Smart Labels Market

Global Smart Label Market Size (2024 to 2029)

The global smart label market is predicted to reach USD 11.33 billion in 2024 and USD 24.43 billion by 2029, growing at a CAGR of 16.6% during the forecast period.

The smart label market created by the Grocery Manufacturers Association (GMA) has grown in popularity in the packaging industry due to the demand for product information through smart devices. These labels act as innovative transparent labels combined with digital technology and smart devices that allow consumers to access detailed information about their products. The growth of the global smart beacon industry is expected to provide consumers with greater visibility into information on products purchased. The growing demand for effective anti-theft devices due to concerns about business security is contributing to the significant increase in demand from the global smart label industry. A smart label refers to an item or proof of product identification that contains advanced technologies over conventional barcode data. Smart labels allow consumers to acquire additional details about a wide range of beverages, foods, home products, pet care, and personal care. These smart labels are made of paper, fabric, or plastic and are used as electronic, printed, or other materials. These are typically used to detect theft in libraries, stores, and retail stores. Choice smart beacons allow consumers to access information through their preferred method, such as visiting a website and scanning product codes using a smartphone. Smart labels provide fast and reliable authentication of products at the retail store, at the pharmacists, and even at the hospital level using office scanning equipment. High-tech labels and tags help increase accuracy and productivity, as well as product information and inventory management. The main advantages of smart labels include automated reading, high tolerance, programmability, rapid identification, and reduced errors.

MARKET TRENDS

Electronic Article Surveillance (EAS) is the leading surveillance application against retail theft, library book theft, and property removal from office buildings. In addition, this technology increases marketability, deters theft, and can reduce inventory loss by up to 85%.

High-efficiency sites for EAS tags are libraries, clothing and footwear, health and beauty, and food and beverage, which provide a better shopping experience with enhanced security. The system under this technology generally consists of three components: the electronic antenna, the deactivator or separator, and an electronic tag.

Printed electronic solutions are expected to play an important role in providing surfaces with electronic functions while facilitating data transmission. In addition, smart tags based on EAS technology are being developed.

In several countries, shoplifting is seen as a major problem that needs to be addressed. For example, on a case-by-case basis, the value of employee robberies has skyrocketed. The average amount of robbery per incident increased by 30% to $1,361 in 2018, and the average value of shoplifting cases increased by almost 12% to $301.97. The application of this technology reduces the need for extensive surveillance in each area, saving a large amount of investment.

MARKET DRIVERS

The global smart label market has seen an increase in adoption in the packaging industry due to the ability to provide detailed information to customers on products that use digital technology and smart devices. Additionally, the growing global demand for smart tags is driven by their ability to provide real-time product visibility and the increasing demand for effective anti-theft devices due to security concerns. Also, the surge in the number of established industries and technological progressions related to the usage in several end-user verticals like healthcare, pharmaceutical, food and beverage, logistics, retail inventory, etc., promoting the growth of the global smart label market. Therefore, smart tag functionality, including real-time location tracking, reprogramming, simultaneous identification, and detailed information, is expected to fuel global demand for the smart label industry in various sectors over the period. Forecast.

MARKET RESTRAINTS

However, the lack of uniformity in standardized guidelines for smart labels is one of the main challenges holding back market growth.

Impact of COVID-19 on the Global Smart Labels Market

The behavioral changes that have emerged due to COVID-19 have sparked increased interest in safe and traceable food on e-commerce platforms and increased public awareness of health and safety in general. While the food supply chain is one of the most complex and fragmented supply chains, 70% of companies have “visibility gaps” between the initial supplier and internal customer systems.

REPORT COVERAGE

REGIONAL ANALYSIS

North America dominated the market driven by increase in application of smart labs like healthcare, manufacturing, logistics, and others.

KEY PARTICIPANTS IN THE GLOBAL SMART LABEL MARKET

The major players operating in the global smart label market include

1. smart tag manufacturers,

2. Checkpoint Systems, Inc. (US),

3. Avery Dennison Corporation (United States),

4. Sato Holdings Corporation (Japan),

5. Smartrac NV (Netherlands)

6. Zebra Technologies (United States).

7. Thin Film Electronics ASA (Norway),

8. ASK S.A. (France),

9. Graphic Label, Inc. (USA)

10. Muhlbauer Holding Ag & Co. KGaa. (Germany).

RECENT HAPPENINGS IN THE GLOBAL SMART LABEL MARKET

• In May 2019, Avery Dennison and EVRYTHNG confirmed the development and introduction of a novel blockchain solution that can assist the fashion industry, collaborating with 1017 ALYX 9SM, a renowned fashion brand of Matthew Williams. This distributed ledger technology (DLT) proof-of-concept solution is an extension of Avery Dennison's Janela platform, powered by EVRYTHNG, which enables brands to create digitally born apparel and connect directly with their customers by QR code on the label.

• In February 2019, UPM Raflatac launched a new RafMore label on the market that can transform conventional product packaging into connected packaging with traceable features.

DETAILED SEGMENTATION OF THE GLOBAL SMART LABEL MARKET INCLUDED IN THIS REPORT

The global smart labels market report is segmented and sub-segmented based on the product type, application, end-user industry, and region.

By Product Type

• Radio Frequency Identification (RFID) tags

• Electronic Article Surveillance (EAS) tags

• Detection tags

• Digital Signage tags

By Application

• Retail Inventory

• Perishable Products

• Others (tracking of pallets, equipment, IT assets, and others)

By End-user Industry

• Retail

• Healthcare and Pharmaceutical

• Food and Beverage

• Logistics

• FMCG

• Automotive

• Others

By Region

• North America

• Europe

• Asia-Pacific

• Latin America

• Middle East and Africa