While aseptic processing might not be a new technology, it’s taken some time to make inroads in North America. North America is the third-largest regional aseptic packaging market in the world, but accounts for only one-fifth of the global market, according to “World Aseptic Packaging,” a March 2012 report from The Freedonia Group, Cleveland.
However, aseptic packages are beginning to pop up all over U.S. supermarkets, from the broth and soup aisle to the milk and juice aisle. And this trend shows no sign of slowing down. Demand for aseptic packaging in North America is projected to grow 8.3 percent per year to reach $6.8 billion in 2015, Freedonia states. Driving the demand for aseptic packages in the food market will be expanding applications with liquid, low-particulate and pumpable foods through the replacement of metal cans and glass jars.
While many retailers have already begun to offer store brand products in aseptic packaging, some might still be hesitant to do so. These retailers, however, might want to keep in mind two things that are not only “trending topics,” but also “significant issues” for the modern consumer, especially young mothers and millennials in charge of buying groceries for the household, states Beatriz Callanta, who handles market communications for the North America arm of SIG Combibloc Inc. These two issues are “clean eating” and the environment.
On-trend
The clean-eating trend has been generating a lot of attention lately, and it can have significant implications for how a product is processed and packaged, states Suley Muratoglu, vice president, marketing and product management for Tetra Pak USA & Canada, Denton, Texas.
“As consumers become [savvier] to a product’s ingredients, we see a growing demand for food and beverages without added chemicals or preservatives,” he adds. “Aseptic processing and packaging meet this demand by protecting food and beverages without the need for such additives.”
The absence of additives could be one reason consumers view cartons positively.
“Studies have confirmed that consumers perceive cartons as fresher, more nutritious and more environmentally friendly,” Callanta states.
Another trend that shows no sign of dissipating is that of environmental consciousness.
“Environmentally conscious millennial consumers are demanding more when it comes to a product’s environmental footprint,” Muratoglu states.
Recycling isn’t enough; instead, consumers are concerned about the entire “footprint” of a product and its packaging. That footprint considers whether or not the package is resource-intensive and whether or not it’s made with renewable resources he adds.
Aseptic packages could meet or even exceed the environmental expectations of consumers. For instance, Combibloc’s aseptic packaging is, on average composed of 75 percent wood fibers a renewable resource Callanta says. And its cube shape and lightweight nature make it “extremely efficient” to transport and store.
Joe Arends, director of marketing for Glenview, Ill.-based Leahy IFP, agrees.
“Compared to glass PET or cans aseptic packaging is extremely transport-efficient and can provide significant savings to retailers” he states “It will be important for retailers to align their store brands with this format based on the demand for sustainable packaging.”
One other trend retailers might want to keep in mind in the packaging decision is that toward functionality, Muratoglu says.
“Consumers are demanding more functionality in their food and beverage packaging,” he says. “This means varied shapes and sizes that fit different lifestyles such as on-the-go millennials and those living in smaller households — and functional features like reclosable and easy-open caps.”
A store brand backer
Aseptic packages could also support store brands by helping to create differentiation at the shelf.
“Carton packages have huge design potential, something that is often underutilized,” Muratoglu says.
The opaque cartons are fully printable, providing retailers with a “huge canvas” for design and branding, he adds. And the cartons allow for a full range of colors, something that is not possible with a clear juice package.
For retailers, then, there is so much more room to “tell a story” on an aseptic carton versus a typical plastic bottle, Arends says.
“From a branding standpoint, I love the available marketing space that aseptic packaging provides,” he adds.
Plus the square shape and the billboard print effect of the carton packaging can make it a “standout alternative on the shelf,” Callanta states.
If retailers are willing to give it a try, the aseptic carton could become a spokesperson for their store brands. The carton is especially beneficial when there is limited space on a shelf, and a small number of facings need to still provide a maximum impact, Muratoglu says.
“Marketers should consider the impact that multiple packages merchandised side by side will have and then design the packaging to take advantage of that,” he adds.
Innovation driver
Aseptic packaging could also support store brands by helping to drive innovation in food and beverage offerings. For instance, aseptic processing and packaging offer retailers “superior protection” of delicate and exotic ingredients and flavors, Muratoglu states.
This capability could allow a retailer to experiment with more unusual flavors and ingredients in store brand products, as it wouldn’t have to worry as much about how they would hold up under processing. And the packaging’s already-discussed sustainability makes it a “great fit” for products that play in the natural, good-for-you and premium areas.