CLEVELAND (July 13, 12:30 p.m. ET) — U.S. demand for pouches should increase 5.1 percent annually and could reach nearly $9 billion by 2016, according to a new market study.
U.S. demand will grow to $8.8 billion by 2016, compared to $6.8 billion in 2011, spurred by pouches' advantages in sustainability, function and marketing over alternative packaging, according to a report from Cleveland-based Freedonia Group Inc.
Unit demand will increase 3 percent annually and should reach 90 billion by 2016, the report said.
Burgeoning consumer acceptance of pouches as an alternative to rigid containers will support demand, along with pouches' advantages over rigid containers — like superior aesthetic appeal, portability, light weighting, material reduction and lower shipping costs, according to the report.
The increased use of reclosing and dispensing components will also increase competition between pouches and rigid containers, according to the report.
Demand for stand-up pouches should increase 7.2 percent annually to $2 billion in 2016, compared to $1.4 billion in 2011, according to the report.
These gains are well-above those of the overall packaging industry, the report said.
Packaged goods companies have shown a heightened interest in pouches because of cost savings and other product advantages. Consumer perception is also spurring demand — younger consumers especially view pouches as a more contemporary packaging format than cans, bottles and cartons, according to the report.
The demand for flat pouches is forecast to increase 4.5 percent annually to $6.8 billion in 2016, compared to $5.4 billion in 2011, largely fueled by above-average growth in four-side seal pouches, according to the report.
Four-side seal pouches are increasingly used in the medical and pharmaceutical markets, and as meat, poultry, seafood and cheese packaging, according to the report. Growth is also attributed to product advances, like improved barrier structure, and the increasing popularity of pouches that offer self-venting films for steam cooking.
Stick packs – small, tubed-shaped flat pouches – will also experience robust growth, supported by material savings and differentiation compared to traditional single-use packaging, according to the report.