Market Overview

Global Paper Towels Market is expected to surpass its 2019 value of USD 8.95 Billion and is projected to register a CAGR of 5.3% over the review period from 2020 to 2026.

Market Dynamics

The demand for paper towels is growing as customers become more conscious of proper hygiene practices. As the number of cases of infectious diseases has increased, there has been a rise in hygiene awareness in both residential and commercial and institutional settings around the world. Paper towels are a better option than plastics and fabrics because they are more convenient to use. Paper towels are biodegradable as well. Their popularity, however, can only be seen in North American and European countries. Rapid urbanization, increasing disposable incomes, an improved standard of living, and customer propensity to follow western cultures are some of the main factors expected to propel the paper towel market size forward during the forecast era.

The global market for paper towels has skyrocketed as a result of the COVID-19 outbreak. People were forced to stay at home and work remotely as a result of global lockdowns, resulting in panic buying and stockpiling of paper towels, especially in North America and Europe. As a result of the lack of raw materials as well as the lockdown restrictions and transportation issues, the production of paper towels was hampered. To meet the rising demand for paper towels, paper towel manufacturers in the United States and several European countries are operating manufacturing facilities 24 hours a day, seven days a week, in multiple shifts.

Market Segmentation

The market has been divided into two types of products: rolled and folded. Due to the widespread use of rolled paper towels in the residential, industrial, and institutional sectors, the rolled segment had the largest market share in 2019. This trend is expected to continue throughout the forecast period. In kitchens and bathrooms, rolled paper towels are used. As compared to folded paper towels, they are more functional in commercial and institutional settings. Individually folded or multifold paper towels are suitable for use. The demand for rolled paper towels is currently dominated, and this trend is expected to continue over the forecast period.

The sector has been divided into two categories based on end-use: residential and industrial & institutional. In 2019, the commercial and institutional segment dominated the global business paper towel market, and this trend is expected to continue during the forecast period. The segment is expected to remain dominant throughout the analysis period due to the widespread use of paper towels in the HoReCa, educational institutions, and recreational spaces. During the analysis era, paper towels are also likely to see significant use in the home.

The industry has been divided into store-based and non-store-based distribution channels. In 2019, the store-based segment dominated the paper towel industry, and this trend is expected to continue over the forecast period. Supermarkets and hypermarkets, convenience stores, and other stores make up the store-based segment. Within the overall store-based distribution channel segment, the supermarkets & hypermarkets sub-segment dominates. Furthermore, the dominance of store-based distribution networks has resulted from the the number of integrated store-based channels for the selling and purchasing of paper towels, such as supermarkets and hypermarkets, convenience stores, and other local stores. During the review era, however, e-commerce sales of paper towels are expected to increase.

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Regional Overview

Because of the high customer demand for paper towels, North America led the paper towel market in 2019. Furthermore, the involvement of some of the most important players in the paper towel industry in the United States has made North America one of the most important markets for paper towels. The unexpected increase in demand for paper towels as a result of the COVID-19 outbreak would almost certainly raise paper towel sales in the area to some degree.

During the forecast period, the Asia-Pacific market is expected to expand significantly. Paper towel manufacturers in the area are likely to benefit from an increase in consumer buying power and a preference for western cultures, especially in emerging economies.

Competitive Dashboard

The notable players are American Specialties, Inc. (US), Kimberly-Clark Corp. (US), The Procter & Gamble Company (Japan), Georgia-Pacific LLC (Taiwan), Kruger Inc. (US), Seventh Generation Inc. (US), The Kroger Co. (US), Mercury Paper, Inc. (US), WEPA Hygieneprodukte GmbH (Germany), Cascades Inc. (Canada).

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