The global labels market is anticipated to grow from USD 76.7 billion in 2025 to USD 121.5 billion by 2035, expanding at a compound annual growth rate (CAGR) of 4.7% during the forecast period. The increasing demand for product customization, along with the growth of e-commerce and the need for improved supply chain transparency, is driving the rise of the labels market. Labels are a crucial part of branding and marketing strategies across various industries, including food and beverage, consumer goods, pharmaceuticals, and logistics.
One of the primary drivers of this market’s growth is the ongoing expansion of the global e-commerce sector. As more consumers shop online, there is an increasing need for packaging and labeling that helps differentiate products and meet regulatory requirements.
Additionally, labels play a significant role in providing critical product information such as ingredients, usage instructions, and expiry dates, which is essential for both consumer safety and compliance with local regulations. The rise of sustainability trends is also influencing the market, with an increasing demand for eco-friendly, recyclable, and biodegradable labels.
| Attribute | Value |
|---|---|
| Market Size in 2025 | USD 76.7 Billion |
| Market Size in 2035 | USD 121.5 Billion |
| CAGR (2025 to 2035) | 4.7% |
Technological advancements in label production have further propelled the market. The development of digital printing technologies, which allow for cost-effective, high-quality, and short-run label production, is reshaping the industry. These innovations enable companies to produce personalized and variable data labels, offering better flexibility in meeting consumer needs. Furthermore, the rise of smart labels and RFID (radio-frequency identification) technology is revolutionizing product tracking and inventory management, adding an extra layer of efficiency to the supply chain.
On February 22, 2024, CCL Industries inaugurated a new sustainable sleeve label hub in Dornbirn, Austria, marking a significant advancement in eco-friendly packaging solutions. This €50 million investment features a state-of-the-art facility over 10,000 square meters, including a fully automated warehouse with intelligent storage management.
The hub specializes in EcoFloat™, a low-density polyolefin shrink sleeve material that easily separates from containers during recycling processes, enhancing material recovery and supporting circular economy initiatives. CCL's commitment to sustainability is further demonstrated by the facility's design, which incorporates modern environmental considerations to minimize its carbon footprint. This was officially announced in the company's press release.
As consumer preferences shift and new technologies continue to emerge, the global labels market is poised for significant expansion, providing opportunities for companies to offer cutting-edge, sustainable labeling solutions across industries.
The below table presents the expected CAGR for the global labels market over several semi-annual periods spanning from 2024 to 2034.
| Particular | Value CAGR |
|---|---|
| H1 (2024 to 2034) | 1.6% |
| H2 (2024 to 2034) | 3.7% |
| H1 (2025 to 2035) | 2.5% |
| H2 (2025 to 2035) | 4.6% |
In the first half (H1) of the decade from 2023 to 2033, the business is predicted to surge at a CAGR of 1.6%, followed by a slightly higher growth rate of 3.7% in the second half (H2) of the same decade.
Moving into the subsequent period, from H1 2024 to H2 2034, the CAGR is projected to decrease slightly to 2.5% in the first half and remain relatively moderate at 4.6% in the second half. In the first half (H1) the market witnessed a decrease of 90 BPS while in the second half (H2), the market witnessed an increase of 90 BPS.
The global labels market is projected to witness significant growth from 2025 to 2035. Key segments contributing to this expansion include digital printing and pressure-sensitive labels. These segments are fueled by advancements in printing technologies and increasing demand for customizable, high-quality labels across industries like food & beverage, healthcare, and retail.
Digital printing is expected to account for 47.2% of the labels market share by 2035. This segment is experiencing rapid growth due to the increasing demand for short-run, high-quality, and customizable labels. Digital printing allows for greater flexibility, faster turnaround times, and cost-effective solutions, especially for small and medium-sized businesses. The technology enables the production of labels with intricate designs, vibrant colors, and personalized elements, making it ideal for industries that require unique packaging solutions.
Key players like HP Inc. and Xeikon are driving innovations in digital printing, offering advanced digital presses that improve printing efficiency while reducing waste. As consumer preferences shift towards personalized products, brands in the food, cosmetics, and pharmaceutical sectors are increasingly adopting digital printing for labels that reflect their unique branding and packaging needs. Additionally, digital printing technologies allow for better integration with e-commerce platforms, helping companies meet the demands of online sales and fast-moving consumer goods.
Pressure-sensitive labels are projected to hold 72.5% of the market share in 2035, making them the dominant segment in the labels market. This segment’s growth is driven by the growing preference for easy-to-apply, adhesive labels that require no heat or additional adhesives. Pressure-sensitive labels are widely used in various industries, including food & beverage, pharmaceuticals, retail, and logistics, due to their versatility, durability, and ease of application.
Key companies like Avery Dennison and 3M are at the forefront of innovations in pressure-sensitive labels, offering products with enhanced features such as tamper-evident designs, waterproof coatings, and recyclable materials. The increasing focus on sustainability has also led to the development of eco-friendly pressure-sensitive labels that align with the growing demand for environmentally conscious packaging solutions.
Additionally, the rise of automation in packaging lines is supporting the widespread use of pressure-sensitive labels in manufacturing and logistics. With their ability to adapt to various surfaces and withstand environmental stress, pressure-sensitive labels are expected to maintain their dominance in the market.
Consumer Interest in Product Information Elevates Labels Market Growth
Major factor driving the demand of labels at the global level is awareness among consumers about information related to products. With increased health consciousness, consumers today look for detailed information about the products they are buying.
Labels are used for communication of such information basically related to the following aspects: ingredients, facts, source, and usage guidelines of the product. This resultant demand for clear honest product information propels manufacturers to invest in high-quality informative labeling.
The point is that the increased attention of companies to improve labels so as to meet the demands of consumers makes sure that the product is in line with the consumer's values rather than merely adhering to the regulations. Thus, the heightened transparency will expand the global labels market because consumers tend to take more informed purchasing decisions.
Need for Product Traceability in Various Industries Fuels Demand in Labels Market
Labels are a must-have tool in the tracking of products throughout the supply chain due to increased demand for transparency from business and consumers. This is particularly important in the food and pharmaceutical sectors, as such products are sensitive to safety and quality. It can be applied in identifying and tracing products from production to the point of consumption through the use of information such as barcodes, batch numbers, and expiration dates.
For instance, within the pharmaceutical company, labels put on the medicinal bottles have individualized identification that aids in fast-tracking drug batches when recalls are called for or checking the authenticity. The traceability of these products not only ensures regulatory compliance but also establishes consumer confidence. Thus, it is one of the emerging global drivers of the labels market.
Inconsistent Standardization of Labels May Hinder Global Labels Market Expansion
The lack of standardization in labeling regulations across various countries or regions may hamper global businesses by creating significant compliance challenges. Each country may have its own set of rules regarding language requirements, health warnings, ingredient disclosures, or packaging symbols, and companies may be forced to adapt their labels to meet diverse legal standards.
This lack of uniform labeling standards places the burden of creating many different labeling formats on the business to accommodate various markets, increasing its operational costs. Businesses are also exposed to the risk of compliance mistakes, which might lead to the imposition of fines, recalls, or other negative impacts on the brand reputation.
The added complexity in design and production processes can further hamper efficiency, making it more difficult to maintain a streamlined supply chain.
Tier 1 companies comprise market leaders capturing significant market share in global market. These market leaders are characterized by high production capacity and a wide product portfolio. These market leaders are distinguished by their extensive expertise in manufacturing across multiple packaging formats and a broad geographical reach, underpinned by a robust consumer base.
They provide a wide range of series including recycling and manufacturing utilizing the latest technology and meeting the regulatory standards providing the highest quality. Prominent companies within tier 1 include 3M Company, Multi-Color Corporation, Avery Dennison Corporation, Amcor plc, and UPM Global among others.
Tier 2 companies include mid-size players having presence in specific regions and highly influencing the local market. These are characterized by a strong presence overseas and strong market knowledge. These market players have good technology and ensure regulatory compliance but may not have advanced technology and wide global reach.
Prominent companies in tier 2 include Fuji Seal International, Inc., CCL Industries, Toray Plastics (America), Inc., Huhtamäki Oyj, Klöckner Pentaplast, Allen Plastic Industries Co., Ltd., Lintec Corporation, BRADY Corp, Derksen Co., Sigma Aldrich Corporation, and JK Labels.
Tier 3 includes the majority of small-scale companies operating at the local presence and serving niche markets. These companies are notably oriented towards fulfilling local market demands and are consequently classified within the tier 3 share segment. They are small-scale players and have limited geographical reach.
Tier 3, within this context, is recognized as an unorganized market, denoting a sector characterized by a lack of extensive structure and formalization when compared to organized competitors.
The section below covers the future forecast for the labels market in terms of countries. Information on key countries in several parts of the globe, including North America, Latin America, East Asia, South Asia and Pacific, Western Europe, Eastern Europe and MEA is provided. USA is expected to account for a CAGR of 3.7% through 2035. In Europe, Germany is projected to witness a CAGR of 3.4% by 2035.
| Countries | Value CAGR (2025 to 2035) |
|---|---|
| USA | 3.7% |
| Germany | 3.4% |
| China | 5.6% |
| UK | 3.2% |
| Spain | 3.5% |
| India | 6.2% |
| Canada | 3.0% |
The significant development of e-commerce in the USA has directly increased the demand for durable and protective packaging solutions, leading to a significant increase in label requirements. With products being shipped over a longer distance, labeling and providing specific information required for the handling, shipment, and delivery of those products are necessary through labels.
Proper identification, tracking, and compliance with shipping regulations are guaranteed with labels. These contain important information, such as barcodes, QR codes, and product details, which would make it easy to track and engage with customers. Because of personalization and the need for brands to be highly visible in e-commerce, companies are using custom labels to help make their products unique and more appealing to consumers.
Strict pharmaceutical laws in Germany push the use of tamper-evident and child-resistant packaging in healthcare and medicinal cannabis. Labels will be of paramount importance to comply with regulations as they are supposed to carry the following information like dosage instructions, ingredients, expiration dates, and safety warnings. The labels are supposed to comply with specific legal requirements such as clear and legible fonts and symbols to denote tamper-proof features.
In addition, for medicinal cannabis products, the labels must specify the content of cannabinoids and must carry health warnings. Since safety for consumers remains paramount, advanced technologies such as QR codes in pharmaceutical packaging labels to ensure traceability and authentication continue to be integrated for increased security and compliance of the products.
Key players of global labels industry are developing and launching new products in the market. They are integrating with different firms and extending their geographical presence. Few of them are also collaborating and partnering with local brands and start-up companies
Key Developments:
| Report Attributes | Details |
|---|---|
| Current Total Market Size (2025) | USD 76.7 billion |
| Projected Market Size (2035) | USD 121.5 billion |
| CAGR (2025 to 2035) | 4.7% |
| Base Year for Estimation | 2024 |
| Historical Period | 2020 to 2024 |
| Projections Period | 2025 to 2035 |
| Quantitative Units | USD billion for dollar sales |
| Materials Analyzed (Segment 1) | Plastic (PE, PP, PVC, PET, Other), Paper (Kraft, Recycled), Foil |
| Product Types Analyzed (Segment 2) | Pressure Sensitive Labels, Shrink Labels, Stretch Labels, Wet Glue Labels, Others (In-mold, Pre-gummed) |
| Printing Technologies Analyzed (Segment 3) | Flexographic Printing, Digital Printing, Gravure Printing, Offset Printing, Letterpress Printing |
| Ink Types Analyzed (Segment 4) | Solvent Based, Water Based, UV Based, Others (Latex Based) |
| End-uses Analyzed (Segment 5) | Food (Bakery & Confectionery, Dairy Products, Baby Food, Chilled or Frozen Foods, Others), Beverages (Alcoholic, Non-alcoholic), Pharmaceuticals (Tablets/Capsules, Cream & Ointment, Liquid Syrup, Others), Cosmetics & Personal Care, Homecare & Toiletries, Chemicals, Automobiles, Other Industrial |
| Regions Covered | North America, Latin America, East Asia, South Asia & Pacific, Western Europe, Eastern Europe, Middle East & Africa |
| Countries Covered | United States, Canada, Mexico, Brazil, Argentina, Germany, France, United Kingdom, Italy, Spain, Netherlands, China, India, Japan, South Korea, ANZ, GCC Countries, South Africa |
| Key Players influencing the Labels Market | Fuji Seal International, Inc., 3M Company, AVERY DENNISON CORPORATION, CCL Industries, UPM Global, Toray Plastics (America), Inc., Huhtamäki Oyj, Amcor plc, Klöckner Pentaplast, Allen Plastic Industries Co., Ltd. |
| Additional Attributes | dollar sales, CAGR trends, material type segmentation, product type demand, printing technology shifts, ink type usage, end-use industry trends, competitor dollar sales & market share, regional growth patterns |
Materials in the market for labels include plastic, paper and foil. Plastic includes polyethylene (PE), polypropylene (PP), polyvinyl chloride (PVC), polyethylene terephthalate (PET) and others (PA, EVOH, etc.). Paper includes kraft paper and recycled paper.
In terms of product type, the market for labels is divided into pressure sensitive labels, shrink labels, stretch labels, wet glue labels and others (In-mold, pre-gummed, etc.)
Printing technique used in the market for labels include flexographic printing, digital printing, gravure printing, offset printing and letterpress printing.
Types of ink in the industry for labels are solvent based, water based, UV based and others (latex based, etc.).
End users related to labels are food, beverages, pharmaceutical, cosmetics & personal care, homecare & toiletries, chemicals, automobiles and other industrial. Food includes bakery and confectionery, dairy products, baby food, chilled or frozen foods, and others (snacks, etc.). Beverages in further sub-categorized into alcoholic and non-alcoholic. Pharmaceuticals includes tablet/capsules, cream & ointment, liquid syrup and others.
Key Countries of North America, Latin America, East Asia, South Asia & Pacific, Western Europe, Eastern Europe and Middle East & Africa are covered.
The global labels industry is projected to witness CAGR of 4.7% between 2025 and 2035.
The global labels industry stood at USD 74.0 billion in 2024.
Global labels industry is anticipated to reach USD 121.5 billion by 2035 end.
South Asia & Pacific is set to record a CAGR of 5.8% in assessment period.
The key players operating in the global labels industry include 3M Company, Multi-Color Corporation, Avery Dennison Corporation, Amcor plc, and UPM Global among others.
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