Coated Papers Demand to Gain Tailwinds from Rising Growth of Retail Packaging, Finds Fact.MR

Sales of coated papers are witnessing exponential rise on account of rising demand form packaging applications. Rising penetration of online trade and e-commerce and rising inclination toward door-step delivery are also driving demand for coated papers in retail packaging. These insights are according to the latest report by Fact.MR which offers an all-inclusive analysis of opportunities brimming in the global coated papers market.

With the decrease in domestic slack time, on account of dual income families, demand for home-delivery retail systems have taken off significantly. This, in turn, is likely to create new revenue streams for the manufacturers of coated papers over the forecast period.

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“An ever-evolving demand for coated papers of excellent textures & grain quality is encouraging manufacturers to focus on distinguishable offerings, with no room for quality compromises”, says the Fact.MR report

As per the Fact.MR report, the competitive landscape of coated papers market is undergoing drastic transformations. With the emergence with multiple small and medium sized players in the global market landscape, consolidation via valuable offerings remains a chief concern among the leading companies in the coated papers market.

Evolving trends in the coated paper market present both opportunities and risks for the manufacturers, with each regional market making shifts in terms of preferences. Increasing reluctance to plastic packaging is resulting in a staggering demand for paper packaging formats, creating sustained opportunities for manufacturers of coated papers. Moreover, coated papers also offer the scope to accommodate good quality print images, which is also working in favor of the coated papers market.

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Rapid Shift to Digital Transactions Creates Challenges for Adoption of Thermal Papers

Thermal papers are being extensively used across multiple applications of daily life, ranging from price tags & checkout receipts in supermarkets to parcel labels in logistics centers. Demand for thermal papers is growing by leaps and bounds as they offer immense scope for printing of information, comparatively quickly & economical. Laminators and finishers, for developing self-adhesive labels and checkout rolls of any conceivable type, seek coated papers of optimal quality. In response to this, manufacturers of thermal papers are devising effective strategies in line with the evolving end-user behavior & preferences to enhance their net profit margins.

As per the Fact.MR analysis, more than 3.1 million tons of thermal papers were sold in 2018 and the demand is estimated to grow at a subdued CAGR of over 2% in 2019. Demand for thermal paper is likely to considerably high from the retail industry, with retailers making use of thermal papers for printing of receipts. However, the surging popularity of digital transactions, markedly in case of retail stores, is arresting the adoption of thermal papers.

The Fact.MR research study finds that in terms of technology, coated papers manufactured via direct thermal technology and thermal transfer technology remain highly favored and will continue to witness equal penetration. However, substantial demand for coated papers manufacturer from direct thermal printing has been considerably high, making it a widely-embraced technology in the thermal papers market. High-end affordability with optimal convenience in terms of use are among the key aspects enhancing visibility of direct thermal printing papers among all other types.

Manufacturers, in order to be well-positioned for growth in the thermal papers industry, will have to focus on a few crucial aspects-

  • Management of short- & long-term harmony in the supply-demand equation
  • Find the next-level of cost optimization
  • Product development via value creation in the ever-evolving business landscape

The Fact.MR report analyzes evolving opportunities in the global coated papers market over the forecast period of 2018 to 2027.

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About the author

Nandini Roy Choudhury

Nandini Roy Choudhury is a thought leader and subject matter expert on a range of industries, notably retail & consumer goods. Her analytical skills and lucid qualitative analysis have made her an authoritative figure on this domain.

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