Packaging for drinks

Global retail pack sales to 2018 are expected to rise by a positive CAGR of 2%, an increase of a sizeable 26.5 billion units for low-alcoholic drinks such as beer and cider. Big international brands still dominate the markets. However, microbreweries are on the rise and continue to gain market shares on the local markets in Western and Eastern Europe. Brand owners are meeting the new market climate with innovations such as new flavourings and new innovative products.

Challenges

Craft beer has now crossed over into the mainstream, causing risks of commodisation of the segment. Large brand owners are responding to the changes on the markets by innovating the low-alcoholic segment though e g frozen beer and cider varieties.

Cider makers can explore the need for “craft” and expand their premium portfolio. As upcoming cider markets approach maturity and consumer awareness of cider widens, demand will split between the value-seeking mass consumer and quality-pursuing “real cider” purist.

More ecological products enter the market in this segment, an on-going trend throughout all grocery segments that is expected to continue.

How packaging can help

Price pressure may force brand owners to streamline their sometimes-expensive primary packaging. This opens up for secondary packaging as a smart strategy to achieve differentiation and variation on the shelves, combatting commoditisation.

Adopt a segmented packaging strategy with solutions for value-seekers to increase promotional sales and stock-ups using gift packs and multi-packs. For those pursuing quality, careful selection of quality materials and print will be equally important.

Ensure that packaging materials come from a renewable source such as certified wood fibres. More than 80% of Millennials see sustainable packaging as important and even as a part of the brand experience when making their purchase decision.

Read more about our corrugated packaging