A new research report commissioned by Asia Pulp and Paper Group (APP) has revealed that European out-of-home (OOH) packaging market is set to grow by 6% to reach €6bn by 2020.

Titled ‘European Out-of-Home Packaging Trends to 2022’, the report has been prepared by Smithers Pira and published at Interpack 2017.

According to the report, the growth is being attributed to the expansion of the fast food and fast-casual market segments as restaurants look to new forms of home delivery services.

It claims that expansion of those delivery services is driving a ‘premiumisation’ across the category as foodservice providers seek to recreate the ambience and style of a dine-in experience through their packaging.

"Restaurants and fast food brands are looking to replicate the feel of their restaurants through their packaging for diners at home."

Asia Pulp and Paper GroupEurope sustainability and stakeholder engagement director Dr Liz Wilks said: “Recent disruptions in the delivery sector such as Deliveroo have created new opportunities in European packaging.

“Restaurants and fast food brands are looking to replicate the feel of their restaurants through their packaging for diners at home and there is an opportunity for packaging providers to capitalise on this growth area by working closely with the food sector on this area of innovation.”

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According to the new APP research, Western Europe’s total packaging market was worth $184bn in 2016 and is expected to grow by 2.8% per year to 2020.

Eastern Europe’s packaging market is expected to grow faster at 3% per year from a base value of $48.1bn in 2016.

Across Europe, the increasing popularity of home delivery and fast food services could push these sectors to overtake the market share of full-service restaurants by 2020.

In addition, offering more takeaway opportunities to consumers is helping the packaging and converting sector to support restaurants with high-quality, luxury packaging.

The new APP report also found that on a market-by-market basis the UK OOH packaging market is currently the largest in Europe at €1.24bn (2015) and is expected to maintain this position through 2020 with a predicted 1.5% annual growth rate.