United States Beverage Packaging Market Report 2024 - Sparkling Water, Energy Drinks, & RTD Coffee to Experience the Fastest Growth - ResearchAndMarkets.com

The "US Beverage Packaging Market Report" report has been added to ResearchAndMarkets.com's offering.

Demand for beverage packaging is forecast to increase 1.8% per year to $55.3 billion in 2027. Unit demand is expected to grow 1% per year to 837.6 billion. While unit gains will remain relatively steady, value growth will be limited by moderation in raw material costs and an easing of supply chain issues that caused pricing surges in 2021 and 2022.

Beverage packaging must simultaneously be cost effective and fall in line with changing sustainability goals and consumer preferences:

• Aseptic cartons will see fast value growth in all beverage markets except fruit beverages, owing to their performance benefits and product differentiation capabilities.
• Bottled water will continue to see healthy gains, with sparkling water to experience especially fast growth.
• Mature beverage categories (such as carbonated soft drinks, fruit beverages, and beer) will continue to see declines in real packaging demand, largely due to health concerns and increased competition from alternatives.

Sparkling Water, Energy Drinks, & RTD Coffee to Experience the Fastest Growth

Among beverage markets, sparkling water, energy drinks, and ready-to-drink (RTD) coffee are expected to post the fastest growth in beverage production and packaging demand, bolstered by strong advertising pushes targeting younger consumers. This stems, at least in part, from increasing consumer preferences for beverages with functional properties and those associated with specific activities and communities (e.g., extreme sports, e-celebrities, gaming, and university culture). These beverages also benefit from the availability of low-calorie options and the variety of new flavors and brands that appeal to different demographic groups.

Sustainability Remains Top Concern for Packaging & Beverage Suppliers, Drives Innovation

Sustainability continues to be among the highest profile concerns in the beverage packaging market, with producers of different formats and materials jockeying to be seen as the most eco-friendly. Actions taken to improve sustainability include greater focus on recyclability, incorporation of recycled and post-consumer content into packaging, and light-weighting and source reduction.

Plastic is the leading target for sustainability conversions, but it remains the most used material because of its cost and performance. To address sustainability concerns, manufacturers have increasingly focused on plastic packaging that is both recyclable and incorporates recycled content.

Some beverage and packaging manufacturers have elected to focus on new packaging formats, particularly paperboard and molded fiber bottles, to address sustainability concerns. These bottles are typically composed of an outer paperboard or molded fiber shell married to a recyclable, separable inner pouch or lining. Molded fiber bottles currently have trouble withstanding the pressure exerted by carbonated beverages, though many leaders in the carbonated soft drink and beer markets continue to trial them and innovate their designs to meet sustainability goals.

Historical Market Trends

The US beverage packaging industry is heavily dependent upon general trends in beverage consumption and production. The prospects for the beverage industry are impacted by a range of variables, many of which are beyond the control of industry participants. These include:

• macroeconomic shifts, as in levels of consumer spending and disposable income or overall economic growth and inflation
• demographic factors like the size of the resident population, age distribution patterns, ethnic diversity, geographic distribution, and immigration

The beverage industry is also influenced by less predictable factors - weather patterns, crop harvests, raw material prices, technological innovations, medical and health related research, governmental regulations, foreign trade, and changes in consumer preferences and tastes - that are beyond the control of beverage manufacturers. What those companies do have control over are things like advertising, marketing, and new product introductions, which all typically have a greater impact on the beverage product mix than total beverage demand; they can also impact the level and type of packaging used.

Beverage packaging demand is also influenced by overall trends in the packaging industry. Among the factors included here are environmental and regulatory issues such as sustainability initiatives, which can spur demand for packaging that is perceived to be environmentally friendly. Other key considerations that affect consumer preferences for beverage packaging include convenience, size (e.g., single-serving, multipacks), image, and technological developments (e.g., smart packaging, materials innovations).

Markets Overview

Beverage packaging demand - including primary packaging containers, multipack packaging, and packaging accessories - is expected to grow 1.0% per year to 837.6 billion units in 2027; this is slightly faster than packaged beverage production growth because the average container and multipack sizes continue to decrease. Faster growth will come in nonalcoholic beverage applications.

Although demand for larger single-serving containers (e.g., half-liter, 20- and 24 ounce) will continue to account for a large portion of the market, demand for smaller (12 ounce or less) containers will advance at a faster pace. This will largely be a result of greater consumer interest in packaging that enables easy portion control, particularly for beverages with a high sugar content (such as carbonated soft drinks and fruit beverages).

In value terms, beverage packaging demand is expected to increase 1.8% per year to $55.3 billion in 2027; with gains deriving from real growth and a shift toward higher value bottles and cans, as well as the continued penetration of high-value aseptic cartons to various beverage markets.

Non-alcoholic beverage packaging demand will comprise the majority of overall growth as consumers continue to focus on healthier products such as still and sparkling waters, sports drinks, and energy drinks, plus certain niche functional beverages (such as kombucha).

Key Topics Covered:

1. Executive Summary

2. Short-Term Analysis

• Economic Forecast
• Short-Term Beverage Production Trends
• Short-Term Beverage Packaging Trends

3. Overview

• Historical Trends
• Markets Overview
• Nonalcoholic Beverages Outlook
• Alcoholic Beverages Outlook
• Materials Competition
• Packaging Product Trends
• Pricing Trends
• Foreign Trade

4. Factors Impacting Beverage Packaging Demand

• Beverage Production Outlook
• Production by Beverage Type
• Retail Beverage Sales Trends
• Foodservice Industry Outlook
• Packaging Size Trends
• Multipack Options
• Sustainability Initiatives
• Recycling & Recycled Content
• Source Reduction/Lightweighting
• Biodegradability & Compostability
• Reporting & Disclosure
• Use of Bisphenol A (BPA) Coatings
• Consumer Preferences
• Beverage Packaging Priorities
• Sustainability of Materials
• Packaging Design
• Size of Packaging
• Ready-To-Drink Beverage Purchasing By Packaging Type
• Ready-To-Drink Beverage Purchasing By Size of Packaging

5. Bottled Water Packaging

6. Carbonated Soft Drink (CSD) Packaging

7. Milk & Milk Alternatives Packaging

8. Fruit Beverage Packaging

9. Sports Drink Packaging

10. Ready-to-Drink (RTD) Tea & Coffee Packaging

11. Energy Drink Packaging

12. Beer Packaging

13. Wine & Wine Beverage Packaging

14. Distilled Spirits Packaging

15. Niche (Low Volume) Beverage Packaging

16. Plastic Packaging

17. Metal Packaging

18. Glass Bottles & Jars

19. Paper & Paperboard Packaging

20. Rubber, Cork, & Molded Fiber

21. Beverage Bottles & Jugs

22. Beverage Cans

23. Gable Top Cartons

24. Aseptic Beverage Cartons

25. Beverage Pouches

26. Beverage Bag-in-Box Packaging

27. Multipack Packaging

28. Beverage Caps & Closures

29. Beverage Labels

30. Industry Structure

For more information about this report visit https://www.researchandmarkets.com/r/jywut4

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