Global Anti-counterfeit Packaging Market Outlook, 2029

Market Dynamic

Market Drivers • Consumer Awareness and Demand: Heightened consumer awareness regarding counterfeit products and their potential risks is a significant driver for the anti-counterfeit packaging industry. Consumers are increasingly seeking assurance that the products they purchase are genuine and safe. This demand for authenticity has pushed manufacturers to invest in anti-counterfeit packaging solutions to protect both their brands and their consumers. • Regulatory Requirements: Governments and regulatory bodies worldwide are implementing stricter regulations to combat counterfeiting and protect consumer interests. These regulations often mandate the use of anti-counterfeit measures in certain industries, such as pharmaceuticals and food. Compliance with these regulations is a major driver for the adoption of anti-counterfeit packaging technologies by businesses to avoid legal repercussions and maintain market access. Market Challenges • Cost of Implementation: Facing the anti-counterfeit packaging industry is the cost of implementing robust anti-counterfeit measures. Advanced technologies such as RFID tags, holographic labels, and track-and-trace systems can be expensive to integrate into packaging materials and supply chains. Smaller businesses, in particular, may struggle to afford these investments, posing a barrier to widespread adoption. • Adaptation and Scalability: Adaptation and scalability of anti-counterfeit packaging solutions across different industries and product types is a major challenge. What works for one product or market may not be suitable for another, and ensuring that anti-counterfeit measures are effective and adaptable requires careful consideration. Additionally, scalability can be an issue when implementing these solutions across large supply chains with multiple stakeholders, requiring coordination and collaboration among various partners. Market Trends • Integration of Digital Technologies: A significant trend in the anti-counterfeit packaging industry is the integration of digital technologies such as QR codes, NFC (Near Field Communication), and blockchain. These technologies enable consumers to verify product authenticity using smartphones and provide real-time tracking and traceability throughout the supply chain. As digitalization continues to advance, we can expect to see increased adoption of these technologies to enhance anti-counterfeit efforts. • Focus on Sustainability: There is a growing trend towards sustainable anti-counterfeit packaging solutions that not only protect products from counterfeiting but also minimize environmental impact. Manufacturers are exploring eco-friendly materials and packaging designs that incorporate anti-counterfeit features without compromising sustainability goals. This trend reflects consumer preferences for environmentally responsible products and aligns with broader industry efforts towards sustainability and corporate social responsibility. Covid-19 Impacts The pandemic led to widespread disruptions in global supply chains, affecting the production and distribution of goods. This disruption created opportunities for counterfeiters to exploit vulnerabilities in supply chains. As a result, there has been an increased awareness of the need for resilient and secure supply chains, driving the demand for anti-counterfeit packaging solutions. With lockdowns and restrictions in place, there was a significant surge in online shopping during the pandemic. The increased reliance on e-commerce platforms created new challenges for anti-counterfeit efforts, as the digital space opened up new avenues for counterfeit products. This has led to a growing emphasis on digital anti-counterfeit technologies and solutions that can be applied in the e-commerce ecosystem. The pharmaceutical and healthcare sectors witnessed a heightened focus on anti-counterfeit measures due to the urgency of ensuring the authenticity and safety of medical supplies, medications, and vaccines. The urgency to combat counterfeit pharmaceuticals during the pandemic has accelerated the adoption of advanced anti-counterfeit packaging technologies in these industries. Governments and regulatory bodies have become more vigilant in addressing the risks posed by counterfeit products during the pandemic. This increased scrutiny has led to stricter regulations and guidelines, especially in industries critical to public health. The pharmaceutical sector, in particular, has experienced heightened regulatory focus on anti-counterfeit measures to ensure the integrity of medical products. The need for real-time visibility and traceability in supply chains became crucial during the pandemic, especially for products such as vaccines and medical supplies. This has led to an increased adoption of track-and-trace technologies within anti-counterfeit packaging. Technologies like RFID and QR codes have gained prominence for their ability to provide detailed information about the movement of products through the supply chain.

Key Development

• In September 2022, 3M established the “3M Verify platform” to verify and report counterfeits of 3M products. This platform was built on the success of its anti-counterfeit reporting during the COVID-19 pandemic, which included all the products made by the company. Using the platform, the company can take action to deter or stop fraud to ensure consumer safety. • In October 2022, Drug delivery systems maker Gerresheimer and science and technology company Merck have jointly developed a digital twin solution to maintain traceability and trust in the pharmaceutical supply chain. The firms have collaborated & developed a Proof of Concept (PoC) to offer primary packaging with a unique ID to access its trustworthy digital twin. • In June 2022, ExxonMobil Lubricants declared the launch of the 'Mobil Super'- a lubricant for passenger vehicles made available with improved packaging offering a new QR-code-based anti-counterfeit feature on the bottles for the customers to verify the product authenticity. • In April 2022, 3M announced a partnership with Innovative Automation Inc. to offer an automated solution for tape applications that need precision, repeatability, and high output to industrial producers. The RoboTapeTM System for 3MTM Tape enables industrial producers to use 3M Tape in their assembly operations while increasing throughput, enhancing quality, minimizing or re-tasking manual labor, and lowering rework. • In April 2022, Avery Dennison announced that operations would begin in its new state-of-the-art manufacturing facility in Greater Noida. The company will consolidate its manufacturing operations through this new facility to better serve customer demands while optimizing new technology and leveraging improved efficiencies. • In March 2022, Avery Dennison Corporation announced the acquisition of Catchpoint Ltd, a UK company based in Yorkshire, England, and its linerless label technology. • In February 2022, Avery Dennison Corporation announced the launch of AD Stretch, a first-of-its-kind program in the labels industry aimed at collaborating with startup innovators to solve critical challenges and create new opportunities in sustainability, customer experience, and value chains. • In February 2022, Avery Dennison Corporation announced the acquisition of TexTrace AG, a technology developer specializing in custom-made woven and knitted RFID products that can be sewn onto or inserted into garments.