In today’s competitive consumer packaged goods (CPG) market, packaging has evolved far beyond simple product protection. Modern CPG packaging serves as a silent salesperson, sustainability statement, and customer engagement tool all in one.
This guide explores how multi-functional packaging and smart solutions create CPG solution benefits that boost brand loyalty and market share.
The Growing Multi-Functional Packaging Market
The global multi-functional packaging market is projected to grow significantly as brands recognize the importance of packaging in CPG business growth. Today’s consumers expect packaging that:
1. Extends the life of products and reduces environmental impact
New packaging materials can offer better protection and prolong product quality and shelf-life – wasting food helps no one, and keeping consumers using the brand as intended is a critical part of the equation.
Many brands are also starting to offer environmentally sustainable options in addition to extending product freshness. Options like biodegradable films, recyclable plastics, and compostable packaging. The fact is consumers are crying out for this dual proposition of extended freshness along with options that are good for the planet.
2. Creates clarity and transparency for consumers
Today’s consumers are especially interested in packaging that’s easy-to-read, provides clear instructions on how to use the product, and lists look at the ingredients and key nutritional information.
Clear and transparent labeling builds trust with consumers, which often leads to brand loyalty, because consumers are in control of their live purchasing decisions.
3. Provides a starting point for consumer engagement
Interactive packaging, such as removable QR codes, augmented reality (AR) experiences, and/or usable NFC tags, give consumers immediate access to recipes, tutorial videos, promotions, and brand story, but also creates the opportunity to shift consumer expectation of traditional packaging to a new digital touchpoint.
This creates a wealth of opportunities for positive engagement, creating a positive customer journey where consumers can explore enhanced personalized-marketing experiences and collecting customer information.
Smart Packaging for Today's CPG Brands
QR Codes: Building Loyalty for CPG Through Packaging
Imagine this: your product packaging is no longer just a box or a wrapper. It’s basically a tiny digital gateway disguised as cardboard. That little black and white square is not just decoration. It’s your brand whispering “scan me and I’ll make your life easier”.
Here’s how QR codes keep consumers hooked and coming back for more.
1. Recipes and How-To Videos at Your Fingertips
Ever wondered what happens when a bored shopper scans your packaging? Suddenly they’re whisked into a mini cooking show or a tutorial on how to actually use that product the way it was intended. According to Bitly, QR codes are the fast lane from packaging to digital storytelling.
2. Reorders and Subscriptions in One Scan
Let’s be honest. Most customers won’t go digging through their purchase history to buy your product again. But if the next order is only a quick scan away, you’ve just turned lazy convenience into repeat business.
3. Collecting First Party Data Without Being Creepy
Cookies are crumbling and third-party tracking is fading. QR codes hand brands their own golden ticket: first party data. You know who scanned, when they scanned, and what made them curious.
4. Campaign Control Without the Printer Drama
According to Food Navigator, dynamic QR codes let you switch things up even after the packaging has shipped. Want to run a new promo, test two different campaigns, or send shoppers in New York to a different page than shoppers in Miami? Done. No expensive redesign. No crying in the print room.
5. Building Trust with One Scan
Today’s consumers want receipts, literally. They want to know where their food came from, how sustainable it is, and whether the cows were treated better than they treat themselves.
QR codes make it easy to show product origins, nutritional info, or sustainability efforts.
6. Saving Trees and Saving Money
QR codes are eco-friendly storytellers. They replace bulky manuals and extra inserts with a simple scan.
Bitly reports that that 66% of brands now include them on their packaging, proving that they’re cost-effective, scalable.
7. Goodbye Barcodes, Hello QR Future
Barcodes had a good run but they’re basically the flip phone of packaging. By 2027, GS1 wants packaging to be QR-first at checkout. That means one code for scanning at the register, showing off product details, and sending customers to your loyalty club.
L’Oréal already tested virtual try-ons through QR codes and saw purchase intent jump up to three times higher.
Measuring Packaging's Impact on CPG Performance
Innovative brands who want to grow their businesses understand that some metrics should be tracked to demonstrate the return on investment of packaging, these include:
- An increase in the rate of repeat purchases due to customer engagement with QR codes printed on packaging. This important because if a customer engages with a QR code when purchasing the product, they are more likely to buy it again.
- A decrease in product returns and damage claims. This is important as this metric indicates that by improving packaging it reduced the return of products and ultimately saved the company money, as well, provided a better customer experience.
- An increase in the sharing of creative package designs on social media. This is important because if consumers like the product, the way it is packaged and shared pictures on social media, it can create more brand awareness and interest in new customers.
Moreover, brands are also seeing better conversion rates on their e-commerce websites, meaning visitors are more likely to purchase the product online when they see it.
The overall presentation of the packaging may influence visitor conversion rates, making it exceptionally relevant to online marketing channels.
FAQ's
1. What are the main CPG solution benefits of smart packaging?
Increased engagement, valuable customer data collection, and improved sustainability credentials all while reducing marketing costs over time.
2. How big is the multi-functional packaging market opportunity?
Analysts project 7.8% CAGR through 2027 as more brands recognize packaging’s strategic role.
3. What's the simplest way to start with loyalty for CPG QR codes?
Begin with basic product information pages, then expand to recipes, loyalty programs, and personalized offers.
4. How to build loyalty for CPG QR codes in packaging?
You can build loyalty for CPG QR codes by turning packaging into an interactive hub. When customers scan, they should get access to recipes, tutorials, discounts, or loyalty rewards. This extra value keeps them engaged and encourages repeat purchases.
5. Need help developing your CPG packaging strategy?
You can build loyalty for CPG QR codes by turning packaging into an interactive hub. When customers scan, they should get access to recipes, Moreketing specializes in packaging innovations that drive growth. Book a free strategy call to discuss your brand’s unique opportunities. , discounts, or loyalty rewards. This extra value keeps them engaged and encourages repeat purchases.
