Laminated labels market is estimated to witness high growth owing to increasing demand from food & beverage industry and growing e-commerce sector.
The Laminated Labels Market is estimated to be valued at USD 90.63 billion in 2024, exhibiting a CAGR of 4.7% over the forecast period (2024-2031). The market is experiencing huge growth opportunities owing to growing demand for labeling products in the food & beverage industry. Furthermore, the rising penetration of the e-commerce sector is fueling the need for high-quality labeling which ensures safety and promotes brand visibility during logistics and transport.
The laminated labels market is driven by increasing demand from the food & beverage industry and growth of the e-commerce sector. The food & beverage industry mandates proper labeling on food packaging to mention ingredients, manufacturing dates, and nutritional values. This drives the need for laminated labels that provide protection from moisture and prevent smudging. Moreover, the booming e-commerce industry needs robust labels that can withstand transportation and ensure the brand visibility of products during logistics. Laminated labels fulfill these requirements, thus witnessing high uptake. Additionally, technological advancements enable the integration of advanced features like RFID and security sealing in laminated labels. This further expands their application areas.
Growth of the Packaging Industry is Driving the Demand for Laminated Labels
The packaging industry has seen significant growth over the past few years with increasing focus on product branding and marketing. Laminated labels are widely used in the packaging of food & beverages, pharmaceuticals, cosmetics, and personal care products. The ability of laminated labels to provide protection from moisture, chemicals, and abrasion makes them a suitable solution for packaging applications. As packaging continues to play a vital role in marketing strategies, the demand for laminated labels from packaging manufacturers is expected to rise steadily.
Shift Towards Sustainable and Recyclable Packaging is Fueling the Adoption of Laminated Paper Labels
With growing environmental concerns, producers are focusing on developing sustainable and recyclable packaging solutions. Paper laminated labels made from FSC certified paper offer an eco-friendly alternative to plastic or vinyl labels. They are fully recyclable and degrade quickly. Furthermore, laminated paper labels can be printed using solvent-free inks and adhesives which have low VOCs. This reduces their carbon footprint. More brands are opting for laminated paper labels for their sustainability benefits and to market their products as environmentally responsible. The trend towards sustainable packaging represents a major driver for the laminated labels market.
Stringent Regulations on Hazardous Chemicals can Restrain the Market Growth
Laminated labels market has to comply with various regulations regarding the chemicals used in manufacturing labels. For instance, the EU REACH directive restricts the use of hazardous chemicals like formaldehyde, phthalates, bisphenol-A, etc. in labels. Complying with such regulations increases production costs. Additionally, the regulations differ across countries and regions which makes it complicated for manufacturers to have a standardized supply chain. The complexity in complying with the evolving regulatory framework can hinder the laminated labels market expansion to some extent.
Threat of Substitutes Like Self-adhesive and Wet-glue Labels
Self-adhesive labels produced from materials like polypropylene and polyvinyl chloride pose a major threat to the laminated labels market. They provide similar protective, printability and flexibility attributes at a lower cost compared to laminated labels. Also, wet-glue labels activated with water-based adhesive are gaining traction especially in food industry due to their recyclability and ease of application. The cost advantage and versatility of substitute label types can convince brand owners to switch from laminated labels. This poses a challenge for laminated labels manufacturers.
Growing E-commerce Sector Spurs the Demand for Product Labels
E-commerce has significantly increased over the past few years with more people switching to online shopping especially after the pandemic. This has created ample opportunities for labels as practically every product sold online requires labeling for identification and compliance. Laminated product labels play a vital role in making inventory management, order fulfillment efficient for e-commerce retailers and third-party logistics providers. Their durability makes them well-suited for the warehouse and distribution environment. The expansive growth of e-commerce and online retail is a key driver acting in favor of the laminated product labels’ demand.
Personalization Trend Provides Opportunity to Leverage Digital Printing
With brands trying to enhance customer experience, the demand for customized and personalized labels has surged. Digital printing technologies help laminated label manufacturers offer versioning, variable data, and customization on demand in short runs cost-effectively. It allows the inclusion of scannable barcodes, QR codes, and other interactive features on labels. This enables better customer engagement and product promotion. The rapid digitalization of labels through technologies like inkjet, electrophotography, and toner fusion opens up considerable opportunities for laminated label producers to tap into the growing demand for personalized labelling solutions.
Link - https://www.coherentmarketinsights.com/market-insight/laminated-labels-market-4776
Key Developments
- In April 2024, Brother is set to introduce an innovative connectable label printer designed to enhance efficiency and versatility in labeling applications. This new printer will feature advanced connectivity options, allowing users to easily integrate it into their existing workflows and access a range of labeling functionalities.
- In June 2024, Nobelus is set to make its debut in the prime label market, marking a significant expansion of its product offerings. Known for its innovative packaging solutions, Nobelus aims to leverage its expertise to provide high-quality prime labels that meet the diverse needs of various industries.
Key Players
Avery Dennison Corporation, Coveris Holdings S.A., CCL Label Inc., Constantia Flexibles Group GmbH, Cenveo Corporation, Hub Labels Inc., ImageTek Labelsm, SheetLabels.com, Langley Labels, Reflex Labels, 3M Company, R.R. Donnelley & Sons Company, Torraspapel Adestor, Bemis Company Inc., Flexcon Company Inc., and Stickythings Limited
