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/