Smart Food Label Market Trends
Growth Drivers
- Growing Consumer Awareness for Hygienic Packaged Foods: The spike in the demand for packaged and perishable food products has grown massively in the recent times not just in the developed or developing countries, but also in many low and middle-income nations worldwide owing to the panic-stricken purchase due to the ongoing disease COVID-19. As such, consumers are widely aware about the various norms stated by the World Health Organization for collecting packaged foods that are not just hygienically packed but are also safe to consume. Packaged foods travel through various supply chain procedures before they reach the shelves of the retail outlet. During the process, there are chances of contamination of the food packets. Smart labels can easily display the condition of food packet, helping the consumer in their shopping experience program.
Moreover, smart food labels also facilitate food manufacturers by helping them enhance their supply chain efficiency by the distinction of different type of food products and how they need to be stored and processed. Additionally, smart food labels also help consumers by providing them relevant information on the packaged food product, which include expiry date, ingredient information and details of the quality of the food. Such factors are thereby anticipated to drive the growth of the global smart food label market. - Increasing Demand for Smart Packaging by End User Industries: There is a rising demand for smart packaging from end user industries, such as pharmaceutical, FMCG and others as smart food labels plays a pivotal role in providing tracking information of the products throughout the entire supply chain. Smart food labels also possess RFID tags where information is fed before the products are processed for further supply chain processes. Supply chain operators of the end user industries can easily identify the products with the help of near field communication (NFC) tags and RFID tags and help the operator in the supply chain mechanism to enhance the efficiency of the supply line to the shelf of retailers. Such factors are anticipated to drive the growth of the global smart food label market.
Challenges
- Smart food labels are often priced comparatively higher than conventional bar code labels. Moreover, lack of proper infrastructure in several nations to handle such advance supply chain mechanisms are some of the factors anticipated to impact negatively towards the growth of the global smart food labels market.
Smart Food Label Market: Key Insights
The global smart food label market is anticipated to grow on the back of increasing demand for perishable food products amongst consumers around the world, along with the rising deployment of advanced technologies in the retail sector that promotes safe and hygienic packaging of foods. Recently, upon the outbreak of the novel coronavirus pandemic around the world, it has been observed that there is a sudden surge in the purchase of consumer-packaged foods, as these packaged perishable foods can be preserved for a longer period of time. The demand for canned goods also has also grown massively as consumers started panic buying amidst fear of lockdown in several nations that also raised the concern for the unavailability of food amongst individuals around the globe. Such factors are anticipated to raise the demand for consumer-packaged goods significantly, raising the need amongst food manufacturers to label food packets in a much more hygienic manner so as to follow the norms of food safety amidst the ongoing disease COVID-19. Additionally, growing IT infrastructure around the world, technological advancements in labeling along with rapid urbanization in several nations around the globe are some of the factors anticipated to promote significantly towards the growth of the global smart food label market.
The market is anticipated to record a significant CAGR throughout the forecast period, i.e. 2020-2028. The global smart food label market is segmented by label technology into RFID and sensing. The sensing segment is further sub-divided into chemical, humidity and temperature. The chemical segment is anticipated to hold the largest market share by the end of 2028. Chemicals present in the smart food labels can be widely used across numerous types of products. These chemicals are responsible for the change in color which provides the consumer a greater knowledge about the condition of the food product. Additionally, chemical smart food labels can also be used for different types of food packaging, which is why it is also one of the most widely accepted and preferred type of smart food labels in the consumer food manufacturing industry. CLICK TO DOWNLOAD SAMPLE REPORT
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Base Year |
2024 |
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Forecast Year |
2025-2037 |
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Regional Scope |
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