Overview

Flexible Packaging Landscape

  • Due to the rise in demand for household products during 2020, economical size formats such as larger packs of various types gained prevalence in Colombia. Even flexible plastic formats gained market share in categories such as liquid detergents since they are inexpensive and useful for refill packs as they give consumers the convenience of buying larger volumes at affordable prices. As a result, flexible packaging grew by 43.6% and 12.3% by volume in surface care and dishwashing respectively in 2020.
  • Refill packs are also on the rise, with a growing number of brands offering the same. This trend is not only in response to demand for more eco-friendly and socially responsible products, but also caters to the needs of more price-sensitive consumers. The categories in which refill packs are strongest include laundry care products such as fabric softeners, liquid detergents, and color-safe laundry bleach, as well as dishwashing and surface care. As refill packs mostly come in flexible packaging, the format benefitted from this trend.
Trends
  • In terms of packaging, consumers are realizing that packaging is not necessarily the cause of higher prices for traditional brands. Discounters are using pack types used by leading brands, such as flexible plastic, but using HDPE and PET bottles. As a result, private labels such as D1, Ara, and Justo y Bueno are establishing a significant presence in categories like surface care, dishwashing, polishes, and laundry care.
  • Despite the emphasis on value for money, home care companies are increasingly communicating their environmentally friendly business practices via the internet. Most manufacturers believe that Colombians are not willing to pay a premium for such packaging, even though their concerns regarding sustainability are growing. Unilever, under its FAB line, relaunched its liquid detergent using 100% PET recycled bottles to reaffirm its environmentally friendly credentials among consumers.
Outlook
  • Value-for-money packaging is expected to make its mark in Colombia. The pandemic served to strengthen this trend as consumers’ disposable incomes were negatively affected by the measures implemented to contain its spread. This made consumers focus more on affordable pack types when buying home care products. As a result, an increasing trend towards inexpensive pack types is expected to continue which is likely to benefit flexible packaging over 2021-25.

Click here for more detailed information from Euromonitor on the Home Care Packaging industry