Didn’t you know…it’s about the

packaging

ConTech 2015

Stewart Gunn – GM Corporate Business, Orora Australasia

Melbourne - 13 May, 2015

Orora Limited 2015

Agenda

• Packaging today and in the future

• An overview of social and consumer trends

• Identifying social trends

• Identifying consumer trends and opportunities

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Packaging today and in the future

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Orora Limited 2015

The global packaging industry

2012 US$431bn 2014 US$453bn

Market growth = 2.5-3% in 2015

• Global demographic changes in rising demand for processed foods

• Where is this all heading and what do we do about it?

• What do we look for when developing packaging solutions that fit?

• Where do we begin?

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The role of packaging

WHY IS PACKAGING SO IMPORTANT?

CORE FUNCTIONS OF PACKAGING

• Preserves the integrity

• Protects its contents

• Promote, inform, educate and advise

ADDITIONAL FUNCTIONS OF PACKAGING

• Convenience

• Environmental

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The role of packaging

PACKAGING TYPES

There are three key categories of packaging:

• Primary Packaging

• Secondary Packaging

• Tertiary Packaging

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Consumer trends and their influence on packaging

Understanding consumer trends and insights is vital for packaging suppliers, brand owners and

manufacturers, in order to:

• Help to identify relevant packaging opportunities to meet consumer needs and challenges

• Help guide packaging machine investment strategy

• Help guide food and beverage manufacturers in their machine and packing investment strategy

• Influence and develop strategic business partnerships and collaboration between packaging

suppliers, brand owners and food and beverage manufacturers

• Influence Research & Development (R&D) project investment into new forms of packaging

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The future of the packaging market – an overview

• The consumer packaging market is a relatively strong market as it is able to benefit from the rise in demand for consumer goods worldwide.

• As long as the global economy continues to grow the packaging market will also continue to grow.

• It is important that the packaging market grows in order for packaging innovation to develop to meet consumer needs. Understanding consumer trends and insights will become ever more popular to identify specific consumer packaging opportunities.

• A growing packaging market will also mean manufacturers will be able to invest in developing new packaging materials and designs to meet the needs of the changing consumer.

• More advanced packaging materials will be used in packaging such as nanotechnology and smart-packaging.

• Packaging solutions will need to continually adapt to meet changing consumer needs and challenges. A greater focus will be on sustainability, recycling and added-value packaging that bring tangible benefits to the consumer.

• Technically smart packaging will be an important growth sector in packaging, together with innovative design that will be central to moving the industry forward.

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An overview of social trends and consumer trends

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An overview of social trends and consumer trends

• Success within the consumer goods market is heavily reliant on delivering what the consumer wants, when the consumer wants it, where and how the consumer wants it.

• Social trends are important to capture the bigger picture trends that ultimately describe human behaviour.

• Identifying consumer trends and analysing these unique insights will provide us with structure, clarity and perspective in understanding consumer behaviour.

• Understanding consumer trends and the packaging opportunities that these create will not only help shape the future of packaging, but will help packaging and confectionery manufacturers develop investment strategies for packaging solutions.

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Identifying future consumer trends & opportunities

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SOCIAL TRENDS

Guiding Trends that describe human behaviour.

MEGA TRENDS

Trends that influence consumer behaviour and drive change across the consumer packaged

goods industry.

RETAIL ENABLERS

Enablers that bring trends to life and utilise opportunities that are created in the marketplace

via

Advertising, Channels, Packaging, Social Media and products.

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Social trends

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Social trends - Youniverse

Oreo – Oreo Cookie brands campaign features personalised emojis

Click Here

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Social trends – Better Business

Kit Kat Chocolate Bars - Rail fares paid with candy bar wrappers

Click Here

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Individualism and expression

OPPORTUNITIES

• Develop innovative products that are aimed at those consumers who have allergies or

intolerances towards specific ingredients i.e. gluten-free alternatives that meet the health and

lifestyle needs of consumers.

• Personalise products so that they that are aimed at a specific target audience i.e. Occasion

specific, demographic specific, need specific or attitude specific.

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Smart and connected

OPPORTUNITITIES

• Social networking is being used more and more by consumers to share thoughts, opinions, and publishing textual, audio / visual content (influencing anything from product name to package design).

• Consumers adopt the mentality that technology will make their lives easier and more comfortable. Therefore emphasising these benefits in association with new products and services will increase the chances of success.

• The increase in smart shoppers, will mean opportunities will increase for manufacturers to better interact and stimulate consumer demand.

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Six pillars of packaging innovation

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Pillars of technical design and innovation

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The six key pillars of packaging innovation

• Convenience

• Shelf Presence

• Cost

• Safety

• Functionality

• Sustainability

Didn’t you know…it’s about the

packaging

ConTech 2015

Stewart Gunn – GM Corporate Business, Orora Australasia

Melbourne - 13 May, 2015