Board Converting News, February 8, 2021

BoardConverting Serving the North American Corrugated and Folding Carton Industries for 37 years February 8, 2021 VOL. 37, NO. 6

Consumer Trends Shift In Covid’s Wake BY GREG KISHBAUGH

FBA: Shipments Jump Again In December

According to the Fibre Box Association (FBA), which released its audit of corrugated ship- ment, inventory and consumption statistics on February 1, industry shipments of cor- rugated products increased an impressive 11.4 percent, from 31.332 bsf in December of 2019 to 34.916 bsf in December of 2020. Average-week shipments also increased 11.4 percent, from7.833 bsf in 2019 to 8.729 bsf in 2020. Shipments rose to 3.4 percent year-to- date over 2019’s rate. Containerboard consumption increased 8.1 percent, from 2.5660 million tons in De- cember of 2019 to 2.7727 million tons in De- cember of 2020. Consumption increased 2.4 percent year-to-date over 2019, from 32.3005 million tons to 33.0739 million tons. Containerboard inventory at corrugator plants increased 5.6 percent, from 1.7912 mil- lion tons in November 2020 to 1.8921 million tons in December 2020. Weeks of supply also increased, from 2.5 to 2.7, or 8.0 percent. According to AF&PA statistics, U.S. capac- ity reached a new high of 3.62 million tons per month in December. “Recently, most of the capacity additions have been recycled

Consumer trends typically follow a somewhat predictable arc from year to year. But, as with all things, the pandemic has accelerated some trends and inexorably altered others. Mintel has released its 2021 Global Consumer Trends report, which analyzes what packaging producers can expect from the market in the coming year.

CONTINUED ON PAGE 8

WHAT’S INSIDE 6 GBP To Expand With Acquisition Of Third Dimension Inc. 8 Greif, PCA Announce $70/Ton Price Increases 16 More Webinars Added To AICC All Access Pass 30 Supplier Reports: Part 2

One result of the pandemic is an increasing awareness of wellbe- ing by consumers. Months of isolation and uncertainty have unmoored many consumers and made them realize the importance of better tak- ing care of themselves. Mintel suggests that a playbook for how to respond to this burgeon- ing awareness does not yet exist and that brands have an enormous opportunity if they position themselves at the forefront of this trend. CONTINUED ON PAGE 20

T H A C K E R I N D U S T R I A L S E R V I C E C O M P A N Y

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February 8, 2021

C u r r e n t O p e r a t o r E x p e r i e n c e

S T E P 1

M a c h i n e t y p e G o a l s / E x p e c t a t i o n s

I s s u e s

Q U E S T I O N N A I R E

P l a n 2 d a y s w i t h i n y o u r s c h e d u l e

S T E P 2

1 d a y c l a s s r o o m a n d 1 d a y a t m a c h i n e

S C H E D U L E

1 - B o x S e t u p C a l i b r a t i o n T o o l i n g

S T E P 3

T R A I N I N G

T r o u b l e s h o o t i n g

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February 8, 2021

AVERAGE CONTAINERBOARD PRICES The average prices reported are tabulated from prices PAID by various sources throughout the United States the week previous to issue. Prices in some areas of the country may be higher or lower than the tabulated average. The prices tabulated here are intended only for purposes of reference. They do not connote any commitment to sell any material at the indi- cated average. Transactions may be completed at any time at a price agreed upon by seller and purchaser.

REGION E. Coast Midwest Southeast Southwest

42# Kraft liner $885.00-890.00 $900.00-910.00 $900.00-910.00 $900.00-910.00 $930.00-940.00 $903.00-912.00

26# Semi-Chem. Medium

Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del.

$820.00-850.00 $835.00-855.00 $835.00-855.00 $835.00-855.00 $865.00-875.00 $838.00-858.00

West Coast U.S. Average

SHEET PRICES BY REGION (AVERAGE) Per 1MSF, local delivery included, 50MSF single item order, truckload delivery. Sheets

E. Coast Midwest South-SW S. CA N.CA/WA-OR US Aver.

200# 275#

$62.26

$72.05

$62.69 $82.80

$85.35 119.54

$73.13 101.29

97.32

99.89

90.86

113.65

OYSTER UP-CHARGE 8.34

8.34

275# DBL-WALL 350# DBL-WALL

107.46 118.45

114.69 129.32

116.54 137.25 117.82 145.56

141.08

122.76

148.46

131.80

CANADIAN SHEET PRICES (AVERAGE) In Canadian Dollars, per 1MSF, local delivery included, under 50MSF single item order, truckload delivery. 200# 275# Oyster UC 275#DW 350#DW $78.56 $99.18 $9.00 $96.32 $105.83 CANADIAN LINERBOARD & MEDIUM The average prices reported are tabulated from prices PAID by various sources throughout Canada. Prices may be higher or lower in various areas of the country. The prices tabulated here are intended only for purposes of reference. They do not connote any commitment to sell any material at the indicated average. Transactions may be completed at any time at a price agreed upon by seller and purchaser. Prices are Canadian $ and per metric ton.

42# Kraft Liner 26#

Semi-Chem Medium

East West

$920.00 $965.00

$910.00 $945.00

AVERAGE CONTAINERBOARD PRICES.indd 1

3/7/19 2:04 PM

The Price is Right More readers rely on Board Converting News’ containerboard pricing to negotiate their contracts. SUBSCRIBE TODAY.

Robyn Smith at 910-553-4055 /rsmith@nvpublications.com Len Prazych at 518-366-9017 / lprazych@nvpublications.com

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February 8, 2021

GBP To Expand With Acquisition Of Third Dimension Inc. Green Bay, Wisconsin based Green Bay Packaging Inc. (GBP) is planning an expansion with their acquisition of Third Dimension Inc. The announcement was made in October of 2020 that Green Bay Packaging, Inc. acquired Third Dimension, Inc. The planned expansion of 112,000- square-feet will be at the Geneva Facility located on Pleas- ant Avenue in Geneva, Ohio. The plan is to break ground this spring with a comple- tion date in the forth quarter of 2021. The expansion will house new box converting equipment, which will provide additional production capabilities. Final approval is pend- ing upon notification of a tax abatement. Started in 1933, Green Bay Packaging Inc. is a fam- ily-owned, vertically integrated company consisting of corrugated container plants, folding cartons, recycled and virgin linerboard mills, pressure-sensitive label roll stock, specialty converting operations, timberlands, and a sawmill facility. Headquartered in Green Bay, Wisconsin, Green Bay Packaging Inc. is dedicated to the innovative development of its products and forestry resources, with a focus on quality, sustainability, and continuous improve- ment throughout all its manufacturing facilities in 14 states. Visit www.gbp.com for more information about Green Bay Packaging Inc.,

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February 8, 2021

40 ft of paper travel from preheater to hot plates 3 seconds of heat, glue and bonding 1 chance to get it right! the ZONE

Design & Production

Chicago Electric offers 10 technology solutions to control ‘the Zone’ CORRUGATOR Sectoral preheating plate

Our sectoral preheating plates provide direct heat by means of a double steam circuit, allowing for efficient heating in hard-to-access locations, as well as to act as a steam shower to open the paper’s fibre, making it receptive to absorbing the heat and the glue.

This translates into increased speed and improved quality of the cardboard sheet finish.

The system’s main advantages are as follows:

• The plate may only be used to heat, only to humidify, or both options at the same time. • The plate is sectored, which allows for applying humidity to the sections. • It provides temperature in previously inaccessible locations and near the location needed. • It compensates the loss of temperature dissipated due to distance, speed or limitations of the exiting preheaters. • Quick transferring of heat to the paper. • The combination of the hot plate and steam shower allows for providing heat even to the hardest papers to heat. • Does not dry out the paper. • Possibility of operating as a humidifier and pre-conditioner. • Maintains and improves the fibre’s elasticity. • Acts according to the operator’s needs. • Facilitates the paper’s hygroscopy to absorb the glue and improve rubberising.

CONTROLLABILITY

1. Wrap Arm - Position & Temperature 2. Preheater Direct Drive

DOUBLEBACKER IMPROVEMENT

3. Steam Plate 4. Contact Roll 5. Glue Machine Direct Drive Touch Productivity Issue—Glue Unit Many glue units run with a rider roll or a guiding bar system. The rider roll with paper gap allows a precise glue application, but requires frequent Contact Roll

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DOUBLEBACKER IMPROVEMENT

calibrations and settings. Bar systems avoid this, but compensate this with the risk of exces- sive glue application. The system contains many wearing parts. Solution The contact roll combines the ad antage of both systems and ensures minimum contact between board and applicator roll. The system uses small pneumatic cylinders in order to achieve a “soft touch.”

6. Gap Control 7. Curved Plate 8. Roller Shoe Press When it comes to a short-term increas of web tension, spring loaded systems with shoes or airpressure activated system have problems in compensating these. The system is lifted for a short time. This may result in de-lamination and in the ‘double kiss’ effect. Solution For a defined and exact bonding point of the web fiv weight rollers will be installed usually over the first flat hotplate of the heating section. The rolls are mounted into a frame, which is actuated by means of two pneumatic cylinders. P oductivity Issu —Double Kiss Bonding

PRODUCTIVITY

DOUBLEBACKER IMPROVEMENT

Roller Shoe

DOUBLEBACKER IMPROVEMENT

9. Thin Wall Hot Plates 10. Pressure System Benefits —Exact glue application due to defined contact of applicator roll to web. Web is in contact to less flute tips compared to bar systems. • High precision glue application • Less moisture applied to web —No wear of shoes and springs —No adjustment of shoes or paper gap —Uniform glue application over entire working width for all flutes by use of pneumatic cylinders instead of springs — Less contamination by paper dust and glue remains —No jam of board because of web breaks caused by splice joints going through 630-784-0800 Benefits —Rollers secure exact defined first point of contact of liner and single-faced board - No double kiss —Frame design avoids unintended lifting of roller shoe (compared to spring or air loaded systems) - No double kiss —Pressure can be increased or released for special grades or products 490 Tower Blvd., Carol Stream, IL Contact Chicago Electric to GET IT RIGHT 630-784-0800 info@chicagoelectric.com chicagoelectric.com Solution The ProPress system ensures an optimum heat transfer to the board. It offers a wide range of set- tings. The loadi g pressure can be varied, the number of shoes can be lifted in accordance t the line speed. The outer shoes can be lifted in accordance to the paper width. The shoe bars will be delivered pre-assembled for a short installation time. —Liftable for easy paper infeed and for cleaning of the machine —Position adjustable in paper direction to avoid grooves in hotplate Press Productivity Issue—Poor Heat Transfer Rollers are usually limiting the heat transfer, since they often have contact mainly on the edges of the plates due to wear or bent plates. They also cause often loss of caliper and bearing need to be replaced frequently. Airpressure actuated systems can only supply a limited pressure and have com- pared to shoe systems a closed surface. Pressure Shoe

Plate vity Issue—Poor Heat Control l hotplates are slow to react to pressure due to high steam volume and massive y also have high heat radiation and heat profile. Worn plates can damage crease edge crush.

Thin-Wall Hot Plates

t by peripheral drilled hot plates. anufactured out of special wear and nt steel, through which a continuous is drilled, with one inlet and one outlet. ecured by a massive steel frame.

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ance from steam to paper surface results in fast heat flow

FBA: Shipments Jump (CONT’D FROM PAGE 1 )

Box Shipments ( U.S. Corrugated Product Shipments) Industry Shipments In Billions of Square Feet Month December 2020

containerboard, however, the additions to capacity be- tween November and December have been primarily in the virgin containerboard sector,” noted Dick Storat in his Scoring Boxes newsletter. “Recycled containerboard now accounts for more than 35 percent of total U.S. container- board capacity. This growth has occurred over the past 12 years, from a level of 24 percent at the start of 2009.” Greif, PCA Announce Price Increases Delaware, Ohio based Greif, Inc. announced last week that it is implementing price increases on its paperboard and containerboard products. A $50/ton price increase for all grades of uncoated recycled paperboard (URB), a $70/ton price increase on recycled and semi-chemical medium, and a $60/ton increase on recycled linerboard will be ef- fective with shipments on and after March 4, 2021. Lake Forest, Illinois based PCA announced a $70/ ton hike, effective March 1. “This is the biggest domestic hike in memory and comes just four months after a $50 increase,” said Mark Wilde Ph.D. at BMO Capital Markets. “With markets very tight, other producers are sure to fol- low, but whether they can get $70 is another matter. We expect this attempt to garner more push-back from box customers than the November hike.”

Year

Actual

Percent Change Avg Week Percent Change

2020 2019

34.916 31.332

11.4

8.729 7.833

11.4

Industry Total

Year-to Date

December 2020

Year

Actual

Percent Change Avg Week Percent Change

2020 2019

406.776 393.483

3.4

8.071 7.838

3.0

Industry Total

Containerboard Consumption (Thousands of Tons)

Year

Month

Percent Change Year-to-Date Percent Change

2020 2019

2.7727 2.5660

8.1

33.0739 32.3005

2.4

Container Board Inventory - Corrugator Plants (Thousands of Tons)

Corrugator Plants Only

Date

Percent Change Weeks of Supply

Percent Change

Dec. Nov.

1.8921 1.7912

5.6

2.7 2.5

8.0

Shipping Days

Year

Month

Year-to-Date

2020 2019

20 20

252 251

SOURCE: Fibre Box Association

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February 8, 2021

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RusCorr Celebrates Record-Breaking Shift With BHS 110-Inch Corrugator November 18, 2020, marked yet another milestone of achievement for Corrugated Supplies’ RusCorr sheet feeder located in Cullman, Alabama: its second shift corru- gator crew set a new 8-hour record averaging 57,720 FPH (962 FPM) with zero down time. They produced a total

over 96 percent of the maximum speed is testimony to the pride our team takes in running our corrugator fast, keep- ing it clean and maintaining it to BHS standards.” Scott Hogeland, RusCorr’s Maintenance Manager, add- ed, “For the last eight months of 2020, every monthly av- erage was better than the last. Including maintenance and downtime, our monthly average speed in May was 798 FPM. In December, our average rose to 823 FPM (49,380 FPH) for the month. We finished the year with a 12 month

of 3,653,458 square-feet of board with 67 dry end order changes. BHS presented a Platinum Performer award on January 12 to celebrate RusCorr’s achievement. According to Joel Wilemon, RusCorr Facility Manager, “Our 110-inch BHS Corrugator is over 17 years old and has a max speed of 1000 FPM. The fact that my guys averaged

average of 47,580 FPH (793FPM). Total downtime for the year was 1.45 percent of maintenance downtime and 1.39 percent of production downtime. However, it’s how our team performs every day, as well as the overall support we receive from BHS that makes it possible to support our customers with the highest quality and consistency.”

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February 8, 2021

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U.S. Ecommerce Grows 44 Percent In 2020

merce 360’s analysis of the latest U.S. Department of Commerce figures. This is the highest growth since 1999. Digital Commerce 360 studies non-seasonally adjust- ed Commerce Department data and excludes sales of items not normally purchased online, such as spending at restaurants, gas stations and auto dealers. The record-breaking jump in total retail sales may come as a surprise considering the coronavirus pandem- ic’s negative impact on in-store shopping. However, all of the growth in retail came from ecommerce. Online sales accounted for 101 percent of all gains in retail in 2020. This means sales through all other channels—stores, catalogs and call centers—declined. This is the first time in history that ecommerce sales accounted for all retail sales gains. The previous high was in 2008, when ecommerce ac- counted for 63.8 percent of all retail sales growth. Amazon maintains its spot as the No. 1 online retailer in North America by a large margin. The online retailer’s 2020 revenue will cross $296 billion, up 38.6 percent from 2019, Digital Commerce 360 estimates. This means sales on Amazon alone represented nearly a third—31.4 percent—of all U.S. ecommerce sales growth in 2020. That’s certainly a significant share of online sales growth, and one we’re familiar with when it comes to the ecom- merce giant, but there’s more to the story. The 31.4% is down from Amazon’s 43.8% share in 2019. This is likely a sign of the gains made by other big competitors in 2020, including Walmart, Best Buy, Target and Kroger.

According to an article on digitalcommerce360.com , con- sumers spent $861.12 billion online with U.S. merchants in 2020, up an incredible 44.0 percent year-over-year, ac- cording to estimates. That’s the highest annual U.S. ecom- merce growth in at least two decades. It’s also nearly triple the 15.1 percent jump in 2019. Online’s share of total retail sales has steadily been on the rise—with ecommerce penetration hitting 21.3 percent in 2020, Digital Commerce 360 estimates. That’s up from 15.8 percent in 2019 and 14.3 percent in 2018. The more than five-percentage point gain in ecommerce penetra- tion is by far the biggest year-over-year jump for U.S. retail sales ever recorded. No other year has even reached a two percentage-point gain in digital penetration. COVID-19-related boosts in online shopping resulted in an additional $174.87 billion in ecommerce revenue in 2020, Digital Commerce 360 estimates. If it weren’t for the bump in online sales from the pandemic, the $861.12 billion in ecommerce sales wouldn’t have been reached until 2022. Digital Commerce 360 updated the ecommerce sales estimate for 2020 in January 2021. Total retail sales increased 6.9% to $4.04 trillion from $3.78 trillion the year before, according to Digital Com-

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February 8, 2021

What Is It About Pizza Boxes? BY JOHN MULLINDER

What is it about pizza boxes that they always seem to get singled out for special mention? Is it the guilt we feel at scoffing down all that cheese and pepperoni? At tearing into that soft fresh crust knowing full well that

our long-delayed and somewhat erratic weight- loss program will be pushed back a few days, may- be weeks? Especially if that piping hot and mushy mess is washed down with large dollops of ice cream. To cool it off, you understand.

Whatever it is, municipalities seem to go out of their way to make an example of the poor old pizza box. It’s not recyclable, they claim. The paper mills don’t want it. It’s the mountains of grease and cheese. Put it in your or- ganics or food waste bin. At least it will make good compost. There is some truth to that. Paper can be composted, and for some households, composting is likely the better option. Ask the residents of Nova Scotia and Prince Edward Island, who are hundreds of kilometres from the nearest packaging recycling mill. But pizza boxes are perfectly recyclable too. Sure, the recycling mills don’t want the plastic centrepiece that sometimes holds the slices to- gether in the box. (Memo to self: why isn’t this plastic do-hickey made of John Mullinder

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paper so it can be recycled with the box?). Anyway, while the mills great- ly appreciate your kind offer of leftover crusts, they would really prefer that you deal with them yourself. It’s a pride thing. But the box itself is fine. Normally it’s made of corrugated board. And in Canada anyway, that is mostly 100 percent recycled content. So, it’s been around before. And will be around again. What? you say. That gooey, greasy stuff that I kindly left for the paper mill workers will be in my next box? Yuck! No dear friend, it won’t. When it finally gets to a recycling mill, your kind gift is first dumped into a big washing machine called a pulper. It’s not that the mill is ungrateful, it’s just that pizza crust doesn’t make great paper. So, any crust you’ve kindly donated will be shaken free and exit the system. Same for the cheese. It tends to clump together and gets screened out during the pulping process. Aha, but what about the grease? Well, that is a little bit harder to get rid of, but if you thought the pizza was hot, wait until you hear the tem- peratures that paper is made at. In a typical mill recycling process, the temperature of the paper sheet reaches 220 to 240 degrees Fahren- heit, well above 100 degrees Celsius, the boiling point of water and the

600 + Plants 60,000 Users North America Latin America

CONTINUED ON PAGE 16

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February 8, 2021

STOP GUESSING.

WE KNOW THE ANSWERS TO THESE QUESTIONS...

WHAT IF?

Get Answers-Be Proactive. • There’s a board increase or decrease? • My volume goes up or down? • I lost my largest customer? • My MIX changed ? • I bought a new machine? • I sold more sheets? • My labor costs go up 5%? • I added OT or another shift?

With Amtech’s NEW AUTOMATED PERFORMANCE COSTING To Learn More or Schedule a Demo Darren Artillio: dartillio@amtechsoftware.com 215.639.9540 www.amtechsoftware.com/accurate-costing

Pizza Boxes (CONT’D FROM PAGE 14)

temperature required for sterilization. So goodbye grease! The average grease content of a pizza box is less than two percent anyway, and at that level does not affect the strength of the new board being made. And if you are still not totally convinced, there’s a fur- ther check in the system. The board goes from the mill to a converting plant where the board is blended with other paper layers to form a corrugated sheet, which will then be shaped into your next pizza box. Sorry we can’t do any- thing about the ice cream! But the corrugation process, as it is called, destroys any bacteria that might remain. In fact, a recent study showed that every single one of 720 corrugated boxes from six different suppliers tested at six different locations in three different regions met accept- able sanitization levels. So, there you have it. Pizza boxes are recyclable. Now, was that vegetarian or Hawaiian? John Mullinder is the Executive Director of the Paper and Paperboard Packaging Environmental Council. Visit www.ppec.org for more information.

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More Webinars Added To AICC All Access Pass

Our Teamwork Brings It All Together Each department works hard to ensure Quality, Precision, and Expertise in every Anilox Roll that leaves our facilities.

AICC, The Independent Packaging Association, has added new webinars to its calendar, and that means more webi- nars are available at no additional cost to those with the All Access Pass. When a company purchases the All Access Pass for $1695, all employees can register for AICC webinars through August 2021 for no additional cost. More than 70 webinars and recordings are included with the Pass. Upcoming webinars include Which Flexo Folder Gluer is Right for the Job?, How to Reduce Risk in Major R&D Projects, Corrugator Roll Alignment, and Maximizing Pros- pecting Effectiveness Leveraging LinkedIn and other So- cial Media Tools. The Pass provides the best way to meet a company’s professional development needs at a bud- get-friendly price. The average registration for a webinar is $250. With more than 70 webinars and recordings included, the All Access Pass represents a savings of more than $15,000. The All Access Pass pays for itself after only a few webi- nars. The All Access Pass gives participating companies: • Flexibility in choosing education offerings and which team members take them • Simplicity and accuracy in budgeting for professional development • The best available price for AICC webinars • An easy way to leverage the value of your AICC mem- bership. To purchase the Pass, visit www.AICCbox.org/Pass or contact Taryn Pyle, Director, Education and Leadership Development at tpyle@aiccbox.org or (703) 836-2422.

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February 8, 2021

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The Paige Company Installs JB ColorDry XL3000 Dryers

sheets per hour. Therefore the need to double pass jobs for inside/outside printing is eliminated resulting in a more efficient workflow and quicker turnaround time of orders. “The popularity of Inside/out (printing) is continuing to expand in virtually all markets”, says Warren Bird, Presi- dent, JB Machinery. “More brand owners are recognizing the added value inside/out printing brings to their prod- ucts. Converters are realizing that inline drying, in addition

Elmwood Park, New Jersey based The Paige Company recently installed a full complement of JB Machinery Col- or Dry XL3000 IR dryers on their new 66-inch by 113-inch 5-color, 2-over-3 inside/out G-Graphix rotary die cutter.

Paige’s five-dryer system includes JBVisionMaster in-press dryer inspection and monitoring and JB Sentinel sheet de- tection on each print station. The new diecutter and dryer system allows Paige to deliver 5-color double-sided print- ing and diecutting in a single pass at speeds up to 12,000

to expanding their capabilities, allows them to maximize productivity by printing on both sides of the sheet and converting in a single pass. The enhancements in efficien- cy and quality, and the reduction in turnaround time pro- vide a significant contribution to profitability.”

MEASURE MANUFACTURER’S GAP FROM THE BUNDLE WITH GAPCHEK

LEAD GAP

TRAIL GAP

GapChek™, the latest corrugated vision system from Valco Melton’s ClearVision division, moves the measurement point to the bundle so that the lead and trail gaps are measured on finished boxes. GapChek displays live measurements of each gap and per-bundle averages with statistical process control charts on-screen Users can look at per-job and per-box gap data and analyze historical trends for certain box designs or customers.

Adhesive Dispensing & Quality Inspection Systems World HQ: +1.513.874.6550 | ask@valcomelton.com For more information visit: www.valcomelton.com

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February 8, 2021

Consumer Trends (CONT’D FROM PAGE 1 )

AIR CONVEYING CORPORATION is a recognized leader in the industry of Pneumatic Conveying Systems and has been in business since 1968. As an equipment manufacturer rather than simply a sales organization, we have complete control over the quality of material and products which make up your proposed system. Our equipment is found in Printing, Folding Carton and Corrugated plants throughout the country and the world.

Wellbeing, as defined in the report, encompasses the most fundamental basic needs, and the way consumers process decisions for their wellbeing is both direct and indirect. The holistic nature of wellbeing ensures it has a consistent place in brand messaging; it’s just a matter of brands determining where they fit into the narrative. For example, ‘self-care’ can be so broad that it can apply to any decision, whereas functional ingredients are designed with a clear and direct purpose. Statistics back up the uptick in mental health concerns since the pandemic first hit. More than 73 percent of U.S. consumers who experienced a mental health disorder in the past year have diagnosed themselves. Just over 50 percent of UK consumers have used some form of health technology (eg nutrition app), while 59 percent of Chinese adults say that exercising has become a higher priority for them since the COVID-19 outbreak. The pandemic will, hopefully, fundamentally alter the ways in which societies view mental health and brands have the opportunity to lead that charge. “Globally, the pandemic has put health at the forefront of consumers’ daily lives,” said the report. “As consumers move forward beyond the pandemic, they will experience a new type of gratitude for what it means to have a healthy body. Brands can lead with that note of positivity and grat-

AIR CONVEYING CORPORATION PH: 901-454-5016 FAX: 901-324-7979 e-mail: sales@accfilter.com www.accfilter.com

CONTINUED ON PAGE 22

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February 8, 2021

Consumer Trends (CONT’D FROM PAGE 20)

for others around you. A resurgence of advocacy has surged as people demand positive change, for themselves and for future generations. “There is an opportunity for brands to take a lead in addressing these issues, and they may risk being seen as a hindrance if they fail to do so,” said the report. “In a world forced to go digital, the reliance of global social move- ments on digital platforms accentuated – in some new and uncomfortable ways – the extent to which technology can be used unethically. This has raised consumer concerns and demands for more equitable access to digital tools and literacy alongside more ethical tech usage standards. Brands are, therefore, in a unique position of power to be a guiding source of influence — if led with trust and trans- parency. Consumers are more tech-savvy than ever before and brands have an opportunity to use technology to connect with consumers and rally around causes that are important to them. This puts pressure on brands, in ways that are unprec- edented, and the only way for brands to respond is to be clear about their values and brand positioning. Consumers more saliently see and understand the es- sential needs of their immediate physical community, and they are seeking brands that leverage resources to offer positive impacts readily felt on local and regional scales. And while digital capabilities will continue to be crucial in CONTINUED ON PAGE 24

itude and shift the conversation away from aesthetics and body image.” Collective Empowerment Another clear trend witnessed over recent years is con- sumers push toward equity and equal rights for all people. Consumers are utilizing technology, including social me- dia, to form virtual communities in which they trust those around them, as they do not always feel they can trust the government and long-established brands. These consum- ers very much want to support companies and brands that align with their core beliefs. “The conscious consumer is evaluating more closely the brands from which they shop,” said the report, “ex- panding the definition of what an ethical company entails and demanding their voice be heard.” Twenty percent of UK consumers say they often shop with a retailer that supports a cause they believe in; 6 per- cent do so always. Nearly 50 percent of Brazilian consum- ers agree that they are prepared to boycott companies who behave unethically, and 72 percent of U.S. consumers agree that they are concerned about corporations abusing technology. The pandemic, while creating an incredible sense of isolation, conversely also made consumers understand that they need to be more community minded as the only way to battle the pandemic was to show greater concern

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February 8, 2021

SUPERIOR BUNDLING TECHNOLOGY For almost a decade, we’ve offered a tandem solution to box plants that require squared and strapped bundles at a high rate of speed. Our engineers have developed and enhanced our tandem system to maximize throughput with today’s high-speed flexos, box slitters, and bundle breakers. Throughout our 35 + year history, our continued technological innovations have enabled us to provide superior performance with the lowest total cost of ownership. Contact Us Today! OUR INNOVATION YOUR PERFORMANCE

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Consumer Trends (CONT’D FROM PAGE 22)

cashier-less stores, self-checkouts, home delivery, and consolidated shopping trips will become the norm, and consumers will continue to cut down on non-essential goods and services. In this time of incredible uncertainty, brands are tasked with communicating and delivering tan- gible benefits that motivate consumers to believe those products are indispensable. Coming Together The isolation and loneliness associated with the pan- demic have made consumers reflect upon the importance of community and mutual support. Consumers are coming together online, forming communities that unite to help one another. Forty-six percent of U.S. consumers feel giving back/ helping others is one of the top five values most Ameri- cans live their lives by. Just more than 40 percent of UK consumers say they feel more connected to their neigh- bors due to COVID-19, and 80 percent of Chinese consum- ers say it is important for them to feel part of a community. This increased importance consumers feel in trying to be- long to a like-minded community offers brands the oppor- tunity to support these communities in new and supportive ways. “The cancellation of social gatherings opens endless possibilities for online and digital communication,” the re- port stated. “The longterm impact of this shift is that we will see innovation across online and digital communica- tion continue at pace to cater to changing consumer ex- Experiential attitudes toward brands are increasing and can no longer be viewed as fads or marketing tools. Con- sumers are experiencing powerful emotional connections to brands that are creating a point of differentiation. Tech- nology has made experiences available to the masses while simultaneously creating a counterdemand for offline interaction with brands. Both act as a means for consum- ers to feel like they are stepping out of their comfort zones. People are challenging themselves in more demanding ways than ever before, while others seek thrills in the ‘nothing experience’ and recognize the importance of shutting down, switching off, or not doing anything at all. Consumers are becoming familiar with various forms of digital experiences that allow them to relax, socialize, learn and create,” said the report. More than 60 percent of Chinese consumers agree some online entertainment activities (e.g. fitness, music festival) conducted at home through short video platforms can replace offline activities. More than 30 percent of UK consumers who use mobile apps say using an app to ex- perience a virtual exhibition (e.g. museum, art gallery) ap- peals to them. Consumers are now increasingly living in a digital world, and the trends seen in areas like gaming will have an im- pact on other consumer and brand interactions, whether in retail, entertainment, or communications. pectations.” Virtual Lives

the amplification of grassroots movements and the func- tioning of society, consumers are wary of surveillance technologies and unsound data collection, raising aware- ness about ‘ethical’ tech. Priority Shift In addition to the myriad ways in which the pandem- ic has forced the world to reevaluate the ways in which health care and government should better serve the gen- eral population, it has also shifted consumer perception of value toward minimal consumption that emphasizes af- fordability, convenience, and protection. Consumers are also redefining value through a re- sults-driven lens, seeking durability, flexibility of use, and efficacy, according to the report.

Nonetheless, while consumers value their daily essen- tials, they still seek simple pleasures in splurges that el- evate their everyday – they just might need a little extra nudge from brands to allow themselves to feel comfort- able with these mini indulgences. Again, brands have the opportunity the shape consum- er spending as consumers report being worried about the long-term changes to their lifestyle. Sixty-four percent of UK consumers have a budget they try to stick to; 52 per- cent of U.S. adults are worried about how COVID-19 is im- pacting their lifestyle; and 82 percent of Chinese consum- ers think it’s worth paying more for higher quality products. Globally, consumers are embracing a scarcity mindset that makes them monitor their spending more closely and avoid excess consumption. In this search for things that matter to them, consumers are seeking not just affordabil- ity and convenience but also safety, protection, and dura- bility of goods. In the very near future, accelerated by the pandemic,

CONTINUED ON PAGE 26

www.boardconvertingnews.com

February 8, 2021

Consumer Trends (CONT’D FROM PAGE 24)

should be transparent about how they monitor and use personal data; 38 percent of U.S. adults say they would spend a lot of money on wearable technology that detects potential health issues; and 56 percent of UK Gen Z con- sumers say they are concerned about the mental health implications of using technology devices too often. “What it means to connect with a brand virtually will evolve,” said the report. “It won’t be enough to just be on- line; rather, brands should consider how to deploy innova- tive tech to deliver elements of their brand, products and services in ways that add discernible experiential value that can’t be obtained through a static product page.” As social and environmental concerns continue to be- come increasingly central in the public consciousness, brands will be expected to creatively use digital technolo- gies to make it easier for a broader spectrum of consum- ers to participate in philanthropic and/or environmentally responsible activities in their own capacity. Sustainable Spaces

The pandemic will continue to expand digital experienc- es, making them increasingly a part of consumers’ lives, ir- regardless of demographic. This will provide opportunities for brands to cater to different types of consumers who are more accustomed to online services and interactions. “There is a need to make online experiences more diverse and inclusive and appeal to new and existing audiences,” said the report. “Online personalities and influencers will be key in achieving this, as will having a clear understand- ing of consumers’ individual needs.” Digital Dilemmas The benefits of a digitally connected life have been established but there are undeniable concerns, as well. There are certainly many negative impacts that may not be entirely understood for years. Eighty percent of Chinese adults say app developers

Sustainability has been a primary concern for consumers for many years and the pan- demic, like so many others areas of their daily lives, has made the increasingly aware of the spaces in which they live and has driven their demand for sustainability even higher. The report surmises that population stress and a new climate reality will drive politics, societies, science, and economics to inno- vate how we use our space more ethically. Consumer consciousness of sustainability will evolve beyond recycling and emissions into a more holistic, longer-term view. More than 40 percent of Americans strongly agree that it’s worth making indi- vidual sacrifices to protect the health of the greater community; 61 percent of Canadian adults disagree that nothing can be done to save the environment at this point; and 48 percent of Indian consumers strongly agree that, post COVID-19, they will buy more from local businesses. As consumers continue to demand in- creased transparency, they will increasingly scrutinize how brands plan to tackle sus- tainability challenges. Offsetting production processes will no longer be enough: con- sumers will want brands to be actively part of the solution, not just to clean up after them- selves, according to the report. “Consumers are more aware of how a culture of consumption has impacted the en- vironment and left them disconnected from how and where their purchases are pro- duced,” stated the report. “They are looking for brands to offer a better vision of how we reconnect with our spaces and resources in the future.”

Once recycled, corrugated box fibers are used 7-10 times to make new boxes and other paper products. And, more corrugated packaging is recovered for recycling than any other packaging material. Corrugated attracts eco-conscious customers who prefer to choose sustainably packaged products. Environmentally Responsible. Recyclable. Compostable. Extraordinary.

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February 8, 2021

MacDermid Appoints Kellogg Senior Account Manager, Upper Midwest Atlanta, Georgia based MacDermid Graphics Solutions (MGS) has announced Adam Kellogg’s appointment to Se-

nior Account Manager, Upper Mid- west of the U.S. He joins MacDermid after 13 years with Bottcher America Corporation. In his previous sales role, Kellogg was responsible for researching and prospecting the graphic arts indus- try, including flexible packaging and

1030 S. Edgewood Ave. Urbana, Ohio 43078

Adam Kellogg

folding carton; and industrial manufacturing opportuni- ties in MN, IA, ND, SD, and Western WI. He consulted and sold specific pressroom consumables to large national accounts across the Midwest, such as WestRock, Graphic Packaging, MCC, and many others, including commercial graphic houses. Promoted to Central Region Manager in 2019, Kellogg guided his team in acquiring new business and managing existing accounts while gaining experience within the graphic arts industry. “I am thrilled for Adam to join our North American com- mercial team. Adam will play a significant role in connect- ing MacDermid’s leading technologies with customers across the important Upper Midwest market,“ said Tom Caplinger, Vice President, Americas.

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February 8, 2021

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