The future of the label manufacturing market looks optimistic as suppliers explore new technologies and equipment. Studies expect to see the U.S. label demand to reach $19 billion by 2017. Billion: with a 'B'!
When faced with the choice of selecting an appropriate method to package their products brand managers prove to consistently rely on labels as a leading solution. A recent report released by the Freedonia Industry studied label usage and its industry projections, leaving label industry leaders optimistic regarding the markets future.
The study expects US label demand to reach $19 billion by 2017, proving the reliance brand managers place on label experts to meet their needs. With the release of this report industry leaders are looking for continued ways to expand their capabilities and provide their clients with the services they require. While shrink sleeves have become an increasingly requested product, pressure sensitive labels remain the dominant portion of the market commanding a 75% market share according to the study. Label manufacturers understand the interest placed in having a visually appealing label that meets all requirements when distributors are packaging their product. The benefits of pressure sensitive products have remained vital to packagers and they continue to rely on label printers as their packaging source.
The study further reports on the increasing use of plastic and films as substrates of choice by purchasers. The expansion in use of this material speaks to the importance brand managers are placing utilizing unique, durable stocks that allow their product to stand out. No Look labels are identified as a leading explanation for the surge in film materials. Many firms are using these labels on opaque containers to create the appearance of printing directly on the package. Cosmetic and toiletry labels have increasingly utilized this concept to attract consumers and provide robust label packaging according to the report. Despite the expanded use of plastic materials, paper stocks such as Semi Gloss, EDP Smudgeproof and Matte Litho, continue to be a majority of the material requested. The cost saving versus durability allows the paper to remain the leading choice says the study.
The future of the label manufacturing market looks optimistic as manufacturers explore new options to expand services offered to their clients while maintaining their conventional label converting methods. Investing in new technologies and equipment have been effective ways to improve label quality and turnaround times in order to meet customer expectations in a highly competitive market.
The Label University At Tri-Flex Label @ February 27, 2014