Luxury packaging is hardly a new topic, especially for us at Sunrise Packaging (Blaine, Minnesota, USA). We’ve long admired a soft touch overlay, a crisp, rigid two-piece box, and the classic style of a cigar set-up box. In our minds, it’s about time the rest of the world came around.
Luxury Packaging Market on the Grow
According to Beige Market Intelligence, the luxury packaging market is predicted to grow compound annual growth rate (CAGR) of 4.96% through 2021. The report on their website supplies the full details of the analysis, but the gist is this: the trend in personalized, eco-friendly, high-end packaging isn’t going anywhere but up.
As consumers continue to look for brands and packaging that act as extensions of themselves, retailers are looking to meet that demand through a variety of means. Alternative packaging materials (think metal, plastic, and wood, among others) are becoming more common, as well as more interesting finishing options for classic cardboard boxes.
Luxury Packaging Markets
The top fields in which growth is expected to occur include:
- Cosmetics and fragrances
Fragrances have driven luxury packaging for a while, but cosmetics are relatively new. While some have been around for a while (see our Urban Decay posts for favorites), more and more brands are entering the market, and this is an audience that goes gaga for great packaging.
- Premium liquor
Premium brands know the value of premium packaging. Look at Dom Perignon or Cristal for classic packaging. Brown liquors, like bourbon and whiskey, have increased in popularity over the past decade. And with increased popularity comes an increase in packaging variety. This group has a love of wooden boxes.
- Gourmet food and candy
Innovative packaging for food and candy tends to come out of Asia, but the demand for homemade food with quality ingredients has brought that innovation to the USA.
- Watches and jewelry
Like fragrances, watches and jewelry have long been the mainstays of luxury packaging. Leather and velvet boxes, silky liners, and metallic lettering. They’re practically cliches at this point, but that’s how classics are made.
- Tobacco products
Cigar boxes are just as classic a style, and add vape boxes to this category. Is it any better than other forms of tobacco? It remains to be seen but for now, vaping and vape boxes are hot.
Other fields are contributing to the luxury packaging growth, but these are the main ones. The other driver is the increase in e-commerce, or online shopping. This gives everyone access to luxury products. Consumers want sturdy packaging that meets their lofty expectations.
Packaging that Plays the Part
Packaging is not just protection for the product it houses. It’s an extension of the organization’s brand. It’s also, in a sense, part of the consumer’s brand. People view products as emblematic of themselves; that’s why personalization is such an important piece. Luxury packaging isn’t something on which producers should compromise. Talk to a representative today to be in the forefront!