Connected Packaging Market
By Type;
Active Packaging, Interactive Packaging and Intelligent PackagingBy Technology;
QR Code, NFC and RFIDBy End-User;
Food & Beverages, Healthcare, Personal Care & Cosmetics, Consumer Electronics and OthersBy Geography;
North America, Europe, Asia Pacific, Middle East & Africa and Latin America - Report Timeline (2021 - 2031)Connected Packaging Market Overview
Connected Packaging Market (USD Million)
Connected Packaging Market was valued at USD 48,167.94 million in the year 2024. The size of this market is expected to increase to USD 68,686.00 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 5.2%.
Connected Packaging Market
*Market size in USD million
CAGR 5.2 %
Study Period | 2025 - 2031 |
---|---|
Base Year | 2024 |
CAGR (%) | 5.2 % |
Market Size (2024) | USD 48,167.94 Million |
Market Size (2031) | USD 68,686.00 Million |
Market Concentration | Medium |
Report Pages | 323 |
Major Players
- BALL CORPORATION
- Amcor plc
- BASF SE
- Graham Packaging Company
- Avery Dennison Corporation
- Emerson Electric Co
- American Thermal Instruments
Market Concentration
Consolidated - Market dominated by 1 - 5 major players
Connected Packaging Market
Fragmented - Highly competitive market without dominant players
The Connected Packaging Market is witnessing strong growth as companies leverage smart packaging technologies to boost transparency, engagement, and safety. About 63% of manufacturers now use solutions like QR codes, NFC tags, and smart labels to deliver real-time data and interactive content. This reflects the increasing role of packaging as a digital communication tool.
High Growth in Consumer Interaction
Customer engagement is a major driver, with 67% of connected packaging designed for interactive marketing, loyalty rewards, and personalized promotions. These features enhance consumer experiences and foster brand loyalty.
Focus on Safety & Authentication
Security applications account for 56% of adoption, where connected packaging enables anti-counterfeiting, authenticity checks, and tamper detection. These features ensure product integrity and consumer confidence.
Technological Integration Driving Innovation
Innovation is accelerating, with 49% of solutions incorporating IoT platforms, data analytics, and sensor-enabled tracking. These advancements enhance visibility, optimize logistics, and provide valuable consumer insights.
Sustainability & Broader Applications
Beyond safety and engagement, 46% of adoption involves eco-tracking, recycling guidance, and sustainability communication. This demonstrates how connected packaging is evolving into a tool for both digital engagement and environmental responsibility.
Connected Packaging Market Recent Developments
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In December 2022, P&G introduced a new line of connected packaging for household products, enabling consumers to track product usage and receive personalized offers.
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In June 2021, Avery Dennison Corporation acquired Scansource, a leading provider of RFID technology, expanding its capabilities in connected packaging solutions.
Segment Analysis
The Global Connected Packaging Market is segmented by Type into Active Packaging, Interactive Packaging, and Intelligent Packaging, each offering distinct benefits for enhancing consumer experience and product preservation. Active Packaging is primarily used to extend shelf life and maintain the quality of products by interacting with the contents to slow down spoilage, such as by releasing or absorbing gases. This type of packaging is widely used in the Food and Beverages sector, where maintaining freshness and preventing contamination is crucial. Interactive Packaging, on the other hand, aims to engage consumers by offering a more personalized experience, typically through the use of QR codes, NFC, or other digital technologies. It allows brands to provide detailed product information, promotions, or even loyalty programs, fostering consumer interaction and enhancing brand loyalty. Intelligent Packaging integrates sensors and monitoring technologies to provide real-time data on the product’s condition, such as temperature, humidity, or expiration status. This type of packaging is especially valuable for perishable goods in the food industry, ensuring that products are consumed at their optimal quality.
In terms of Technology, the market is segmented into QR Code, NFC (Near Field Communication), and RFID (Radio Frequency Identification), each playing a key role in connected packaging solutions. QR Codes are the most widely adopted technology due to their simplicity and cost-effectiveness, providing consumers with easy access to additional product details, such as ingredients, sourcing, and usage instructions. NFC technology offers a more seamless and interactive consumer experience, allowing for quick communication between the packaging and smartphones or other devices. NFC is increasingly popular in the Food and Beverages sector, where it is used for offering personalized promotions or product authentication. RFID, while more expensive, is highly effective for tracking and managing inventory, particularly in large-scale supply chains. It provides real-time data on product location and status, improving logistics and inventory management, and is used in situations where high-value or sensitive products require advanced tracking.
The Food and Beverages industry is one of the largest end-users in the connected packaging market, benefiting from all three packaging types—active, interactive, and intelligent. Active packaging helps preserve freshness, extending the shelf life of products like fresh produce, dairy, and snacks. Interactive packaging enhances the consumer experience by enabling engagement through smartphone apps, providing nutrition facts, product origin, or promotional offers. Intelligent packaging is particularly important for perishable items like meat or dairy products, as it ensures that the product is consumed within its optimal freshness window. As consumer demand for transparency, convenience, and sustainability grows, the Food and Beverages sector is increasingly adopting connected packaging solutions to differentiate their products, optimize supply chains, and improve customer engagement. This trend is driving the overall growth of the connected packaging market, with technology serving as a key enabler across various segments.
Global Connected Packaging Segment Analysis
In this report, the Global Connected Packaging Market has been segmented by Type, Technology, Application and Geography.
Global Connected Packaging Market, Segmentation by Type
The Global Connected Packaging Market has been segmented by Type into Active packaging, Interactive packaging and Intelligent packaging.
Within the connected packaging market, segmentation into active packaging, interactive packaging, and intelligent packaging delineates the varying degrees of technological integration and functionality. Among these segments, intelligent packaging emerges as the dominant and fastest-growing segment, driven by the widespread adoption of smart labels and RFID tags across diverse end-use industries.
The increasing deployment of smart labels and RFID tags in sectors such as manufacturing, healthcare, warehousing, and food & beverages fuels the growth of the intelligent packaging segment. In manufacturing, intelligent packaging solutions enhance supply chain visibility and product traceability, facilitating inventory management and quality control processes. Similarly, in the healthcare sector, intelligent packaging enables the monitoring of medication adherence, ensures product authenticity, and enhances patient safety through real-time data tracking and authentication.
Furthermore, the food & beverage industry leverages intelligent packaging to improve product safety, extend shelf life, and enhance consumer engagement. RFID tags and smart labels embedded in packaging enable manufacturers to monitor product freshness, track temperature fluctuations, and provide consumers with detailed product information and safety alerts. As a result, the intelligent packaging segment is expected to continue its rapid expansion, driven by the growing demand for advanced packaging solutions that offer enhanced functionality, security, and consumer interaction.
Global Connected Packaging Market, Segmentation by Technology
The Global Connected Packaging Market has been segmented by Technology into QR Code, NFC, and RFID.
The Global Connected Packaging Market is segmented by Technology into QR Code, NFC (Near Field Communication), and RFID (Radio Frequency Identification), each offering unique advantages for product tracking, consumer engagement, and supply chain management. QR Codes are among the most commonly used technologies in connected packaging due to their simplicity and widespread adoption. By scanning a QR code on packaging, consumers can access product information, promotional offers, or even verify product authenticity. This technology is highly effective in the food and beverage industry, where it is used to provide detailed information on ingredients, sourcing, and sustainability practices, enhancing transparency and building consumer trust.
NFC is a more advanced form of wireless communication that allows for close-range interactions between packaging and smartphones or other NFC-enabled devices. With NFC-enabled packaging, brands can offer a more seamless and interactive experience, such as one-touch product authentication, personalized offers, or direct communication with customers. This technology is gaining traction in industries like cosmetics, luxury goods, and pharmaceuticals, where enhanced security and consumer engagement are critical. NFC also provides valuable insights into consumer behavior and product usage, making it a powerful tool for marketers seeking to understand customer preferences and boost brand loyalty.
RFID, on the other hand, is primarily used for tracking and managing inventory across the supply chain, offering enhanced capabilities in logistics, stock management, and anti-counterfeiting efforts. RFID-enabled packaging provides real-time data on product location and status, reducing the risk of theft or loss, and improving overall supply chain efficiency. In addition to inventory management, RFID can enhance consumer experiences by providing interactive product information and enabling more efficient point-of-sale transactions. This technology is particularly valuable in industries like retail, healthcare, and logistics, where accurate tracking and real-time visibility are crucial. Each of these technologies—QR Code, NFC, and RFID—offers different advantages based on the needs of brands and consumers, driving the growth of the connected packaging market.
Global Connected Packaging Market, Segmentation by Application
The Global Connected Packaging Market has been segmented by Application into Food and beverages.
Food and beverages stand as the leading segments within the global connected packaging market, reflecting the critical role of packaging in ensuring product quality and safety throughout the supply chain. The increasing emphasis on maintaining the quality and safety of packaged food and beverage products, from manufacturing to consumption, serves as a primary driver for the growth of this segment. Connected packaging solutions enable manufacturers and consumers alike to monitor and track crucial information such as product freshness, temperature control, and expiration dates, thereby enhancing the overall safety and integrity of packaged goods.
As consumers become more discerning about the products they consume, there is a growing demand for transparency and traceability in the food and beverage industry. Connected packaging technologies such as RFID tags, smart labels, and QR codes provide consumers with access to detailed information about the origin, ingredients, and nutritional content of packaged products. This increased transparency not only fosters consumer trust and confidence but also empowers individuals to make informed purchasing decisions based on their specific dietary preferences and requirements. As a result, the food and beverage segment of the connected packaging market is poised for continued growth as manufacturers and consumers alike prioritize quality, safety, and transparency in packaged products.
Global Connected Packaging Market, Segmentation by Geography
In this report, the Global Connected Packaging Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa and Latin America.
Global Connected Packaging Market Share (%), by Geographical Region, 2024
North America emerges as the dominant force in the global connected packaging market, driven by rapid expansion across various industries such as food & beverages, automotive, logistics, and pharmaceuticals. The region's advanced infrastructure, technological innovation, and robust consumer demand for enhanced packaging solutions contribute to its leadership position in the market.
Meanwhile, Asia Pacific stands out as the fastest-growing region in the connected packaging market, propelled by factors such as increasing consumer buying power and growing concerns regarding health and safety. As economies in the region continue to develop and urbanize, there is a heightened focus on adopting advanced packaging technologies to meet evolving consumer preferences and regulatory standards. This burgeoning demand for connected packaging solutions across industries like food & beverages, healthcare, and e-commerce drives the rapid growth trajectory observed in Asia Pacific.
Europe is expected to experience moderate growth in the connected packaging market, primarily due to the increasing government emphasis on improving packaging quality and sustainability standards. The region's stringent regulations and focus on environmental conservation drive the adoption of innovative packaging solutions that offer greater functionality and reduced environmental impact.
The Latin American connected packaging market is buoyed by rising disposable incomes and the consequent development of the pharmaceutical industry. As consumers in the region seek higher-quality products and improved packaging solutions, there is a growing demand for connected packaging technologies that enhance product safety, authenticity, and consumer engagement.
Middle East & Africa are anticipated to witness steady growth in the connected packaging market, driven by the region's expanding food, beverages, and personal care industries. As consumer preferences evolve and regulatory frameworks evolve, there is an increasing need for connected packaging solutions that offer improved product visibility, traceability, and consumer interaction, contributing to the region's overall market growth.
Market Trends
This report provides an in depth analysis of various factors that impact the dynamics of Global Connected Packaging Market. These factors include; Market Drivers, Restraints and Opportunities Analysis, Market Opportunity Mapping, PEST (Political, Economic, Social and Technological) Analysis and Porter's Five Forces Analysis.
Drivers, Restraints and Opportunities
Drivers:
- Enhanced Consumer Engagement
- Data-driven Insights
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Need for Product Differentiation: In the fiercely competitive market environment of today, brands are continuously exploring avenues to distinguish themselves and capture consumers' attention amidst a sea of options. Connected packaging emerges as a compelling strategy for brands to carve out a distinct identity and leave a lasting impression on consumers. By integrating technologies like NFC, RFID, and QR codes into their packaging, brands can unlock a realm of interactive and personalized experiences for consumers. Through these innovative solutions, brands can offer tailored content, immersive storytelling, and value-added services directly to consumers' mobile devices, creating memorable interactions that resonate with their target audience.
Connected packaging provides brands with a powerful platform to reinforce brand values, convey product stories, and build meaningful connections with consumers. By offering unique and engaging experiences through connected packaging, brands can cultivate brand loyalty and preference among consumers. These personalized interactions foster a sense of exclusivity and belonging, strengthening the emotional bond between consumers and brands. In essence, connected packaging not only sets products apart from competitors but also serves as a catalyst for building long-term relationships and driving customer loyalty in today's hyper-competitive market landscape.
Restraints:
- Complexity and Compatibility Issues
- Data Privacy and Security Concerns
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Limited Consumer Adoption and Awareness: Despite the promising advantages of connected packaging, achieving widespread consumer adoption remains a challenge in certain markets. Many consumers are still unfamiliar with connected packaging technologies and may have concerns regarding privacy and data security. Additionally, some individuals may feel apprehensive about adopting new technologies due to a lack of understanding or confidence in using them effectively. Overcoming these barriers requires concerted efforts to educate consumers about the value proposition of connected packaging and address their concerns through transparent communication and robust privacy measures.
To encourage greater adoption of connected packaging, brands must invest in comprehensive marketing campaigns and consumer education initiatives. This involves clearly communicating the benefits of connected packaging, such as access to product information, enhanced user experience, and personalized content. Moreover, providing user-friendly interfaces and intuitive instructions for interacting with connected products can help alleviate consumer apprehensions and make the technology more accessible and appealing. By investing in marketing, education, and user-friendly interfaces, brands can empower consumers to embrace connected packaging solutions and unlock the full potential of this innovative technology.
Opportunities:
- Data-driven Insights
- Supply Chain Visibility
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Anti-counterfeiting and Product Authentication: Connected packaging plays a vital role in combating the proliferation of counterfeit products and safeguarding product authenticity. By integrating technologies such as RFID and QR codes into packaging, brands empower consumers to verify the genuineness of products before making a purchase. These technologies enable consumers to easily access information about the product's origin, manufacturing details, and authentication status, instilling confidence in the brand and fostering trust among consumers. This transparent approach not only helps to mitigate the risk of purchasing counterfeit goods but also strengthens brand credibility and loyalty.
Connected packaging solutions extend beyond consumer interaction to encompass the entire distribution chain, offering comprehensive tracking and authentication capabilities. By utilizing RFID and other tracking technologies, brands can monitor the movement of products from manufacturing facilities to distribution centers, warehouses, and retail stores. This end-to-end visibility enables brands to detect and prevent counterfeit products from entering the market, thereby safeguarding their brand reputation and protecting consumers from potential harm. Additionally, the ability to track products throughout the supply chain enhances traceability and accountability, enabling brands to respond swiftly to any issues or incidents and uphold the integrity of their products. Overall, connected packaging serves as a powerful tool for ensuring product authenticity, enhancing brand trust, and maintaining consumer confidence in an increasingly complex marketplace.
Connected Packaging Market Competitive Landscape Analysis
Connected Packaging Market is witnessing intensifying competition as packaging firms and technology vendors vie to embed digital functionality into physical goods. Companies deploy targeted strategies, foster collaboration with IoT and supply chain players, and build partnerships to deliver data-rich packaging solutions. With top players controlling over 60% of high-value contracts, innovation and mergers drive long-term growth.
Market Structure and Concentration
The market is moderately concentrated, with leading technology and packaging firms holding around 55% of advanced deployments. This structure incentivizes merger activity and strategic alliances to broaden platform portfolios. Smaller innovators compete through niche offerings, leveraging agile innovation, while incumbents pursue geographic expansion and vertical integration to strengthen their dominance.
Brand and Channel Strategies
Major providers allocate more than 50% of investment to securing deals with consumer goods brands, retailers, and logistics firms. Channels combine direct licensing, platform integration, and partnerships with converters and cloud providers. Through deep collaboration with brand owners and supply chain integrators, they craft tailored strategies to drive adoption across regions and verticals.
Innovation Drivers and Technological Advancements
About 45% of differentiation stems from advances in NFC, QR, RFID, augmented reality, and blockchain for transparency. Firms invest in R&D to push technological advancements that enhance traceability, engagement, and sustainability. This wave of innovation underpins use cases in anti-counterfeiting, consumer experience, and smart logistics, fueling steady growth.
Regional Momentum and Expansion
Asia-Pacific commands over 40% of demand, driven by growth in e-commerce and regulatory push for product traceability. North America holds about 30%, fuelled by advanced retail and pharma ecosystems. Europe maintains close to 20%, supported by digital product passport mandates and sustainability policies. Regional expansion is backed by local alliances and cross-border partnerships.
Future Outlook
The market is poised for sustained growth, with over 65% of participants planning increased investment in fully connected packaging systems and digital ecosystems. Intensifying partnerships, consolidation, and constant innovation will reshape competitive dynamics. Expansion into circular economy, smart retail, and regulatory-driven traceability underscores a compelling future outlook for the sector.
Key players in Connected Packaging Market include
- Amcor plc
- Avery Dennison Corporation
- 3M Company
- Thin Film Electronics ASA
- Huhtamäki Oyj
- Constantia Flexibles
- Tetra Pak (Tetra Laval)
- Ball Corporation
- Klöckner Pentaplast
- Stora Enso
- Temptime Corporation
- Smartrac (Avery Dennison Smartrac)
- Sealed Air Corporation
- WestRock Company
- Mondi Group
In this report, the profile of each market player provides following information:
- Company Overview and Product Portfolio
- Market Share Analysis
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By Type
- Market Snapshot, By Technology
- Market Snapshot, By End-User
- Market Snapshot, By Region
- Connected Packaging Market Dynamics
- Drivers, Restraints and Opportunities
- Drivers
- Enhanced Consumer Engagement
- Data-driven Insights
- Need for Product Differentiation
- Restraints
- Complexity and Compatibility Issues
- Data Privacy and Security Concerns
- Limited Consumer Adoption and Awareness
- Opportunities
- Data-driven Insights
- Supply Chain Visibility
- Anti-counterfeiting and Product Authentication
- Drivers
- PEST Analysis
- Political Analysis
- Economic Analysis
- Social Analysis
- Technological Analysis
- Porter's Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of Substitutes
- Threat of New Entrants
- Competitive Rivalry
- Drivers, Restraints and Opportunities
- Market Segmentation
- Connected Packaging Market, By Type, 2021 - 2031 (USD Million)
- Active Packaging
- Interactive Packaging
- Intelligent Packaging
- Connected Packaging Market, By Technology, 2021 - 2031 (USD Million)
- QR Code
- NFC
- RFID
- Connected Packaging Market, By End-User, 2021 - 2031 (USD Million)
- Food & Beverages
- Healthcare
- Personal Care & Cosmetics
- Consumer Electronics
- Others
- Connected Packaging Market, By Geography, 2021 - 2031 (USD Million)
- North America
- United States
- Canada
- Europe
- Germany
- United Kingdom
- France
- Italy
- Spain
- Nordic
- Benelux
- Rest of Europe
- Asia Pacific
- Japan
- China
- India
- Australia & New Zealand
- South Korea
- ASEAN (Association of South East Asian Countries)
- Rest of Asia Pacific
- Middle East & Africa
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Brazil
- Mexico
- Argentina
- Rest of Latin America
- North America
- Connected Packaging Market, By Type, 2021 - 2031 (USD Million)
- Competitive Landscape
- Company Profiles
- Amcor plc
- Avery Dennison Corporation
- 3M Company
- Thin Film Electronics ASA
- Huhtamäki Oyj
- Constantia Flexibles
- Tetra Pak (Tetra Laval)
- Ball Corporation
- Klöckner Pentaplast
- Stora Enso
- Temptime Corporation
- Smartrac (Avery Dennison Smartrac)
- Sealed Air Corporation
- WestRock Company
- Mondi Group
- Company Profiles
- Analyst Views
- Future Outlook of the Market