightweight and easy-to-carry nature, making them popular choices for on-the-go consumption.
• Health and Wellness Trends: As health-consciousness grows, consumers opt for beverages with better nutritional profiles. Packaging plays a role in conveying health benefits, such as low-sugar or natural ingredients, to appeal to health-conscious buyers.
• Sustainability Concerns: Environmental awareness drives the demand for sustainable packaging solutions. Soft drink companies are adopting eco-friendly materials, such as biodegradable plastics or recyclable materials, to reduce their environmental impact.
• Technological Advancements: Advances in packaging technology allow for improved barrier properties and product protection. Innovations like aseptic packaging, tamper-evident seals, and easy-open caps enhance product safety and shelf life.
• E-commerce and Online Shopping: The growth of e-commerce and online shopping has impacted soft drink packaging. Brands need to design packaging that can withstand shipping and handling while still presenting an attractive appearance to consumers.

Products offered by key companies:

• Coca-Cola's Plant Bottle: This is a plastic bottle made with 30% plant-based materials, such as sugarcane. The Plant Bottle is a more sustainable alternative to traditional plastic bottles, as it requires less fossil fuel to produce.
• PepsiCo's Bubbly water: PepsiCo launched a new line of sparkling water called Bubbly. The water is packaged in sleek, matte black cans that are designed to stand out on store shelves. The cans are also made from 100% recycled materials, and they are 100% recyclable.
• Monster Energy's recyclable cans: The monster energy's new cans are made from a blend of recycled and virgin materials, and they are 100% recyclable. The switch to recyclable cans is part of Monster Energy's commitment to sustainability.

Positive growth in the carbonated soft drinks segment:

The carbonated soft drinks segment is witnessing rapid growth in the soft drink packaging market due to the increasing demand for these popular beverages. The packaging of carbonated soft drinks in lightweight and durable containers like aluminium cans and plastic bottles helps preserve their carbonation and freshness. These containers are designed to withstand the pressure of carbonation, ensuring the safety and convenience of the drinks for consumers. The packaging also serves as an effective marketing tool, with ample space for branding and promotional messages, enhancing the appeal of carbonated soft drinks on store shelves. Overall, the popularity of carbonated soft drinks and their suitable packaging contribute to their positive market growth.

The Asia-Pacific region is expected to hold a significant share:

The Asia Pacific region is expected to lead the soft drink packaging market due to its large and growing population, which is driving increased demand for soft drinks. Additionally, the lower manufacturing costs in this region make it an attractive market for packaging manufacturers. As economies develop and modern retail infrastructure expands, the demand for packaged soft drinks is further boosted, fueling the growth of the soft drink packaging market in the Asia Pacific.

Key developments:

• In July 2023, PepsiCo India launched Pepsi Black in 100% recycled PET bottles (rPET) as part of its sustainability initiative. Indian consumers prefer sustainable packaging, driving the demand for rPET bottles. The company collaborated with Varun Beverages and Srichakra Polyplast to produce rPET bottles.
• In May 2023, Coca-Cola is replacing their iconic green Sprite bottles with clear plastic bottles to improve sustainability. The shift to clear bottles will make recycling easier, increasing the likelihood of being remade into new bottles. The change will affect all pack sizes of Sprite Classic bottles in PET plastic packaging in New Zealand, and Sprite No Sugar will also get a new look with the name "Sprite Zero Sugar" to align with Coca-Cola's Zero Sugar range.

Key Segment:

By Packaging Material Type

• Plastic
• Metal
• Glass
• Paper and Paperboard

By Product Type

• Carton and Boxes
• Can
• Bottles

By Application

• Functional Drinks
• Juices
• Carbonated Drinks
• Others

By Geography

• North America
• United States
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• United Kingdom
• Germany
• France
• Italy
• Spain  
• Others
• Middle East and Africa
• Saudi Arabia
• UAE
• Others
• Asia Pacific
• Japan
• China
• India
• South Korea
• Taiwan
• Thailand
• Indonesia
• Others