With this shift comes the rise of smart packaging, with 2D barcodes representing a potent opportunity to showcase their values, connect with conscious consumers and build lasting relationships with diverse audiences. By incorporating these scannable codes on product packaging, companies can provide shoppers instant access to information like their commitment to sustainability, diversity and ethical sourcing.

The conscious consumer
The conscious consumer looks beyond the product itself to consider the broader impact — environmental, social and ethical — of their purchasing decisions and the brands they support. These individuals (80% of consumers worldwide, to be exact) are willing to pay a premium for products that are sustainable, ethically sourced and socially responsible.

For this demographic, a brand’s reputation and values are just as important as the quality of its products. Conscious consumers want to know that the companies they support are making a positive difference in the world, which means brands must be transparent about their practices, from their supply chain and manufacturing processes to their social and environmental initiatives. This mindset translates to brands needing to demonstrate authenticity, accountability and a commitment to making a positive impact.

According to a recent study, nearly one in three consumers actively seek out information on a brand’s reputation and values when researching a product. Furthermore, 70% of consumers are open to spending more if a brand is authentic. Brands that fail to communicate their values and showcase their commitment to social and environmental responsibility risk losing the trust and loyalty of these influential shoppers.

The role of smartphones in shopping
The ubiquity of smartphones has revolutionised how consumers shop, making it easier than ever for shoppers to access information about products and brands on the go. With 87% of shoppers using their smartphones to research products while shopping in-store at least some of the time, it’s clear that mobile devices have become an integral part of the modern shopping experience.

Smartphones empower consumers to make informed purchasing decisions by providing instant access to product reviews, price comparisons and brand information. This is particularly important for conscious consumers who are looking for a good deal from brands they know align with their values.

As consumers increasingly rely on smartphones to guide their purchasing decisions, brands have a compelling opportunity to connect with shoppers through mobile-friendly packaging solutions like 2D barcodes. Incorporating these scannable codes on product packaging empowers companies to provide them with instant access to detailed information about their products and the causes they support.

This mobile-first approach to packaging is particularly effective for engaging with younger, tech-savvy consumers who are more likely to use their smartphones to research products while shopping. By leveraging the power of smartphones and smart packaging, brands can build stronger connections with these influential shoppers and foster a sense of loyalty and trust that extends beyond the point of sale.

2D barcodes: Unlocking brand values
In retail, 2D barcodes (think QR and Data Matrix codes) are reinventing brand engagement by making a company’s values and beliefs more accessible. Highlighting social-conscious initiatives is a great way to attract commerce and stoke brand loyalty. Consider, for example, that 38% of consumers intend to support LGBTQ+-owned businesses during Pride Month in 2024. In this case, brands can direct consumers to a webpage highlighting its partnerships and initiatives with the LGBTQ+ community.

Barcodes also allow brands to resonate with diverse audiences by providing information in multiple languages or by highlighting products that cater to specific cultural or dietary needs. By using this technology to create more inclusive experiences, brands can build stronger connections with diverse consumer bases, improving their commercial footprint.

The brands that will thrive in the future are those that embrace this technology and use it to create a more transparent, engaging and values-driven shopping experience. They will be the ones that not only meet the needs of the conscious consumer but also exceed their expectations by demonstrating a genuine commitment to making a positive impact on the world.

As we move forward into an increasingly connected and socially aware marketplace, the integration of 2D barcodes into smart packaging will become not just a competitive advantage, but a necessity. Brands that seize this opportunity now will define the future of retail and shape the way we shop for generations to come.

Randy Mercer, chief product officer, 1WorldSync

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All own-brand salmon fillet trays are switching to pulp cardboard instead of plastic, a UK retailer first, which will result in 70% less plastic. The pulp trays are made from sugarcane pulp, and are lined with polyethylene film. 

Alongside this, Sainsbury’s is rolling out cardboard trays across its Taste the Difference and by Sainsbury’s breaded chicken lines, set to save 300 tonnes of plastic a year. The retailer is also making the same changes to its Taste the Difference breaded fish fillets.

Furthermore, the new packaging , which will be rolled out throughout the summer, will also cover many seasonal ranges including finger food and BBQ.

The pulp cardboard trays from all salmon lines and cardboard trays across breaded chicken and fish are designed to be recyclable, helping customers to reduce their household waste by placing the packaging in kerbside recycling at home.

Claire Hughes, director of product and innovation at Sainsbury’s, said: “With salmon being one of our most popular fish, we made it a priority to reduce the plastic on the packaging of this much loved product as we work towards our Plan for Better goals.

“We are now the first retailer to make the move to have recycled pulp card trays – a significant step towards our plastic reduction goals.”

Sainsbury’s recently launched its ‘Good to Know’ logo to help customers find products that are more sustainable, including those with reduced plastic packaging. The new logo is aimed to help customers understand the retailer’s work around sustainability and its work towards its Plan for Better ambitions. Customers will be able to find the ‘Good to Know’ logo on the latest packaging across its salmon products.

These announcements are part of its commitment to reduce its own-brand plastic packaging, such as the by Sainsbury’s plastic steak trays being replaced with cardboard alternatives. Additionally, Sainsbury’s recently made its largest standalone plastics removal, by swapping plastic punnets for cardboard for all its own brand mushrooms – saving over 775 tonnes of plastic a year.

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Fuelled by the sheer scale and popularity of social media platforms such as YouTube, TikTok, and Instagram, the unboxing phenomenon – which sees influencers share their experience of opening up a product for the very first time – is driving a huge impact in this area.

According to statistics from YouTube, between January and November 2023, there were more than 25 billion views of videos with “unboxing” in the title. Videos of this kind give consumers a glimpse into what they can expect from their chosen brand before they complete a purchase. As a marketing tool, such trends can be extremely influential – especially given the suggestion that 85% of Gen Z claim that social media impacts their purchasing decisions.

Making the first interaction count
Whilst often overlooked, the unboxing experience is the very first tangible interaction a customer has with a brand after placing an online order. Ensuring this experience is optimised to its full potential, therefore, is extremely important and should play a critical part within a brand’s customer loyalty strategy. Rather than purely a means of protecting and transporting a product, the right packaging can serve a much higher purpose for a brand, which, when executed successfully can create a memorable experience for the customer. One that keeps them coming back time and time again.

The power of influence, however, goes both ways. Whilst news of a positive unboxing experience and first interaction with the brand can influence others to make a purchase, news of a bad experience can travel just as fast, putting off potential customers.

So, what makes a positive unboxing experience over a negative one? And how can online brands capitalise on this growing trend to reach new audiences?

Thinking outside the box
Creating a unique unboxing experience doesn’t necessarily have to be costly or time-consuming. By embracing a few creative ideas, brands can create a sense of luxury and extravagance, without breaking the bank. Branded packaging materials including tissue paper, ribbon, and tape, for instance, can work aesthetically, whilst also reinforcing the brand’s image. Meanwhile, personalisation of the product and its packaging including custom engraving and embossing can add an additional layer of tailoring craved by customers, making them feel valued by the brand.

Brands also have the opportunity to embrace additional ideas including the use of branded QR codes and packing slips which link back to the website for further product recommendations, or promotional codes. Not only does this create a sense of engagement for the customer when opening the product, but it can also direct the customer directly to make a second purchase.

Knowing your customer
When choosing the right packaging solutions and value-add considerations, brands must consider their target audience carefully. Whilst some customers will be impressed by additional layers of packaging and detail, others may be put off – seeing this as unnecessary and wasteful, so it is important that preferences are considered, rather than following a one-size-fits-all approach to packaging.

For example, for customers that are more aware and concerned about their environmental impact, right-size packaging can be a more sustainable option. Recyclable materials should also be considered, including details about the product’s carbon footprint and the steps that have gone into reducing it. On the flip side, if appealing to a customer purchasing a high-end, luxury product or jewellery item, a tailored, hand-packaged approach can often be the more appropriate option.

Delivering at scale
Choosing the right packaging options to deliver the perfect unboxing experience, however, is only the first piece of the puzzle. With social media’s influence increasing day by day and unboxing videos continuing to grow in popularity, brands must prepare themselves to scale this packaging up and down to meet demand.

As preparations for this year’s peak festive season get underway, factoring packaging into these plans is essential and this is where partnering with a third-party logistics provider (3PL) can be extremely beneficial. Leveraging the expertise and capacity of a 3PL can enable brands to offer the same great-quality, optimised packaging experience with every single order. Doing so can build brand loyalty, and set retailers apart from the competition – especially if that unboxing video goes viral.

Ben Scherpenbergs, director of business management at PFS, now part of GXO.

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This is only going to expand further as the share of ecommerce spend continues to rise. Technology will play a crucial role here, whether it is the addition of QR codes to make packaging smarter, or the use of 3D printing to make packaging fit products – the adoption of innovative software and hardware will change future design of ecommerce packaging, the DeliveryX Packaging 2023 Report stressed.

QR codes
Widely adopted during the various Covid-19 lockdowns, QR codes have the power to contactlessly link to sites filled with information. Placed on packaging they initiate communication between brands and their consumer, they can provide various product details to shoppers but also take them to engaging content. 

Packaging QR Codes serve as a valuable medium for sharing all kinds of information with consumers at every stage of the consumer buying journey.

There are two types of these pixelated squares – static and dynamic. Static QR codes perform a limited range of functions including displaying plain text, directing users to a specific URL, and are unchangeable once placed on packaging. 

Dynamic QR Codes are editable, and provide retailers with data-based insights into how the packaging is used. They can also allow the introduction of media-rich features into packaging design. PDFs, product manuals, instruction videos and social media content can all be accessed through these dynamic codes.

Furthermore, dynamic QR codes can also be used within the wider supply chain to track items, identify issues and, in turn, power retailers to make informed decisions. 

Adding QR codes to packing to make it smarter has benefits for the consumers, retailers and wider supply chain, and it could also help with the sustainability of packaging. 

3D printing of packaging
One way to ensure packaging, and the ecommerce shipping process, is sustainable as possible is to make sure there is no wasted space or shipped air. Manufacturers of packaging material have once again looked to innovative solutions to try and deal with this problem. 

Additive manufacturing (AM), also known as 3D printing, is being deployed by brands including L’Oréal and carrier FedEx to limit waste, reduce production time and help with sustainability goals.

Using AM technology firstly streamlines the prototyping of new packaging designs before enabling brands to offer personalised and custom packaging. Could more retailers follow L’Oréal’s strategy and invest in 3D printing technology?

Returnable packaging
Reducing waste and single-use plastics will continue to be a focus for the packaging industry, but could there also be a shift away from single-use packaging? Consumers are being encouraged to recycle and reuse, this could also be a valid option for packaging itself.Reusable Transit Packaging is designed to be strong, long-lasting, and environmentally friendly. They can be flattened, which makes them simple to carry and store and improves the efficiency of warehouse operations. There have been suggestions that such packaging could be used for up to 10 years.

As consumers move towards circular shopping and rental models, retailers could do something similar. Renting packaging could be used to optimise ecommerce delivery and the returns process.

The future of packaging may not be about creating something new but adapting it to keep up with consumer demand – whether that is adding further information tools or switching to a more circular offering.  

This feature first appeared in the digital-first DeliveryX Packaging 2023 report. Access the full report for an exclusive interview with meal-kit company HelloFresh; case studies on Boohoo, H&M and L’Occitane’s new approach to packaging; and a look at how the UK Top500 retailers are changing their packaging for the good of the planet.

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Included in the range are hundreds of mache, wooden, and ceramic blanks, packaging free and ready to be personalised and transformed into bespoke Easter decorations. These decorations are designed to be reused for years to come, as the retailer aims to encourage more people to craft in the most environmentally friendly way possible.

Hobbycraft said the spring and Easter collection is another successful step towards achieving the its sustainability targets, with 43% of all products within the business now having plastic-free packaging, up from 21% in FY22, and a further 20% having no packaging at all, up from 19%. 

Furthermore, customers can now only purchase biodegradable glitter, and Styrofoam has been completely removed from the product range. By the end of FY24, Hobbycraft is targeting 25% of all products to be packaging-free and aims to remove non-recyclable plastic from all products which do require packaging.

It is becoming increasingly important for people to come together and collectively work towards a more sustainable future to protect the world’s ecosystem. As part of its ‘Making a Difference’ plan, Hobbycraft continues to work with progressive supplier partners to deliver more sustainably sourced products and reduce waste and carbon emissions within the business. 

Heather Robbins, trading director at Hobbycraft, said: “At Hobbycraft, we believe in the power of crafting and making something yourself, not only because it supports mental wellbeing and skill development, but also to reassure our customers they are crafting in the most sustainable way possible. Our Easter range is another amazing step in our sustainable sourcing journey, and we hope the collection inspires more of our customers to try out some personalised projects that can be enjoyed for years to come.”

Learn how Hobbycraft introduced subscription models designed with the “resourceful and discerning” crafting community in mind in an exclusive company profile in the RetailX Subscription 2023 report.

You can also hear from Jennifer North, head of digital experience at Hobbycraft, in the RetailCraft podcast. In episode 36, North gives eye-opening insight to the demanding, innovative craft and hobby market in the UK, and their multipronged and entrepreneurial position.

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Additionally, the Lush Manufacturing sites in Germany and Croatia have also rolled out Prevented Ocean Plastic across these sizes, with Lush North America and Japan to follow suit later this year, each working with their local bottle manufacturers.

The 1L bottles are still in transition across all markets, but will be introduced later this year. This will allow Lush to roll Prevented Ocean Plastic out globally.

Lush has been using 100% recycled PET for their clear bottles for more than a decade. Now every time a customer takes home a product in a clear plastic bottle marked with the Prevented Ocean Plastic trademark, Lush says, “they’re helping to protect marine ecosystems and the coastal communities who are at the forefront of the effects of ocean plastic pollution.”

The plastic is collected, taken to the collection centres before going through the recyclers, to packaging manufacturers for material distribution to Lush and other retailers for branding and use.

“Seeing how much impact the Prevented Ocean Plastic Programme has had on the communities in areas at high risk of plastic pollution, being part of preventing tonnes of plastic from entering the oceans as well as improving transparency of the supply chain is very much fulfilling our Lusher than we found it statement. I feel honoured to have worked with such a passionate and inspirational group of people who care about people and the environment,” said Karolina Michalska, creative buying, Lush.

Customers in 17 markets can ensure that, when they have finished their Lush products, the packaging is returned through the Bring it Back scheme where it is responsibly recycled.

Since launching the Bring it Back recycling scheme in 2021, 2.27 million individual items have been returned and therefore diverted from becoming plastic waste (55.5 tonnes in weight).

Furthermore, the Lush Green Hub in the UK is a building that showcases Lush’s commitment to and investment in finding solutions for materials that could be considered as waste. With six core teams working together at the Green Hub, Lush is creating circular economies, working to close the loop on packaging and water waste, and find solutions to reuse, repurpose, repair and recycle materials from across the business.

Discover how retailers are working to clean up their packaging in the DeliveryX Packaging 2023 report. This digital-first report looks at how the UK Top500 retailers are changing their packaging for the good of the planet; what UK consumers think about oversized packaging, and the waste it generates. It also features an exclusive interview with meal-kit company HelloFresh and case studies on Boohoo, H&M and L’Occitane.

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The Cambalala Shiraz and Sauvignon Blanc will be available to buy in lightweight paper bottles in stores from Monday 18 March 2024.

Aldi has worked with Frugalpac, an Ipswich-based company on a mission reduce the impact of carbon on the planet through engineering sustainable packaging.

The discount supermarket will introduce the Frugal Bottles, which are made from 94% recycled paperboard with a food-grade pouch to contain the wine. The new bottles are fully recyclable and five times lighter than a standard glass bottle.

By stocking these paper bottles nationwide, Aldi estimates that it will generate a carbon footprint reduction that is equivalent to driving around the planet 5.8 times.

Furthermore, not only do Aldi’s new bottles help with its green credentials they are also designed to be easy-to-carry and shatterproof.

Julie Ashfield, managing director of buying at Aldi UK, said: “Shoppers are striving to become more sustainable in their everyday lives, looking for small ways to make a big difference for our planet.

“Our Buying Teams are continuously thinking of how we can evolve our ranges to offer greater value and greener choices. We are proud to be the first supermarket to launch an own-brand paper bottle, helping to drive sustainable change.”

Discover how retailers are working to clean up their packaging in the DeliveryX Packaging 2023 report. This digital-first report looks at how the UK Top500 retailers are changing their packaging for the good of the planet; what UK consumers think about oversized packaging, and the waste it generates. It also features an exclusive interview with meal-kit company HelloFresh and case studies on Boohoo, H&M and L’Occitane.

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In comparison, 45% of respondents – to the survey of 6,000 consumers – said they would not buy again from a brand whose packaging is challenging to recycle.

Customers prioritise packaging quality and eco-friendliness, with 88% valuing protective packaging and a substantial portion considering recyclability important. Regional differences exist, with Turkish consumers showing a high demand for resealable packaging. 

The growth of recommerce markets indicates a consumer preference for reusable packaging, meaning that ecommerce retailers need to consider post-purchase behaviour and align with sustainability demands in the circular economy.

Traditionally, returns have been free since this encourages purchases. With rising costs and as related sustainability issues rise, 39% of survey respondents say they don’t want to pay for returns, with Millennials and Gen Z most accepting to bear this cost.

The report also looked at consumer online shopping behaviour. “We felt compelled to share more than just packaging trends to shed light on spending habits, shopping frequency, social commerce use, and behaviour related to recycling and reuse,” said Nedim Nisic, Mondi Group eCommerce director.

“The result is a treasure trove of data useful for every ecommerce company, not only those trying to satisfy consumers’ packaging demands but to influence the entire experience. We also wanted to promote collaboration among the packaging industry, ecommerce platforms, and other key stakeholders to meet consumer expectations and sustainability efforts.”

Social Commerce behaviour drives a significant amount of purchases
The report found almost half (44%) of consumers have bought via social commerce in the past 12 months, with Facebook and Instagram accounting for the majority of purchases, while TikTok ranked at 20%.

The trend is particularly strong among Millennials and Gen Z, who predominantly spend on fashion. The younger cohort spent most of their money on fashion products (approximately 60%) in the last 12 months, compared to cosmetics, grooming, sports and leisure, technology, and homeware, which all sit between 30-40% combined.

Decline in online shopping overall frequency and Gen X looking for best pricing
Despite a decline in shopping frequency due to economic constraints, 38% of consumers maintain their online shopping habits, driven by the search for better prices and value. The frequency of shopping online has fallen a little in 2023. This is likely to be due to shoppers continuing to head back to the store as buying behaviours have returned to more of a pre-pandemic norm, as well as perhaps shoppers cutting back their online spending as they have had to cope with the increased cost of living. But they still shop online regularly, with a quarter doing so at least once a week.

The timesaving and home-delivery conveniences of online shopping are particularly attractive to all cohorts, and Gen X is known to be the most cost-conscious compared to other generations.

Nisic added: “This survey indicates that social commerce is becoming more mainstream and fashion is clearly a growth driver. We see online retailers focusing heavily on the digital shopping experience and a seamless experience with social media channels is a must going forward.”

The full report can be downloaded here.

This latest report also includes country-specific results for six major markets, including Czech Republic, France, Germany, Poland, Sweden and Turkey.

The report has been created in English and will be translated and published into further languages (German, Turkish, Polish, French) within the following weeks.

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Blister packs, which are made of plastic and foil and used for vitamins and medicines, cannot typically be recycled through household kerbside collections. Boots hopes this new initiative will enable millions of used blister packs to be recycled and diverted from landfill over the next few years.

The blister pack recycling scheme is an extension of the popular Recycle at Boots initiative, which rewards customers for bringing empty health and beauty products that cannot be recycled at home to collection bins at Boots.

Recycle at Boots collection bins are available at over 700 stores across the UK and over 3.1 million products have been recycled since it launched in 2020. 

Now, customers near participating stores can now drop off their used blister packs for recycling in dedicated collection bins and get rewarded for it. Boots Advantage Card holders will receive 150 Boots Advantage Card points when they recycle 15 empty blister packs and spend £10 or more in store.

The Recycle at Boots initiative is brand agnostic, meaning that customers can recycle blister packs from any brand and track their recycling, as long as they have a Boots Advantage Card.

Natalie Gourlay, head of ESG at Boots, said: “At Boots we want to make it easy for our customers to make sustainable choices for a healthy planet – from the products they buy to how they dispose of the packaging once they have used them.

“Customers can now simply drop off their empty blister packs at Boots with the assurance that the materials will be given a second life and get rewarded for it too just like they can when they drop off other hard-to-recycle empties through Recycle at Boots. We will be taking the learnings of this initial pilot on board as we look to roll the scheme out more widely within the next year.”

Both this latest blister pack recycling scheme and wider Recycle at Boots initiative is run in partnership with technology partner Metrisk and recycling partner MYGroup. 

After the blister packs or health and beauty empties have been dropped off at Boots stores, they are sent to MYGroup to be separated using a specialised machine, the metal foil is recycled conventionally, as aluminium is infinitely recyclable, while the plastic is processed into a useable form again, where possible, or made into a material called MYBoard^TM to be used for construction, furniture and more.

Furthermore, Boots is taking steps to reduce the amount of plastic in the products it sells. For example, in 2022 it banned plastic-based wet wipes from sale and called on other retailers to follow suit.

Discover why retailers, spanning a range of sectors, are changing their packaging for the good of the planet in the DeliveryX Packaging 2023 report. Access the full digital report for an exclusive interview with meal-kit company HelloFresh. And case studies on Boohoo, H&M and L’Occitane’s new approach to packaging.

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Thanks to a new rolling machine, Tesco customers will be the first to try one of the new tube-free products when the supermarket launches its re-designed aluminium foil this week.

“This new machine has revolutionised foil production, saving hundreds of tonnes of cardboard from needlessly being made in the first place,” explained Bronwen Williams, Tesco technical manager, who has been involved in the project.

The machine allows the aluminium foil to be rolled tightly around a spindle that has air vents in it. By pumping air into these vents it enables the aluminium foil to be gently released. 

Its introduction is part of Tesco’s wider commitment to cut down on unnecessary packaging, as the supermarket aims to save 330 tonnes of cardboard each year.

Williams added: “We are continually looking at ways in which we can cut down on packaging in order to help the environment and hope, after starting with our top selling kitchen foil line, that we will be able to apply this to the rest of our foil range.”

It’s not the first time that Tesco has made a change to an everyday rolled domestic product. Two years ago it launched toilet rolls with double the amount of paper on them in a move that saves nearly 70 tonnes of plastic packaging each year as a result of either fitting more paper onto each roll or winding rolls more tightly, so they take up less space.

And last week it launched luxury soft toilet rolls and kitchen towel made from cardboard recycled from home delivery boxes, cardboard tubes from toilet rolls, and corrugated card waste.

Discover why retailers, spanning a range of sectors, are changing their packaging for the good of the planet in the DeliveryX Packaging 2023 report. Access the full digital report for an exclusive interview with meal-kit company HelloFresh. And case studies on Boohoo, H&M and L’Occitane’s new approach to packaging.

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