According to Smithers Apex, the global hot melt adhesive market is forecast to be worth $7.57 billion by 2021. As 100% solid, thermoplastic adhesives, hot melts are versatile bonding solutions for many markets. Yet their versatility isn’t the only reason why hot melt adhesives continue to grow in popularity. Consumers play an important role in their growth as well.
Shift Toward Online Shopping
As consumers’ desire for convenience grows, they are ordering more products online than ever before. As cited by Business Insider’s BI Intelligence, online shopping will likely generate $632 billion in revenue by 2020, with e-commerce’s popularity continuing to skyrocket.
As consumer behavior shifts toward store-to-door delivery, hot melt adhesive demand is rising as well. This is because hot melts are the common go-to bonding option for package assembly and shipping components. With a fast set speed, they are ideal for production lines that must meet high output demands. For e-commerce especially, hot melt adhesives are ideal for:
- Shipping labels on bags and boxes
- Corrugated box sealing
Rise in Consumer Goods Product Purchases
As consumers continue to prefer online shopping, they also are now buying more consumer goods than in the past. This is due in large part to rising disposable incomes combined with the decrease in shipping costs.
Given that hot melt adhesives are used in a range of consumer goods products, such as personal hygiene products and bookbinding, hot melt growth rises as end-product purchases do as well.
Increase in Single Serving Sales
A shift in consumer eating and drinking habits is triggering hot melt adhesive growth as well. As family structures change, there is less of the traditional nuclear family today than in the past. More single-person households have emerged, causing consumers to gravitate toward single-serving food and drinks. Additionally, lifestyle changes have caused more consumers to desire “on-the-go” options to conveniently fit into their busy schedules.
These changes have opened up opportunities for new packaging and product designs, which often use hot melt adhesives during product assembly. As single serving sales rise, hot melt adhesive growth will as well.