Paperization – Industry Insights

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Reasons to buy the ‘Paperization’ industry insights report:

  • Gain access to a comprehensive guide to paperization and the associated consumer, industry, and innovation trends.
  • Examine the drivers and inhibitors shaping the paperization market.
  • Explore the innovation trends that brands come up with within the market.
  • Understand the regulations set in place in the paperization industry.

How is our ‘Paperization’ report unique from other reports in the market?

  • Understand the drivers and inhibitors of the paperization trend and how it is likely to develop in the future.
  • Access innovation examples to understand how companies in different sectors are responding to the paperization trend.
  • Identify the consumer trends driving and complicating the paperization trend.
  • Find how the paperization start-up ecosystem has grown and changed, and what it might do next.

We recommend this valuable source of information to anyone involved in:

  • Raw Material Manufacturers and Suppliers
  • Paper Packaging Technology Leaders and Startups
  • Cross Industry Packaging Agencies and Associations
  • Business Development and Market Intelligence
  • Investment Analysts and Portfolio Managers
  • Professional Services – Investment Banks, PE/VC Firms
  • M&A/Investment, Management Consultants, and Consulting Firms

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Paperization Industry Report Overview

More than 70% of global consumers consider “recyclable packaging” to be essential or nice to have. “Paperization” is the replacement of single-use plastics and other non-sustainable packaging materials with paper-based alternatives. It presents a solution to the sustainability downsides of certain glass, metal, and plastic packaging options. The expectations of both consumers and regulators are driving companies to seek more environmentally friendly packaging, while commercial concerns make preserving profit margins a priority. Regulators (especially in the EU) are seeking to increase recycling rates and reduce packaging waste with new bills such as the EU’s Packaging and Packaging Waste Directive. In response, brands are looking to paper and board alternatives to reduce reliance on single-use plastics.

GlobalData’s TrendSights Framework

GlobalData's TrendSights Framework

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The packaging industry report examines the growing trend of companies attempting to realize financial/environmental cost savings by replacing traditional packaging with paper-based alternatives.

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Paperization - Consumer Trends

Inflation has caused low prices and affordability to become an even greater priority for consumers. Although plastic is generally the cheapest packaging material to produce and transport, paper, and board packaging is cheaper to manufacture and transport than glass and metal packaging. This is one of the reasons why product categories that typically use glass packaging (wine, spirits, etc.) are increasingly a target of the paperization trend.

Brands must monitor how consumer perceptions of product quality change as a result of paperization. For example, Johnnie Walker has avoided the issue of consumer acceptance by trialing paper-based whiskey bottles in its bar facility on Princes Street, Edinburgh. This initiative, which began in September 2024 and is in partnership with PA Consulting Group and PulPac,  enables the company to assess the practicality of the new packaging in a hospitality environment before assessing its performance in a retail setting.

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Paperization - Regulations

The EU Packaging and Packaging Waste Regulation aims to make all packaging on the EU market recyclable in an economically viable way by 2030 as paper and board packaging is typically highly recyclable. Additionally, bans on the use of single-use plastic for some products can create an opportunity for paper and board packaging. Relevant products include unprocessed vegetables and individual portions for condiments.

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Paperization - Innovation Trends

Paperization in the food industry is typically an effort to reduce the volume of single-use plastics that a brand uses. To overcome the problem posed by the poor recyclability/biodegradability of many plastics, brands are replacing plastic packaging with paper-based packaging to improve the end-of-life environmental impact of their products.

For example, in September 2024, Nestlé announced it had replaced the plastic container for its Vital Proteins brand with a paperboard canister. This innovation entails a 90% reduction in the plastic content compared to the previous package. The paper material is sourced from FSC-certified sustainable forestry.

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Key Highlights

  • The paperization start-up ecosystem has broadly transitioned from an innovation and product development focus to a production capacity-scaling focus.
  • Brands are exploring paper and board alternatives to traditional product packages.
  • New specialized production lines will be required for new paper packages to secure market share.

Coca Cola
Unilever
Tesco
L'Oreal
Estee Lauder
Diageo
PepsiCo
Paboco
Pulpac
Frugalpac
Pulpex
P&G
Sainsbury's
Nestle
Mondelez
Mondi
Veetee
Saica
PA Consulting

Table of Contents

Executive summary

Industry trends

Consumer trends

Regulatory trends

Innovation trends

Innovators

Takeaways

Appendix

Frequently asked questions

Paperization – Industry Insights standard reports
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