Growth of Packaging Industry

1. The global packaging industry is valued at $1.171 trillion in 2025. With continued expansion, it is expected to push the market to an impressive $1.63 trillion by 2033. ^[1]
2. Meanwhile, the U.S. packaging market is valued at $200 billion in 2024. By 2030, it’s projected to grow to $250 billion, driven by e-commerce, branding, and delivery demand. ^[2]
3. U.S. packaging printing is expected to dominate, with forecasts showing revenue reaching $161.88 billion by 2032. Many companies rely on packaging design, customization, and promotional packaging efforts. ^[3]
4. While the COVID lockdowns initially slowed production, they also boosted the demand for packaging innovation, accelerating sustainable boxes, meal packaging, and mailer formats that supported rising delivery trends during the pandemic. ^[4]
5. Following COVID, retail sales are projected to grow 3.8% to 4.4%, while e-commerce retail sales will jump 10% to 12%. Both are heavily reliant on quality packaging systems. ^[2]

Packaging Design and Customer Perception

6. About 72% of buyers say packaging design influences purchase decisions. Brands with creative, high-quality packaging often see stronger customer engagement, brand recall, and increased product sales. ^[5]
7. Around 45% of shoppers prefer buying from retailers that offer premium packaging, associating it with product quality, better value, and a more thoughtful, enjoyable unboxing experience. ^[6]
8. To meet demand, brands explore minimalist layouts, nostalgic visuals, natural textures, and interactive features, blending aesthetics and functionality to their packaging design. ^[7]
9. North America leads the global demand for packaging design services, accounting for over 35% of the market. This is mainly due to expansive branding and a strong consumer packaging focus. ^[8]
10. Luxury packaging styles, especially rigid boxes, account for 31.4% of the market due to high-end product demand in electronics, cosmetics, jewelry, and premium gift items. ^[8]

Packaging Material Usage

11. Paper and cardboard packaging reached a $11 billion market share in 2024 and dominated 43% of the connected packaging market due to its recyclability, affordability, and branding flexibility. ^[9]
12. At the same time, plastic packaging remains essential despite sustainability concerns. It’s expected to grow steadily at a compound annual growth rate (CAGR) of 7.7% through the year 2034. ^[9]
13. Many see plastic and paper as essential materials in sustainable packaging, and there is rising interest in alternatives like bioplastics, compostable films, and flexible packaging tailored for different product types. ^[2]
14. Speaking of sustainable alternatives, the robust and eco-friendly kraft paper was valued at $5.8 billion in 2023 and is projected to grow to $7.5 billion by 2032. ^[10]
15. Premium rigid paperboard packaging also hit $4.2 billion in 2023 and is forecast to reach $5.4 billion by 2032, driven by luxury branding and its high-end product presentation. ^[10]

Packaging Future – Smart Packaging Statistics

16. Smart packaging will be valued at $24.28 billion in 2025 and is expected to grow by 7.1% CAGR by 2030. This growth is driven by tech features that boost product interaction and efficiency.
17. Over 55% of logistics and retail companies use smart packaging with RFID, NFC, and QR codes to improve real-time tracking, inventory, and customer engagement. ^[11]
18. The smart labels market, including QR codes and RFID, is forecast to grow from $11.43 billion in 2024 to $17.33 billion by 2029 at an 8.7% CAGR. ^[12]
19. The food and medicine industries are the main drivers of smart packaging. This is because smart packaging improves safety with freshness monitors, time-temperature sensors, and condition-based packaging that reduces spoiling. ^[9]
20. Smart packaging also supports brand integrity with anti-counterfeit tech, digital printing, and traceability — features increasingly integrated into future packaging innovations and product storytelling. ^[12]

Packaging and the Environment

21. Sustainable packaging will reach a $423.56 billion market size by 2029. Customer demand is shifting toward eco-friendly means, including materials, production methods, and composability. ^[13]
22. Recycled material packaging currently accounts for $189.92 billion of the market, which shows strong support for reuse-driven packaging systems.^[13]
23. By 2025, over 40% of companies plan to embrace sustainable packaging innovations, aligning with circular economy goals and reducing waste across production and shipping. ^[13]
24. The food and beverage industry leads in sustainable practices, using both smart and recyclable packaging to track its packages. This helps lower emissions and minimize environmental impact throughout supply chains. ^[13]
25. U.S. consumers say they’ll pay 11% more for eco-friendly products, but the average premium reaches 28%. This highlights strong support for greener packaging alternatives and sustainable initiatives. ^[13]

Conclusion

The packaging industry is going to get bigger in 2025 and beyond, thanks to strong demand from e-commerce, personalized branding, and sustainable solutions. Other than that, today’s consumers connect through eye-catching visuals, interactive features, and eco-conscious materials to create a memorable, unboxing experience they can share.

From recyclable tech to bio-based alternatives, the industry is evolving fast to meet both environmental goals and customer expectations. As packaging becomes more innovative and more strategic, businesses must keep up. Let UPrinting help you start your high-quality packaging solutions to help your brand stand out, stay relevant, and connect to your target audience.

Citations

1. https://www.cognitivemarketresearch.com/packaging-market-report/
2. https://www.mordorintelligence.com/industry-reports/packaging-industry-in-united-states
3. https://www.fortunebusinessinsights.com/packaging-printing-market-110133/
4. https://www.packagingdive.com/news/covid19-packaging-industry-changes-automation-labor-ecommerce/741346/
5. https://lbbonline.com/news/packaging-design-how-it-shapes-brand-perception-and-consumer-behaviou/
6. https://www.meteorspace.com/2025/01/15/important-statistics-about-packaging-you-need-to-know/
7. https://www.paramountglobal.com/knowledge/9-graphic-design-trends-for-packaging-in-2025/
8. https://refinepackaging.com/blog/packaging-printing-statistics/
9. https://www.gminsights.com/industry-analysis/connected-packaging-market
10. https://www.wiseguyreports.com/reports/custom-boxes-market
11. https://www.globalgrowthinsights.com/market-reports/smart-packaging-market-107548
12. https://www.globenewswire.com/news-release/2025/02/18/3027553/28124/en/Smart-Labels-Market-Global-Forecast-to-2029-RFID-NFC-IoT-Integration-Driving-Smart-Labels-Market-Expansion-A-17-33-Billion-Market-by-2029.html
13. https://meyers.com/meyers-blog/sustainable_packaging_statistics_2025/