"Innovative Market Solutions to Help Businesses Make Informed Decisions"
The global self-adhesive labels market size was USD 43.62 billion in 2019 and is projected to reach USD 71.24 billion by 2027, exhibiting a CAGR of 6.3% during the forecast period.
They are commonly referred to as ‘pressure-sensitive labels’ as it requires pressure applied during the application to adhere to a surface. It is widely used in various applications owing to its adhesion, UV resistance, solvent resistance, shear resistance, minimum temperature properties. Also, it improves the aesthetic properties of food & beverage packaging products. Increasing consumer awareness regarding product ingredients information and growing demand for consumer goods are key factors driving the market. They are easy, convenient, and time-saving options for labeling. Rapid expansion in the food & beverages and pharmaceutical industries is likely to create opportunities for the global market.
Prominent Companies are Facing Issues Because of Disrupted Supply Chain Amid COVID-19 Outbreak
COVID-19 pandemic has severely affected the global market including manufacturing and supply of certain products. Due to stringent policies imposed by the government to curb the infection and spread of the pandemic, various industries have observed an immense drop. Most of the manufacturing companies are facing issues to maintain the supply and logistical chain during the pandemic.
Labeling and label technology are crucial parts of the medical and food supply chain. These labels provide product information as well as info regarding the date of manufacturing, nutritional levels, and others. Also, they offer doctors and pharmaceutical companies the opportunity to deliver customized information for any individual patient and facilitates goods tracing and tracking in the value chain. Labels are one of the sectors that are playing a crucial role in ensuring the safe supply of pharmaceutical and food products worldwide.
Although, there has been a rise in demand for self-adhesive labels attributed to the significant increase in demand for pharmaceutical and medical products. For instance, increased testing for COVID-19 has fueled the demand for apparatus as well as adhesive labels to identify the samples for the test. Additionally, there has been a significant rise in the e-commerce industry due to the lockdown which in turn has increased the product demand for packaging and labeling, thus expected to create a positive impact on the market.
Request a Free sample to learn more about this report.
Rising Importance of Biodegradable Products to Favor Growth
Self-adhesive labels are generally made up of plastic or paper. Paper is biodegradable while plastic is non-degradable. Though they can be recycled, plastic labels are smaller in size which is categorized as microplastic and is difficult to gather and recycle. The increasing awareness regarding the negative effects of plastic pollution on the environment coupled with the high importance of biodegradable alternatives are leading towards innovations for the development and employment of such materials.
For instance, in December 2018, VPF, a manufacturer of self-adhesive materials added a new eco-friendly product line of adhesive-coated label stock to its product portfolio. The new eco-friendly labels are made of grass paper with two adhesive coatings that are used in the cosmetics, food, and beverage industries.
In July 2019, Ritrama, a self-adhesive manufacturer, launched an environment-friendly adhesive material to adhere to grass paper, plastics for packaging applications. Additionally, the increasing use of digital labels due to enhanced aesthetic properties, durability, waterproof printing, and ease of usage is boosting the demand for digitally printed adhesive labels.
Increasing Demand from Consumer Goods Sector to Aid Market Growth
Self-adhesive labels are generally used to describe the contents, manufacturing date, expiry date, and other important information of the product. This helps in selecting an appropriate product according to the logo, description of the labels, and instructions. These labels are widely used in the food & beverages, pharmaceutical, medical, and consumer goods industries. Increasing demand for products like packaged foods, clothing, electronics, consumer durable, and non-durable goods is expected to drive the market during the forecast period. Moreover, the increasing population is surging the demand for consumer goods and daily use products, thus further boosting the market.
The demand for FMCG goods is increasing due to the rise in per-capita disposable income, thus driving the product demand used in branding and labeling. These labels are used as branding options where the logo of the particular brand is used to aid and promote sales. For instance, pharmaceutical companies use self-adhesive labels with logos and information on them to aware people of the brand and its product offerings. These labels are durable which prohibits the fading of the ink on the label, thus projected to grow the market.
Low Product Cost is Likely to Foster Market Growth
The product has a comparatively lower cost than other labeling options like digital printing, painting, and others. The raw materials required for manufacturing these labels like plastic, paper, adhesives, and other materials are easily available and cheap as compared to the digital printing inks that are used for direct printing. This is one of the factors that shall drive the market for these labels.
Stringent Policies Imposed by Government for Labelling of Food Products May Hinder Market Growth
The food and beverage sector holds a major share in the market. Food products and perishable products are obliged to provide a date of manufacturing, expiry date, and other important data to avoid health complications and side effects. Government authorities have set up certain rules regarding the packaging and labeling of food products. The inks and adhesives that are used in such labels can penetrate through the packaging and mix with the edibles which can be dangerous. For instance, some of the content in inks can cause poisoning which can be fatal, thus acts as a limiting factor for the global market.
Release Liner Held a Major Share in the Market Owing to its Increasing Demand from Pharmaceutical and Food Industries
The self-adhesive labels market by type are linerless and release liner. Pressure-sensitive labels are available with release liners to avoid adhering to the labels to unwanted surfaces. In many industries, packaging and labeling processes depend on these labels with release liners. Around 90% of the release liners are made up of paper due to easy availability and lower price. The rest of the labels have film release liners that are stronger than paper liners but are comparatively expensive. It protects the labels from various factors like dust and other minute particles that can adhere to the adhesive side of the labels and damage their sticking ability. Increasing demand from food and pharmaceutical industries is likely to drive the market for a release liner.
Linerless are generally pressure-sensitive BOPP, paper, or polymer films that are winded as rolls without backing paper. They are coated with hot melt adhesives which can be temporary or permanent. Attributed to its availability in various colors, the absence of backing paper, user-friendly, cost-effective, and aesthetically appealing nature it is highly employed by the industrial sector for a wide range of applications like wraparounds for bottles, package labeling, and others. Additionally, the absence of backing paper makes the roll lighter which adds to the reel capacity and significantly lessens the cost of transportation by 15% to 30% as compared to the conventional adhesive labels with backing paper.
The increasing awareness in consumers about wastage of paper and its environmental effect is leading them towards products with less paper wastage such as linerless. Increasing demand from industrial and commercial sectors for such an environmentally and economically sustainable option of labeling is likely to drive the market for linerless.
Permanent Label Type Accounted for the Major Share in 2019 Due to its Superior Adhesion and Durability Properties
Based on label types, the market is segmented into permanent and removable. Permanent label type is likely to dominate the market during the forecast period as they are employed mostly for advertising and promotion of the brand. These labels have superior adhesion, a high level of initial tack, durability, and better low-temperature performance. It is used in signs, warnings, instruction, and other important data on food packets, medicines, chemicals, and other products with potentially harmful effects or hazards. Permanent labels are employed for such purposes to avoid misuse and misinterpretation of products where simple or removable labels can be misplaced and cause inconvenience. Increasing demand from the food, chemical, and pharmaceutical sectors shall drive the market growth of permanent labels.
Removable labels are designed for temporary use which when unnecessary and outdated can be discarded easily. Removable labels come off easily in one piece and do not leave any adhesive residue or mark on the substrate. These properties make removable labels appropriate choices for price tags, bar codes, energy tags, jars, bottles, containers, and coupons. Additionally, seasonal sales and offers are often arranged by manufacturers, retailers, and sales outlets. Tags with special prices are employed for sales which later can be discarded after the offer ends. Increasing demand from commercial and industrial sectors is expected to fuel the demand for removable labels.
To know how our report can help streamline your business, Speak to Analyst
Food & Beverages Accounted for the Largest Market Share in 2019
Based on application, the market is segmented into food & beverages, pharmaceutical, household & personal care, consumer goods, and others. Food & beverages dominated the global market share in 2019 on account of consumer inclination towards ready-to-cook and ready-to-eat convenience food due to a hectic lifestyle. Labeling of the food products bears important data like date of manufacturing, date of expiry, and other details. For instance, various organizations have imposed regulations on manufacturers to mention the content, shelf life, and storage temperature. The increasing demand for packed convenience food has considerably increased the demand for labels from the food and beverage sector. Additionally, the increasing food delivery start-ups like Zomato, Uber Eats, and Swiggy have self-adhesive labels and tapes for package sealing and branding purposes, thus driving the market growth.
The government has mandated the display of information about the content chemicals and their quantities in the medications, tablets, and other pharmaceutical products. Pharmaceutical products are manufactured in a controlled environment with utmost care and control to avoid contamination of medication. For instance, section 96 in the drugs and cosmetics rules 1945 states that proper description of the drug, net content in terms of volume, measure and weight, and others shall be mentioned in the metric system. Therefore, they need special kinds of labels that differ from regular labels. For instance, the ink used for printing on labels must comply with the pharmaceutical standard, the adhesive used must withstand low temperature and the label must not damage the product. Moreover, this is likely to increase the product demand.
Asia Pacific Self-Adhesive Labels Market Size, 2019 (USD Billion)
To get more information on the regional analysis of this market, Request a Free sample
Asia Pacific dominated the market share in 2019 and may continue its dominance up to 2027 attributed to certain factors like easy availability of raw materials, increasing demand from various end-use industries, thus increasing the consumer base. Increasing manufacturing activities in China and India due to the easy availability of raw materials like adhesives, paper, plastic films, and others are likely to boost the regional market of Asia Pacific. Additionally, densely populated countries of Asia Pacific like India, China, Indonesia, Bangladesh, Japan, and Pakistan have a wide consumer base for FMCG, food and beverage products, healthcare, and medical products shall fuel regional demand.
The market in North America is expected to grow significantly during the forecast period due to a large manufacturing base. The growing e-commerce sector in the U.S is surging the product demand that is used for labeling the packages. Additionally, the rise in disposable income is anticipated to drive the demand for consumer goods which, in turn, will boost the market. There has been a significant increase in demand for consumables, ready-to-eat food, packaged food, and beverages attributed to the fast-paced life of the working population. Strong demand from end-use sectors such as food and beverages, packaging, e-commerce, pharmaceuticals, and others for removable adhesive labels shall foster the market growth in this region.
To know how our report can help streamline your business, Speak to Analyst
Europe is expected to show considerable growth by the end of the forecast period. The increasing awareness in consumers about the content of the products like consumables, cosmetics, personal care products and specifications about other consumer goods like electrical appliances, electronics, tools, packages, and others shall boost the demand for these labels that are used to display the data and instructions for a particular product. The increasing demand from packaging, consumer goods, pharmaceutical, electronics, food, and beverages sectors due to the time saving, convenient, and inexpensive option for labeling shall drive the European market.
South America is anticipated to show growth attributed to industrial development in countries like Brazil, Argentina, and others. Increasing the e-commerce sector, manufacturing bases, and other industrial activities shall boost the regional market growth.
The Middle East and Africa is a region that has extreme weather conditions. Geographically, the middle eastern region cannot be cultivated to produce crops which ultimately makes the consumers of the region dependent on packaged food crops and other farm products. The increasing demand for packaged food products is expected to drive the market growth.
Acquisition, Collaboration, and Partnership are the Key Strategies Implemented by the Companies to Strengthen Their Growth Stratagem
There are many local and international players operating in the industry. Some of the key players are 3M Company, Avery Products Corporation, VPF GmbH, Lintec Corporation, S&K Labels, Ritrama, Mondi Group, H.B Fuller, and others. Due to the increasing awareness in consumers regarding the environmental impact of plastic, manufacturers are focusing on developing eco-friendly and degradable adhesive labels. For instance, in December 2018, VPF developed a product line made from grass. It is compostable, recyclable, approved for direct food contact, and certified as FSC-Mix.
Additionally, food-grade labels are being developed by manufacturers that can comply with the rules imposed by the regulatory authorities to avoid contact with edibles and contamination. Companies are also focusing on joining forces, acquisitions, and joint ventures to develop products portfolio and strengthen foothold in the market. For instance, in February 2020, the Fedrigoni Group completed its acquisition with Ritrama for the specialized self-adhesive products with its manufacturing facilities in Spain, Italy, UK, Chile, and China. This acquisition will widen the product offering of the company in the self-adhesive label and pressure-sensitive products.
The market research report provides a detailed analysis of the market and focuses on key aspects such as leading companies, product types, and leading applications of the product. Besides this, the report offers insights into the market trends and highlights key industry developments. In addition to the aforementioned factors, the report encompasses several factors that have contributed to the growth of the advanced market over recent years.
Volume (Million Square Meters); Value (USD Billion)
By Label Type
Fortune Business Insights says that the global self-adhesive labels market size was USD 43.62 billion in 2019 and is projected to reach USD 71.24 billion by 2027.
In 2019, the market value stood at USD 43.62 billion.
Growing at a CAGR of 6.3%, the market will exhibit steady growth in the forecast period (2020-2027).
The food & beverage is expected to be the leading segment in this market during the forecast period.
Rising demand for consumer goods is a key factor driving the market growth.
Mondi Group, UPM Raflatac, H.B. Fuller, and 3M Company are a few of the leading players in the global market.
Asia Pacific dominated the global market in 2019.
The rise in per-capita disposable income along with inclinations of manufacturers for better and cost-effective labeling to drive the product demand.
“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”- One of the Leading Food Companies in Germany
“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”- Intuitive Surgical
“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”- Major Food Company in Japan
“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”- Ziering Medical
“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”- Major Manufacturer of Precision Machine Parts in India
“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”- Hewlett-Packard
“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”- Global Management Consulting Firm
“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”- UK-based Start-up in the Medical Devices Sector
“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”- One of the Largest Companies in the Defence Industry