Print Label Market is Estimated to Witness High Growth Owing to...

Print Label Market is Estimated to Witness High Growth Owing to Increase in E-Commerce Sales

Posted 2024-02-02 09:27:53

Print labels are used to provide information about products and for product identification. They are widely used across various industries such as food & beverages, pharmaceuticals, consumer durables, and retail among others. Print labels provide brand owners important real estate to communicate with their customers and help them in promoting their brands and driving sales.

The global print label market is estimated to be valued at US$ 35 Billion in 2023 and is expected to exhibit a CAGR of 9.0% over the forecast period 2024-2031, as highlighted in a new report published by Coherent Market Insights.

Market Dynamics:
The increase in e-commerce sales has emerged as a major driver for print label market growth. According to the United Nations Conference on Trade and Development (UNCTAD), global e-commerce sales are estimated to surpass US$ 26 trillion by 2024 from US$ 27.7 trillion in 2020. Rise in online shopping has increased the need for product labels to ensure safety and prevent counterfeiting of goods. This is fueling demand for print labels from various industries including food & beverages, pharmaceutical, personal care, and others. To meet the increasing demand, key players are focusing on developing innovative print label solutions. For example, in July 2021, HP Inc. launched HP Indigo10000 Digital Press for label and packaging printing industry. It aims to enhance production flexibility and sustainability with water-based inks and minimal make-ready waste. Such developments are expected to positively influence the market growth during the forecast period.

SWOT Analysis
Strength: Print labels provide multi-layer protection and longer shelf life which increases product safety and durability. Print labels also allow for detailed and attractive product branding and labeling which enhances customer appeal and loyalty. Furthermore, print label production requires moderate capital investments and offers higher profit margins.

Weakness: Frequent design and copy changes for print labels involve additional costs and longer production cycle times. Print labels are also prone to damage, wear and tear during transportation and handling of products.

Opportunity: Growing e-commerce industry is fueling the demand for attractive and customized print labels for product packaging and shipping. Increasing regulatory norms regarding product information labeling across industries also presents lucrative opportunities.

Threats: Environment regulations regarding usage of recyclable and eco-friendly materials pose technical challenges for print labels manufacturing. Changing customer preferences towards digital printing and labels also threaten market revenues.

Key Takeaways
The global print label market is expected to witness high growth on account of expanding e-commerce, food & beverages, pharmaceutical and personal care industries worldwide.

The Asia Pacific region dominates the global print label market currently and is estimated to maintain its leading position during the forecast period as well. Key factors driving the Asia Pacific print label market include robust economic growth, rising disposable incomes, expanding retail sector and growing consumer goods industry in the region.

Key players operating in the print label market are Multi-Color Corporation, Fort Dearborn Company, Inland Labels, Walle Corporation, Precision Press Inc., Hamada Printing Press Industry and Services Company. These players focus on new product launches, mergers & acquisitions and geographical expansions to strengthen their market presence. For instance, Multi-Color Corporation acquired Mactac Americas to enhance its product portfolio and expand production capabilities in North America in 2020. Increasing demand for customizable and high graphic print labels from end-use industries is encouraging key players to invest in advanced digital printing technologies as well.