Food Packaging Innovations
Food packaging is big business in Australia. Comprising over 65% of all packaging in the country, and worth between $10 and $10.5 billion. Modern packaging is increasingly finding new ways to innovate itself to better accommodate consumer needs. These innovations include steps toward sustainability with recyclable materials, improved personalisation, and an adoption of new technologies. This is largely due to the evolving nature of new regulations and the growing changes in customer behaviour. There is also much room for future innovation in food packaging, with businesses continuing to leverage exciting, new technologies for future endeavours.
Current Innovations in Food Packaging
The food packaging industry is rapidly altering, particularly with new regulations and a changing consumer culture. The following innovations are at the cutting edge of the industry:
Minimalist packaging – Growing in popularity, the rise in minimalist packaging prioritises simplicity by stripping back excess materials to focus on simple designs that are sustainability sourced. Using just a single type of material, such as recycled paper, makes recycling more efficient and straightforward. The ethos of minimalist packaging is not to downgrade on your food packaging’s durability or overall quality, but rather to remove redundant materials for easier recyclability. This makes it a great design choice for businesses looking to modernise their packaging. Minimalist packaging is also highly effective within the e-commerce market because of its compact, single-material packaging.
Companies such as Scarecrow Foods have shown the power of minimalist packaging. Mostly known for their brand of popcorn, “PopBox”, which can be found in Woolworths stores nationally, Scarecrow Foods has developed a sleek, minimalist design. Not only is their PopBox simple, but it is principally made from sustainable materials to make recycling easier than ever before. PopBox also continues to innovate their packaging in unique ways. Such as designing a new vented box, which helps to prevent popcorn from sweating during the microwave process. These design choices not only keep their packaging sleek and efficient, but help to improve the quality of their food.
Biodegradable material – Food packaging made with biodegradable materials can be broken down naturally into water, biomass, or into the atmosphere without leaving harmful residue. Using biodegradable materials is much more beneficial to the environment than conventional plastic and is a great way to reduce the impact of packaging waste. Plastic packaging can also potentially release harmful microplastics into your food, which contain toxic chemicals that may be harmful if ingested. Biodegradables materials that can be safely used include natural substances such as cornstarch, bamboo, olive skin or sugarcane fiber.
Tasmanian apple producer R&R has adopted compostable packaging, with their bags made from the plant-based PLA (polylactic acid), which is derived from corn or sugarcane. Their bags can be found within Woolworths stores nationally under the Macro Organic brand.
Reusable packaging – As a way to reduce waste, businesses are turning to reusable or refillable packaging as a strategy. This form of design encourages consumers not to throw away their packaging, but rather to reuse it. This creates a circular economy, which not only benefits the consumer but can help reduce the negative impact of packaging on the environment. Coffee cups are a great example of the benefits of reusable packaging, with coffee shops across the country regularly offering discounts for customers who use the same cup.
RePlated is an Australian-based startup company that is focusing on making reusable takeaway packaging made from recyclable materials. Through this system, the company will accept customers returning packages for cleaning and reuse, with the aim of reducing single-use packaging that degrades the environment.
Smart technology – A new form of packaging, described as “smart packaging,” has transformed products into an interactive platform. Particularly within the e-commerce industry, sensors are being built directly into packaging to allow businesses to track in real-time the safety and quality of their product. Sensors can smartly identify changes in temperature or bacterial growth to alert consumers to any potential dangers. Businesses are also placing QR codes on the outside of their products, which can deliver information on a product’s details or the sustainable measures in place.
BlakBear is a UK based company that has specialised in developing sensors within paper that can be placed inside packaging to monitor the freshness of food. Their sensors were the first of their kind to directly measure potential food spoilage by tracking the humidity and gases within the package.
Raw meat packaging – Some of the major changes in the food packaging industry have been innovations in raw meat. Australia is one of the largest meat eaters in the world, consuming an average of 23.7 kg of beef per capita. Traditionally, raw meat had been packaged with detachable plastic pads which help to absorb any juices. Recent developments have shifted towards more sustainable solutions which aim to reduce the amount of unrecycled waste.
One key innovation has replaced the need for a detachable plastic pad by making the entire tray retain the juices through specifically designed well cavities. Located at the base of the tray, these well cavities can capture the juices without the need for absorbent pads. These trays are manufactured with 100% recycled #1 PET plastic and compostable materials.
In Australia, a new collaboration between sustainable packaging company Pact Group and Woolworths, hopes to establish a circular economy with these new trays. Currently 90% of meat tray packaging goes to landfill, with Pact Group’s initiative making it possible for meat to be collected, recycled and then manufactured into new trays for supermarkets. This advancement helps to preserve meat’s freshness, texture, colour and nutritional quality in a sustainable way.
Personalisation – With customers increasingly valuing personal control over their food packaging, businesses are innovating their products by introducing greater tools for personalisation. Digital printing services, in particular, allow customers to choose their own designs, colour, or branding elements to suit their needs. Particularly if customers want to tailor their food packaging to fit a certain occasion or individual preference. These packaging designs are great for building a rapport with customers.
King Tide Brewing, based in New South Wales, allows customers to create their own custom-label craft beer can from scratch. Companies such as King Tide are leading the way toward building a stronger relationship between the business and the client, crafting uniquely creative ideas for brand connection.
Delivery optimised packaging – Food packaging is also being optimised to suit the rise in e-commerce deliveries. Particularly for packaging food and beverages, businesses are looking for containers that are designed to minimise spillage and maintain the product’s quality during travel. They are also designing packaging that can keep the food secure, while also being easily transportable for delivery companies.
Available to Australian businesses, ZenPacks provides sustainable food packaging designed for takeaway. Their packaging includes food containers and takeaway bags, and is made not just to improve the environment with their compostable materials, but to be easily transportable due to their simple design that prioritises durability.
Insulated and temperature-controlled packaging – A range of temperature-controlled packaging is finding its way into the food industry. At its most basic level, insulated and cold chain packaging involves a standard box that is lined with a chilled or ice-filled pack. This provides proper insulation for the food stored within and protects it from any heat or cold that may dramatically affect a product’s temperature. Particularly with the rise of online deliveries, insulated packaging is a growing innovation.
Manufactured in Australia and New Zealand, Woolpack uses wool insulation to protect their clients’ food and beverages. Just as sheep rely on their wool to regulate body temperature, Woolpack packaging is lined with natural wool to help maintain the temperature of its contents. The wool keeps contents below 5°C for over 24 hours and is also both recyclable and compostable.
Unboxing experience – The entire unboxing experience has become a significant innovation for companies looking to strengthen their bond with customers. First impressions are everything, particularly within packaging design, so to incorporate an unboxing feature as a customer’s first point of contact can be a unique way to build brand loyalty. An effective unboxing design remains easy to open while still protecting your food inside.
Pakko, is an Australian packaging company who have made the unboxing experience a key part of their ethos. Particularly in the service of clients, Pakko’s unboxing is focused on being fully customisable, while also remaining 100% biodegradable.
What is Driving Innovation in Food Packaging?
Food packaging innovation can be the result of a variety of driving factors. Currently, a range of regulatory changes, customer demands and cost control measures are influencing this shift. The following are the key drivers of new innovation:
Pressures under regulations – Under Australian regulations, companies are encouraged to adopt specific packaging that promotes sustainability, prevents waste, and reduces our impact on the environment. Currently, Australia has regulations set under the Australian Packaging Covenant Organisation (APCO). The APCO was directly established to reduce packaging’s environmental impacts. Under the APCO, National Packaging Targets were laid out to achieve 100% reusable, recyclable, or compostable packaging by 2025. If businesses fail to comply with the APCO’s targets, they face being referred to state environmental agencies or being removed from the covenant altogether.
Customer sustainability pressures – Recent statistics show that 81% of consumers are demanding sustainable packaging, increasing pressures on businesses to meet these demands. This shift in consumer behaviour can be largely attributed to a growing environmental awareness, driven by social media or global eco-movements. Generational shifts are also a massive factor. Younger consumers, particularly those from Generation Z and millennials, are much more likely to prioritise sustainably sourced packaging. A recent survey of 150 Gen Zs found that 94% prioritise sustainable packaging. As the number of younger consumers grows, food packaging innovations will need to grow with them.
Desire for cost control – Companies are always looking for ways to create new innovations that drive down costs. For instance, the implementation of sustainable materials can be viewed as a cost-control decision. Although they generally cost more than conventional packaging, their long-term savings through reduced waste management fees and grants make them a great choice for cost control.
Online shopping boom – The global shopping boom and the rise of e-commerce has also altered the way we view food packaging. Currently, the Australian food e-commerce revenue is expected to sit at around $7.5 billion AUD dollars, and is expected to grow by a further $5.4 billion by 2029. Today, customers are looking for food packages they can grab quickly without sacrificing quality, making thoughtful packaging design a vital asset for businesses.
Food safety concerns – The desire to increase the safety and quality of food will continue to be a driving force for new innovations. Particularly when dealing with food, safety and hygiene are key concerns. For instance, the growing studies on the viability of nanotechnology to reduce the buildup of bacteria are born out of a desire to maintain food safety.
Future Trends of Food Packaging
As we look towards the future, food packaging will continue to be on the cutting edge of innovation in the following ways:
Automation and AI technology – Moving forward, it is increasingly likely that our manufacturing process will become dominated by automated systems and AI. For manufacturing, this change toward fully automated systems could potentially save companies valuable money spent on manual labour.
Smart packaging will also continue to expand toward greater interactivity. For instance, interactive packaging could move beyond just QR codes to incorporate more futuristic forms of engagement, such as augmented reality (AR). This new AR technology could potentially bring consumers even closer to the brand, with new games, recipes, virtual tours, and other immersive experiences that bring the packaging to life.
Nanotechnology – One of the most exciting developments for the future of food packaging is the emergence of nanotechnology. This refers to manipulating materials within the packaging at a molecular level to create brand-new materials with unique characteristics. This is exciting for food packaging manufacturers because nanotechnology can be used to greatly enhance a product’s safety and protection from bacteria. For example, nanocellulose is an environmentally friendly nanoparticle that has been found to reduce the effects of gases and aroma on food.
3D printing – With customers desiring a more unique packaging experience, 3D technology will continue to grow as an exciting prospect. Recent innovations have allowed 3D printing to be conducted while using biodegradable materials such as polylactic acid (PLA). 3D printing is also incredibly streamlined, with prototypes that can be made directly from a single digital design at a faster rate, without the need for a traditional manufacturing process that combines different elements. 3D printing for food packaging still has plenty of room to grow, but could emerge as an exciting eco-positive alternative.
Future Challenges
Any adoption of fresh innovation comes with its fair share of challenges. The following is a list of the challenges businesses face when adopting these new innovations going forward:
Cost – Upfront costs for switching to different packaging innovations remain a concern for businesses. Currently, sustainable packaging generally costs more than conventional packaging. While conventional packaging often uses the cheapest, most readily available materials such as plastic, sustainable packaging is generally more specialised and expensive to source. Sustainable materials such as plant products do not have the same demand as plastic, therefore, manufacturers will have to charge more. These higher upfront costs remain a big barrier for businesses looking to adopt these new innovations, with 43% of brands citing cost as their biggest challenge to making the switch.
Stricter environmental regulations – Australian packaging regulations will continue to be a future challenge. Under the APCO, they aimed to reach 100% sustainable packaging by 2025 under the National Packaging Targets. These targets were a guide for businesses to move strongly towards more sustainable solutions. Currently, these aims have not been met by 2025, with the APCO developing new targets for 2030. The covenant has also mentioned it would continue to reach out to the Australian government for tougher regulations, which will certainly impact businesses going forward.
Technology adoption – Not only is the cost of introducing new technology substantial, but there are also considerable challenges for maintaining privacy. With smart technology using sensors and tags to collate various information, packaging companies will have to ensure their data is safe and secure. In addition to privacy concerns, if technology is to be widely adopted, it requires widespread collaboration between each chain of the packaging process; between manufacturers, retailers, and consumers.
Customer perception – For a growing consumer base that is increasingly valuing sustainable materials, providing full transparency is a great way to position your brand as a leader in the packaging space. Any lack of clarity over where food packaging was outsourced could potentially put customers off buying their product. To combat this, companies should ensure their product has transparent packaging to address their food waste, sustainability, and environmental cause. For instance, using simple QR codes that track the origin of the product can be a great tool for transparency.
Food packaging is changing rapidly and will continue to innovate. With the adoption of new materials and technologies under the cloud of stricter regulations, businesses are prioritising sustainability and efficiency within their innovations. As leaders in the packaging design space, Brandwell should be your first point of call if you’re looking to kickstart your next innovation.