Flexible packaging adhesive Market Trends

Introduction

The Flexible Packaging Adhesives Market is undergoing a substantial change in 2023, owing to the confluence of several macro-economic factors, including technological advances, regulatory pressures and changing consumer preferences. In the near future, the development of new formulations and application methods will boost the performance and performance of flexible packaging adhesives, while stricter regulations on the reduction of harmful emissions will push the manufacturers towards the use of green solutions. The emergence of new products and services in the market, based on convenience and sustainability, will also change the product offerings and force the market players to adjust their strategies. These trends are of paramount importance for the market players, as they not only determine the product development and market positioning, but also determine the competitive dynamics in an increasingly complex market.

Top Trends

1. Sustainability Initiatives
   The drive towards sustainable packaging is reshaping the flexible packaging adhesives market. Companies like Henkel are investing in bio-based adhesives to meet consumers’ demand for more sustainable products. According to a recent survey, more than 70% of consumers prefer brands that focus on sustainable development. This trend is driving innovation in the adhesives industry, with the potential to significantly alter the way they formulate and source adhesives.
2. Regulatory Compliance
   A change in the regulations relating to the use of packaging materials is influencing the formulation of the adhesives. It is a question of the reduction of the plastic waste, a reduction which is imposed on the companies by the governments. For example, the European directive on the use of plastics is pushing the development of adhesives that are compliant with this directive. This regulatory environment will accelerate the development of alternative adhesives, which will have an effect on the production process and the supply chain.
3. Technological Advancements
   The latest developments in the field of adhesives are enhancing performance and application efficiency. Hot melts and water-based adhesives are gaining ground. The innovations are being driven by 3M. The improvements in bonding strength can be as much as 30 percent. These new products will set new standards for the industry.
4. E-commerce Growth
   The increasing popularity of e-commerce is boosting the demand for flexible packaging adhesives, which are used to protect products during transport. With e-commerce sales projected to rise by a compound annual rate of 20 percent, the industry is focusing on the development of better sealing and protection adhesives. This trend is influencing the development of new products and market strategies.
5. Customization and Personalization
   There is a growing trend towards a flexible approach to packaging, which is driving the demand for versatile adhesives. Brands are seeking a unique appearance for their packaging, and Avery Dennison is offering bespoke solutions. Personalised packaging can increase customer engagement by up to 30 per cent. This trend will also result in new developments in the formulation of adhesives and in application methods.
6. Health and Safety Standards
   The greater safety awareness in the field of packaging has led to the use of adhesives being influenced by the awareness of safety. The adhesives used are more and more food-safe and non-toxic due to the growing safety awareness of consumers. For example, BASF has developed adhesives that meet the strictest food safety standards. The focus on safety standards will also affect product development and market penetration strategies in the coming years.
7. Digital Printing Integration
   Into the flexible packaging industry, the integration of digital printing is transforming the landscape. A new generation of adhesives is emerging that work in harmony with the digital printing process and expand design possibilities. Statistics indicate that digital printing for packaging will grow by 15 percent per year. This trend is likely to result in increased demand for adhesives that are quick-drying and compatible with different substrates.
8. Global Supply Chain Challenges
   Disruptions in the global supply chain are affecting the availability of raw materials for glues. Companies are experiencing difficulties in obtaining these raw materials, which is pushing up costs. Glue manufacturer LyondellBasell, for example, has reported supply delays in its glue business. Glue manufacturers are therefore looking at alternative sourcing strategies and local production in order to manage the risks.
9. Smart Packaging Solutions
   The development of smart packaging technology is influencing the development of glues. Glues that enable functions such as QR codes and NFC tags are increasingly popular. In this field, too, Dow is a pioneer. Research shows that smart packaging can increase consumer interaction by 40 percent. This trend will also lead to the development of multifunctional glues that meet the changing needs of consumers.
10. Market Consolidation
    A market is consolidating in the flexible packaging tape market as companies seek to strengthen their competitive edge. Acquisitions and mergers are becoming more frequent as the leaders seek to broaden their product portfolios. For example, recent acquisitions in this market have increased the product range of some companies by as much as 25%. This trend is expected to change the dynamics of the market and affect the players’ pricing strategies.

Conclusion: Navigating the Competitive Landscape Ahead

In 2023, the flexible packaging market for adhesives will be characterized by intense competition and significant fragmentation, with both established and new players fighting for market share. Regional trends show a growing emphasis on innovation and sustainability, which will force suppliers to adapt their strategies accordingly. Competition will be based on a combination of the following factors: the ability to establish long-term relationships and brand loyalty. The ability to use cutting-edge technology such as artificial intelligence, automation and flexible production to differentiate. The ability to integrate sustainable practices into the product offering and respond to changing consumer demands. These factors will have to be prioritised by the decision-makers in order to be able to compete and seize opportunities.