PUBLISHER: Mordor Intelligence | PRODUCT CODE: 1628744
PUBLISHER: Mordor Intelligence | PRODUCT CODE: 1628744
The US Home Care Packaging Market is expected to register a CAGR of 9.9% during the forecast period.
Demand for home care products has been on an upward trend, especially as the consumers, with growing health awareness, tend to avoid expensive medical care costs. To keep up with this demand, the home care packaging industry has ramped up its offerings to differentiate between multiple packaging solutions, conveying useful information without compromising on the safety standards. The packaging market for this segment is set to record high growth during the forecast period.
As per OECD, the United States reported USD 14 trillion towards overall household spending in the country. And, allied personal income was recorded to have increased at USD 1,954.7 billion (10.0%) as of January 2020, according to estimates by the Bureau of Economic Analysis. Similarly, the Disposable personal income (DPI) increased to amount to USD 1,963.2 billion (11.4%), along with personal consumption expenditures (PCE) increased by 2.4%.
Despite the economic setbacks, demand for home healthcare products has never declined, and directly proportional to that is the requirement for packaging solutions. Driven by advantages like durability, cost benefits, and versatility, plastic is one of the packaging materials majorly used by companies. Research and development for increased durability and safety found new entrants into the industry, which include polymers like PLA, biodegradable PHA (polyhydroxyalkanoate), bio PTT (polytrimethyl terephthalate), etc., slowly getting acceptance. However, high cost poses a challenge to their sustainability in the long run.
The home care products industry has been witnessing increased awareness among consumers regarding the sustainability of packaging materials. For instance, as of March 2021, Unilever has stepped up the use of post-consumer recycled plastic (PCR). With around 11% of its total plastic packaging volume consisting of recycled plastic, the company aims to use at least 25% recycled plastic by 2025.
The United States is experiencing an increased use of e-commerce channels to procure home care products by consumers. While the share of online sales remains low, it is expected to grow during the forecast period. Furthermore, Unilever has been making new acquisitions based on selling products through online channels.
With extended periods of cleaning throughout 2020, consumers raised concerns over the side effects of traditional cleaning products on health and the environment. Throughout 2021, it is, thus, expected that the demand for home care products designed to provide cleaning efficacy will require efforts to support consumers' physical and emotional wellbeing as well. For instance, The coronavirus pandemic caused a surge in toilet tissue sales, making toilet tissue products the leading home product category in the United States at about USD 10.4 billion.
A consumer cleaning and hygiene research presented by the American Cleaning Institute (ACI) in September 2020 was designed to tap consumer perceptions and actions regarding cleaning and disinfection practices around the COVID-19 pandemic. The survey suggested that Americans were cleaning more than ever before due to the onset of flu season.
Moreover, 86% of Americans were confident in their cleaning products to help protect themselves against coronavirus. 92% of them suggested that they are habituated to using disinfectants on surfaces in their homes. Over 50% of them plan to continue wiping down surfaces more often and using disinfecting products.
The Clorox Company (in-home care) has taken on the coronavirus threat by using its Pine-Sol Original Multi-Surface Cleaner. The product received approval from the US Environmental Protection Agency (EPA) for claims on killing SARS-CoV-2, the virus that causes COVID-19, on hard non-porous surfaces.
Home care brands and packaging suppliers have been on a constant spree to innovate and create differentiation in a contested market space through branding. Household care packaging has untapped opportunities to help reduce plastic pollution by replacing plastic bottles with more sustainable packaging solutions like paper bottles and multi-layered cardboard cartons. This packaging represents an important opportunity to help consumers to reduce plastic consumption and might even help make recycling less complicated. The effort has also been consistent with the government; for instance, In 2020, Florida recorded nearly 47.1 million tonnes of municipal waste, of which plastic alone constituted about 7.33% of the total collection.
When looking at product-based innovation, P&G's Microban 24 was approved by the US Environmental Protection Agency (EPA) as a sanitizing spray that is effective in killing SARS-CoV-2. With multiple other products claiming to kill 99.9% of the bacteria, Microban 24 certifies this and continues working throughout the day to provide long-lasting protection for surfaces in homes.
O3waterworks LLC introduced a household cleaning and sanitizing spray-fueled ozone. The spray bottle is known to create low-concentration aqueous ozone to break up germs and contaminants. This quickly becomes water and air, leaving no residue. The company's Spray Bottle can be used to clean toothbrushes, wash fruits and veggies, rinse off dropped pacifiers, clean baby toys, to name a few.
Another cleaning category leader, Jelmar, refreshed its CLR line of products with a new look and a new pronunciation ('CLeaR'). Additionally, it had run a new creative campaign, post several products were renamed. This was done to reflect the breadth of the expanded product line.
According to Unilever, the "majority" of Love Home & Planet's packaging was made from recycled and recyclable materials. "Caps and pouches would be the next. The company is working towards 100% recycled packaging across Love Home & Planet by 2021. In the United States, Love Home & Planet includes more than 30 products for fabric care, dishwashing, and cleaning. It incorporates a concentrated laundry detergent made with sustainably sourced plant-based cleansers that are effective in cold water. A dry-wash spray is designed to prolong the life of clothes by minimizing washing while reducing water and energy use.
The market for Home Care Packaging in the United States is moderately fragmented and is expected to attain a higher degree of competitiveness owing to the increasing investments, new players, and growing applications in end-user industries. Some of the developments are as follows -