Global Window Carton Boxes Market - 2022-2029

Global Window Carton Boxes Market - 2022-2029

Market Overview

Window Carton Boxes Market reached US$ XX million in 2021 and is expected to record significant growth by reaching up to US$ XX million by 2029, growing at a CAGR of 4.00% during the forecast period (2022-2029).

Window packs incorporate the strength and stability of the corrugated, solid board or folding multipack boxes with a visibility panel that enables the client to understand what they are buying. Because the contents are visible, window packaging preserves product integrity by eliminating the need to open packs in-store. Window packaging allows consumers and store personnel in charge of shelf replenishment to identify products easily.

The market's most common window carton boxes are plastic windows and transparent cellulose windows made from wood pulp. Because cellulose window packaging is 100 % recyclable and made from a renewable resource, it has significant environmental benefits. These packs also do not contain mixed materials, allowing the consumer to recycle them after use easily.

Market Dynamics

The global push for sustainability is a major market driver for the global window carton boxes market. However, a higher cost of the raw materials could be a major market restraint.

The global push for sustainability

Sustainable packaging is having an impact on both the environment and the e-commerce industry. Establishing a strong customer relationship is one of the most important factors in a business's growth and success as an e-commerce business. Regarding the global push for sustainability, paper-based packaging such as corrugated boxes has significantly increased in recent years. For instance, Corrugated.org reports that the industry recovery rate for corrugated has been around 90% over the last eight years. Furthermore, there has been a global shift toward more environmentally sustainable working methods in recent years. Major corporations are also increasingly disclosing their greenhouse gas emissions and other energy metrics.

Window packs offer similar strength and stability to various paper boxes with an accessibility panel that offers customers an option to see what they are purchasing. Further, these products can preserve product integrity by eradicating the need to open packs in-store because the contents are visible. Window packaging makes it easy for customers and store personnel to identify products in charge of shelf replenishment. Plastic windows and transparent cellulose windows made from wood pulp are the most common window carton boxes available. Cellulose window packaging has significant environmental benefits because it is 100 % recyclable and made from a renewable resource. These packs also contain no mixed materials, allowing the consumer to recycle them easily after use. The sustainability offered by window carton boxes and the growing global push for the same increase the demand and sales for window carton boxes. The respective factors could be a major market driver for the global window carton boxes market.

Hike in the cost of the raw materials

The window carton box industry is under pressure due to commodity price increases and raw material supply disruptions. The severe shortage and an unprecedented price increase have forced manufacturers to close their doors.

According to sources, kraft paper prices are at an all-time high due to a sharp increase in waste paper prices, erratic supplies and an exponential increase in shipping, fuel, and starch costs. Imported waste prices were US$ 100 per metric ton on January 1, 2020, and US$ 350 per ton on March 1, 2022, representing a 3.5x increase. The respective hike in the cost of raw materials could increase the overall production cost and reduce the manufacturer's profit margin, thus forcing many of them to quit the market or reduce production. Thus, the aforementioned factor could hinder the growth of the global window carton box market.

COVID-19 Impact Analysis

The COVID-19 pandemic, like any other market, had a negative impact on the global window carton boxes market during its initial waves. The following are the key drivers of the market's steady decline during the pandemic:
• Because the production of the window carton boxes has been disrupted, industrial-scale synthesis of window carton boxes requires massive machinery, large-scale industrial reagents and skilled workers. During the pandemic, industry lockdowns and social distancing requirements severely hampered production.
• The global lockdown imposed by the COVID-19 pandemic hampered both the supply of raw materials necessary to manufacture window carton boxes and the supply of finished products. As a result, the demand-supply dynamics in the window carton boxes market were severely impacted.
• Window carton boxes are primarily used in food & beverages, pharmaceuticals & healthcare, personal care, cosmetics and industrial goods. Lockdowns and a lack of raw materials in these industries reduced overall activity in these application sectors, lowering the demand for window carton boxes. However, the global window carton boxes market has grown tremendously since the ban was lifted.

Segment Analysis

The global window carton boxes market is classified based on material, end-user and region.

Growing R&D investments and increasing industrial applications of window carton boxes

When customers stand in front of the racks in a supermarket or shopping center, the packaging of food and beverages catches their attention and influences their food selection behavior. Packaging protects food and extends its shelf life, but it also communicates information such as product attributes, price and promotional messages. Customers can obtain food-related information such as the manufacturer, expiration date, food category and brand, among others, directly from food packaging, which forms the basis of food decision-making.

With increased market competition, food & beverage manufacturers focus more on packaging design to retain existing customers and attract new ones. Food packaging with transparent windows can effectively highlight the actual food inside. The current study investigated whether food packaging with transparent windows has an advantage over packaging with food and non-food graphic windows in the same position and size in capturing consumer attention and determining consumer willingness to purchase. As a result, the demand for window carton boxes is rising exponentially in the food & beverages sector. Thus the respective sector dominates the end-user segment of the global window carton boxes market.

Geographical Analysis

Asia-pacific dominates the regional segment of the global window carton boxes market due to the presence of manufacturing companies, growing industrialization and rising demand for heavy-duty corrugated boxes

Due to the presence of manufacturing companies, growing industrialization and rising population demand for heavy-duty corrugated boxes by the logistic sector in this region, the Asia-Pacific region accounted for the largest market share in the regional segment of the global window carton boxes market. Further, because of the increased consumption of beverage and food products, Asia-Pacific is expected to experience rapid and high growth in the market for cluster packaging.

Packaging goods are expected to be in high demand in developing Asia-Pacific countries because they serve as branding tools and help cut marketing costs. According to the India Brand Equity Foundation Organization, India's logistics costs are estimated to be around US$ 260 billion, accounting for 13 % of India's GDP, while U.S. accounts for only 9% of its GDP.

The aforementioned factor created a massive demand for packaging products such as window carton boxes for logistical development, resulting in easy production. Similarly, the presence of the top window carton box manufacturing companies also boosts the growth rate of the Asia-Pacific even further. Increased import and export of pharmaceuticals, consumer electronics and other items also is a major factor behind the region's domination in the respective market.

Competitive Landscape

In terms of global and local producer numbers and strengths, the global window carton boxes market is extremely competitive due to the presence of major players such as Amcor Ltd, Bemis Company, Inc, Westrock, Wipak, Mondi Group, Smurfit Kappa Group PLC, Klöckner Pentaplast GmbH & Co. KG., Graham Packaging, Berry Plastic Group Inc and Alpha Packaging. The market is fragmented and pivotal market stakeholders use market tactics such as mergers, acquisitions, product launches, contributions and collaborations to gain a competitive advantage and recognition in their respective markets.

For instance, on February 1, 2022, WestRock Company announced proposals to build a new corrugated box plant in Washington, U.S., to meet the increasing demands from Pacific Northwest regional customers.

Mondi

Overview: Mondi is a packaging and paper innovator that creates environmentally friendly packaging and paper solutions. The company manages forests and produces pulp, paper and plastic films to develop and manufacture effective industrial and consumer packaging solutions. The company was established in 1967 and is headquartered in Surrey, UK.

Mondi is a public company with a premium listing on London Stock Exchange (MNDI) and a secondary listing on Johannesburg Stock Exchange (JSE Limited) (MNP). Mondi is an FTSE 100 company that has been a part of the FTSE4Good Index Series since 2008 and the FTSE/JSE Responsible Investment Index Series since 2007. As of 2021, the company hired 26,500 people globally and generated a revenue of US$ 9,133 million.

Product Portfolio:
• Watermelon’s Dream: The product is a corrugated cardboard holding box that provides a unique alternative to conventional solutions and includes a product display window. The special product design provides sustainability benefits by making it simple to assemble and stack onto trucks, reducing transportation costs. Furthermore, the packaging reduces food waste by causing 13% less damage to watermelons in the supply chain.

Key Development:
• On March 24, 2022, Mondi committed €280 million to corrugated packaging businesses in four countries. The investment initiative is a component of Mondi's €1 billion program for expansionary capital investments in sustainable packaging. Around €185 million will be invested across the Corrugated Solutions plant network in central and eastern Europe, as well as €95 million at the containerboard mill owned by Mondi Wiecie in Poland.

Why Purchase the Report?
• To visualize the global window carton boxes market segmentation based on material, end-user and region, as well as understand key commercial assets and players.
• Identify commercial opportunities in the global window carton boxes market by analyzing trends and co-development.
• Excel data sheet with numerous data points of window carton boxes market-level with four segments.
• PDF report consisting of cogently put together market analysis after exhaustive qualitative interviews and in-depth market study.
• Product mapping available as excel consisting of key products of all the major market players

The global window carton boxes market report would provide approximately 53 tables, 49 figures and almost 154 pages.

End-User Audience 2023
• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies