Digital Label Printing Market

Digital Label Printing Market Outlook (2023 to 2033)

Global Digital Label Printing Market demand is anticipated to be valued at USD 11.06 billion in 2023, forecasted to grow at a CAGR of 5.3% at USD 18.54 billion from 2023 to 2033. The growth of the global market is attributed to continuous developments witnessed in the textile industry across the globe.

Digital printing is a cost-effective method for printing custom labels with photographic-quality graphics, crisp text, and vibrant colors. As this printing is best suited for smaller orders of 10,000 custom labels or less, digital printing is less labor-intensive and produces less setup waste than flexographic printing.

The onset of digital printing solutions for manufacturing packaging materials is creating a highly lucrative market for packaging companies, printing service providers, and commercial printers. Eventually, success at the point of sale (PoS) is a multimillion-dollar business for brand owners and producers.

Factors such as cost-effectiveness, less labor requirement, and reduced waste production enable broader adoption of digital label printing. Such benefits of digital label printing are making them commonplace in various sectors such as food & beverages, cosmetics, and pharmaceuticals.

The increasing demand for labels with tampering and counterfeiting protection solutions is one of the significant factors that is anticipated to augment the growth of the global market in the forthcoming years.

On the contrary, factors such as the slow production speed of Digital Label Printing, compared to flexographic printing, are not ideal for longer runs. This factor is expected to limit the growth of the global market during the forecast period.

Which are Some Prominent Drivers Spearheading Digital Label Printing Market Growth?

Digital printing technology is gaining popularity among the manufacturers of labels, owing to several benefits offered to it. Digital printers are available in various capacities, printing technologies, and competitive pricing in the market, making them favorable for big and small players.

As opposed to traditional label printers, digital printers can manufacture small batches and the labeling content, which can be easily customized as per requirement, which is very advantageous to small players in the industry. It is one of the significant factors anticipated to boost the growth of the global market during the forecast period.

There have been continuous developments witnessed in the textile industry. Earlier, companies used technologies for niche sections of the market. Nowadays, multinational brands incorporate new technologies for the overall market. Manufacturers are producing dedicated textile-specific printing systems to cater to more orders. Increased speed with new sustainable ink technologies propels digital printers toward the textile market.

The significant demand is from the clothing market, which has two categories: fashion and sportswear. Digital printers are also used to print smaller designs on garments such as T-shirts, dresses, and promotional wear and print larger designs in textiles. It is another factor expected to accelerate the growth of the global market in the forthcoming years.

Intense competition in the printing industry and increasing demand from parent organizations compel the in-plant printing department to expand its service offerings. The in-plant printing market currently offers value-added services, ranging from scanning and archiving to garment printing. The large-format digital printer is widely accepted for these new services. It, in turn, is expected to escalate the growth of the global market over the analysis period.

What are the Challenges Faced by the Digital Label Printing Industry?

Digital label printing requires additional expenses to install particular equipment for production. Moreover, companies immune to the digital trend must invest in up-skilling their workforce to deal with the complexities associated with digital label printing processes.

As such, small- and medium-scale enterprises are avoiding going digital. It is one of the significant factors expected to hinder the growth of the Digital Label Printing Market during the forecast period.

The slow production speed of Digital Label Printing, as compared to flexographic printing, could be better for longer runs. It is another major factor expected to hamper the market growth shortly. Moreover, the initial investments and maintenance of digital printers incur higher costs.

It is due to the complexity of the design of digital printers. Different applications require different toners and inkjets. Also, the cost of ink used in inkjet technology is very high. This factor is also anticipated to impede the growth of the Digital Label Printing Market over the analysis period.

The growing popularity of digital delivery of documents and data is expected to reduce the demand for printing certain products such as directories, financial records, advertisements, and books. Some websites serve as online sources of public domain material, offering e-books, novels, and documents for educational and recreational purposes.

The growth in demand for e-books is a significant challenge for printing businesses. In addition, self-publishing e-books affect traditional publishing businesses as writers can instantly publish their books and make them accessible to all. Thus, the exponential growth of e-books in recent years is a challenge for the digital printing market.

Attributes	Details
Market CAGR (2023 to 2033)	5.3%
Market Valuation (2023)	USD 11.06 billion
Market Valuation (2033)	USD 18.54 billion

Why is North America Emerging as an Opportunistic Digital Label Printing Market?

Regarding regional platforms, North America holds a significant market share in the global market. The region is expected to surge to over 28.0% share in 2023.

North America is expected to remain a significant epicenter of development prospects in the global market, attributed to rapid growth in the labeling sector. North America is home to pioneers of digital technologies. Moreover, the pace of the broader economic structure in the region acutely relies on its digital ecosystem.

How is Europe Contributing to the Growth of the Global Market?

According to Future Market Insights, Europe is expected to hold lucrative growth opportunities for the global market and represent the highest market share of 31.0% in 2023.

The markets in the United Kingdom, Italy, and Germany are more likely to govern the digital printing market in Europe in the years to come in terms of adaptability and market size. Countries such as Italy and the United Kingdom are expected to witness high growth in the digital printing market because of the growing developmental activities and rapid economic expansion.

Europe is a market leader in the global textile printing industry. Italy is one of the biggest suppliers of textiles and comprises the maximum number of textile printing owners and marketers, and also holds the most extensive base of textile manufacturers.

Where does the Asia-Pacific region stand in the Global Market?

According to Future Market Insights, Asia-Pacific is expected to grow with lucrative growth opportunities for the global market and reach a significant share of 22.6% in 2023.

Asia Pacific is expected to maintain its supremacy in the labeling market and is estimated to capture around 45% of worldwide revenue in the coming years. As such, market players rapidly shift their manufacturing units to Asia Pacific to remain well-placed for better returns.

The growth of the e-commerce industry in the region is one of the significant factors expected to fuel the adoption of print labels over the forecast period. For instance, according to Invest India, the e-commerce market in India is also set to witness a CAGR of 30% for the gross merchandise value to reach USD 200 billion by 2026 and have a market penetration of 12%, compared to the current 2%.

China is the largest economy in the Asia-Pacific region due to the increasing interest of companies. China is one of the fastest-growing economies globally, and almost all the end-user industries have been growing due to the rising population, living standards, and per capita income.

How is Middle East & Africa Contributing to the Growth of the Global Market?

According to Future Market Insights, the Middle East & Africa are expected to provide significant growth opportunities for the global market and reach a share of 11.0% in 2023.

The food industry in the region is expected to account for a significant print label market during the forecast period. Consumers are now more aware of the content of the food they consume. There has been more emphasis on the materials of the products displayed on the label, due to which manufacturers are opting for more prominent brands.

The growing demand for packaged food is also influencing the growth of this market in the region, as it ensures food quality, safety, and long shelf life. According to the Federation of Indian Chambers of Commerce & Industry (FICCI), the expenditure on packaged foods is increasing (at an inflection point) due to increased per capita income, urbanization, and working hours for women.

Role of Startups in the Digital Label Printing Market

There are many prominent market players in the global market, such as Digistik, Hanshow, Smart Coloring, Ardena, S-One Labels & Packaging, Inuru, and PakCan, among others, which are working hand-in-hand to provide the best-in-class Digital Label Printing for enhancing the global arena.

However, many global startups in the global market are stepping forward to match the requirements of the Digital Label Printing domain.

• A German startup, Smart Coloring, develops an additive that absorbs dyes while coloring plastics using water-based coloring or inkjet printing. The startup’s reversible and repeatable coloring and decoloring technology, in combination with its InPrinting technology, encapsulates the additive and dye compound to avoid contamination. Moreover, the color encapsulation is also resistant to heat, ultraviolet (UV) light, and acidity. The startup’s coloring technology also enables coloring individual unprintable plastics with the InPrinting technology.
• Belgian startup Ardena offers clinical logistics solutions that combine packaging and labeling operations for clinical trials. The startup’s printing capabilities include single-layer, booklet, and peel-off labels that account for variable fields, including patient or kit numbers and special requests. In addition to logistics, Ardena also provides solutions for drug substance production, bioanalysis, and dossier development.
• Founded in 2018, the USA-based startup S-One Labels & Packaging offers the T-Series Thermal Laminator. The startup’s laminators provide accurate tension control and high-speed capability, ideal for digital labels and flexible packaging printing and converting. The T-Series is especially useful when brands and companies want to increase speed-to-market and minimize material waste. They are suitable for HP Indigo Series 3, HP 6000 series, and HP 20000 series press owners.

Market Competition

Some of the key participants present in the global market include Canon Inc., AstroNova, Inc., Domino Printing Sciences plc., Print Process Corporation, Arrow Digital Private Limited, VIPColor Technologies Pte Ltd., Colordyne Technologies LLC, Seiko Epson Corporation, HP Inc., Mimaki Engineering Co. Ltd., Konica Minolta Inc., Samsung Label Printing Co., Ltd., Bharat Traders, Shijin Plastic Packaging Co., Ltd., LY Fashion Limited, Tangshan Wanjie Machinery Equipment Co., Ltd., Kingprint, Dongguan grangerize Co., Ltd., Dongguan Yuchang Garment Accessories Co., Ltd., Abundant Grace International Company Ltd., FORMTEC KOREA LTD, and LabelTraxx, among others.

The market is highly competitive due to the presence of such a large number of participants. While global players such as Canon Inc., AstroNova, Inc., Domino Printing Sciences plc., Print Process Corporation, and Arrow Digital Private Limited account for considerable market size, several regional-level players are also operating across crucial growth regions, particularly in Europe.

Recent Development:

• In January 2022, The Resource Label Group LLC, MA-based QSX Labels, expanded its regional strength in New England and its leading position in the label and packaging industry. QSX Labels represents the twenty-third acquisition for Resource Label. QSX Labels was founded in 1957 as New England Industrial Supply. The company expanded to offer pressure-sensitive labels as The Quik Stick Label Company.
• In July 2021, Avery Dennison announced purchasing Vestcom, a privately held pricing and branded labeling solutions provider for retailers and consumer packaged goods firms, For USD 1.45 billion. It would enable the company to expand its position in high-value categories and include complementary channel access and data management capabilities that have the potential to accelerate its Intelligent Labels strategy further.
• In June 2021, Clayton Dubilier & Rice (CD&R) announced a definitive agreement under which CD&R funds are estimated to acquire and combine Fort Dearborn and Multi-Color Corporation (MCC). The company merger and acquisition are estimated to create a diversified platform across label technologies, end categories, geographies, and customers.
• In February 2021, EFI announced a new reforestation initiative in coordination with recent EFICretaprint ceramic printer sales. Under this new initiative, EFI is estimated to plant 17 trees for every unknown Cretaprint printer sold: a symbolic number equivalent to approximately three tons of CO2 emissions, according to 2019 greenhouse gas reporting.
• In January 2021, Roland DG Corporation launched the new VersaUV LEC2-640/330 64 and 30 wide-format UV printers/cutters.

Scope of Report

Attribute	Details
Forecast Period	2023 to 2033
Historical Data Available for	2018 to 2022
Market Analysis	USD billion for Value
Key Countries Covered	United States, United Kingdom, Japan, India, China, Australia, Germany
Key Segments Covered	Region, System Type, End User
Key Companies Profiled	Samsung Label Printing Co. Ltd.; Bharat Traders; Shijin Plastic Packaging Co. Ltd.; Tangshan Wanjie Machinery Equipment Co. Ltd.; Dongguan Grandrise Co. Ltd.; FORMTEK KOREA LTD; LabelTraxx; King print; Canon Inc.; AstraNova Inc.; Afinia Label; Arrow Digital Private Limited; Colordyne Technologies LLC; Epson Corporation
Report Coverage	Market Forecast, Company Share Analysis, Competition Intelligence, DROT Analysis, Market Dynamics and Challenges, and Strategic Growth Initiatives
Customization & Pricing	Available upon Request

Digital Label Printing Market by Segmentation

By System Type:

• Toner System
• Inkjet System
• Others

By End Use:

• Converting Companies
• Consumers
• Packaging Companies

By Region:

• North America
• Latin America
• Europe
• East Asia
• South Asia
• Oceania
• Middle East & Africa (MEA)

Frequently Asked Questions

What will be the Growth Rate for the Overall Market?

The global market could develop at an impressive 5.3% CAGR until 2033.

Which is the Leading Regional Market for Sales of Digital Label Printing Units?

Europe is the leading market and is expected to capture 31% of the global market in 2023.

How North America will Progress its Digital Label Printing Market in the Coming Days?

Growth of digital labeling technologies captured 28% of market share in 2023.

Which is the Emerging Regional Market?

Middle East and Africa is the emerging region and is figured to have 11% market share in 2023.

Why Asia Pacific is Considered a Lucrative Market for Digital Label Printing?

Manufacturing units and proliferation of e-commerce sector to drive the regional market.