Stick Packaging Market Trends

The demand for flexible packaging has driven the manufacturers to incline towards the growth of stick packaging. The stick packaging market has witnessed a consistent growth in the past years and is expected to record a robust CAGR throughout the forecast period i.e. 2020-2028. The stick packaging market is segmented by end user into food & beverages, pharmaceuticals & cosmetics, consumer goods, nutraceuticals, and others. Increasing population, high disposable income, growth in the global retail industry, and the change in preference of the consumer has given a boost to the market of stick packaging. The food & beverages segment is expected to hold the largest market share in the stick packaging market on the back of increasing demand for powdered products in the food industry.

Growth Drivers

Increasing Population around the World

According to the World Bank, the population of the world has increased from 7.33 billion in the year 2015 to 7.67 billion in the year 2019. With roughly 83 million people being added to the world’s population every year, according to the statistics by the United Nations, the rising trend in population size is expected to continue, thereby raising the production in the food industry. Owing to this increase in production, the demand for single serving flexible packaging is anticipated to increase significantly in the coming years.

Increasing Investments from Organizations Operating in Flexible Packaging Solutions

The increasing demand for flexible packaging around the globe has driven the companies to invest more in stick packaging market. The consumers are more inclined in using flexible packaging rather than rigid packaging owing to being compact and portable, highly flexible, convenient in handling, and efficient. Furthermore, a stick packaging footprint contains sufficient surface area to display graphics and sales information such as ingredients, facts, expiration details, and others allowing organizations to work on greater branding strategies. Also, its smaller size and flexibility results in favorable transport economics as compared to larger packets. CLICK TO DOWNLOAD SAMPLE REPORT

Increase in Awareness Regarding Clean and Safe Food

According to WHO, an estimate of 600 million – almost 1 in 10 people in the world – suffer from food poisoning every year after eating contaminated food.

Since the consumption of contaminated food leads to various food-borne diseases such as food poisoning, the companies tend to deliver food which is safe and hygienic. Stick packaging is sealed on two short ends along with a seal at the back which prevents the bacteria and viruses to penetrate, thereby, ensuring the quality of the food product.  

Restraints

High Cost of Packaging Material

The high cost and non-availability of raw materials such as polyester, polypropylene, and aluminum foil may hamper the sales of the product and in turn act as a key restraint factor towards the growth of the global stick packaging market.

Government Regulations on the Use of Plastic

There are stringent regulations of the government in many countries on the usage of plastic since it is made from non-renewable resources and contribute to climate change. Moreover, plastic pollutes our land and water and is also harmful to wildlife as well as marine life. Owing to such factors, the market growth of stick packaging is anticipated to decrease in the forthcoming years.