What is Smart Packaging

The Potential of Smart Packaging

Smart Packaging is still in its early growth days. The potential applications and merits of integrating this new practice are immense. As the name suggests, Smart Packaging offers packaging with extended functions. It includes all sorts of technologies intended to achieve more than mere packaging. With modern companies seeking to invest in sustainable solutions, the smart packaging industry is expected to reach $59 billion by the end of 2025.

Potential of Smart Packaging
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Smart Packaging and Internet of Things

Today, packages can be equipped with tiny electronic components that add functionalities. Bluetooth, alarms, RFID chips, LED lights, and loudspeakers are a few. These components communicate to achieve the protective function and promise impressive conveniences wherever they are used. A good example is when they are used in medicine packaging to monitor use. The package may monitor each pill you take from the container and sound an alarm if you take the wrong dosage.

Types of Smart Packaging

Active Packaging

The package interacts with what’s inside and the goal is often to increase the product's shelf life. The packaging comes into direct contact with the product to release compounds that enrich the medium, or eliminate components from the immediate environment.
Manufacturers use various elements depending on the product being shipped, but the most popular choices include light filtering materials, ethylene absorbers, oxygen absorbers, moisture-control, antimicrobial coating and more. A great example is adding oxygen absorbers to the cap in a plastic beer bottle, which increases the shelf life from three to six months.

Intelligent Packaging

Intelligent packaging focuses on communicating with the outer world, rather than mere packaging. This type of packaging adds diagnostic and indicator functionality. They can also be used to fulfill automation, marketing and customer engagement.
Intelligent packaging involves sensors and indicators that monitor the product's condition to provide information about the status. This includes tightness, temperature, freshness, storage time and so forth. For instance, food packaging may change color to indicate leaks or salmonella contamination. There are several other ways intelligent packaging can be used to monitor product conditions.

Benefits of Smart Packaging for CPG Companies

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Customer Engagement

Smart Packaging communicates with the customer. It can provide additional content, entertain, and evoke emotional engagement. Building engagement between brands and customers increases sales and brand loyalty.

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Customer Empowerment

Intelligent packaging offers an impressive customer interface that can be used to learn more about the purchased product. Scanning a QR code on a food package, for instance, can present the customer with the dietary concerns, ingredient research, and nutritional value.

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Reveal Product Usage

By connecting the package to the cloud, brands receive plenty of data. Such as when the package was opened for the first time, when it's opened and closed subsequently, where and how often it's used, and more.

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Quality Control

Packaging can be designed to help monitor the condition of a product. It can indicate whether it is good or compromised. The result is easier access to genuine quality products from the manufacturer.

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Smooth User Experience

Smart packaging makes the product easier to use. It can provide clearer instructions by linking to a video or enable users to access an online chat and ask any questions they would like for a personalized experience.

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Staying Relevant with your Customers

Learning what your customers need and want can help you plan your product roadmap to suit them better. Also, investing in smart packaging is one way to project your company as technologically advanced and grab customer attention.

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