2024 is around the corner and AI is already taking every sector by storm but what about packaging and design?
AI is going to change everything we know about the packaging industry in the next decade. In fact, AI in packaging is currently valued at USD 2.031 billion which is expected to touch USD 6.016 billion by 2033.
Considering that AI market size as a whole is estimated to be USD 454.12 billion in 2022 which is set to reach USD 2,575.16 billion by 2032 with a CAGR of 19%, there’s a lot we can expect from AI with reference to packaging in the days to come.
With respect to packaging design, AI can currently help us with generating packaging designs, analyze customer data to make design choices, quickly customize existing designs for various channels and sizes, as well as automate processes like prototyping and generating technical drawings.
In this blog, we will cover how AI will help in packaging design, its benefits, and the future trends of AI in packaging. Sounds exciting?
But first, let's consider the example of a skincare company called “Distingué” that leverages AI for on demand packaging print based on customer’s user profiles.
Its customer Sophia loves trying new skincare and is browsing Distingué’s website for a face mask.
She discovers a sheet mask personalized with her name and skin type in the recommendations tab.It highlights soothing botanicals to reduce redness based on her purchases.
The thin, recyclable packaging has a QR code to easily reorder Sophia's new go-to mask. Doing it for individual customers would’ve sent costs to the moon but with AI, that’s no longer a problem!
AI makes it possible to tailor packaging down to the individual level in a way that delights customers by making them feel valued.
Let’s walk through the pros of using AI in packaging design:
AI allows brands to create tailored packaging experiences by harnessing customer data from various touchpoints. For instance, by analyzing past purchases, browsing history and demographics, AI systems can print names, recommend products, customize branding elements and highlight features most relevant to each customer right on the packaging. This personalized packaging powered by AI fosters greater perceived value and helps drive higher sales. Frito Lay had a stellar "LAY's Summer Days" marketing campaign that stands a great example even in today's date:
Personalized packaging experiences targeted to customers' preferences make them feel more valued. When customers feel seen and understood through individualized packaging tailored just for them, they are more likely to choose that brand over competitors. AI takes personalization to the next level and makes for memorable packaging experiences. Glossop Cartons had a great experience rolling out personalized packaging service in the UK.
A key benefit of AI in packaging design is its ability to optimize the use of materials and minimize waste. By running millions of simulations, AI can determine the optimal structural design, shape, dimensions and material composition for each product's packaging. This reduces the amount of materials used while protecting the integrity and quality of packaged products. Amazon demonstrated this by cutting its packaging waste by 36% and eliminating over 1 million tons of packaging through an AI-powered approach.
AI unlocks innovative smart features in packaging by enabling precise engineering of sensors, tags and functionality. Some examples include self-cooling mechanisms in beverage cans, anti-tamper seals, freshness sensors and moisture control for perishable foods. These features powered by AI tech make packaging more functional. Pragmatic Superconductor has provided a bespoke reusable smart packaging solution, thereby proof of value to the industry.
AI also improves package quality inspection, prevents damage through predictive analytics, increases biodegradability and cuts shipping costs through optimization algorithms. AI-enabled on-demand 3D printing of packaging is another emerging benefit that allows for customization and minimal overproduction. For instance, natural bioplastics made from food waste using AI-based robotic sorting provide a green alternative to traditional plastics. AI enables closed-loop lifecycle management and logistics for sustainability.
1. AI vision systems and deep learning will continue to enhance packaging inspection and quality control. For instance, an AI-based machine learning model implemented for Amazon package inspections reduced damage rates by 24% and curtailed shipping costs by 5% through optimization.
2. As environmental sustainability gains focus, AI will drive innovations in packaging materials, production and supply chain processes.
3. On-Demand Production AI-enabled on-demand 3D printing of packages will minimize overproduction and material waste through small batch production. This allows for true customization aligned with customer orders and reduces unsold inventory buildup. nLIGHT’s AFX-1000 is a glaring example of the same:
4. Widespread Integration of Smart Tags and Sensors Packaging will incorporate more smart technology like RFID tags, NFC tags and QR codes to provide interactivity, automatic reordering, product monitoring and other benefits. But costs need to be evaluated to balance value addition versus pricing.
5. Materials like bioplastics will emerge as alternatives to the fossil fuel-based plastics and AI will play a huge role both in accelerating their adoption and fostering innovation around it.
AI is set to revolutionize packaging through data-driven design, smart features, and sustainability improvements. By analyzing customer data, AI enables hyper-personalized packaging to boost sales. It also optimizes materials and structural design to reduce waste. Machine learning improves inspection and damage prevention, generating major cost savings.
As AI unlocks innovations in materials, printing, and integrated sensors, it will push packaging into an era of customization, intelligence and eco-friendliness. Businesses should embrace AI's potential to create memorable customer experiences and next-gen packaging solutions that drive value.
Whether you're looking to stir up your marketing strategy, enhance your design process or simply explore the vast potential of AI-driven creativity, Our team at Desworks can help you -do reach out to us today!