Smart packaging connects the physical with the digital.
Technology embedded in packaging makes a captivating case for Fast Moving Consumer Goods (FMCG), with the opportunity to minimise costs and increase profits.
Today, a product’s packaging is equally as important as its content.
If you are an FMCG business using plain packaging you are missing out on meaningful data and an increase in revenue.
According to Smithers Pira, the global smart packaging market has an annual average growth rate of 13.3% from 2020 to 2021. It is expected to reach $7.56 billion by 2023.
Today’s packaging is smart, it is embedded with technology that provides a variety of meaningful functions.
For FMCG, smart packaging can offer many advantages.
Smart packaging provides FMCG companies with connected packaging meaning they are able to follow product tracing and recall requirements according to food safety regulations.
You will notice a smartly packaged product by the visible serialised QR codes or anti-copy screens embedded in them. A business that utilises smart packaging is getting more from its smart packaging compared with plain packaging. Serialised codes in smart packaging are helpful. They are robust assets for businesses that need essential tracking information for individual units to product crates for logistics.
The benefits of smart packaging for products include:
- Traceability – the serialised product and its meta-data are shared with value chain participants
- Handling product recalls efficiently
- Providing transparency of the origin of the product and how it is made
- Reducing the risk and cost of bad quality products leaving the manufacturer
- Connecting the business with the end customer
This method of packaging is economically significant now that businesses can access a range of data metrics for each unit including consented first-party data. With plain packaging, you aren’t able to get this meaningful information.
Conclusion
Our smart packaging solutions aren’t limited to overt technology. We also provide covert solutions in the form of microparticle technology, infrared up-conversion, ultra-violet fluorescents, or a combination of these solutions to improve the level of effectiveness against counterfeiting.
Our research at YPB has shown that engaged customers through smart packaging will spend 20% more on a brand’s products compared to unengaged customers.
