The alcoholic drinks packaging market was valued at USD 29.84?billion in 2019, and it is expected to reach a market value of USD 38.87?billion by 2025, registering a CAGR of 5.06% during the forecast period (2020-2025). Globally, growth in disposable income, coupled with increased spending on recreational activities, is?a major influencing factor that collectively lead to a growth of the alcohol consumption, which fuels the growth of the alcoholic drinks packaging market over the forecast period.?
- Major manufacturing companies in the alcohol industry follow attractive packaging formats which include ceramic glass bottles, whiskey pouches, bag-in-box, bag-in-tube, etc. Changing consumer preferences are also affecting the market significantly.
- Over the years, growing awareness amongst the brand manufacturers about differentiating their alcoholic products based on the packaging is also expected to contribute to the growth of the alcoholic drinks packaging market.
- Conventionally, European and American manufacturers are often referred to as the leading producers of alcohol beverages. However, with the rise in demand for Chinese beer and Japan’s whiskey, Asia-Pacific is increasingly becoming a major market for alcoholic beverage production creating a massive demand for alcoholic drinks packaging solutions.
- Owing to various benefits offered by metal packagings such as better hermetic sealing and high mechanical strength, there is a growing preference for metal packaging from companies in the alcoholic packaging market.
- However, fluctuating raw material prices, implementation of stringent regulations on packaging materials used for alcoholic beverages may hinder the growth of the market.
Scope of the Report
Alcoholic beverage packaging plays a prominent role in brand promotion leading to increased brand visibility. At present, the alcohol beverages manufacturers are ardent on providing top packaging standards for their products, to influence the consumers to purchase their brand over another.
Key Market Trends
Glass Packing Accounts for the Largest Share in the Market
- In this industry, glass is preferred owing to its inert nature, as it does not react with the alcohol keeping the chemical composition of the contents intact. This factor is given much importance in the alcoholic beverage industry, which operates on little product differentiation and is heavily dependent on the integrity of chemical composition to ensure that the stored liquid maintains its strength, aroma, and flavor.
- In addition to this, packaging innovation in wines and spirits, especially towards the premium products, is expected to show continuous growth during the forecast period resulting in the growth of the overall glass bottles and containers market for the alcoholic beverages sector.
- Colored glass bottles are used for alcohol packaging as it protects the packed liquid from alteration caused by light. It is very important in the case of beer, which undergoes chemical changes in the presence of light and loses its quality.
- Amber colored bottles are most efficient in protection from light and therefore are in highest circulation. Few manufacturers also use green bottles for its perceived association with quality.
China Accounts for a Significant Share
- Globally, China is one of the most significant consumer of alcoholic drinks. Though the sale of the Chinese rice liquor ’Baijiu’ is still very prevalent, demand from the local customers for wine, imported beer, and spirits has been increasing over the past decade.
- Drinking alcohol has been traditionally accepted in the country during social events, such as the spring festival and wedding ceremonies. Furthermore, alcoholic beverages is now commonly consumed to relieve stress, facilitate social interaction and foster good relations between supervisors and employees.
- According to the International Organization of Vine and Wine, the wine consumption volume in China has increased by 64.2% from 2009 to 2017. With this growing demand for alcoholic beverages in the country, the demand for alcoholic drinks packaging market is expected to grow rapidly over the forecast period.
The market is fragmented due to the presence of several players with Mondi Group, Amcor, Terta Packing being the significant ones. Some key recent developments in the market include:
- November 2018 - Krones revised the modufill HES from the bottle the infeed, plus filling and closing, right through to bottle discharge under consideration of several technical and hygienic aspects.
- February 2018 - Amcor Flexibles Kreuzlingen AG filed a patent application for flexible multilayer packaging film with ultra-high barrier properties. The approval of the product could expand the product portfolio, especially for the food and beverage sector
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