The packaging is a vital component of modern consumerism due to the dynamic consumer lifestyle. Today’s fast-paced lifestyle requires a product packaged in such a way that it is compact and easy to transport and store. Furthermore, the easy availability of personal care and similar products has also raised their demand in every segment of the consumer market. Thanks to the innovation, aerosol cans are a high-performance packaging solution loaded with features such as easy storage and mobility.
As a result, the aerosol cans market is witnessing a rise and is expected to grow at a Compound Annual Growth Rate (CAGR) of 3-4 percent till 2022. Demand in the Asia Pacific and Latin American regions is expected to grow at a CAGR of 6-7 percent and 3-4 percent till 2022 respectively. The global aerosol can production was approximately $17.1 billion in 2017. Additionally, aerosol cans have penetrated the new end-user segments and these are expected to be a key factor in the increased demand in the near future.
A few important points are given here that will be helpful in understanding the aerosol cans market in detail.
- Growth Drivers for Aerosol Cans Market: Urbanization, increased awareness about hygiene and personal care, and low per capita consumption are major reasons for growth in the aerosol cans market. World’s two biggest markets, India and China, are expected to achieve a growth rate of 10-12 percent and 14-16 percent respectively.
In addition, innovations in the aerosol cans industry is an aspect that should not be ignored. Compressed aluminum aerosol cans use less propellant and last longer. This benefits both the consumer and the manufacturer as the costs can be cut on the raw materials. The improvements in can designs offer better aesthetics and allow companies to use the can’s surface for marketing purposes. Innovations in the manufacturing capabilities machinery such as the use of a fully-integrated single-piston mechanism offer increased productivity to meet the rising demand.
- Market Segmentation: Aerosol cans market can be diversified into multiple segments on the basis of products and the type of can, material, propellant, and their use. In terms of material, aerosol cans are made up of steel, aluminum, plastics, and glass. However, aluminum cans are more popular among consumers due to their light weight and durability which is not found in their counterparts. In addition, aluminum cans are also easy to recycle as compared to glass and steel.
In terms of can type, aerosol cans are available in three varieties viz. straight-wall cans, necked-in cans, and shaped cans. On the basis of propellants, aerosol cans are available with either compressed gas propellants or liquefied gas propellants. Lastly, uses of aerosol cans vary as per their respective industries. Personal care, home care, healthcare, and automotive sectors are the ones that distribute their end products in various types of cans. However, the automotive industry can be considered as the largest player in this market due to a wide range of product packaging in aerosol cans such as paints, lubricants, cleaners, and degreasers.
- Market Dynamics: Due to significant improvements in supply-chain management and the emergence of modern retail formats, the aerosol cans market is experiencing a boom. The credit also goes to the positive growth in the Fast Moving Consumer Goods (FMCG) market which is developing excellent packaging formats to minimize the shelf space and increase product-presence in the market. A positive factor for the aerosol cans market is the material of the can. Aluminum aerosol cans are light and unbreakable, and they do not also compromise the quality of the product as well.
Another aspect of market dynamics is the purchasing power of a consumer. An increase in the disposable income of consumers and lifestyle changes have also promoted growth in the aerosol cans market. As a result, FMCG companies are opting for technological advancements to achieve a better share in the aerosol cans market.
Specific properties such as recyclability of aerosol cans can present them as a green solution for the future market as a few companies have come up with eco-friendly spray cans that use air instead of aerosol. However, government policies and increased awareness about the environment is causing a major shift in the plastic aerosol cans market and it may lead to a slowdown in the near future. Furthermore, both the automotive and insecticide industries have implemented aerosol cans in the majority of their products. No-touch application of products such as grease, lubricants, cleaners, mosquito repellants, and bug sprays have promoted the use of aerosol cans and both the industries are sure to capitalize on this opportunity.
All in all, the current aerosol cans market is certainly going through various positive changes such as rising consumer demand and innovations in technology but increasing health and environmental concerns are also becoming a topic of discussion in various business forums. The deciding factor in this area will be the policies of governments across the globe.