Europe Luxury Plastic and Metal Gift Packaging Market Report 2024

According to Cognitive Market Research, with a market value of USD 20.2 billion in 2023 and projected to expand at CAGR of 4.20% from 2023 to 2030, Europe accounted for a share of over 30% of the global market size of USD 6.06 billion. The European market is driven by the growing trend of gifting premium products, particularly during festive seasons such as Christmas and Valentine's Day. This trend drives the need for luxury plastic and metal gift packaging solutions that are unique, innovative, and customizable. According to Cognitive Market Research, the growth of e-commerce and online shopping in the region has led to an increased demand for flexible and durable packaging solutions that are suitable for shipping and handling. In conclusion, the European Luxury Plastic and Metal Gift Packaging market is expected to continue to grow in the coming years, driven by these growth factors, such as increasing focus on sustainability, technological advancements, and the increasing demand for luxury goods and sustainable packaging solutions. 

• For instance, in 2020, Berry Global Group acquired Laddawn, Inc., a manufacturer and distributor of premium plastic packaging products, including gift packaging.

How did COVID–19 Impact the Luxury Plastic and Metal Gift Packaging Market?

With the outbreak of the pandemic, many countries have imposed lockdowns and social distancing measures, which have led to a decline in consumer spending. As a result, the demand for luxury gift items has reduced, which has also impacted the demand for luxury plastic and metal gift packaging solutions. Additionally, many manufacturing facilities were closed or operating at reduced capacity due to the pandemic, leading to disruptions in the supply chain. This resulted in delayed deliveries and increased costs for raw materials and transportation. However, as the pandemic has progressed, there has been a shift towards online shopping, which has led to an increase in demand for e-commerce packaging solutions. Many luxury brands have also started offering their products online, which has created new opportunities for luxury plastic and metal gift packaging solutions.

MARKET DYNAMICS: KEY DRIVERS

Rising Disposable Incomes and Increased Focus on Sustainability to Provide Viable Market Output

As economies around the world continue to grow, more people have disposable income to spend on luxury items, including gift items. This has created a strong demand for luxury packaging solutions that enhance the perceived value of the gifts and create a premium experience for the recipient. Additionally, consumers are becoming increasingly aware of environmental issues, and they are looking for sustainable packaging solutions. Luxury plastic and metal gift packaging manufacturers are responding to this demand by using eco-friendly materials and reducing waste in their production processes. This trend is expected to continue as consumers become more environmentally conscious.

• For instance, in 2019, Coveris Holdings S.A. was acquired by a group of investors led by Lindsay Goldberg LLC, a private equity firm. Coveris Holdings S.A. is a global manufacturer of plastic and paper packaging solutions, including gift packaging.

Growing E-Commerce Industry and Technological Advancements to Propel Market Growth

With the rise of e-commerce, there is an increased demand for high-quality packaging solutions that can protect products during shipping and create a unique unboxing experience for customers. Luxury plastic and metal gift packaging manufacturers are responding to this demand by creating innovative and high-quality packaging solutions that cater to the needs of e-commerce businesses. Moreover, advancements in technology have enabled manufacturers to create more innovative and sophisticated packaging solutions, such as smart packaging, that can provide information or interact with the consumer. This has led to a rise in demand for high-tech luxury packaging solutions that offer a unique and personalised experience for the recipient.

• For instance, in 2021, Crown Holdings, Inc. launched a new range of metal packaging solutions, including gift packaging, that are designed to be more sustainable and environmentally friendly.

MARKET DYNAMICS: KEY RESTRAINTS

High Costs, Limited Recyclability, Customization Options, and Increasing Competition to Restrict Market Growth

The luxury plastic and metal gift packaging market faces several key restraints that are challenging its growth. One of the major challenges is the high cost of luxury plastic and metal gift packaging solutions, which can limit the demand for these products in price-sensitive markets. Additionally, some luxury plastic and metal gift packaging solutions are not easily recyclable, creating environmental concerns and limiting their adoption in markets where sustainability is a top priority. Another challenge is the limited customisation options available for these products, which often require specialised manufacturing processes, making customisation more difficult, particularly for smaller orders. Furthermore, the Luxury Plastic and Metal Gift Packaging market is becoming increasingly competitive, with new players entering the market and established players expanding their offerings, which can limit growth opportunities for existing players and create challenges for new entrants.

How are Segments Performing in the Global Luxury Plastic and Metal Gift Packaging Market?

Type Segment Analysis

According to Cognitive Market Research, rigid packaging held the major market share over the forecast period. It refers to packaging solutions that are stiff and do not bend easily, such as boxes, cases, and containers. Rigid packaging is preferred for luxury gift items as it provides a premium look and feel and offers better protection for the product. Rigid packaging is also more customisable than flexible packaging, allowing for a wider range of design options and finishes. The growing demand for premium gifting items, coupled with the increasing focus on sustainability, has led to a rise in demand for eco-friendly and biodegradable rigid packaging solutions.

Flexible packaging is the fastest-growing category over the forecast period. Flexible packaging refers to packaging solutions that can be easily bent or folded, such as pouches, bags, and sleeves. The flexible packaging segment is growing rapidly due to its versatility, convenience, and lower cost compared to rigid packaging solutions. Flexible packaging is also more lightweight, which reduces transportation costs and carbon footprint. Additionally, flexible packaging allows for more efficient use of materials, reducing waste and improving sustainability. The growing demand for e-commerce and online shopping has also contributed to the growth of the flexible packaging segment, as it provides a more convenient and cost-effective option for shipping and handling.

Application Segment Analysis

According to Cognitive Market Research, cosmetics and fragrances hold a prominent market share. They are often sold as luxury items and require high-end packaging solutions that enhance the perceived value of the product and create a premium experience for the customer. The cosmetics and fragrances segment has a high demand for luxury plastic and metal gift packaging solutions, such as perfume bottles, cosmetic jars, and lipstick cases, which are often designed with intricate details and finishes. This segment is also characterised by a high level of customisation, with brands often seeking unique and innovative packaging solutions to differentiate their products from competitors.

Gourmet food and drinks is the fastest-growing category over the forecast period. This segment has a growing demand for luxury plastic and metal gift packaging solutions that enhance the perceived value of the product and create a premium experience for the customer. The gourmet food and drinks segment is characterised by a high level of customisation, with brands often seeking unique and innovative packaging solutions to differentiate their products from competitors. Moreover, the growing trend of gifting gourmet food and drinks products is driving the demand for luxury packaging solutions in this segment.

Which Region Dominates the Market in 2023, and Which Region is Expanding at the Fastest CAGR?

According to Cognitive Market Research, North America dominated the market in 2023 and accounted for around 40% of the global revenue. The region is characterised by a high demand for luxury goods, particularly in the cosmetics and fragrances, confectionery, and premium alcoholic drinks segments. The North American market is also driven by the growing trend of gifting premium products and the increasing focus on sustainability in the packaging industry. In recent years, there has been a shift towards eco-friendly and sustainable packaging solutions in the North American Luxury Plastic and Metal Gift Packaging market. The demand for biodegradable and compostable packaging solutions has been increasing due to the growing awareness of the environmental impact of plastic packaging.

Asia Pacific is the fastest-growing category. The region is characterised by a growing middle class, increasing disposable income, and a strong demand for luxury goods, particularly in the cosmetics and fragrances, watches and jewellery, and gourmet food and drinks segments. The Asia Pacific market is also driven by the increasing trend of gifting premium products, particularly during festive seasons such as Chinese New Year and Diwali. Moreover, the rise of e-commerce and online shopping in the region has led to an increased demand for flexible and durable packaging solutions that are suitable for shipping and handling. 

COMPETITIVE LANDSCAPE: LUXURY PLASTIC AND METAL GIFT PACKAGING MARKET

The market is characterised by intense competition, with companies constantly innovating and investing in research and development to offer unique and innovative packaging solutions to meet the evolving demands of the market. The companies operating in the market are investing in research and development to offer sustainable and eco-friendly packaging solutions to meet the growing demand for sustainable packaging.

• In 2020, TricorBraun Holdings, Inc. acquired Price Container and Packaging, a manufacturer and distributor of rigid plastic packaging products, including gift packaging.

Some Prominent Players in the Global Luxury Plastic and Metal Gift Packaging market include:

• Amcor 
• Berry Global
• Mondi Group
• Sealed Air Corporation
• Crown Holdings, Inc.
• Gerresheimer AG
• Smurfit Kappa Group 
• Sonoco Products Company 
• Ardagh Group
• Coveris Holdings S.A. 
• DS Smith Plc
• Silgan Holdings Inc 

Market Summary:

• The global luxury plastic and metal gift packaging market will expand significantly by 5.50% CAGR between 2023 and 2030.
• The demand for luxury plastic and metal gift packaging is rising due to the numerous strategies adopted by key participants.
• Demand for cosmetics and fragrances remains higher in the luxury plastic and metal gift packaging market.
• The rigid packaging category held the highest luxury plastic and metal gift packaging market revenue share in 2023.
• North American luxury plastic and metal gift packaging will continue to lead, whereas the Asia Pacific luxury plastic and metal gift packaging market will experience the most substantial growth until 2030.

SEGMENTATION: Luxury Plastic and Metal Gift Packaging Market

Type Outlook:

• Rigid Packaging 
• Flexible Packaging 

Application Outlook:

• Cosmetics and Fragrances 
• Confectionery
• Premium Alcoholic Drinks
• Tobacco
• Gourmet Food and Drinks 
• Watches and Jewellery 
• Others 

Frequently asked questions regarding the global luxury plastic and metal gift packaging market

1. What is the market size for the luxury plastic and metal gift packaging market in 2023?

Answer- The global market size for luxury plastic and metal gift packaging in 2023 was 20.2 USD billion.

2. What is the growth rate for the luxury plastic and metal gift packaging market over the forecast period?

Answer- The global luxury plastic and metal gift packaging market is expected to grow with a CAGR of 5.50% over the projected period.

3. Which is the leading region of the market for luxury plastic and metal gift packaging?

Answer- North America held a significant global luxury plastic and metal gift packaging market revenue share in 2023.

4. Which region is projected to detect the fastest growth in the luxury plastic and metal gift packaging market over the forecast period?

Answer- Asia Pacific will witness the fastest growth of the global luxury plastic and metal gift packaging market over the coming years.

5. Which country is leading in the luxury plastic and metal gift packaging market in 2023?

Answer- The US had the most significant global luxury plastic and metal gift packaging market revenue share in 2023.

6. What are the key drivers for the growth of the luxury plastic and metal gift packaging market?

Answer- The main drivers of the growth of the luxury plastic and metal gift packaging market are desire for unique and attractive packaging solutions, as well as the growing trend of gifting luxury items.

7. Which is the significant luxury plastic and metal gift packaging market segment by type?

Answer- The rigid packaging segment had the largest share in the global luxury plastic and metal gift packaging market by type.

8. Which is the significant segment in the luxury plastic and metal gift packaging market by application?

Answer- In 2023, the cosmetics and fragrances segment had a significant revenue share in the global luxury plastic and metal gift packaging market in terms of application.

Regional Insights

• North America

According to Cognitive Market Research, the global Luxury Plastic and Metal Gift Packaging market size was estimated at USD 20.2 Billion, out of which North America held the major market of more than 40% of the global revenue with a market size of USD 8.08 billion in 2023 and will grow at CAGR of 4.0% from 2023 to 2030. The region has a high demand for luxury goods, particularly in the cosmetics and fragrances, confectionery, and premium alcoholic drinks segments. This demand drives the need for high-end packaging solutions that enhance the perceived value of the products and create a premium experience for the customer. According to Cognitive Market Research, the gourmet food and drinks segment is the fastest-growing segment by application in the North American Luxury Plastic and Metal Gift Packaging market. This segment has a growing demand for luxury plastic and metal gift packaging solutions that enhance the perceived value of the product and create a premium experience for the customer. In conclusion, the North American Luxury Plastic and Metal Gift Packaging market is expected to continue to grow in the coming years, driven by these growth factors and the increasing demand for luxury goods and sustainable packaging solutions.

• Europe

According to Cognitive Market Research, with a market value of USD 20.2 billion in 2023 and projected to expand at CAGR of 4.20% from 2023 to 2030, Europe accounted for a share of over 30% of the global market size of USD 6.06 billion. The European market is driven by the growing trend of gifting premium products, particularly during festive seasons such as Christmas and Valentine's Day. This trend drives the need for luxury plastic and metal gift packaging solutions that are unique, innovative, and customizable. According to Cognitive Market Research, the growth of e-commerce and online shopping in the region has led to an increased demand for flexible and durable packaging solutions that are suitable for shipping and handling. In conclusion, the European Luxury Plastic and Metal Gift Packaging market is expected to continue to grow in the coming years, driven by these growth factors, such as increasing focus on sustainability, technological advancements, and the increasing demand for luxury goods and sustainable packaging solutions. 

• Asia Pacific

According to Cognitive Market Research, the global Luxury Plastic and Metal Gift Packaging market size was estimated at USD 20.2 Billion, out of which Asia Pacific held the market of more than 22% of the global revenue with a market size of USD 4.44 billion in 2023 and will grow at CAGR of 6.80% from 2023 to 2030. The region is characterised by a growing middle class, which is driving the demand for luxury goods and packaging solutions. The middle class is increasingly willing to pay a premium for high-quality products, particularly in the cosmetics and fragrances, watches and jewellery, and gourmet food and drinks segments. According to Cognitive Market Research, the flexible packaging segment is expected to continue to grow at a faster rate than the rigid packaging segment in the Asia Pacific Luxury Plastic and Metal Gift Packaging market, driven by the increasing demand for convenience and sustainability in the packaging industry. In conclusion, the Asia Pacific market is driven by the increasing trend of gifting premium products, particularly during festive seasons such as Chinese New Year and Diwali. Moreover, the rise of e-commerce and online shopping in the region has led to an increased demand for flexible and durable packaging solutions that are suitable for shipping and handling.

• Latin America

According to Cognitive Market Research, the global Luxury Plastic and Metal Gift Packaging market size was estimated at USD 20.2 Billion, out of which Latin America market of more than 5% of the global revenue with market size of USD 1.01 billion in 2023 and will grow at CAGR of 5.20% from 2023 to 2030. The increasing disposable income of consumers in the region is driving the demand for luxury goods and packaging solutions. This trend is particularly evident in emerging economies such as Brazil, Mexico, and Argentina, where the middle class is growing rapidly. Moreover, technological advancements in the packaging industry, such as 3D printing, are also driving the growth of the Latin America Luxury Plastic and Metal Gift Packaging market. These advancements enable packaging companies to offer unique and innovative packaging solutions that meet the evolving demands of the market. According to Cognitive Market Research, flexible packaging segment is the fastest-growing segment by type in the Latin America Luxury Plastic and Metal Gift Packaging market. Flexible packaging refers to packaging materials that are pliable and can be easily shaped, such as plastic films, paper, and aluminum foils. This segment has a growing demand for luxury plastic and metal gift packaging solutions that are flexible, lightweight, and durable. In conclusion, the Latin America Luxury Plastic and Metal Gift Packaging market is expected to continue to grow in the coming years, driven by these growth factors and the increasing demand for luxury goods and sustainable packaging solutions. However, the market is also facing challenges such as political instability, economic volatility, and regulatory issues that may impact the growth of the market in the short term.

• Middle East and Africa

According to Cognitive Market Research, the global Luxury Plastic and Metal Gift Packaging market size was estimated at USD 20.2 Billion out of which Middle East and Africa held the major market of more than 3% of the global revenue with a market size of USD 0.61 billion in 2023 and will grow at CAGR of 5.40% from 2023 to 2030. The region has a high demand for luxury goods, particularly in the cosmetics and fragrances, confectionery, and premium alcoholic drinks segments. This demand drives the need for high-end packaging solutions that enhance the perceived value of the products and create a premium experience for the customer. According to Cognitive Market Research, cosmetics and fragrances segment is the fastest-growing segment by application in the Middle East and Africa Luxury Plastic and Metal Gift Packaging market. This segment has a growing demand for luxury plastic and metal gift packaging solutions that are innovative, elegant, and customizable. In conclusion, the Middle East and Africa Luxury Plastic and Metal Gift Packaging market is expected to continue to grow in the coming years, driven by these growth factors and the increasing demand for luxury goods and sustainable packaging solutions. However, the market is also facing challenges such as political instability, economic volatility, and regulatory issues that may impact the growth of the market in the short term.