Market Report
The Future of E-commerce Packaging to 2029
9.0% growth in e-commerce packaging market
The global market for e-commerce packaging was worth $75.3 billion in 2024, according to Smithers, the global authority on the packaging industry. The market has increased by an annual average of 16.8% since 2019.
The new Smithers market report The Future of E-commerce Packaging to 2029 forecasts demand will increase at a 9.0% compound annual growth rate (CAGR) to reach $116.1 billion in 2029.
The packaging formats used for e-commerce deliveries are corrugated board, flexible packaging, protective mailers, and protective packaging. Corrugated board is the dominant material, valued at $61.3 billion in 2024. It is popular due to its versatility, sturdy and robust nature, and low environmental impact. Corrugated is forecast to retain this position over the forecast period and will increase market share, with sales rising at a CAGR of nearly 10%.
Worth over $11 billion in 2024, flexible packaging is the second largest sector in e-commerce packaging. A CAGR of almost 8% is forecast for the period to 2029. Flexible packaging remains the primary choice in certain sectors – notably apparel – owing to its versatility, light weight, and low-cost for brand owners and retailers.
In contrast, protective mailers and protective packaging tend to be limited to a few key end-use sectors, hence their smaller market sizes.
The e-commerce end-use sectors covered in the Smithers report are food and drink, personal care goods and cosmetics, electrical goods, books and digital media, apparel (clothing, shoes, and jewelry), toys and sports equipment, and house and garden furniture. All sectors experienced growth in market value during the period between 2019 and 2024.
In value terms, the apparel sector remains the market’s largest, with sales worth over $21.8 billion in 2024. It is forecast to be the most dynamic performer between 2024 and 2029, with annual growth averaging nearly 12%.
Some of the world’s largest markets for e-commerce packaging can be found in the Asia-Pacific region, in countries such as China, Japan and South Korea. The largest single market outside Asia-Pacific is the US, with a share in value terms of almost 24% in 2024. While this figure is relatively unchanged since 2019, it is forecast to increase to over 26% by 2029.
Figure 1: Global e-commerce packaging market by material (% value), 2024
Source: Smithers