Global Wraparound Sleeves Market - 2024-2031

Overview

Global Wraparound Sleeves Market reached US$ 32.8 billion in 2023 and is expected to reach US$ 50.0 billion by 2031, growing with a CAGR of 5.4% during the forecast period 2024-2031.

The growth of e-commerce and online retailing has raised the demand for packaging solutions for shipping and handling products. Wraparound sleeves provide safe packaging and branding potential for products sold via e-commerce platforms, increasing their popularity in this rapidly growing market segment.

Environmental concerns and customer preferences for sustainable packaging solutions have driven up demand for eco-friendly materials and methods. Wraparound sleeves consisting of recyclable materials or bio-based polymers provide environmentally responsible alternatives to typical packaging materials, matching with sustainability goals and corporate responsibility programs.

In 2023, Asia-Pacific is expected to be the dominant region with about 35% of the global wraparound sleeves market. Demand in the region for food and beverages is rising as consumer preferences shift. China has the world's largest food, beverage and pharmaceutical markets in terms of total output. According to the National Development and Reform Commission, China's food business increased consistently in terms of production and sales in 2021.

Dynamics

Increased Regulations and Compliance Standards

Regulatory requirements for product labeling, safety and environmental sustainability promote the use of packaging solutions such as wraparound sleeves. Compliance with regulations such as FDA recommendations, EU directives and industry standards encourages companies to invest in packaging solutions that promote regulatory compliance and consumer safety.

Wraparound sleeves can include features like tamper-evident seals and visible labeling, giving customers confidence in the authenticity and integrity of their purchases. Many regulatory bodies require tamper-evident packaging for medications, food and other consumer products to prevent contamination and manipulation. It includes tamper-evident elements such as perforations, shrink bands or tear strips, which provide visible proof of tampering and ensure product safety.

Rising Demand in Packaging Industry

The growing consumption of packaged goods in a variety of industries, including food and beverage, pharmaceuticals, personal care and household products, increases demand for packaging solutions such as wrapped sleeves. The sleeves include branding, labeling and tamper-evident features, which contribute to the overall expansion of the industry.

In accordance to the Packaging Industry Association of India, Indian packaging market is predicted to reach US$ 204.81 billion by 2025, growing at a CAGR of 26.7% between 2020-2025. It will enhance demand for wraparound sleeves because it includes labeling in the packing products. Packaging has become an essential everyday item due to its availability in a wide range of businesses, including food and beverage, healthcare, cosmetics and other consumer goods, as well as a variety of industrial sectors.

Regulatory Challenges

Compliance with stringent regulatory standards, especially in industries like pharmaceuticals and food, can pose challenges for wraparound sleeve manufacturers. Meeting complex labeling requirements, ensuring product safety and adhering to environmental regulations may increase production costs and limit market access. The use of plastic materials in wraparound sleeves raises environmental concerns related to plastic waste, pollution and sustainability.

Increasing awareness of environmental issues and consumer preferences for eco-friendly packaging alternatives may shift demand towards sustainable packaging solutions, potentially affecting the market for traditional wraparound sleeves. Technological limitations in printing capabilities, materials and design options restrict the versatility and customization potential of wraparound sleeves.

Segment Analysis

The global wraparound sleeves market is segmented based on material, printing technology, application and region.

Rising Product Identification and Branding Drives the Segment Growth

Pharmaceutical & healthcare are expected to be the second-dominant segment with about 1/4th of the market during the forecast period 2024-2031. Wraparound sleeves are used to name and brand pharmaceutical products, such as prescription drugs, over-the-counter medications and medical devices. The sleeves allow for plenty of area for product information, dosing directions, warnings and branding features, making it easier to identify and differentiate products in the market.

Companies are focusing on extending their business as a means of utilizing pharmaceutical packaging. For example, in June 2022, Constantia Flexibles launched Perpetua Alta, a novel polypropylene-based mono-material for the pharmaceutical industry. The mono-polymer solution substitutes multi-component packaging for chemically forceful items, such as liquid and gel medicinal formulations.

Geographical Penetration

Growing Demand From Food & Beverages in North America

North America is expected to be the second-dominant region in the global wraparound sleeves market covering about 25% of the market. North American packaged food and beverage demand is being driven by an increased appetite for convenience foods and beverages, as well as changing lifestyles and nutritional habits. Wraparound sleeves are frequently utilized for branding, labeling and tamper-evident sealing of food and beverage products, which helps to drive market expansion.

As per the Beverage Marketing Corporation, bottled water was the most popular beverage category in U.S. in 2021, accounting for about 25% of total beverage consumption. Energy drinks and functional water are among the emerging beverages for 2021. According to U.S. Census Bureau, retail food and beverage stores in U.S. had annual sales of US$880 billion in 2021, up from US$ 687.4 billion in 2015. Increased sales create demand for wraparound sleeves in the region.

Competitive Landscape

The major global players in the market include Berry Global Inc, Cenveo, CCL Label, Inc., Klockner Pentaplast Group, Bonset, Hammer Packaging, Avery Dennison, Constantia Flexibles, Huhtamaki and Fuji Seal International Inc.

COVID-19 Impact Analysis

The epidemic had diverse consequences on the end-use sectors that use wraparound sleeves for packing and labeling. While industries like food and beverage, pharmaceuticals and personal care saw strong demand, sectors like hotel, entertainment and non-essential retail witnessed substantial disruptions. The overall downturn in economic activity, as well as changes in consumer buying patterns, have influenced demand for wraparound sleeves in various industries.

During the pandemic, increased awareness of hygiene and sanitation encouraged firms to implement additional safety precautions and hygiene practices in their manufacturing and packaging operations. Wraparound sleeves are used to create tamper-evident seals and safeguard products from contamination, in line with the heightened hygiene standards and regulations imposed by authorities and merchants.

Russia-Ukraine War Impact

Uncertainty over the battle caused fluctuations in prices in the global market for wraparound sleeves. Currency exchange rate fluctuations, export-import tariffs and transportation expenses can all have an impact on the cost of raw materials and final products, potentially raising the price of wraparound sleeves for producers and consumers. The conflict might affect globally supply chains for wraparound sleeves, including as manufacturing, distribution and transportation.

Delays in transportation routes, border closures and export restrictions caused raw material and finished product shipments to be delayed, affecting manufacturers' and customers' production schedules and delivery times. Businesses may delay purchase decisions or cut down expansion plans, resulting in decreased demand for packaging materials like wraparound sleeves in numerous industries, including food and beverage, medicines and personal care.

By Material

• PVC
• PETG
• OPS
• PE
• Others

By Printing Technology

• Rotogravure
• Flexography
• Digital Printing

By Application

• Food & Beverages
• Pharmaceutical & Healthcare
• Home & Personal Care
• Industrial Consumables
• Others

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

• In March 2021, Fort Dearborn Company announced that it has acquired Hammer Packaging Corporation. The integrated organization benefits from Hammer's cutting-edge technology to boost Fort Dearborn's leadership position in the decorative label and package business, thereby extending the firm's geographic reach, capacity and capabilities.
• In 2023, Mondi, a globally packaging and paper company, has introduced a new and more sustainable sleeve packaging designed to replace traditional plastic shrink wrap around 1.5 liter sparkling soft drink packs produced by Coca-Cola HBC in Austria while keeping them secure.

Why Purchase the Report?

• To visualize the global wraparound sleeves market segmentation based on material, printing technology, application and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of wraparound sleeves market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global wraparound sleeves market report would provide approximately 62 tables, 56 figures and 183 pages.

Target Audience 2024

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies