The Rise Of E-commerce And Its Impact On Packaging Design

COVID-19 has completely transformed the way people do shopping. Instead of going to markets or malls, they order everything through an online store. However, it also increased the competition, and e-commerce became an oversaturated niche.

That's why businesses always seek ways to stand out from the crowd. One such method is improving the aesthetic appeal of e-commerce packaging. While an item's quality is important, how it is packaged also plays a vital role in attracting a larger customer base.

The retail experience has widely evolved because of e-commerce, and it's important to consider every aspect. Packaging is a way to leave an amazing first impression on your customers.

In this article, we will discuss e-commerce packaging in detail. So, let's dive into it.

What Is E-commerce Packaging?

E-commerce packaging refers to the packaging in which the products shipped by consumers from online stores are packed. Companies usually add several elements for safety, such as infill materials, inserts, and mailers.

The original purpose of packaging was to protect the product, but it's not limited to that benefit alone. Packaging has several functions and provides a way to prepare for challenges in the e-commerce market.

Marketing your e-commerce business through packaging is an ROI-driven approach. It excites your customers, so they look forward to the product's unboxing experience.

Apple understood this, and they approached the packaging design process strategically. The minimalistic design connects customers to the brand. It plays a crucial role in their exponential growth.

Retail Packaging VS E-commerce Packaging

Both retail and e-commerce packaging have come a long way. Businesses need to be quick and shift their business to avoid falling behind in the market. Here's a quick overview of the differences between retail and e-commerce packaging that you need to know.

E-commerce Packaging Stats You Need To Know

If a product's packaging is good, it immediately increases the chances of people choosing it over competitors.

But how?

It's because of the unboxing experience. Online creators and digital influencers often create unboxing videos of different products, gaining popularity. That's why it's more important than ever to focus on e-commerce packaging. Here are some eye-opening e-commerce packaging stats that you should know.

• According to a report by Mordor Intelligence, the global market for E-commerce packaging was valued at 27.04 billion USD in 2022. Meanwhile, in 2026, this number is expected to increase and cross around 61.55 billion USD.
• A report in 2021 revealed that packaging providers are more focused on providing solutions and innovations that safeguard products from damage during transportation.
• According to a survey, 78% of US customers are likelier to buy cardboard or paper-packaged products from a brand. These products are environment-friendly and reduce waste to an incredible extent.

Numbers don't lie.

Consumers see unique packaging, and then they also want to own it. It's basic human psychology, and e-commerce uses it strategically. So, instead of just plain boxes as packaging, think beyond that and customize it to align with your brand. Show them uniqueness and provide a memorable unboxing experience.

Strategies For E-commerce Growth Through Packaging

Now that you know about e-commerce packaging and its importance, you might wonder how to accomplish the same results. Is there any way to attract customers using packaging?

This guide will share some of the most effective strategies for growing an e-commerce store through packaging. So, get ready to maximize the impact of your product packaging.

Focus On Functionality

Artwork is crucial for product packaging. But there's something even more important.

It is the functionality of the product.

Focus on functional packaging, especially when running an e-commerce business. It should protect the product and leave a good first impression on customers.

Customers should feel like they are opening a gift from a loved one. Have fun with the process and add value to the customers. Add practical elements that make product packaging interactive.

Pro Tip:

• When partnering with a product packaging manufacturer, share your brand details.
• Ensure they can meet your needs and demands for product packaging.
• Check if they have experience with the latest sustainable approaches, e.g., frustration-free packaging.

Implement Flexible Approaches

In e-commerce, all the products are sold in digital stores. So, unlike traditional retail stores, you must add products on the website or relevant platform. Businesses can create unique packaging for products, which opens doors for innovation. Here's what happens

Enhanced Flexible Packaging → Customized Packaging → Customize For Every Individual → Improves Overall Consumer Experience.

You should include constructive criticism and incorporate input in the packaging design process. Make sure the designs align with your brand's core values. Then, keep testing and experimenting with different concepts to improve e-commerce packaging.

Align With Brand Identity

The number of interactions in e-commerce businesses is relatively low. You need to stay in customers' hearts to stand out and make your brand huge. For this, you need to focus on building brand identity.

Your e-commerce packaging should align with the brand:

• Messaging
• Aesthetics
• Values

Be consistent about your brand identity on all the platforms. Don't confuse customers with confusing overlays and information overload. It improves the connection of customers with the brand, resulting in customer satisfaction.

Add Unique Personal Touch

Are you copy-pasting packaging templates for your e-commerce products?

Then, it's time to change the game because personalization is the way to go. Consider it an excellent opportunity to give unique experiences to customers. You can use several customization options, such as

• Custom labels
• Packaging inserts

Create a sense of exclusivity and make customers feel special. Launch special products with customized packaging for holidays such as Halloween, Christmas, and New Year's.

Employ Sustainable Practices

Sustainability is important in product packaging.

Do you know why?

Initially, plastic was used for packaging, which led to climate change. Keeping these in mind, many businesses are opting for sustainable packaging solutions. This attracts eco-conscious consumers and improves brand image. Use sustainable materials to reduce your carbon footprint and fulfill environmental responsibility.

Impact Of Effective E-commerce Packaging Design

You might wonder why so much effort is put into packaging. Shouldn't you focus only on the product?

Relying on products alone isn't enough in an e-commerce store. You must stay ahead of competitors in all aspects; packaging is also part of that. Here is how packaging design impacts your business.

Strengthens Connection With Customers

Customer-centric packaging should be the core of your product packaging. Ensure it's visually appealing and functional to give customers a delightful experience. Every time they see your product packaging, it should excite them. Once that happens, customer experience significantly improves, leading to customer satisfaction.

Gain Competitive Edge

There are several businesses in the market selling the same product. How can you stand out in the market?

Use innovative solutions and implement out-of-the-box ideas. Generic packaging will make your product look cheap and low-quality. Ensure that packaging resonates with the target audience, which is key to building a strong brand reputation.

Increases Customer Engagement

You can make shareable moments on social media platforms through product packaging. When customers are happy with the product, they are likelier to share the unboxing experience with friends and followers.

It creates a chain of user-generated content. Through this method, you can generate a lot of online sales and recognition. Improve the reach of your brand with this word-of-mouth marketing technique.

Save Money & Reduce Waste

An important characteristic of product packaging is its efficiency. It reduces material waste, shipping costs, and environmental impact. Focusing on sustainable packaging can improve the brand's reputation among customers.

To Sum Up

E-commerce packaging is an incredible chance to connect with customers and grow your business. For online retailers, it's crucial to align their packaging strategies with the industry's demands and target audience.

Packaging can improve brand perception, social media engagement, word-of-mouth marketing, and customer loyalty. Remember to incorporate sustainable practices, which reduce costs and save the environment.

Want to partner with an experienced agency for your e-commerce packaging solutions?

Then you're at the right place. Altro Labels is a leading packaging solution provider. We have you covered if you want to level up your packaging and create eye-catching labels. You can check our incredible portfolio here.

For further details, reach out to us today.