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At-Home Delivery Insights

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At-Home Delivery Insights

Future Packaging Insights

With the furthered boom of at-home deliveries, we explore how packaging manufacturers are meeting unparalleled demand for sustainable packaging solutions that are: safe, protective, and hygienic, as well as understanding how circular systems are developing the fight of eliminating waste in the new e-commerce era.

Meeting Delivery Demand

Due to the pandemic creating an unprecedented rise in at-home deliveries, many brands, packaging designers and manufacturers have had to address key challenges like material shortages, notably cardboard, as well as superfluous delivery packaging.

 

The delivery boom occurred mainly because of the pandemic, seeing stay-in-place orders implemented, resulting in ‘bricks-and-mortar’ retail outlets temporarily closing. The extent of the increase illustrated with DPD delivering 1.9 billion parcels globally in 2020, with direct-to-consumer deliveries increasing by 58% on the previous year. Demand for at-home deliveries is here to stay, with 82% of European consumers planning to buy the same volume or more online post-pandemic.

 

However, with the rise in demand came a shortfall in packaging, particularly cardboard, this compounded by the closure of in-person retail and hospitality where cardboard is more rapidly recycled compared to domestic settings. To overcome this challenge, packaging manufacturers began utilising corrugated cardboard; which has proved a revelation because it is manufactured using less materials, yet remains as, if not stronger than traditional cardboard.

Another issue raised due to the continued sustainability-push and lack of resources was excess-packaging. In 2020 93% of consumers received packages with excess space in the box, with 73% receiving packages with more than twice the size than necessary. Over half of customers receiving deliveries with surplus packaging said it made them think twice about ordering from that brand again.

This isn’t a small issue; failing to address excess or inappropriate e-commerce packaging is costing £32.47bn globally per year in additional logistics and shipping fees. One method to overcome this is to utilise ‘ready-to-ship’ packaging with no outer box; this reduces any need for excess packaging and can still illustrate branding.

Our VITA range provides a sustainable opportunity to prevent continued over-packaging and waste of resources for delivering products to customers at-home. All VITA products are made from plastic-free and recyclable materials. With an array of products and sizes the VITA range will ensure that no excess materials are used leading to over-packaging. See more:

SHOP VITA

Key Stats
Meeting Delivery Demand
1.9bn DPD delivered 1.9 billion parcels worldwide in 2020, an increase of half a billion compared to 2019. Those that went straight to consumers grew by 59% year on year and accounted for 55% of all of its deliveries.
£620bn The EU e-commerce market was worth £620bn in 2020, an increase of 12.7% with the previous year.
46% Nearly half of Europeans (46%) say they want to use more cardboard or paper based packaging rather than plastic based packaging and 58% say they want less packaging overall.
92% Over 90% of UK shoppers will repeat purchases from online brands if the return process is easy for them.

Augmenting Eco E-Commerce

One key outcome of the pandemic from a ‘Consumer-Wants’ perspective is the desire for packaging that is protective, sanitary, and sustainable. This the case more than ever as consumers continue to order more breakable and perishable items direct, leading to a surge in letterbox packages.

 

With the rise in direct-to-consumer deliveries of chilled and frozen goods set to continue growth post-pandemic, consumers have forced packaging designers and manufacturers to innovate eco-friendly packaging that ensures items remain safe and unspoiled.

 

In light of consumers spending more time at home, even post-pandemic with the new ‘hybrid’ working models, couriers have seen consistent demand for direct-to-consumers’ or ‘letterbox’ packages. This creating demand for light and low profile packaging that fit through letterboxes.; hereby increasing consumer convenience and lowering delivery costs.



Key Stats
Augmenting Eco E-Commerce
39% The UK food delivery industry has grown 39% in the last three years.
£8.5bn The UK food service delivery market is worth £8.5bn

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A survey by Global Cold Chain Alliancefound three-quarters of its members believe the pandemic will boost the rise of e-commerce and direct-to-consumer delivery of chilled/frozen products, related to their growth pre-COVID.

Creating New Sustainable Systems

Many FMCG brands and restaurants are harnessing reusable packaging systems to reduce waste, whilst stripping single-use plastics to avoid consumer criticism and meet upcoming government regulations.

With a focus on lessening resource consumption and increasing reuse of materials, the global reusable packaging market is projected to grow at a compound annual growth rate (CAGR) of 6.4% from £28.56bn in 2019 to £47.27bn in 2027 (Reports and Data, 2020).

To reduce excess waste many restaurants are investing in ‘circular meal deliveries’ which see customers pay a small deposit to receive reusable food boxes and cups, of which can be returned or picked up in batches. By picking up the packaging in batches this also creates opportunity for repeated purchase as this increases customer ease-of-return.



Key Stats
Creating Better Systems
2022 Tax applied to plastic packaging produced in or imported into the UK not containing at least 30% recycled plastic, to introduced in 2022.
£47.27bn The global reusable packaging market is projected to grow at a CAGR of 6.4% from £28.56bn in 2019, to £47.27bn in 2027.


Visual Direction

Ensuring your packaging has the right aesthetic and customers are enticed to the product is key. Bright and cool accent colours ensure e-commerce and takeaway packaging feels fresh and contemporary. Neutral backdrops with pops of ultraviolet, cyan, and green present durable shades that translate well onto silicone and easy-wipe materials. Whilst simple uni-colour icons offer discreet information on reusability and returnability.

 

With an extensive range of colours across our envelopes and packaging, Blake can ensure that we provide the ‘wow’ factor, making your mailing and packaging stand out. Going one step further, create memorable packaging that incorporates your branding, by getting in touch with our Solutions team.

 


Future Insights

As consumers take a stand demanding sustainable packaging, delivery systems will either become a robust circular system or biodegradable at home. Consumers will expect packaging to be fit-for-purpose with single-use items eradicated. Businesses will need to constantly act on consumer feedback; this because consumers, now more than ever, aren’t afraid to look elsewhere if a brand’s packaging doesn’t meet their sustainability standards, and will also make their concerns heard.

 

Here at Blake we are well aware of our responsibility to enact sustainable practices and endeavour to increase and implement more practices that will benefit the environment. We believe that sustainability isn’t just about meeting current needs, however, about ensuring that we’re here for the long term and that we pave the way for a bright tomorrow. See our progress here:

SUSTAINABILITY

 

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