The shrink sleeve labels market is estimated at USD 14.7 billion in 2024. The sales are expected to grow to USD 21 billion by 2034 ever-evolving packaging industry in varied sectors. The shrink sleeve labels market is expected to register a CAGR of 3.6% from 2024 to 2034.
Global Shrink Sleeve Labels Market Assessment
| Attributes | Description |
|---|---|
| Estimated Global Shrink Sleeve Labels Market Size (2024E) | USD 14.7 billion |
| Projected Global Shrink Sleeve Labels Market Value (2034F) | USD 21 billion |
| Value-based CAGR (2024 to 2034) | 3.6% |
Shrink sleeve labels, especially tamper detection features, enhanced product security. Most of these labels have safety-sealed messages or warning phrases to reinforce consumers' trust. Therefore, there is a high demand in the food and medicines sectors. Custom-printed tamper-proof shrink sleeves also provide an opportunity to wrap over existing designs on the canisters increasing the branding scope.
Based on geography, the shrink sleeve label market has been segmented into five major regions which include North America, Europe, Asia Pacific, Latin America and Middle East and Africa MEA. It is expected that the Asia Pacific region will hold a commanding position owing to the rising demand for different applications.
In the Western Europe and North America markets, the surge in demand for packaging in personal care, consumer products, and food and beverages, will also contribute toward market growth.
Additionally, the Latin America and MEA markets are seen to showcase notable expansion. Rising health concerns in these regions are expected to improve the demand in the healthcare sector.
Moreover, the rise in cosmetic product usage in the MEA market will also propel shrink-sleeve label growth. With numerous large and small firms competing, innovation and new product launches are vital strategies for market players to ensure stability and growth.
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The shrink sleeve labels market shows promising growth potential. From 2024 to 2034, the market is slated to grow variably. The first half of 2023 to 2033 expects a CAGR of 3.3%. The second half of this period projects a CAGR of 3.9%. This slight decrease indicates a steady fall in demand.
| Particular | Value CAGR |
|---|---|
| H1 | 3.3% (2023 to 2033) |
| H2 | 3.9% (2023 to 2033) |
| H1 | 3.8% (2024 to 2034) |
| H2 | 3.2% (2024 to 2034) |
In the next decade though, the first half maintains a steady CAGR of 3.8%. The second half of 2024 to 2034, however, sees a CAGR of 3.2%.
Technological Breakthroughs: Manufacturers Investing in Eco-friendly Material
Trends in the shrink-sleeve labels market are positively influenced by altering consumer tastes and technological developments. One of these trends is the growth in the need for sustainable packaging.
Innovative companies such as Polysack Ltd. have come up with more environmentally friendly products such as Polyphane Fit, which has a lower ecological footprint. This increasing concern for the environment is in line with current trends worldwide where consumers prefer green products in shrink sleeve labels.
Additionally, the integration of smart packaging is another trend that is in fast gaining shape. For instance, Avery Dennison is a multinational manufacturer and distributor of apparel branding labels and tags and specialty medical products use shrink-sleeve labels with QR codes and the Near Field Communication (NFC) technology.
This allows the consumers to interact with the product using their smartphones and allows access to product and marketing information. Such developments promote the interaction between the consumer and the brand and enable the brand to collect insight about the customer and the customer’s usage tendencies.
Transparent Labeling Gains Popularity among Health-Conscious Consumers
The swift growth of the e-commerce industry has created a growing need for secure and attractive packing. Then, following the market needs, manufacturers such as Amcor produce refined quality shrink-sleeves, which are suitable for strict online sales. Additionally, the food and beverages industries remain a big contributor with brands looking for creative packaging solutions to stand out.
Limitations in the Shrink Sleeve Label Market
Principal Consultant
The shrink sleeve label market was valued at USD 12.3 billion in 2019 and reached a valuation of USD 13.9 billion in 2023. The increasing demand for attractive packaging solutions drove sales across various sectors. Notably, the food and beverage industry contributed substantially to this growth. Additionally, the rise of e-commerce boosted the need for secure and visually appealing labels.
During this period, innovations in printing technology enhanced label quality and design flexibility. As a result, the manufacturers began to shift their attention toward sustainability by employing green materials to suit the needs of the consumers. Consequently, the market witnessed an increase in the use of tamper-evident and custom-printed labels, which recorded a CAGR of 3.1% from 2019 to 2023.
On the other hand, product safety coupled with an increase in branding will drive the growth even further. The expected growth in demand will also emanate from the pharmaceutical and personal care industries. Furthermore, the consumption of packaging will be affected by the eco-friendly trend.
Regional analysis reports that Asia Pacific will have the largest share of the market. With urbanization in this region and an increase in disposable incomes, there is a corresponding increase in the consumption of packaged goods. Both countries, North America and Western Europe, will also enhance growth based on innovation and consumer awareness. Further manufacturers should innovate and adapt to the changes of the consumers to benefit brand visibility.
Tier 1 companies are establishing a strong presence in the shrink sleeve label market concentrating on continuous innovation. They rely on research and development to enhance security features in their products. These companies also prioritize sustainable materials in their packaging, aligning with environmental safety standards.
Tier 1 suppliers are incorporating smart packaging solutions into their offerings. Additionally, improved distribution networks play a crucial role in facilitating rapid brand promotion in new markets. By strictly adhering to global safety standards, tier 1 manufacturers build consumer confidence and enhance their brand image in the domestic market.
Tier 2 companies aim to provide customization options rather than adopting a one-size-fits-all approach. Key producers are also transitioning to local production to reduce costs while enhancing label quality through advanced printing technologies.
Partnerships with small brand companies allow tier 2 suppliers to expand their product portfolios and increase market penetration. They also implement targeted marketing tactics for promoting tamper-evident products, enabling them to adapt to the evolving consumers' preferences.
Tier 3 companies are expanding through local outreach efforts, targeting small firms and entrepreneurial ventures that require affordable solutions. By offering low-cost packaging options, they cater to price-sensitive customers.
Tier 3 players leverage community-centered marketing strategies to strengthen customer loyalty and brand attachment. They effectively work with social networks to advertise their products and focus on user-friendly and straightforward designs. This approach allows them to respond swiftly to demands while maintaining a connection with their customer base.
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The section summarizes the leading countries expanding in the global shrink sleeve labels market. The table describes the CAGRs of specific countries and the data highlights key trends, projects, and company contributions to position the country in the global landscape. This data helps investors keenly observe and go through the recent trends and examine them in order.
| Countries | CAGR 2024 to 2034 |
|---|---|
| India | 5.9% |
| China | 5.1% |
| Thailand | 4.8% |
| South Korea | 3.8% |
| Spain | 3.1% |
| United States | 2.8% |
Owing to the increasing requirements in many industries, India has emerged as one of the leading countries in the shrink sleeve label market. The adoption of shrink-sleeve labels is rapidly increasing in food and beverage, pharmaceutical, personal and home care, and other industries.
These labels enable 360-degree branding, assure the safety of the contents, and allow for creativity in the design among many other features that make them a current popular of the manufacturers.
Max Speciality Films, Siddhivinayak Flexible Packaging, and Kraft Paper Products are esteemed players in India’s shrink sleeve label market. Max Speciality Films has come up with a new range of shrink-sleeve films that are eco-friendly. In addition, advances in shrink sleeve technology and sustainability were on display at the PackTech India 2023, where Siddhivinayak Flexible Packaging released its new shrink sleeve solutions.
Major global trends affecting the Indian market are increasing concerns about sustainability among consumers and manufacturers, who have started using more organic and eco-friendly materials. The growth of e-commerce sectors has also led to demand for attractive packaging solutions. These contributions boost the shrink-sleeve label segment in India.
The shrink sleeve label market in China is most likely on an upward trend with increasing industrial growth and innovations. A significant factor is the growing consumption within the food and beverage sector. This has resulted in companies widening their product ranges and reassessing their packaging solutions.
For instance, Coca-Cola China recently launched new lines of beverages in the Chinese market using attractive shrink-sleeve labels, for better visibility and market appeal of the brand. Likewise, ready-to-drink products under the brand Nestlé are leveraged to emphasize convenience and attractive designs.
The country’s specifications for shrink-sleeve labels focus on high-quality materials that ensure durability and compliance with food safety standards. Recent news highlights China's commitment to sustainability, with many manufacturers transitioning to eco-friendly materials.
The China International Packaging Industry Exhibition 2023 showcased advancements in shrink sleeve technology, emphasizing innovations that improve recyclability and reduce environmental impact. As the market continues to grow, China's emphasis on quality, design, and sustainability positions it as a leader in the global shrink sleeve label market.
Thailand is considered a strategic center for local and foreign companies looking for excellent quality labeling solutions. Companies such as Thai Beverage Public Company Limited and SCG Packaging among others are at the forefront of this development. For instance, Thai Beverage introduced a new craft beer line with colorful shrink-sleeve label designs to promote awareness and visibility of the products.
Shrink sleeves occupy the top position in the packaging industry when it comes to demand but most importantly, the designs extend over the entire bottle which is key in brand promotion in competitive markets. In addition, the government of Thailand encourages the growth of the packaging industry as it promotes sustainable development and the use of advanced technology.
It is worth mentioning that the country-specific policies adhere to safety and quality standards, ensuring that the raw materials used for shrink-sleeve labels are food-safe. Equally impressive is the shift toward a greener future encouraging most manufacturers to adopt environmentally friendly materials.
The section describes the leading segment in the shrink sleeve labels market and their share value.
| Segment | Polyvinyl Chloride (PVC) (Material) |
|---|---|
| Value Share (2024) | 37.2% |
Polyvinyl chlorides (PVC) can easily incorporate quality prints and bright colors enabling branding and differentiating products. It is also important to note that its durability ensures that labels are not damaged during transit and gives the producers reliable packing solutions. Also, using PVC lowers expenditure on raw materials allowing manufacturers to achieve high-quality output without increasing production costs.
Manufacturers benefit from the ease of working with PVC since it can be printed, cut, and shaped to any dimension of a container. Such flexibility allows its usage in many businesses from catering, and chemicals to cosmetics. Because of this expertise, they consider investment in such a material as PVC quite safe as it is always in demand and has many uses in various industries.
| Segment | Beverages (End Use) |
|---|---|
| Value Share (2024) | 28.9% |
The labeling of beverages is an important activity for the industry which seeks to draw in consumers and communicate with the personality of the brand. Therefore, shrink sleeve labels enable the users to create a 360-degree branding of the product by providing a canvas for high-quality images and other necessary product texts.
Labels are used on beverages manufactured in shrink sleeve technology for their strong attachment and endurance so that the labels remain on the product till the end of its use. Such predictability minimizes the chances of label wear during transport and increases customer loyalty to the product. Investors are gaining interest in the beverage segment due to its rapid growth and potential for innovation in packaging solutions.
Another fundamental feature of the shrink label for the beverage industry is that this sleeve can be produced in various shapes and forms since it can easily shrink to fit bottles of different sizes.
The rotogravure printed shrink sleeve labeling is a growing trend among manufacturers as it enhances the economy, the speed of production, and the look of the packaged products. Secondly, there is a shift toward the use of shrink-sleeve labels instead of using pressure-sensitive labels and other types of labels. These labels are adaptable and help in the growth of new products thereby making them very important for brands operating in a cut-throat environment.
High-shrink films made for high-speed RFS labeling machines are one of the strategies the major players are undertaking to stimulate growth. This breakthrough allows manufacturers to respond to increasing consumer needs for attractive green packaging. As most markets, including food and beverages, pharmaceuticals, and personal care, adopt shrink-sleeve labels, this sector is expected to flourish soon.
Industry Updates
The shrink sleeve labels market includes polythene terephthalate glycol (PETG), polyvinyl chloride (PVC), oriented polystyrene (OPS), bi-axillary oriented polypropylene (BOPP), polyethylene (PE), bioplastics, and co-polyester materials.
Steel is further classified into stainless steel, carbon steel or mild steel, and tinplate.
The segment is classified into rotogravure, flexographic, offset, digital letterpress, and thermal printing technology.
The market is segmented into full body, neck band, partial, and multipack sleeves.
The category includes food, beverages, pharmaceuticals, cosmetics and personal care, chemicals, home care and pet care, and other end-use consumer goods.
Information about the leading countries of North America, Latin America, Western Europe, South Asia and Pacific, East Asia, and the Middle East and Africa is given.
It is anticipated to reach USD 14.7 billion in 2024.
The market is set to rise at a 3.6% CAGR through 2034.
The landscape is forecasted to reach USD 21 billion by 2034.
Polyvinyl chloride is the most popular material with a share value of 37.2%.
Amcor Plc, Avery Dennison Corporation, Fuji Seal International, Inc., Huhtamäki Oyj, and Klöckner Pentaplast Europe GmbH & Co. are a few key brands.
1. Executive Summary 2. Industry Introduction, including Taxonomy and Market Definition 3. Market Trends and Success Factors, including Macro-economic Factors, Market Dynamics, and Recent Industry Developments 4. Global Market Demand Analysis 2019 to 2023 and Forecast 2024 to 2034, including Historical Analysis and Future Projections 5. Pricing Analysis 6. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034 6.1. Material 6.2. Printing Technology 6.3. Packaging Type 6.4. End Use 7. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Material 7.1. Polythene Terephthalate Glycol (PETG) 7.2. Polyvinyl Chloride (PVC) 7.3. Oriented Polystyrene (OPS) 7.4. Bi-axially Oriented Polypropylene (BOPP) 7.5. Polyethylene (PE) 7.6. Co-polyester Materials 7.7. Bioplastics 8. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Printing Technology 8.1. Rotogravure 8.2. Flexographic 8.3. Offset 8.4. Digital Letterpress 8.5. Thermal Printing 9. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Packaging Type 9.1. Full Body 9.2. Neck Band 9.3. Partial 9.4. Multipack Sleeves 10. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By End Use 10.1. Food 10.2. Beverages 10.3. Pharmaceuticals 10.4. Cosmetics and Personal Care 10.5. Chemicals 10.6. Home Care and Pet Care 10.7. Other End Use 11. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Region 11.1. North America 11.2. Latin America 11.3. Western Europe 11.4. South Asia and Pacific 11.5. East Asia 11.6. Middle East and Africa 12. North America Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries 13. Latin America Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries 14. Western Europe Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries 15. South Asia and Pacific Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries 16. East Asia Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries 17. Middle East and Africa Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries 18. Sales Forecast 2024 to 2034 by Material, Printing Technology, Packaging Type, and End Use for 30 Countries 19. Competition Outlook, including Market Structure Analysis, Company Share Analysis by Key Players, and Competition Dashboard 20. Company Profile 20.1. Amcor Plc 20.2. Avery Dennison Corporation 20.3. Fuji Seal International, Inc. 20.4. Huhtamäki Oyj 20.5. Klöckner Pentaplast Europe GmbH & Co. 20.6. Multi-Color Corporation 20.7. Derksen Co. 20.8. OTK Group, A.S. 20.9. Traco Manufacturing, Inc. 20.10. Edwards Label, Inc. 20.11. Taurus Packaging 20.12. Century Label 20.13. USA Tape & Label 20.14. CCL Industries Inc. 20.15. Constantia Flexibles 20.16. SATO Holdings Corporation 20.17. Resource Label Group, LLC 20.18. Impact Sleeves 20.19. Alupol Packaging S.A
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Shrink Sleeve Labels Market
