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B2B Explore insights impacting the B2B environment, including production and supply network, and the trends that are evolving the global consumption of ingredients and packaging materials across a changing consumer goods marketplace.

Brazilians Look for Packaging Types that Enable the Maximisation of Products’ Consumption

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As Brazilians’ disposable income has been severely affected by the economic crisis, any type of product waste also means significant money waste; and consumers are not open to this. In response, they started to include products with packaging types that enable consumption to its maximum and avoid any kind of waste, in their shopping baskets.

When looking to categories like packaged food, beverages, beauty and personal care and also home care products over the last five years, it is clear that products in plastic pouches have enjoyed faster growth when compared to other traditional packaging types like glass, metal and rigid plastic – as well as the packaging segment as a whole.

Growth by Packaging Types - CAGR 2011 - 2016 - Volume bar graph. Compares pouches, liquid cartons, rigid plastic, glass, metal, and packaging total.

Note: Data includes food, beverages, beauty/personal care and home care products packaging.

Source: Euromonitor International

Besides pouches, there is another packaging type to highlight when it comes to consumption maximisation and, therefore, having a more attractive appeal to final consumers: squeezable plastic tubes. A great example is the hair conditioner product Pantene 3 Minutos Milagrosos (from Procter & Gamble do Brasil SA), which has a very distinct packaging design for the category and is a break away from the brand’s typical look. The first differential aspect relies on the bottom closure, which facilitates product dispensing, even when the product is close to finished. More than that, the squeezable plastic tube enables consumption until the very last drop, so that consumers do not have to resort to putting water into the bottle to get that last bit out.

There is also the option of using packaging and its labels to better communicate and describe to consumers how to best use the product; especially useful for those categories with which consumers are not yet very familiar. This is particularly relevant for home care products in concentrated versions, which have been consolidating in recent years. Brazilians do not always know that one single “cap” measure of the product has the same effect as three or four caps of the traditional version. So, it is possible to use the packaging to indicate to consumers how they can make the best conversions and avoid product waste. In addition to that, home care products are generally offered in opaque packaging, so in many cases consumers do not know when the product is about to end or when they should replace it. In this sense, Ariel concentrated laundry detergent (also from Procter & Gamble do Brasil SA) has come up with a unique solution: although the product packaging is still opaque, there is a transparent band on the side of the package, enabling consumers to see how much is left.

Finally, there is also the product “reclosing” issue. Consumers might not necessarily consume the product all at once so offering them a packaging type that can be reclosed – whilst maintaining the products’ characteristics and quality even after being opened – becomes a differential aspect. A classic example of this movement is the category of shelf stable milk. Until recently, these products were mostly offered in liquid carton packaging with no closures, so consumers had to cut the corner off in order to serve the milk. Nowadays, there are several standard brands already offering packaging types that enable fractioned consumption, like PET bottles (perceived by consumers as more premium) and liquid carton with different types of closures.

It is important to understand that consumers today analyse all aspects of a product, including the value proposition of the packaging. So, offering a product in packaging that enables fractioned and maximised consumption, avoiding waste while at the same time maintaining product quality, is a crucial point of differentiation for brands keen to gain loyal consumers.

For more information on the opportunities for packaging innovation in Brazil during economic crisis, download our exclusive content in Portuguese through the link: http://go.euromonitor.com/webinar-packaging-2017-tendencias-mercado-embalagens-brasil

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