New demands from label customers and changing
market dynamics will affect the choice of printed label type and influence new
developments in label technologies over the next five years. The global market
for label printing has been growing steadily in recent times, valuing at $36.98
billion in 2017. The market will continue to increase at annual average growth
rate of 4.1% in value terms to reach $45.22 billion by 2022.
Asia is the largest geographic market for printed
labels, having experienced annual growth rates of 8.0% in value terms from 2012
to 2017. North America and Western Europe are the next two largest markets for
printed labels, and these three regions make up 85% of global volume demand and
87% of the global value.
According to a new report by Smithers Pira - The
Future of Label Printing to 2022 - six major technology advancements and trends
are emerging, having the potential to significantly disrupt the label printing
market.
Lightweighting
of label formats
The packaging industry and its customers are
continually moving towards decreasing the weight of product packaging, either
using thinner rigid containers, whether metal, glass or plastic; or by
switching to flexible plastic formats.
Labels are also contributing to this drive for
weight reduction, with product manufacturers either using smaller labels, or
labels produced from thinner materials. Material science developments have
aided the reduction in volume and thickness of label materials, while
maintaining the strength for handling and printing processes. In addition to
the reductions in material that will be used for the labels, thinner materials
offer other advantages to both the label printer and its customers. Printers
can use rolls with longer lengths so that there is less downtime to splice on a
new roll, and label users will receive more labels on longer rolls that are
lighter and easier to manage.
Nestlé Waters North America has reduced the size of
labels on its bottles by 35%, in addition to using lighter weight bottles.
These initiatives have resulted in an annual saving of nearly 30,000 metric
tonnes of plastic and 4,500 tonnes of paper.
Recyclability
Recyclability of packaging materials is of growing
importance globally, and local authorities around the world are introducing and
improving recovery schemes for household and industrial waste. The label is a
relatively small part of the packaging, but the choice of materials can play an
important role in recycling processes.
Labels can affect the purity of the plastic that is
recovered, or potentially make mixed plastic packaging unrecyclable. Most
reclaimers pre-wash recovered plastic bottles with very hot water or steam,
shrinking the bottle slightly to loosen dirt and remove as much of the labels
as possible before granulation.
The purity of the recovered plastic granules will
depend on how easily the adhesive can be removed. Development of new label
adhesives have been introduced to ensure that the bond is broken completely,
resulting in high purity reyclate. A practical example of this can be found in
Avery Dennison’s CleanFlake, a water-based recyclable adhesive. The adhesive is
designed so that the cohesive bond is only broken during the sink-float
process, allowing the label and adhesive to cleanly separate from the granules to
give pure PET flakes.
Greater
automation in label printing
New demands on label printers for shorter print
runs, faster turnaround, and greater flexibility and customisation is driving
the label printing industry towards higher levels of automation. Printers are
investing in sophisticated management information systems (MIS) that are
integrated with specialised inspection and colour performance software and
technology, and even fully automated press and finishing line set-up systems.
The ultimate objective is to establish a capability
for running completely automated and streamlined workflows 24 hours per day,
that receive job orders by electronic data interchange. The new automated
systems can utilise the potential of Cloud computing and the Internet of Things
to liaise with shipping carriers, set up invoices and receive payment advice,
and use Wi-Fi for remote access and control of production processes. Automation
is also being applied to warehouse management and the preparation of shipments
to customers. Higher levels of automation mean that the role of the employees
is changing, and new skill sets are required from those of traditional
printers.
Digital
print
With the end-users of printed labels requiring the
ability to provide greater variety and opportunities for customisation from
printers, developments in the digital (toner and inkjet) printing processes are
attracting the highest levels of investment. The drive is to improve print run
speeds and print quality, and reduce production costs. All these requirements
require initiatives in developing new print presses, software and its
compatibility with automated management systems, and better and higher quality
inks.
Premiumising
products
Premiumisation is the process by which the apparent
quality of a product can be enhanced by using expensive-looking labels or
packaging, without making any fundamental changes to the product itself.
There are a variety of new options available to the
label printer to produce premium labels. In addition to presenting a
higher-quality looking design, the printer can use different print effects to
embellish the labels to give them a more ‘expensive’ appearance.
The substrate for the label can also play an
important role in presenting a high-quality image, either from the appearance
of the base colour onto which the details are printed, or by imparting tactile
or haptic effects using a process like spot varnishing.
Anti-counterfeiting
solutions
Counterfeiting continues to affect the
pharmaceuticals industry, as well as other industries solutions that include
electronics, food, wine, spirits and high-end cosmetics. It is estimated that
it affects 5–7% of world trade. Manufacturers and customers may also need to
cope with problems caused by package tampering and theft throughout the
shipping channel.
Manufacturers and despatch companies have
introduced a variety of security features onto product labels and packaging to
reduce the effects of counterfeiting, and new measures are continually being
introduced as the counterfeiters become more sophisticated. These methods
include glues that make labels harder to remove and and sophisticated
integrated designs.
The fine wine and spirits segments are seeing the
arrival of a number of bespoke labels integrating a number of security features
that allow customers to verify the authenticity of their purchase via QR codes
linked to secure company websites. For more information on these trends and the
market outlook for label printing, visit The Future of Label Printing to 2022.