Over the last 12 years, consumers have grown increasingly comfortable buying readymade food online. As we continue moving further into the future, many market analysts in the restaurant and grocery industry believe that this trend will spill over into how we get our food packed and sustainably delivered.
There are several reasons why online grocery business is booming including restaurant food delivery. Consumers value convenience and therefore buying grocery food online and having restaurant food delivered to their homes will continue to grow. Increased interest in sustainability, improved technology and the desire for healthy foods are also contributing to the industry’s growth.
In the past, consumers didn’t care about environmental impact of food packaging and waste disposal, but current trends and the ban on Styrofoam in most cities – videos showing tons of plastic containers washed into rivers and oceans are changing the minds of many consumers.
Can We Afford to Neglect Styrofoam and Plastic Toxicity?
The environment and health consciousness are the two main areas consumers look for long term sustainable results from brands owners, especially millennials. Restaurant food and fresh produce can look great and fresh but once is packed in Styrofoam tray or any type of plastic container, consumers especially millennials find it unacceptable to the environment. Consumers prefer alternative food packaging containers that are compostable and biodegradable.
Thanks to the internet, there is no longer limit to how far grocery stores and restaurants can sell to consumers. Brands are increasingly selling food products directly to consumers exclusively via the internet—increasing their desirability, as consumers are drawn to personalized online experiences.
The growth of online grocery and restaurant food delivery are not without challenges. Buying food online can be tricky because consumers aren’t able to physically inspect what they’re purchasing before is shipped and delivered. To solve this problem, more and more brands are turning to smart and environmentally-friendly packaging that is healthy, reduce food waste and doesn’t harm the planet.
The latest research claims millennials possess more buying power than any other generation. According to a recent article in Brand Packaging, in dollars and cents this means millennials currently account for approximately 25% of the U.S. population and boast an annual purchasing power of $1.3 trillion. Not too shabby! Brands often build strategy to create engaging packaging for millennials, but sometimes find it difficult.
When you consider the magnitude of spending power and sheer “connectedness” of this generation, it’s easy to see why the millennial market plays a key role in most brands’ growth strategies. But how to target this seemingly fickle audience?
One of the most interesting differences between millennials and previous generations is the power shift between the brand and the consumer. Gone is the traditional purchasing model, wherein the brand wields more power than the consumer. Now, millennials have the global market at their fingertips (literally), and because they’re so well-connected, they know when a product is unhealthy and not eco-friendly or if a brand isn’t delivering on its promise.
Using social media, the millennials can instantly identify product alternatives, and they don’t hesitate to try them. In fact, millennials are said to be as much as 70-80% less loyal to brands. This means that to capture the millennial market, companies need to create unique brands that target the core beliefs and behaviors of millennials. But to do so, retailers and brands have to first understand exactly what these core beliefs are.
Packaging for New Sustainable Trends
Eager to capture the millennial market, some brands are focusing on their packaging to promote these attributes. Most compostable packaging options are non-toxic and allergy free. Though compostable flexible packaging options are not plentiful yet and few companies offer best solutions, they are available and making their way to better affordability and easy implementation.
More and more people are concerned with what products (and the materials they are packaged with) are made out of and the harm they can potentially have on their healthy packaging material choices. offers the following design tips to create appealing packaging for millennials.
As mentioned before, there are several factors that people take into account when they are making a purchase. The environment and what your brand are doing to protect or mitigate damage to it shouldn’t be overlooked.
Not only can this focus help with expanding your market and provide an additional way to market your brand and product lines, but it can potentially increase your sales as more people interested in purchasing from a brand that is focused on a greater cause and reducing their carbon footprint.
In fact, in a survey done by Nielsen in 2016, millennials said they would be willing to pay more for sustainable goods.