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of retail? Particularly if you are in etc. These elements will dictate be considered a challenge. But
the food industry: will your product the way forward. Does your there is emerging a whole new
get to your customer’s home fresh packaging currently reflect population of literate customers
enough for consumption after hours this required data through its who will require information on their
of waiting at their front door? barcodes? packaging. Whereas this sector of
the population may previously have
Are you packing for your customer • “Doing good is good business”. been dependent on images alone,
in a way that they will be inclined In other words, doing the they now require simple words too.
to re-use, recycle and re-purpose right thing by your packaging But this group, in their new-found
the packaging? Have you reduced in its relationship with the literacy, are joining the already
the packaging in the first instance? environment will ensure you literate who are growing in their
As an example: my wife and I are perceived as doing good need to be healthy, or at least ‘health
subscribe to a food delivery service business.
conscious’. With greater literacy
in Australia called HelloFresh. My
• Helping customers be healthy comes greater employability. With
wife teaches full time and I work is a big trend. In this rat race greater employability comes a dual
long hours. My wife does not like world, where we work and income and increased purchasing
shopping - but I like to shop to learn rush ourselves sick because power. Do you know your newly
about packaging, check out the we never switch off as we did literate, employed customer’s
latest trends. I observe customer years ago, before technology needs?
shopping habits; particularly around permeated every minute of
their interaction with the packaging. our day, we are now calling out
I take note of the shelf arrangement for someone else to keep us
of products. And so, shopping may healthy! We want food to last
not be our favourite pastime and we longer on the shelf. We want
are busy. But we do like to eat. And the packaging to tell us if the Customer knowledge
this is where HelloFresh has met our food is still fresh. We want the and needs are evolving
needs. packaging to reduce the global faster than ever.
carbon footprint. We want the
Each Monday they deliver a
packaging to cook our meal for
corrugated box with 3 brown
paper bags. Each bag contains us! We want our packaging to
the ingredients, including the bring us the product anywhere,
vegetables, for just one recipe. anytime! And we have the
nerve to say packaging is the Asia is the largest regional grocery
The recipes for the week are also
problem! market in the world, and it is
supplied. They have gone the extra
expected to grow by a compound
step to ensure the recipes walk Changing demands annual growth rate (CAGR) of 6.4%
the chef step-by-step through the between 2018 and 2023. (IGD,
cooking process, with pictures. It’s the customer driving the 2019)
Even I have begun cooking delicious packaging demand to meet his or
meals! The box also contains an her need. Are you aware of your This Asian grocery market will be
insulated bag with an ice pack for customer’s needs? Are you able worth $4.2bn by 2023, up from
the meats and dairy items. to fulfil these needs while still $3.1bn in 2018. Its share of global
respecting the planet’s needs? grocery spend will be 37.2% in
Now, I realise that such home Here, I believe, is proof that 2023. (IGD, 2019)
deliveries are not possible in all packaging is the solution.
countries or cities but I have used The region will account for 44.2%
this example to illustrate a company The packaging industry receives so of all additional grocery sales
that has spent time learning about much negative publicity. We need generated between 2018 and 2023.
to have the courage to know that we
its customer’s needs in great detail (IGD, 2019)
are in an industry that covers every
and has created a product that
single product on sale. Where would China, India and Indonesia will
honours the environment to a large
our customers, in this modern world, be the biggest contributors to the
extent. region’s top-line growth, accounting
be without our industry? The media
Trends in all its criticism, and customers for 74.2% of new sales added by
who complain about the negative 2023. (IGD, 2019)
IGD, a data processing impact of packaging, need to be
organisation, suggests trends gently reminded who is driving the According to Smithers Pira, a
multinational provider of testing,
affecting packaging include: packaging problem.
consulting, information and
• Data management. Data Global challenges compliance services, data shows
includes everything about your the challenges for the packaging
product: origin, ingredients, Some of our global challenges industry include this economic
purpose, location in the supply include increasing literacy. It’s and demographic growth where
chain, environmental footprint ironic that increased literacy should increased consumer income will
th
www.MiddleEast-Business.com 7 year, Issue 26, Mar - May 2020