Insulated Packaging Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 5.71 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Insulated Packaging Market Analysis
The insulated packaging market was valued at USD 14.15 billion in 2020 and is expected to reach a value of USD 19.65 billion by 2027, and grow at a CAGR of 5.71% over the forecast period (2022 - 2027). Insulation packaging is vital for combating energy losses during transportation and storage. Some of the significant characteristics of insulated packaging are high resistance to heat transfer, low cost, low weight, low moisture susceptibility, ease of fabrication and transportation, durability, and mechanical strength.
- Moreover, insulated packaging plays a significant role in various other end-user industries, such as pharmaceutical and electronics. Pharmaceutical is one of the major end users of these insulated packaging as the product is sensitive to temperature. The packaging of temperature-controlled pharmaceutical products and medical devices is witnessing considerable growth in the overall healthcare industry.
- The increase in the number of e-commerce websites for food and beverages and medicines is proliferating the need for delivery of perishable goods without any wastage. This is further increasing the adoption of insulated packaging by online grocery stores around the world. According to INE Spain, consumers who bought food and perishable goods online increased from 12.8% in 2015 to 18.6% in 2018.
- The major advancements in protective packaging in the past few years have led to the usage of new materials such as cotton and wool insulation to offer a bio-based approach to reducing carbon emissions. For instance, SwiftPak's PLA bioplastic Packaging complies with local home or garden compost standards in the UK. The method has brought benefits such as keeping the internal product's temperature within 4 degrees Celsius for up to 30 hours.
- As of May 2020, Softbox launched a new cardboard insulated shipper to deliver chilled food. This cardboard has been manufactured to offer effective insulation layers that are similar to those of traditional expanded polystyrene with similar efficiencies. By using its proprietary Thermaflute insulating technology, cardboard insulation packaging uses a single-use low-cost parcel shipper featuring 100% recycled corrugated cardboard and no plastic. Such an initiative has led Softbox to remove 74.5 tonnes of plastic per year from their food delivery boxes and reduce 50% of plastic on the same.
- The outbreak of a pandemic has led to record numbers of consumers shopping online for groceries and restaurants moving to off-premises formats. Then, coming to insulated packaging for temperature-sensitive products, the pharmaceutical sector has been demanding. Considering the spike in e-commerce, the insulated packaging is expected to see strong sales with smaller e-commerce and food delivery formats across meal kits and other perishable food and beverage items. As multiple packages containing fresh and frozen items require good insulation, pandemic-led behavioral change has led to packages being left outdoors for some time.
Insulated Packaging Market Trends
This section covers the major market trends shaping the Insulated Packaging Market according to our research experts:
Food and Beverage Industry to Show the Maximum Application
- The food and beverage packaging industry is witnessing significant growth, owing to the increasing demand for packaged food and ready-to-eat food consumption. Moreover, the growing trend of online food ordering and online grocery shopping is giving rise to the need for shipment and storage of perishables in a thermally controlled environment.
- Protection, preservation, maintaining, and extending the shelf-life of food products are the primary challenges faced in the food industry. As food products are prone to deteriorate over time, affecting their flavor, taste, texture, and color, choosing the right packaging products is necessary.
- The consumption of frozen food is increasing in developed countries, such as the United States, Germany, Canada, and France, which are driving the market for insulated packaging. According to Frozen and Refrigerated Buyer, in 2019, frozen food sales in the United States were USD 9,384.88 million. Ice cream contributed most to the sales of frozen food in the region with USD 1,418.38 million, whereas processed chicken/chicken substitute contributed USD 676.29 million.
- The packages containing frozen foods should be constructed, thermally insulated, and equipped with sufficient refrigerants to continuously maintain a product temperature of 0°C (32°F) or colder. Insulated shipping boxes are needed as they limit heat exchange between the environment and the inside of the package. One of the most used thermal insulators in the food industry is expanded polystyrene (EPS) coolers.
United States to Hold Significant Market Share
- The United States is expected to dominate the insulated packaging market due to the increasing number of retail food chains and their expansion and the growing e-commerce industry. eCommerce continues to grow dramatically in the country, putting pressure on traditional retail.
- Consumers spent USD 601.75 billion online with U.S. merchants in 2019, up 14.9% from USD 523.64 billion the prior year, according to the U.S. Department of Commerce quarterly e-commerce figures. That was a relatively higher growth rate than 2018 when online sales reported by the Commerce Department rose 13.6% year over year. Also, sales of consumer packaged goods, long confined to traditional retail channels, are exploding online, with growth rates, in many cases, more than 50% YOY.
- Moreover, the presence of major giants such as Amazon and Walmart has significantly changed the buying trends of grocery shoppers in the U.S. Also, the ability to prevent damage to temperature-sensitive products like pharmaceuticals, foods, and cosmetics, insulated packaging commands a noticeable presence in several high-growth industries in the country like healthcare, food, beverage, etc. This factor will drive the insulating packaging market in the forecast period.
- Moreover, the government regulations in the country, for instance, the food-contact packaging sector of the U.S., is highly regulated by the Food and Drug Administration (FDA). With food being one of the most sensitive products to transfer and store, the regulations are expected to considerably promote the adoption of insulated packagings, such as insulated food bags.
Insulated Packaging Industry Overview
The global insulated packaging market is moderately fragmented owing to many packaging solutions providers introducing insulated packaging in their product line and prevent the new entrants to enter the market. The companies are investing in their R&D to develop innovating packaging solutions so that their solutions cater to the needs of the growing demands of various end-users. A significant number of instances of mergers and acquisitions are also seen as a step towards increasing the market share. Some of the recent developments in the market are:
- June 2021 - Cryopak, a leader in temperature assurance packaging and temperature monitoring devices, has introduced its newest addition to its growing line of plastic-alternative shipping solutions. The Cryopak Ecopak line of insulated box liners is recyclable and compostable, made from a post-industrial, recycled natural fiber blend. The box liners are wrapped in a perforated, recyclable, biodegradable film for moisture absorption.
Insulated Packaging Market Leaders
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Amcor PLC
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Cryopak
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Davis Core & Pad Company
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DS Smith PLC
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Innovative Energy Inc.
*Disclaimer: Major Players sorted in no particular order
Insulated Packaging Market News
- July 2022 - The chilled packaging division of Pitreavie Packaging Group specialist launches fully recyclable insulated box,has created an insulated packaging solution described as being 100% kerbside recyclable.
- September 2021 - Cryopak, a leader in temperature assurance packaging and temperature monitoring devices, introduces this one-of-a-kind BOXEDin that employs a box-in-box concept. This new pre-qualified EPS shipper line provides excellent thermal insulation, making it a perfect choice for protecting temperature-sensitive biologic shipments from environmental hazards.
Insulated Packaging Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions and Market Definition
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
- 4.1 Market Overview
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4.2 Industry Attractiveness - Porter's Five Force Analysis
- 4.2.1 Bargaining Power of Suppliers
- 4.2.2 Bargaining Power of Buyers/Consumers
- 4.2.3 Threat of New Entrants
- 4.2.4 Threat of Substitute Products
- 4.2.5 Intensity of Competitive Rivalry
- 4.3 Industry Value Chain Analysis
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4.4 Market Drivers
- 4.4.1 Rising Consumption Of Perishables And Shift To Greener Materials
- 4.4.2 Growth in E-Commerce Driving Insulated Packaging Innovations
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4.5 Market Restraints
- 4.5.1 Stringent Government Regulations Adherence Limiting Growth, Maintenance Costs, Raw Material Issues
- 4.6 Impact of COVID-19 on the Market
5. MARKET SEGMENTATION
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5.1 Material
- 5.1.1 Plastic
- 5.1.2 Wood
- 5.1.3 Glass
- 5.1.4 Other Materials
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5.2 Product Type
- 5.2.1 Pouch and Bags
- 5.2.2 Box and Containers
- 5.2.3 Other Product Types
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5.3 End-user Application
- 5.3.1 Food and Beverages
- 5.3.2 Industrial
- 5.3.3 Pharmaceuticals
- 5.3.4 Beauty and Personal Care
- 5.3.5 Other End-user Applications
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5.4 Geography
- 5.4.1 North America
- 5.4.1.1 United States
- 5.4.1.2 Canada
- 5.4.2 Europe
- 5.4.2.1 Germany
- 5.4.2.2 United Kingdom
- 5.4.2.3 France
- 5.4.2.4 Italy
- 5.4.2.5 Rest of Europe
- 5.4.3 Asia-Pacific
- 5.4.3.1 China
- 5.4.3.2 Japan
- 5.4.3.3 India
- 5.4.3.4 Australia
- 5.4.3.5 Rest of Asia-Pacific
- 5.4.4 Rest of the World
6. COMPETITIVE LANDSCAPE
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6.1 Company Profiles
- 6.1.1 Cryopak
- 6.1.2 Davis Core & Pad Company
- 6.1.3 DS Smith PLC
- 6.1.4 Innovative Energy, Inc.
- 6.1.5 Marko Foam Products, Inc.
- 6.1.6 Amcor PLC
- 6.1.7 DuPont
- 6.1.8 Providence Packaging
- 6.1.9 Sonoco Products Company
- 6.1.10 The Wool Packaging Company Limited
- 6.1.11 Thermal Packaging Solutions
- 6.1.12 Insulated Products Corporation
- 6.1.13 Exeltainer
- *List Not Exhaustive
7. INVESTMENT ANALYSIS
8. MARKET OPPORTUNITIES AND FUTURE TRENDS
Insulated Packaging Industry Segmentation
Insulated packaging is a type of packaging that is used to ship temperature-sensitive products, such as food and beverages, pharmaceuticals, biologic materials, cosmetics, and chemicals, among others. It helps in maintaining product freshness and efficacy. The packaging controls and documents the temperature of a product throughout its entire distribution cycle. In other words, it is also known as an insulated shipping container.
| Material | Plastic | |
| Wood | ||
| Glass | ||
| Other Materials | ||
| Product Type | Pouch and Bags | |
| Box and Containers | ||
| Other Product Types | ||
| End-user Application | Food and Beverages | |
| Industrial | ||
| Pharmaceuticals | ||
| Beauty and Personal Care | ||
| Other End-user Applications | ||
| Geography | North America | United States |
| Canada | ||
| Geography | Europe | Germany |
| United Kingdom | ||
| France | ||
| Italy | ||
| Rest of Europe | ||
| Geography | Asia-Pacific | China |
| Japan | ||
| India | ||
| Australia | ||
| Rest of Asia-Pacific | ||
| Geography | Rest of the World |
Insulated Packaging Market Research FAQs
What is the current Insulated Packaging Market size?
The Insulated Packaging Market is projected to register a CAGR of 5.71% during the forecast period (2024-2029)
Who are the key players in Insulated Packaging Market?
Amcor PLC, Cryopak, Davis Core & Pad Company, DS Smith PLC and Innovative Energy Inc. are the major companies operating in the Insulated Packaging Market.
Which is the fastest growing region in Insulated Packaging Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Insulated Packaging Market?
In 2024, the North America accounts for the largest market share in Insulated Packaging Market.
What years does this Insulated Packaging Market cover?
The report covers the Insulated Packaging Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Insulated Packaging Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Insulated Packaging Industry Report
Statistics for the 2023 Insulated Packaging market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Insulated Packaging analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
