Packaging design services include conceptualization, designing and development of packaging concepts for various consumer and industrial products. Packaging plays a crucial role in marketing and branding of products. It protects products from external hazards during transportation and storage. Various products ranging from food items to consumer durables require attractive and eye-catching packaging designs to influence purchase decisions of customers. Moreover, packaging designs need continuous innovation to differentiate products from competitors. This has elevated the demand for specialized packaging design service providers.
The global Packaging Design Services Market is estimated to be valued at US$ 24.63 Bn in 2024 and is expected to exhibit a CAGR of 18% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends in the packaging design services market is increasing adoption of sustainable packaging designs. Rising environmental concerns have forced brands to focus on eco-friendly packaging materials and designs. Sustainable packaging includes usage of recycled content, reduced material optimizing packaging size and materials according to product needs. It helps companies to gain competitive advantage by positioning themselves as socially responsible brands. Many service providers are coming up innovative designs using bioplastics, recycled paperboards, compostable materials etc. to meet the growing demand of sustainable packaging from consumer product companies.
Porter’s Analysis
Threat of new entrants: New entrants face high costs associated with gaining brand recognition and brand loyalty. Additionally, established players have significant economies of scale and resources.
Bargaining power of buyers: Buyers have moderate bargaining power due to the availability of substitute products. However, switching costs are relatively low.
Bargaining power of suppliers: A few large suppliers dominates the market, giving them strong bargaining power over packaging design companies.
Threat of new substitutes: Substitutes present a moderate threat as packaging can be designed in-house.
Competitive rivalry: The market is highly fragmented with many local and international players competing on service quality and pricing.
Key Takeaways
The Global Packaging Design Services Market Size is expected to witness high growth.
Regional analysis: The Asia Pacific region is expected to witness the fastest growth during the forecast period due to the expansion of manufacturing units and a rise in disposable incomes. Countries like China, India are major manufacturing hubs which will propel the demand for packaging design services.
Key players: Key players operating in the Packaging Design Services market are Elgo Irrigation Ltd., Netafim Ltd., Eurodrip SA, Jain Irrigation Systems Ltd., Hunter Industries, Inc., The Toro Company, and Rain Bird Corporation.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it