Packaging firm Smurfit Westrock has unveiled a number of key themes that it anticipates will reshape buyer behaviour and drive innovation in packaging as businesses gear up for 2025.
The Smurfit Westrock 2024 Half Yearly Insights Report has identified responsibility, trust, technology and premiumisation as the top themes that will drive growth in the future.
Responsibility
The responsibility theme revolves around brands being accountable for protecting the planet, their consumers and their workforce.
According to a study from Provenance, 58% of consumers believe too much responsibility is placed on the individual rather than on brands.
The future success of businesses will hinge on taking ownership of sustainable practices and transparently communicating them to consumers.
Some 94% of consumers believe it is a brand’s responsibility to develop products that are not harmful to the planet, with 61% saying that they shouldn’t have to think about sustainability while shopping, a recent Deloitte Global report showed.
Companies can leverage their ESG initiatives to build trust and foster loyalty among the growing segment of eco-conscious consumers, in addition to helping brands comply with evolving legislation.
The study noted that brands that adopt sustainable practices now will be ready for 2025 and beyond, when regulation changes are likely to continue and get more rigorous.
Trust
The report highlighted trust as the new currency between brands and consumers and emphasised the need for brands to stand out as reliable and authentic.
Close to half (40%) of consumers look for businesses that show authenticity, the study noted, citing data from GWI. Separately, data from Deloitte showed that 88% of consumers who trust a brand will buy it again.
Brands need to focus on building trust across all areas of business, as there is a discrepancy between the trust brands consider their consumers have and the actual trust consumers feel.
Technology
Businesses also need to embrace evolving technologies to stay ahead of the race by offering consumers personalised and innovative interactions.
Brands perceived as innovative afford three times more growth than brands that aren’t, according to data from Kantar.
Technologies such as AI, AR and the metaverse, open up a variety of opportunities, from streamlining supply chains and introducing interactive packaging to improving the overall consumer experience.
Premiumisation
Finally, the study predicts that the premiumisation trend is expected to continue throughout 2024 and beyond.
As we head into 2025, premiumisation is set to boost brand profits while expanding its reach across all consumer segments.
Consumers are seeking products that deliver maximum ‘value’, and this extends beyond price – rather, it is about quality and longevity, the report added.
