The COVID-19 pandemic has changed the way we live, work and interact with each other. However, it also has a huge impact on how businesses operate.
The COVID-19 pandemic and the resulting economic fallout will have a long-lasting impact on the cosmetic squeeze tubes wholesale packaging industry. The industry has changed dramatically over the past decade, with many sectors moving to offshore manufacturing in China. But this has resulted in supply chains being stretched, with long lead times for components and finished products. The current crisis has exposed these vulnerabilities.
- The cosmetic tube packaging industry is facing a major shift in the way it operates. The key to surviving the economic downturn is to adapt to the changing environment or risk being left behind. In this article, we will look at how the cosmetic squeeze tubes wholesale packaging industry can grow after the pandemic of cosmetic tube manufacturers here and there.
The Current Scenario Of The Cosmetic Squeeze Tube Packaging Industry Post COVID-19:
The collapsible cosmetic tube industry is one of the most flourishing industries in the world. It is also one of the most profitable ones. Its growth has had a direct impact on the cosmetic industry. The COVID-19 pandemic has taken a toll on many industries across the globe, but it has not been as bad for cosmetic tube packaging as it is for others.
The global cosmetic tube wholesale packaging industry is currently worth more than $53 billion. It was expected to grow at a CAGR of 7 percent, but the COVID-19 pandemic has slowed down its growth a bit.
The effects of COVID-19 have affected people in different ways. It has affected some more than others and vice versa. Some are still recovering financially while others are recovering mentally and physically.
The COVID-19 pandemic has taken a toll on the economy of countries all over the world. The beauty and personal care market is no exception. The lockdowns imposed by governments across the world have taken a toll on retail sales and supply chains that support this industry. This has resulted in a decline in demand as well as manufacturer’s production of cosmetic products and cosmetic squeeze tubes wholesale solutions for them. Following are a few of the many changes that cosmetic tube manufacturers and brands will have to deal with.
Brands will start holding more stock of their cosmetic tube packaging:
The coronavirus pandemic is undoubtedly having a huge impact on the collapsible cosmetic tube industry as a whole. There are several sections that have not been able to work for months. Manufacturers, suppliers and distributors have all been affected by this.
The cosmetic and skincare squeeze tube packaging industry is getting ready to come back from the pandemic lockdown. While most of the industry is working from home, some are gearing up to begin production again. So, what does the new normal look like for the cosmetic industry?
With some factories starting up again, there are many challenges within the supply chain. There may be a shortage of raw materials available and limited stock in inventory.
Having seen such a sudden decline in consumer demand, brands will start holding more stock of their skincare tube packaging and other components. They also want to protect themselves in case of further shutdowns or lockdowns. Moving forward, they will plan ahead better and ensure they have enough stock and raw materials ready for production.
Increasing demand for natural and organic ingredients:
With the rise of natural and organic products in the self-care market, cosmetic tube manufacturers are experiencing a new normal in terms of product packaging design. We are also seeing an increased focus on sustainability, which is a welcome trend.
There is no doubt that product packaging plays an integral role in the on-shelf experience and enhancing customers’ buying experience.
The growth of the cosmetic tube packaging industry will be largely driven by the rising demand for natural ingredients for cosmetic tube manufacturers, which are becoming increasingly important in product formulations because of their health benefits. The requirement for natural ingredients is rising as consumers are becoming more conscious about their personal health, environmental impact and dietary choices like vegetarianism, raw food diet, and other healthy lifestyles. These factors have led to an increase in the demand for natural ingredients in beauty and personal care products across the globe.
The cosmetic industry has gone through a significant transformation over the last two decades because of cosmetic product innovation, globalization, and the shift from mass to niche markets. This has led to a greater focus on providing sustainable solutions that address environmental concerns, raise standards of safety, minimize waste generation, reduce cost and enhance ease of use for consumers. This has resulted in a significant increase in demand for natural and organic ingredients in beauty and personal care products.
Key trends in the post-COVID-19 cosmetic packaging industry:
COVID-19 has altered consumer lifestyles globally. This is expected to result in the restructuring of consumer behavior patterns as well as changing consumer preferences and demands as far as collapsible cosmetic tubes are concerned.
Cosmetic tube manufacturers are now shifting their production lines towards essential goods such as food & beverage products and personal care products, instead of nonessential items such as cosmetics, garments, etc. Due to this shift in focus and supply chain disruptions, FMI expects the global cosmetic packaging market to suffer a downturn over Q2 2020.
The following are some of the key trends that will drive demand among cosmetic tube manufacturers in the post-COVID-19 cosmetic packaging industry:
- The shift from plastic to Paper-Based packaging
- Increase in demand for sustainable packaging
- Demand for Easy-to-Use packaging
- Virtual buying experience will become mainstream
- Demand for customized and personalized packaging
- Growth of the omnichannel sales approach
- Growth in demand for Single-use packaging
- The shift towards trusted brands for health and safety
- The rise in demand for lightweight and compact packaging solutions
- Increasing focus on efficiency and cost reduction
Consumer Behaviour:
Consumers are now spending more time than before on their personal care and grooming activities. This is because they have more free time now due to reduced work hours and working from home. Consumers are also spending more on grooming products such as hair care, skincare and make-up products among others.
The COVID-19 pandemic has created a major disruption in the cosmetic squeeze tubes wholesale industry. The impact of this disruption is likely to change several trends in the industry both temporarily as well as permanently. As consumers’ lifestyles change, so will their purchasing habits and buying behaviors. This shift in behavior will be driven by factors such as fear of contamination, convenience, and cleanliness.
