Like makeup that enhances a plain face, innovations in materials and value-added features are making cosmetic packaging an increasingly attractive business. According to a recent report released by Research and Markets (researchandmarkets.com), the global cosmetic packaging industry market was worth $24.3 billion in 2014 and is projected to reach $31.4 billion by 2020, an annual growth rate of 4.3%.
Paper comprises a large part of luxury packaging. Smithers Pira’s (smitherspira.com)“Paper-based Packaging Trends to 2019,” report predicts that the cosmetics and fragrances sector, which accounts for 43% of luxury goods sales, will snowball at an annual rate of 6% over the next five years. The global market for luxury goods packaging is expected to increase 19% to $17.9 billion by 2019, according to the research firm. Currently the market for packaging for cosmetics and fragrances; tobacco; confectionery; premium alcoholic drinks; gourmet food; and watches and jewelry stands at $14.2 billion.