E-commerce packaging: Industry balances costs, personalization & regulations

The future of e-commerce will be about efficiency and adaptation: using less, designing better, and delivering packaging that works harder across multiple channels, while meeting increasingly demanding sustainability and regulatory expectations. 

We interview packaging experts at International Paper (IP) and Smurfit Westrock to hear more about how the industry giants integrate sustainability, respond to on-demand systems, and address sudden demand spikes. 

In the years ahead, regulation and sustainability will be the biggest drivers of change in e-commerce packaging, Arco Berkenbosch, chief innovation officer at Smurfit Westrock, tells Packaging Insights. 

“The EU’s Packaging and Packaging Waste Regulation (PPWR) will have a significant impact, accelerating the shift toward fit-for-purpose packaging and the elimination of empty space across the supply chain.”

“We also expect to see continued growth in omnichannel packaging, with solutions designed to perform seamlessly across e-commerce and live retail environments.”

Meanwhile, the spokesperson at IP says key trends include lightweight fiber innovations, circularity, automation-friendly packaging, digital identifiers (including those that highlight sustainability attributes), and personalized unboxing experiences. 

Minimizing supply chain waste

Smurfit Westrock takes a “total-solution” approach to sustainability in e-commerce packaging. 

Berkenbosch says personalization starts when the box is opened (Image credit: Smurfit Westrock).“First, we ensure our solutions are fully recyclable and aligned with PPWR requirements. 

Importantly, when we talk about waste, we don’t just mean materials — we mean wasted air, inefficient palletization, and truck loading,” explains Berkenbosch.

“That’s why a major focus is eliminating unnecessary waste by removing empty space through fit-to-size packaging.”

“By using fit-to-size packaging and optimizing how products are packed and transported, we reduce waste across the supply chain. This total-solution approach ensures efficiency at every stage, from packaging design through to delivery.”

Meanwhile, IP integrates sustainability into packaging strategies through material optimization, advancements in fiber science, and collaboration across the supply chain. 

“We focus on right-sizing, recyclability, curbside recycling, and responsible sourcing while reducing waste through lightweight board innovations and efficient packaging design,” says the company spokesperson.

On-demand packaging systems 

Berkenbosch says that for big industry players, Smurfit Westrock’s Box on Demand system allows them to create the right size box for each order, maximizing efficiency and customer satisfaction. 

“We’ve also partnered with suppliers on specialist machines that can automatically handle small and large products on the same machine, which increases efficiency and reduces material use.”

“We also apply creative design to optimize the pack without compromising protection.”

The IP spokesperson says the company invests in technologies that support fulfillment efficiency, including on-demand packaging systems and intelligent packaging capabilities. 

“These solutions improve dimensional accuracy, reduce material use, and enhance operational performance.”Smurfit Westrock controls the value chain end-to-end to remain flexible during seasonal peaks (Image credit: Smurfit Westrock).

“Direct print at the customer allows our customers to reduce SKU counts and print their artwork on demand, reducing the worries of inventory shortages or storage, or managing the disposal risk of the product because the print is obsolete.”

Tackling demand spikes

When it comes to sudden spikes in e-commerce demand, Berkenbosch says scalability is not an issue for Smurfit Westrock due to its fully integrated model.

“By controlling the value chain end-to-end, we have a considerable amount of resilience and flexibility during seasonal peaks, allowing us to pivot easily depending on customer requirements.”

“While sudden demand spikes can create pressure for customers, our scale, footprint, and integrated operations mean we’re able to rebalance capacity and respond quickly without disruption.”

“By not relying on external suppliers, we don’t face the same bottlenecks others might.”

During a surge in demand, the IP spokesperson says the company “leverages its extensive manufacturing network, standardized specifications, and robust forecasting processes to support customers during seasonal or unexpected increases in e-commerce demand.”

Cost-effective personalization balance

For Smurfit Westrock, personalization starts with how the box is opened.

“If that opening moment is intuitive, easy, and frustration-free, it sets the tone for everything else that follows,” explains Berkenbosch.

“Once that foundation is right, we can work with customers to elevate the experience in a cost-effective way. This might include structural design, creative use of graphics, or selective premium touches such as inside printing.”

“Because we design and manufacture at scale, we’re able to integrate personalization intelligently — focusing investment where it delivers the most impact but always keeping the packaging sustainable and commercially viable.”

At IP, customization is supported through digital and flexographic printing, modular designs, and flexible packaging formats, enabling impactful customer experiences while maintaining cost efficiency.

“Direct print at the customer allows them to reduce SKU counts and print their artwork on demand, reducing the worries of inventory shortages or storage, or managing the disposal risk of the product because the print is obsolete.”

Navigating regulations

Smurfit Westrock navigates international shipping regulations through co-development with its customers. 

“There isn’t a one-size-fits-all solution — compliance is market specific, so we take a case-by-case approach to ensure each ecommerce pack meets local regulatory, recycling, and transport requirements in its destination market,” says Berkenbosch.

“Because we operate globally but with a strong focus on local expertise, we’re able to design, test, and adapt packaging solutions that remain compliant while still delivering consistency.”

Finally, IP says it maintains expertise in regional and global compliance standards, providing customers with packaging solutions that meet recyclability, labeling, fiber sourcing, and substrate regulations across markets.