Skin Packaging Market Size Anticipated to Attain USD 17.59 Billion by 2032

Skin Packaging Market Size, Share and Industry Analysis (2023 - 2032)

The global skin packaging market is estimated to grow from USD 10.85 billion in 2022 to reach an estimated USD 17.59 billion by 2032, growing at a 4.95% CAGR between 2023 and 2032.

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Report Highlights: Important Revelations

• Global skin packaging sector is poised for growth, starting at a value of USD 10.85 billion in 2022.
• The market is expected to surge, reaching an estimated value of USD 17.59 billion by 2032.
• This expansion is growing at CAGR of 4.95% over the period from 2023 to 2032.
• Investigating the swift expansion of the Asia-Pacific skin packaging market.
• Changing dynamics of skin packaging in North America.
• Revealing the significance of plastic film in the vibrant skin packaging market.
• Impact of skin packaging on the food and beverage sector.
• Enhancing retail shelf presence through skin packaging.

Skin packaging is a tempting substitute to standard blister packaging because it employs vacuum sealing to create a thin film over a product on a master sheet. This film is then accurately cut into individual cards, adding features like key slots, rounded corners, and internal die cuts as needed. Skin packaging creates an ideal and secure fit by enclosing the product within the film, allowing even multi-component products to be cleanly separated and confined within the container.

This technique, also known as "skin pack" or "skin film packaging," is tightly wrapping a translucent plastic film around an object to form a second skin that precisely conforms to its shape. After positioned, the film is sealed onto a tray or backing board, creating a vacuum-sealed package that closely follows the product's curves. In along with improving the product's appearance, this painstaking procedure reduces the possibility of damage occurring during handling, shipping, and storage.

Skin packaging stands out as a flexible and effective solution in the constantly shifting industry of product packaging. The benefits include protection from harm, sustainability, and visual appeal. Skin packaging is predicted to grow increasingly significant in determining the direction of product packaging strategies as both producers and consumers place a higher priority on innovation and environmental integrity. With its ability to offer both protection and visual appeal, skin packaging aligns with the evolving needs and expectations of today's markets. Its adaptability makes it suitable for various industries, from food and consumer goods to electronics and healthcare products. As businesses seek to optimize their packaging solutions for both practical and environmental considerations, skin packaging is positioned to remain a prominent and influential player in the packaging industry landscape.

Skin Packaging Market Trends

• The integration of recycled materials into skin packaging solutions is increasingly significant as a means of promoting circular economy principles and lowering dependency on virgin plastics.
• The skin packaging industry is being driven by innovative packaging designs and formats that differentiate and engage consumers.
• Premiumization and branding techniques play an important role in promoting product differentiation and customer perception in the skin packaging industry.
• Sustainability has emerged as a prominent trend in the skin packaging sector. To lessen their impact on the environment, manufacturers are progressively using eco-friendly materials including compostable substrates, biodegradable films, and recyclable plastics.

Exploring the Rapid Growth of the Asia-Pacific Skin Packaging Market

The skin packaging market in Asia-Pacific is expanding rapidly, due to an assortment of primary drivers. One key driver is the growing retail sector in nations such as China, India, Japan, and South Korea. As consumer spending power grows and urbanisation accelerates, there is increasing demand for packaged goods across a wide range of industries, including food and beverages, technology, and healthcare products.

The region's manufacturing expertise and increasing industrial base contribute to the growth of skin packaging. Local and global manufacturers are leveraging Asia-Pacific's robust supply chains and talented labour to develop high-quality skin packaging solutions in a productive and affordable way.

The skin packaging market's trajectory is being shaped by the region's growing regulatory landscape, which aims to improve product safety and sustainability. The growing emphasis on beneficial packaging components and techniques is encouraging enterprises to innovate and embrace greener alternatives, hence pushing the adoption of sustainable skin packaging solutions.

Sales from meat product manufacturers are projected to rise by 2.6% in 2023.After a downturn in 2022, the export growth of meat products is predicted to pick up in 2023 despite the possibility of declining demand. Given their herd rebuild, pork exports to China are anticipated to be restricted, and the prospect for export growth may be hampered by a weakening global economy. The development of e-commerce platforms, combined with shifting customer expectations for easy, visually appealing packaging, is driving up demand for skin packaging in the Asia-Pacific region. As online shopping gains recognition, there is an increasing demand for packaging solutions that not only safeguard products during transit but also improve their display and retail appeal.

The Asia-Pacific skin packaging market offers substantial prospects for industry participants, owing to factors such as growing retail infrastructure, manufacturing capabilities, regulatory advancements, and shifting consumer preferences. Companies which are able to adapt, and provide long-term solutions are going to prosper in this rapidly expanding industry.

For Instance,

• In December 2023, Trioworld Group has reached a deal to buy Wentus GmbH (Wentus), a renowned provider of high-performance food, consumer, and hygiene packaging solutions, from Egeria.

Evolving Landscape of Skin Packaging in North America

The skin packaging market in North America is a competitive and dynamic environment that is defined by a blend of established industries and innovative developments. The area has a well-established retail industry and a wide range of consumer preferences, which fuel demand for different skin packaging applications in a number of different businesses. The food industry in North America is one prominent use for skin packaging. A common method for preserving and showcasing perishable foods like cheese, pork, and seafood is skin packing. Retailers and customers alike favour it because of its capacity to prolong product shelf life while preserving freshness and aesthetic appeal. The average American consumes 224.6 pounds of meat (beef, hog, broilers, and turkey) annually, according to the USDA. In America, meat consumption hit all-time highs. Skin packaging improves food safety and customer confidence with its tamper-evident and leak-resistant characteristics.

Skin packaging is used by North American consumer goods industries to improve the appearance and security of goods like hardware, cosmetics, and electronics. The clear film provides protection from damage and manipulation while allowing customers to view the product and examine it before making a purchase.

Skin packaging is utilised in the pharmaceutical, medical device, and sterile product packaging industries in the healthcare sector. Skin packaging's hermetic sealing qualities contribute to the preservation of sterility and product integrity while guaranteeing adherence to strict regulatory standards. Eco-friendly skin packaging materials and procedures are becoming more and more popular in North America as a result of the growing trend towards sustainable packaging solutions.  With consumers being more aware of environmental issues, producers are looking at recyclable films and less packaging waste. The flexibility of the North American skin packaging market allows it to serve a broad range of applications in the consumer goods, healthcare, and food industries. The region still presents a lot of potential for innovation and expansion in the skin packaging sector because of the continuous improvements in materials and technology as well as the growing focus on sustainability.

For Instance,

• In March 2023, Seafood Expo North America, Beaver Street Fisheries, a company situated in Jacksonville, Florida, USA, will introduce new packaging and advances in skin pack technology for its whole line of prawns, scallops and shellfish.

Skin Packaging Market, DRO

Demand:

• Skin packaging provides good product visibility, allowing customers to view the actual product within the box. This visibility increases product attractiveness, aids in brand awareness, and stimulates impulse purchases by highlighting the product's characteristics, quality, and freshness.

Restraint:

• While product protection and visibility are two advantages of skin packaging, scrutiny of the materials used in packaging and disposal procedures has resulted from worries about plastic waste and environmental sustainability.

Opportunity:

• Innovations in sustainable packaging materials and technology provide opportunity to solve environmental problems while meeting consumer demand for eco-friendly packaging.

Role of Plastic Film in the Dynamic Skin Packaging Market

Plastic film is the main material used to construct the protective second skin around products in the skin packaging market. Typically, this film is composed of a variety of plastic polymer types, each of which has unique qualities that make it suitable for a particular use in the packaging sector. Polyethylene terephthalate is a typical plastic film used in skin packaging (PET). PET films are renowned for their strength, flexibility, and clarity. They are ideal for packaging a variety of products, such as consumer goods, electronics, and food items, since they have superior barrier qualities against moisture, gases, and odours.

Polyvinyl chloride is a different typical plastic film (PVC). PVC films are prized for their cost, toughness, and flexibility. They are frequently used in skin packaging applications, like retail display packaging for hardware and consumer goods, where excellent clarity and product visibility are crucial. Because polyethylene (PE) films have good sealing qualities and are resistant to punctures, they are often used for skin packaging. PE films are available in many formulations, such as low-density polyethylene (LDPE) and high-density polyethylene (HDPE), which gives producers the freedom to create packaging solutions that are specifically suited to the needs of their products.

Plastic film is used in many different sectors for skin packaging. Fresh meat, poultry, shellfish, and cheese are packaged in plastic films in the food industry to prevent contamination and prolong shelf life. Plastic film packaging is used in the consumer products industry to improve product visibility and security for electronics, hardware, toys, and cosmetics. Plastic films are also used in industrial products, pharmaceutical packaging, and packaging for medical devices, where product presentation, hygiene, and safety are crucial considerations.

Plastic film is essential to the skin packaging industry because it provides producers with a flexible and efficient way to present, preserve, and protect a wide range of products for use in a variety of sectors. Plastic films continue to develop as a result of continuous improvements in material science and sustainability programmes, offering creative answers to the shifting demands of the packaging industry.

For Instance,

• In March 2024, New film packaging including 50% recycled plastic was introduced by INEOS and partners. PepsiCo has introduced new Sunbites packaging for the popular snack brand in the UK and Ireland.

Role of Skin Packaging in Food and Beverage Industry

Skin packaging is essential for maintaining freshness, improving product presentation, and assuring food safety in the food and beverage industry. Fresh meat, poultry, seafood, and cheese packaging is one of the main uses of skin packaging in this sector. Skin packaging forms a protective barrier that helps perishable goods last longer on the shelf, minimising food waste and improving product quality by tightly fitting the product's contours.

With a volume of over 3 billion euros, the demand for meat products worldwide accounts for nearly 19% of the whole food industry. Skin packaging is frequently used for convenience foods, deli items, and ready-to-eat meals, providing customers with practical, portion-controlled packaging options. Not only does this kind of packaging preserve the freshness of the food products, but it also makes handling and storage simple.

Skin packaging is used in the beverage industry to package single-serve beverages like energy drinks, smoothies, and juices. The product visibility provided by the transparent film used in skin packaging enables customers can plainly view the contents and evaluate quality prior to purchase.

In the food and beverage industry, skin packaging provides manufacturers with an adaptable and effective packaging solution that tackles important issues including product protection, shelf-life extension, and consumer convenience. Skin packaging is still a popular option for packaging a variety of food and beverage products as consumer preferences continue to shift towards sustainability and convenience.

For Instance,

• In March 2023, Fresh food may now be packaged on recyclable paperboard trays due to Trayforma BarrPeel, a new, simple-to-peel board material from Stora Enso for vacuum skin packs. By utilising less than 10% plastic, Trayforma BarrPeel helps brand owners achieve their sustainability goals.

Maximizing Shelf Appeal Power of Skin Packaging in Retail

Skin packaging is a flexible and efficient way to present items, make stores more appealing, and guarantee product protection in a retail setting. In retail settings, one of the main uses of skin packaging is the packaging of consumer items like toys, electronics, hardware, and cosmetics. Skin packaging uses transparent film to protect products from tampering and damage while allowing for conspicuous display. This draws customers' attention and promotes impulsive buying. In retail display packaging, when products are organised neatly on shelves or hanging displays, skin packaging is frequently used. The vacuum-sealed film clings tightly to the goods, making for an eye-catching display that makes the most of shelf space and enhances awareness of the brand.

Skin packaging gives retailers the freedom to alter package designs to meet particular needs for products and brand strategy. To improve product differentiation and draw attention to key selling aspects, features like internal die cuts, round corners, and key holes can be added.

Retailers can use skin packaging as a useful and effective packaging option to draw in customers, boost sales, and preserve the integrity of their products on the shelves. It is a admired option for many different retail goods due to its adaptability and visual appeal.

For Instance,

• The premier manufacturer of high-quality duck products in North America for the retail and foodservice industries, Maple Leaf Farms, announced today that it will be switching to vacuum skin packaging for all of its retail raw duck breast and duck leg products. After three years of research and development, the new packaging has several advantages for both merchants and customers.

Key Players and Competitive Dynamics in the Skin Packaging Market

The competitive landscape of the skin packaging market is dominated by established industry giants such as Amcor (Australia), Bemis Company Inc. (United States), Berry Global Inc. (United States), Sealed Air Corporation (United States), DuPont de Nemours Inc. (United States), Linpac Packaging Ltd. (United Kingdom), WestRock Company (United States), Smurfit Kappa Group (Ireland), Display Pack Inc. (United States), Clondalkin Group Holdings BV (Netherlands), Tray-Pak Corporation (United States), Proseal UK Ltd. (United Kingdom), Mitsubishi Gas Chemical Company, Inc. (Japan), Universal Plastic Mold (United States), Mondini SA. These giants compete with upstart direct-to-consumer firms that use digital platforms to gain market share. Key competitive characteristics include product innovation, sustainable practices, and the ability to respond to changing consumer tastes.

Amcor, a leader in the world of packaging solutions, bases its skin packaging strategy on sustainability and innovation. The organisation allocates resources towards research & development in order to produce pioneering skin packaging solutions that satisfy changing consumer demands while reducing environmental effect.

For Instance,

• In August 2023, the acquisition of Phoenix Flexibles, an Indian flexible packaging company, has been announced by Amcor, a global producer of packaging solutions.

Bemis Company Inc. bases its skin packaging strategy on a customer-centric methodology. The company's mission is to satisfy each customer's individual demands with creative, superior packaging solutions. Bemis aims to establish enduring relationships with clients by providing all-inclusive packaging solutions, encompassing design, production, and transportation services.

For Instance,

• The most extensive variety of vacuum skin packaging is offered by bemis Europe. Products such as SkinTiteTM HB PP films and SkinTiteTM HB PET films that seal directly to mono-APET are ideal for prepared meals on PP trays. Along with a comprehensive selection of printed and unprinted bottom webs, our VSP line also offers flexo and rotogravure printed versions.

Berry Global Inc.'s skin packaging strategy places a strong emphasis on expanding its market reach and offering a diverse range of products. The company offers a wide range of skin packaging solutions across numerous industries and countries by leveraging its global presence and significant manufacturing capabilities.

For Instance,

• In October 2023, the massive packaging company Berry Global is creating a new company with operations throughout Europe by merging its M&H and PET Power divisions. The new company, Berry Agile Solutions, offers low minimum order quantities (MOQs), including orders for multiple products, and quick lead times.

The skin packaging strategy of Sealed Air Corporation is based on innovation. The organisation allocates resources towards research and development in order to generate state-of-the-art skin packaging solutions that offer consumers enhanced performance and value.

For Instance,

• In February 2023, SEE declared that it had successfully closed the previously disclosed $1.15 billion cash and debt-free acquisition of Liquibox.

Skin Packaging Market Player

Skin packaging leading market players are Amcor (Australia), Bemis Company Inc. (United States), Berry Global Inc. (United States), Sealed Air Corporation (United States), DuPont de Nemours Inc. (United States), Linpac Packaging Ltd. (United Kingdom), WestRock Company (United States), Smurfit Kappa Group (Ireland), Display Pack Inc. (United States), Clondalkin Group Holdings BV (Netherlands), Tray-Pak Corporation (United States), Proseal UK Ltd. (United Kingdom), Mitsubishi Gas Chemical Company, Inc. (Japan), Universal Plastic Mold (United States), Mondini SA.

Market Segments

By Material

• Plastic Films
• Paper & Paperboard
• Others

By End User

• Food and Beverage
• Pharmaceutical
• Industrial
• Consumer Goods
• Others

By Distribution Channel

• Retail Store
• Ecommerce
• Supermarkets

By Region

• Asia Pacific
• North America
• Europe
• LAMEA