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News
2020/02/25
Executive Forecast: The Path Forward in 2020 (part 3 of 3)
Executive Forecast: The Path Forward in 2020
Source from: https://www.flexpackmag.com/articles/90301-executive-forecast-the-path-forward-in-2020
LABELS SUPPLIER
Q: As we enter a new decade, what do you see as the prospects for your company and label market in general in 2020?
A: Sustainability will continue to be a factor. Flexible packaging suppliers are shifting their focus from the reduced carbon footprint of their current materials to manufacturing recyclable materials and materials made from post-consumer waste. This allows brand owners access to sustainable flexible packaging materials.
Narrow web converters are also leveraging non-pressure sensitive labeling and packaging materials, including shrink sleeve and flexible packaging, to broaden their offering and give their end users more solutions. A portfolio that includes both pressure-sensitive and non-pressure-sensitive solutions allows converters to compete in higher value segments such as home and personal care, cosmetics and nutraceuticals.
Q: What are some of the biggest challenges this industry currently faces? How do you think those challenges will change throughout 2020?
A: The flexible packaging industry is moving at a faster pace to produce recyclable materials than recycling infrastructure is moving to support the processing of these materials. Consumer trends and commitment to sustainability have been factors in moving manufacturers to develop recyclable offerings. Now that these materials have reached the marketplace, the focus shifts to the significant work that needs to be done on the infrastructure side to effectively recycle this new stream of materials. Educating consumers will become increasingly important. They need to understand what materials can be recycled and what the capabilities are of their municipality’s waste management and recycling system. As new materials and new initiatives from recyclers are introduced, it is important for consumers to know how they can support sustainability and refrain from contaminating the recycling stream.
Q: What new product features are brand owners and co-packers seeking in materials and machinery for flexible packaging? What trends are driving these demands?
A: On-the-go consumers are looking for packaging options that support their busy lifestyle. Single-serving food products and travel-sized beauty products in stick-packs are easy for them to carry along throughout the day. Stand-up pouches provide an easy grab-and-go format, and also can be fitted with a reclosure element to keep food products fresh or allow for multiple uses.
Health-focused consumers are looking for packaging formats like clear stand-up pouches that allow them to see the contents of the product they are purchasing. Tamper evident constructions give consumers confidence that products are safe inside their packaging, especially in nutraceutical or pharmaceutical applications.
Flexible packaging formats also offer a 360-degree billboard for branding to engage consumers in the store.
Q: These days, the use of plastics — a major component in flexible packaging — seems to be under attack. How should the industry address this issue?
A: The first step will be educating brand owners about packaging options so they can make an informed decision when choosing the materials their products appear on the shelf. Flexible packaging requires less overall material than containers made of other substrates, requires less resources to manufacture and less energy to store and transport. Its carbon footprint is substantially smaller than other packaging types. We also continue to hear that consumers value sustainability and are invested in choosing sustainably sourced and packaged products. We have been working with our partners to seek out sustainably sourced materials for flexible packaging that you will see in 2020 and continue to expand our growing ClearIntent portfolio.
Q: Please comment on how 2019 went for Avery Dennison and what you feel its major achievements were during the last year.
A: It has been an exciting year for Avery Dennison. We implemented our new e-commerce platform, My Avery Dennison, allowing our customers to find and order products online. In conjunction, we deployed our new ERP system across our sites in North America, which was a big step in modernizing our processes to be able to serve our customers with excellence and enable their growth. We made strides in sustainability with our FSC-Certified Paper Portfolio expanding to total over 500 products — the largest in the industry — and have continued making progress toward our 2025 sustainability goals. We are ready for the challenges and opportunities that 2020 is sure to bring.
ASSOCIATION
Q: As we enter a new decade, what do you see as the prospects for the FPA and the packaging market in general in 2020?
A: FPA is well positioned to help our members navigate the dichotomy of continued growth despite the anti-plastic sentiment that prevails. The growth of packaging and flexible packaging in particular is an essential element in preserving and protecting products, and FPA will not let this fact be lost in the debate regarding packaging and plastic waste. FPA will continue to educate members, customers, policy-makers and consumers on the value of flexible packaging with science and education through multiple platforms.
FPA encourages the entire supply chain to continue to “fight the good fight.” We have started the conversation with new social media platforms and perfectpackaging.org in 2019, where all of our data and communication tools are housed. We will heighten the conversation in 2020 with FlexPack VOICE, our new publication, as well as an influencer program and new research on the environmental benefits of flexible packaging versus traditional packaging for e-commerce. FPA will continue to provide and support alternatives to bad public policy on plastic and packaging waste to promote and protect the industry and a truly sustainable packaging format.
Q: What are some of the biggest challenges this industry currently faces? How do you think those challenges will change throughout 2020?
A: The biggest challenge the industry currently faces is the lack of infrastructure to manage its packaging at its end-of-life. Hard to recycle mono and multi-material flexible packaging exists in order to provide sterility and to preserve shelf-life, preventing food borne illnesses as well as food waste and it uses the least amount of material to do so — creating less waste in the first place. The myopic view that sustainability only equates to recyclability is the biggest hurdle to a constructive conversation about end-of-life management for packaging and that conversation must be had in 2020.
Q: What new product features are brand owners and co-packers seeking in materials and machinery for flexible packaging, and what trends are driving these demands?
A: The driving trend in the packaging industry today is solving for end-of-life management. The demand is coming from many of the published commitments by consumer product companies and others in the supply chain, as well as consumer’s demands for fully recyclable packaging in the near future. This is driving innovation for mono-material, easily recyclable, packaging and changes to the current recovery and recycling infrastructure to be able to accept and recycle all packaging types, including flexible films and multi-material packaging.
Q: These days, the use of plastics — a major component in flexible packaging — seems to be under attack. How should the industry address this issue?
A: Again, we have to address it with science and education. Where many policy makers are reacting emotionally to the issue of plastic pollution and packaging waste, FPA and its members as well as the entire supply chain should be responding with data and real solutions. This includes life-cycle analyses of flexible packaging versus traditional packaging types, showing a reduction in water and energy use, greenhouse gas emissions, and material to landfill, which are core sustainability features. This also includes support and incentives for viable end-of-life management solutions and work on valuable end markets.
Q: Please comment on how 2019 went for FPA and what you feel its major achievements were during the last year.
A: 2019 presented FPA and its membership with the most challenging year yet regarding legislation that could negatively impact its market. Not surprisingly, the industry rose to the occasion and brought forth concrete solutions and alternatives to the bills we saw introduced at both the state and federal levels. While none of the bills were passed in 2019, they will be back in 2020. We will continue to work with other associations, NGOs and academia to provide real solutions and avoid the unintended consequences of short-sided bans and taxes, which may sacrifice flexible packaging for less environmentally beneficial alternatives.