The overwhelming majority of respondents to a new survey have stated that connected packaging will be increasingly important to the industry over the next 12 months, and beyond.

Conducted by creative technology studio Appetite Creative, the company’s second annual connected packaging survey polled close to 1000 executives based globally, working across the marketing, media, automotive, retail, utilities, construction, hospitality, FMCG/CPG and finance industries about their appetite for, perceived value of and understanding about connected packaging.

Over 88% claim to be planning a connected packaging campaign this year and even more – 92% –  consider connected packaging to be increasingly important to the packaging industry in the next 12 months and beyond. These numbers have ticked up year-on-year, with less than two-thirds citing plans for a connected packaging campaign and 85% considering it important for the industry in the equivalent 2022 survey. When also comparing the 2022 and 2023 survey results, it’s clear that connected packaging has experienced a rise in popularity in the last 12 months, with over four-fifths (81%) of those surveyed stating they have used connected packaging, compared to just over half (54%) in 2022.

The biggest barrier for almost half of respondents is lack of business capabilities and preparedness (48%), price (20%) and complexity (11%). A stark contrast from the results in 2022 when a third (29%) stated it wasn’t a business requirement, a mindset found in only seven percent of respondents this year. Almost half 48% consider connected packaging to be important to helping educate customers, with other valuable factors this year being direct customer interaction (45%) and using connected packaging to inform of product updates or marketing decisions (42%). Data collection requirements lagged behind with a third (29%) of those surveyed considering it important.

Increased investment in digital marketing spend is planned in 2023 by 88% of those surveyed compared to 59% in 2022. Businesses plan to increase spend on connected packaging campaigns by between $31,000-50,000 (£25,000-42,000), claimed 42% of respondents. This is more than double seen back in 2022, when 40% planned to increase investment by less than $18,000 (£15,000).

Most interestingly, connected packaging is deemed increasingly important as a sustainable way to connect with and educate customers (57%) and it is perceived by almost half (44%) to be becoming the main route to communicate directly with customers. Also on the topic of sustainability, increased pressures on packaging producers and the introduction of new EU packaging laws have positively impacted the perceived value of connected packaging. The majority (91%) of respondents agree that it helps to improve the sustainability credentials of a company, against 80% in 2022.

‘Despite the cost-of-living crisis and global economic uncertainty, investment in connected packaging experiences continues to rise,’ commented Jenny Stanley, managing director at Appetite Creative. ‘No longer only a data collection tool, connected packaging is now a long-term customer relations and educational media channel, which helps companies navigate ever-changing sustainability requirements and inform product development and marketing decisions. Moving from a tipping point into mainstream usage this year, the perceived value of connected packaging has shifted to a business must-have.’

Ms Stanley is to be one of the judges of the Digital Labels & Packaging Awards 2023; visit www.dlandpawards.com for more information and to download the entry form