The global industrial labels market is shaped by various factors that influence its dynamics and performance. Industrial labels play a crucial role in product identification, tracking, and compliance with regulatory standards across a wide range of industries, including manufacturing, automotive, pharmaceuticals, and chemicals. One of the primary market factors impacting the global industrial labels market is the increasing emphasis on product safety and traceability. Regulatory requirements related to product labeling, such as the need for hazard communication labels in the chemical industry or serialization and barcoding requirements in the pharmaceutical sector, drive the demand for industrial labels. Additionally, manufacturers are increasingly adopting advanced labeling technologies, such as RFID tags and QR codes, to improve supply chain visibility and traceability, further driving market growth.
They are also compromised with barcode, offset, RFID, flexography, digital printing, and other features. The industrial labels have so many properties such as moisture resistant, dust resistant, pressure resistant, high-temperature resident, and anti-peel properties. With the help of Industrial labels, the manufacturer of a product can gain a competitive advantage over other competitors who offer the same product. One of the major factors contributing to the industrial labels market growth is, the label can be customized in terms of shape, size it a design for a wide range of applications. Industrial labels can fulfill any specific requirement.
Moreover, advancements in labeling materials and printing technologies play a crucial role in shaping the global industrial labels market. Manufacturers are constantly innovating to develop labeling solutions that offer enhanced durability, resistance to harsh environmental conditions, and compliance with industry-specific requirements. For example, the development of specialized label materials, such as heat-resistant labels for automotive components or chemical-resistant labels for hazardous materials, addresses the unique needs of different industrial sectors. Additionally, advancements in printing technologies, such as digital printing and laser marking, enable manufacturers to produce high-quality and customizable labels efficiently, meeting the growing demand for personalized and visually appealing labeling solutions.
Furthermore, regulatory factors significantly influence the global industrial labels market. Governments around the world are implementing regulations aimed at ensuring product safety, quality, and compliance with industry standards. For example, regulations such as the Globally Harmonized System of Classification and Labelling of Chemicals (GHS) mandate the use of standardized hazard communication labels on chemical products to communicate information about hazards and safe handling practices. Similarly, regulations governing product serialization and traceability in the pharmaceutical industry drive the adoption of serialized labels and barcoding technologies. Compliance with regulatory requirements is essential for manufacturers to access key markets and maintain consumer trust, thereby shaping the market dynamics of industrial labels.
Market dynamics such as supply chain considerations and technological advancements also impact the global industrial labels market. The industrial labels supply chain involves multiple stages, including the sourcing of raw materials, manufacturing of label substrates, printing of labels, and distribution to end-users. Disruptions at any stage of the supply chain, such as raw material shortages, transportation bottlenecks, or technological limitations, can affect the availability and pricing of industrial labels. Additionally, advancements in labeling technologies, such as smart labels with embedded sensors or RFID tags for inventory management, are driving innovation in the industrial labels market, meeting the evolving needs of manufacturers for efficient and automated labeling solutions.
Moreover, market factors such as globalization and trade policies influence the global industrial labels market. As manufacturers expand their operations to new markets and regions, there is a growing demand for labeling solutions that comply with local regulatory requirements and language preferences. Additionally, trade policies, tariffs, and international agreements related to labeling materials and technologies can impact the competitiveness of industrial label manufacturers in global markets, affecting market dynamics and pricing. Understanding these market factors and adapting labeling strategies accordingly is essential for manufacturers to remain competitive in the dynamic and evolving global industrial labels market.
Industrial Labels Market Size was valued at USD 60,002.2 million in 2023. The industrial labels market industry is projected to grow from USD 64,202.4 Million in 2024 to USD 1,14,396.2 million by 2032, exhibiting a compound annual growth rate (CAGR) of 7.5% during the forecast period (2024 - 2032).The increasing demand from the main end-use industries, including FMCG, pharmaceutical, food, and drinks, and the rising per capita income are the key market drivers fueling the market.
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
Label producers are embracing RFID technology as it lowers labor costs and eliminates human errors. It operates automatically and is capable of reading a wide variety of data. Additionally, this technology is becoming more widely accepted due to its capacity to identify, which is essential in the retail industry. Because RFID labels are less sensitive to bad weather, their use in the label market is expected to increase. Additionally, these labels help businesses synchronize their maintenance and inventory control processes while keeping the genuine legitimacy of their items. The emergence of more recent technology, such as NFC and detecting labels, is also giving users a more contemporary experience.
The Industrial Labels market revenue for sustainable labels will see new growth potential due to increasing consumer demand for sustainable products and numerous government and non-government efforts centered around the usage of sustainable products. Major industry participants are now providing them to meet the rising demand for such labels. For instance, a label manufactured from recycled PP is available from Avery Dennison Corporation. Thirty percent of pre-consumer trash is used to make the company's recycled PP. Additionally, it provides a multicycle label for beverage packaging, an ultra-permanent self-adhesive label with a resisting power of up to 30 product life cycles. In addition, the business has teamed up with Romei Replastic to recycle unwanted labels into fresh raw materials to assist consumers in finding the best label recycling options. All these factors have enhanced the industrial labels market CAGR across the globe in recent years.
The growing acceptance of these labels in various sectors is driving the industrial label market. The International Food Information Council (IFIC) reports that 59% of packaged goods have labels since most consumers research a product's nutrition and ingredient information before buying it. However, the encouragement of governments in various countries for manufacturers to label their products is another factor driving the growth of the Industrial Labels market revenue.
The Industrial Labels market segmentation, based on material, includes metal, polymer, and others, By Mechanism (Pressure-sensitive, Glue-applied, Heat Transfer, and Others), By Application, Transportation, Construction, Automotive, Consumer Durables, and Others. The polymer industrial labels segment held the majority share in 2021, contributing around ~39% concerning the Industrial Labels market revenue. A polymer is a big molecule composed of lengthy rings, chains, or repeating monomer units bound together. Both natural and artificial polymers exist. These materials are ideal for industrial labeling because they have a variety of qualities, including toughness, adaptability, high boiling, elasticity, and melting temperatures.
According to the market outlook, the market is segmented into metal, polymer, and others based on type. The polymer segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030. A polymer is a big molecule composed of lengthy rings, chains, or repeating monomer units bound together. Both natural and artificial polymers exist. These materials are ideal for industrial labeling because they have a variety of qualities, including toughness, adaptability, high boiling, elasticity, and melting temperatures. Hence, rising applications for industrial labels positively impact market growth.
The Industrial Labels market data has been divided by mechanism into pressure-sensitive, glue-applied, heat transfer, and others. The pressure-sensitive segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030. Pressure-sensitive labels are easily used, safe for the environment, completely customizable, and work with high-resolution printing. It is projected that these causes will increase demand for pressure-sensitive labels.
Heat transfers often referred to as thermal transfers, are a technique where a logo or design is printed on transfer paper using a specialized inkjet printer. The image taken from the paper, cut out, and placed on the clothing will likely drive sector growth throughout the projection period.
Based on application, the industrial labels industry has been segmented into transportation, construction, automotive, consumer durables, and others. Construction held the largest segment share in 2021. Due to expanding applications in various packaging factors, the digital printing industry is anticipated to expand rapidly during the forecast period. Labels with transportation information, brand identification emblems and symbols, and other product information are increasingly printed using digital printers. Moreover, increasing government initiatives to improve the automotive infrastructure, the automotive segment is expected to bolster during the assessed timeline.
By region, the study provides market insights for industrial labels in North America, Europe, Asia-Pacific, and the Rest of the World. Asia-Pacific industrial labels market accounted for USD 23891.47 million in 2021 and is expected to exhibit a significant CAGR growth during the study period. The usage of various industrial label solutions in the nation is anticipated to rise greatly due to the major growth in several industries, including food, FMCG, grocery, cosmetics, and many others. For instance, visitor registration for Labelexpo Southeast Asia 2023 has started to be accepted by the event's organizer, Tarsus Group, as part of the Labelexpo Series. The ASEAN and Oceania label and package print businesses continue to get support from the Labelexpo Series. Labelexpo Southeast Asia 2023 is supported by the Thai Screen Printing & Graphic Imaging Association (formerly known as the Thai Graphic Arts Suppliers and Manufacturers Trade Association (GASMA), the Thai Screen Printing & Graphic Imaging Association, or TSGA), and the Advertising and Sign Producing Association (ASPA). Moreover, the China industrial labels market held the largest market share, and the India industrial labels market was the fastest-growing market in the Asia-Pacific region
Further, the major countries studied in the industrial labels market report are The U.S, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Europe industrial labels market accounts for the second-largest market share due owing to the demand for labels for different applications. Further, the Germany industrial labels market held the largest market share, and the UK industrial labels market was the fastest-growing market in the European region
The North America industrial labels market is expected to grow at the fastest CAGR from 2022 to 2030. Ready-to-eat foods and packaged processed foods are increasingly consumed as a result of changing lifestyles and demography. In addition, the tendency for snacking in place of meals would increase the need for tiny, single-use pouches, increasing the need for labels nationwide.
Major market players are investing a lot of money in R&D to expand their product portfolios, fueling further market growth for industrial labels. In addition, market participants are launching products, entering into contracts, acquiring companies, increasing investments, and working with other organizations, among other significant market changes, to expand their footprint. To grow and remain in a market that is becoming increasingly competitive, industrial labels industry competitors must provide affordable products.
Making products locally to cut operational costs is one of the main business tactics producers use in the worldwide Industrial Labels industry to benefit customers and expand the market sector. The market major player such as Avery Dennison Corporation, Resource Label Group, LLC, and others are working on expanding the market demand by investing in research and development activities.
Avery Dennison Corporation is a company in the field of materials science and manufacturing business that focuses on the design and production of a broad range of labeling and functional materials. In May 2022, To fulfill the demand for label & packaging materials, Avery Dennison Corporation increased its capacity by making investments in manufacturing efficiency. An extra high-speed, cutting-edge hot melt adhesive coater for labels will be part of the new facility.
Also, the Resource Label Group is a sizable business network that unites to give consumers committed service and a wide range of knowledge. In January 2022, Resource Label Group, LLC ("Resource Label"), a full-service supplier of pressure-sensitive labels, shrink sleeves, and RFID/NFC technology for the packaging industry, announced it had acquired Everett, Massachusetts-based QSX Labels. This acquisition strengthens Resource Label's regional presence in New England and solidifies its position as a market leader in the label and packaging sector.
October 2022: Resource Label Group, a supplier of pressure-sensitive labels, shrink sleeves, and RFID/NFC technology, has acquired MedLit Solutions, a full-service pharmaceutical packaging and printing solution provider
October 2022: AWT Labels & Packaging, a supplier of bespoke labels and packaging for the healthcare, food, beverage, personal care, and specialty end markets, has acquired Label Innovation. The business provides top clients in the security, technology, and medical device industries.
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