Convenience and staying-in switch drive Russian packaging trends, Euromonitor

Convenience and functionality ​

Food packaging with convenient or functional attributes is performing well in Russia, said Regina Maiseviciute, packaging industry analyst at Euromonitor.

This is reflected in the purchase of easy open metal cans, flip top bottled water, and microwavable packages, said Maiseviciute.

The easy open can performed particularly well in 2010, growing by 12 per cent, said the analyst, due to factors such as the wider application in canned preserved food.

Microwave and oven-friendly packaging are also growing, she said. This packaging type is very convenient for the customer, said Maiseviciute, as they do not need to transfer the product to another dish.

Stay-at-home​

Home entertainment is another growing trend in the country, said the analyst, with many consumers moving from food service to home consumption during the economic downturn, she said.

Manufacturers, in particular drinks companies, spotted this trend and replicated the “food service experience” in products such as home beer drafts, bag in box wines, and 3 litre PET wine bottles,​said the analyst.

Size​

There is also a growth in small sized drink bottles in the region, said​Maiseviciute.

Compared to the traditional glass bottle of 750ml which is used for wine, there are more examples of glass and PET bottles up to a size of 330ml, she explained.

This allows consumers to have wine on-the-go, outdoors, or when a large amount of wine is not necessary, she said.

In Russia, this smaller pack type was introduced in 2007, said Maiseviciute, and is expected to perform quite well until 2014, growing at compound annual growth rate (CAGR) of 8 per cent.

Premiumisation​

In terms of premiumisation, growth in the Russia packaging sector was particularly prevalent in metal packaging of spirits for gift products, she said.

However, the analyst said the popularity is very seasonal due to the product’s high price.

Manufacturers of glass packaging started to play with the quality of their bottles to diversify the product on the shelf, she said, for example by altering the product’s shape or the type of printing that is used.

In the Russian dairy sector, functional drinking yoghurt is perceived to be a premium product, the analyst said, and is expected to perform quite well over the next few years.

She said there is a major opportunity for HDPE bottles which are the usual pack type for this type of product.

Before recession levels​

Overall Russia’s economy is performing slightly better than other markets, said the analyst, with the country predicted to reach before recession levels by 2012, she said.

Although manufacturers did look for cost saving solutions during economic downturn, the analyst said this is not really the case anymore.