Enjoy complimentary customisation on priority with our Enterprise License!
The digital packaging and labeling market is estimated to grow at a CAGR of 14.91% between 2022 and 2027. The size of the market is forecast to increase by USD 22.35 billion. The growth of the market depends on serval factors, including the growing consumption of packaged beverages globally, the environmental benefits of digital packaging and labeling, and the benefits of variable data printing.
This report extensively covers market segmentation by end-user (food and beverages, personal care, healthcare, electronics, and others), technology (inkjet and electrophotography), and geography (North America, Europe, APAC, Middle East and Africa, and South America). It also includes an in-depth analysis of drivers, trends, and challenges. Furthermore, the report includes historic market data from 2017 to 2021.
To learn more about this report, Download Report Sample
The reports categorize the global digital packaging and labeling market as a part of the global technology hardware, storage, and peripherals market within the overall global information technology market. The parent global technology hardware, storage, and peripherals market covers manufacturers of cellular phones, personal computers, servers, electronic computer components, and peripherals. Our research report has extensively covered external factors influencing the parent market growth during the forecast period.
The benefits of variable data printing are notably driving the market growth, although factors such as high per-unit cost for high-volume printing may impede the market growth. Our researchers analyzed the data with 2022 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
Key Digital Packaging And Labeling Market Driver
The benefits of variable data printing are notably driving the digital printing packaging market growth. End-users can leverage the benefits of custom printing by adopting digital packaging and labeling. In digital packaging and labeling, the content already printed on sheets can be changed on computers or personalized programmable devices. However, in traditional analog printing, separate printing plates are required for different content printing.
In this process, the entire operation must be halted to replace content plates. This will increase the setup time, including 20 minutes for plate heating. The overall increase in the setup time will augment the setup cost. As a result, the per-unit printing cost will increase in analog printing. Hence, the demand for digital packaging and printing is surging due to its variable data printing benefits.
Significant Digital Packaging And Labeling Market Trend
Rising demand from consumer goods manufacturers is the key trend in the digital printing packaging market. End-users of the consumer goods industry are demanding products in varying weights/arrays of packages (100 grams, 250 grams, and 500 grams). As a result of the increase in arrays of packages, manufacturers of consumer goods are recording SKU proliferation. Rising SKU proliferation will increase the need for customization in printing with a short lead time.
The lead time for these products to hit the market will be very short due to the risk of inventory shortage at both consumer goods manufacturer and retailer ends. This, in turn, is expected to drive the demand for digital packaging and labeling as it can provide individual custom printing at a short duration with high efficiency.
Major Digital Packaging And Labeling Market Challenge
High per-unit cost for high-volume printing is the major challenge impeding the digital printing packaging market growth. Digital packaging and labeling have no setup cost. However, its per-unit cost for printing is around 40% higher than analog printing. The minute printing molecules and advanced software used in digital packaging and labeling make its production costlier than analog printing. In addition, the ink consumption in digital packaging and printing is comparatively more than that in analog printing.
In analog printing, once the machine is set up for operations, it will work continuously unless it needs to be halted for any mechanical repair. Therefore, analog printing helps in diluting the effect of its high setup cost by printing large volumes in one go. Therefore, high-volume printing is more cost-efficient in analog printing than in digital packaging and labeling. As a result, analog printing can have economies of scale for higher volume printing at some point of production, whereas digital packaging and labeling cannot achieve the same. In digital packaging and labeling, each print costs exactly the same despite the volume of the production run. This can become a major challenge for the growth of the market during the forecast period.
Key Digital Packaging And Labeling Market Customer Landscape
The report includes the adoption lifecycle of the digital printing packaging market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.
Global Digital Packaging and Labeling Market Customer Landscape
Vendors are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the digital printing packaging market.
Xerox Holdings Corp. - The company offers solutions for digital packaging and labeling which are suitable for use with food, which is a basic requirement for pharmaceutical and food industry customers. Through this segment, the company engages in the design, development, and sale of document management systems, printing technology, and related solutions.
The report also includes detailed analyses of the competitive landscape of the market and information about 15 market vendors, including:
Qualitative and quantitative analysis of vendors has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize vendors as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize vendors as dominant, leading, strong, tentative, and weak.
The market share growth of the food and beverages segment will be significant during the forecast period. Digital printing is being used by label and package makers to serve a variety of markets, but the food and beverage sector has the greatest potential. In the past ten years, there has been a significant shift in the packaging and labeling market. Digital printing solutions are being used by more suppliers, producers, and brand owners today to create labels and packaging.
Get a glance at the market contribution of various segments Request a PDF Sample
The food and beverages segment was valued at USD 5.70 billion in 2017 and continued to grow until 2021. The Food and Drug Administration (FDA) and the Food Safety and Standards Authority of India (FSSAI) are some governing bodies across the globe that have already mandated labeling in the food industry. Labeling is crucial for the promotion and marketing of food products. Effective labeling helps consumers to choose the right product. Such factors will ensure a steady demand for digital packaging and labeling, which will drive the growth of the segment in the digital printing packaging market during the forecast period.
For more insights on the market share of various regions Request PDF Sample now!
APAC is estimated to contribute 32% to the growth of the global digital printing packaging market during the forecast period. Another region offering significant growth opportunities to vendors is North America. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. The market in North America is expected to record substantial growth during the forecast period. E-commerce and pharmaceutical industries are the major end-users of digital packaging and labeling techniques in the region. The e-commerce market in North America is expected to record tremendous growth at a CAGR of 19%-23% during the forecast period. The US is the key contributing country to the e-commerce market in North America. The growing Internet penetration and rising purchasing power parity among the US population are driving the development of the e-commerce market in North America.
In 2020, the COVID-19 pandemic positively impacted the market in North America. However, lockdown restrictions were lifted by regional governments in the second half of 2020, coupled with large-scale vaccination drives and increased government initiatives in North America to support SMEs. The government in the US enacted several laws to provide relief to businesses and individuals, including the Coronavirus Aid, Relief, and Economic Security (CARES) Act and the American Rescue Plan Act. Such government initiatives will support the growth of various end-user industries, such as the textile industry, which will drive the growth of the regional market during the forecast period.
The report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027.
|
Digital Packaging And Labeling Market Scope |
|
|
Report Coverage |
Details |
|
Page number |
171 |
|
Base year |
2022 |
|
Historic period |
2017-2021 |
|
Forecast period |
2023-2027 |
|
Growth momentum & CAGR |
Accelerate at a CAGR of 14.91% |
|
Market growth 2023-2027 |
USD 22.35 billion |
|
Market structure |
Fragmented |
|
YoY growth 2022-2023(%) |
11.13 |
|
Regional analysis |
North America, Europe, APAC, Middle East and Africa, and South America |
|
Performing market contribution |
APAC at 32% |
|
Key countries |
US, China, Japan, UK, and Germany |
|
Competitive landscape |
Leading Vendors, Market Positioning of Vendors, Competitive Strategies, and Industry Risks |
|
Key companies profiled |
Cenveo Worldwide Ltd., Consolidated Label Co., DS Smith Plc, DuPont de Nemours Inc., Eastman Kodak Co, Flint Group, Hewlett Packard Enterprise Co., Lofton Label and Packaging Inc., Mondi plc, Printpack Inc., Quad/Graphics Inc., Quantum Print and Packaging Ltd, RR Donnelley and Sons Co., SAKATA INX CORP., Smurfit Kappa Group, THIMM Group GmbH Co. KG, Traco Manufacturing, Xeikon, Xerox Holdings Corp., and CCL Industries Inc. |
|
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the forecast period. |
|
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this report to meet your requirements. Get in touch
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by End-user
7 Market Segmentation by Technology
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
Research Framework
Technavio presents a detailed picture of the market by way of study, synthesis, and summation of data from multiple sources. The analysts have presented the various facets of the market with a particular focus on identifying the key industry influencers. The data thus presented is comprehensive, reliable, and the result of extensive research, both primary and secondary.
INFORMATION SOURCES
Primary sources
Secondary sources
DATA ANALYSIS
Data Synthesis
Data Validation
REPORT WRITING
Qualitative
Quantitative
Certified ISO 9001 : 2015
We are ISO 9001:2015 recognized that ensures quality services and product delivery to our clients.
We are GDPR and CCPA compliant! Your transaction & personal information is protected from unauthorized use.
Get lifetime access to our
Technavio Insights
Get the report (PDF) sent to your email within minutes.
