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  2. Consumers Decide at Point-of- Sale

Consumers Decide at Point-of- Sale

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By Bhaskar Ch on Wed, 08/03/2016 - 13:08

The Packaging Forum within the VDMA promotes investments in high- quality machines and equipment for the production of sophisticated packages for brand manufacturers

 

22/07/16: The trend to sophisticated packages with an elegant design that attract attention by means of eye-catching colours, metallic effects and elaborate embossing plays into the hands of the German engineering companies and their advanced technologies. According to Smithers Pira, the global packaging market enjoys an annual growth rate of four percent and will reach a volume of 970 billion US dollars (equivalent to approx. 860 billion euros) in 2018. In order to position themselves in this growth market with technology `Made in Germany` and to align their offers to each other in a better way, VDMA member companies from all areas of the total chain – ranging from film/foil and cardboard production to printing and finishing as well as food processing machines, filling equipment and packaging machines – have joined forces in the Packaging Forum.

 

The continued growth in the packaging market is above all due to two reasons. On the one hand, the population in towns and cities all over the world is growing. Supplying them with fresh food and other necessary goods every day holds huge logistic challenges. The packages are of key importance during transportation making sure that food and goods reach the customers unspoilt and in an immaculate condition. Nowadays, 1.3 billion tons of foodstuffs perish on their way from the field to the consumer. Packaging helps to improve this bad state of affairs.

 

Besides that, the rise in consumption due to the growing middle classes in development countries and newly industrialised countries as well as the increasing competition in mature markets contribute to the growth in the packaging market. The customers mostly decide which goods they add to their shopping basket on the spur of the moment. Which product they pick, depends more and more on the first impression a package makes and the information it communicates. Packages give information about ingredients, quality and environmental labels; they carry marketing messages of the manufacturers. And, with an elegant design, they also appeal to emotions, which makes a real difference in particular where products are hardly distinguishable from each other.

 

“Purchasing decisions are made at the point-of- sale. They stand or fall by the first impression a package makes. Therefore, investments in high-quality machines and equipment for the production of sophisticated packages for brand manufacturers not only pay off quickly – but, what is more, they also have a long-term effect because they strengthen the brand,” stresses Uta Leinburg, the Project Leader of the Packaging Forum, from the VDMA Printing and Paper Technology Association.

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