Smart Labels Market Trends

Growth Drivers

• Growing Waste of Food & Beverages - Each year, more than 29% of food is lost or squandered, globally.  Food and beverage companies are able to communicate with their customers directly owing to QR codes. These could be used to provide facts about where food comes from, how it is transported, and even in-depth nutritional information that wouldn't fit on a typical label. Moreover, several businesses utilize other smart labels market in addition to QR codes. A further choice is the Time Temperature Indicator (TTI), which use color-changing technology to show how long a product has been in transit, whether it has been stored at the proper temperatures, and how much longer it has to go before expiring. Hence, this reduces the wastage of food & beverages.
• Protect Against Counterfeiters - Counterfeiters have an impact on almost every industry to some extent. The CDC believes that up to 41% of pharmaceuticals sold in low- and middle-income nations are fake drugs. Consumer goods are also at risk; every year, U.S. Immigration and Customs Enforcement intercepts counterfeit goods worth millions of dollars. These fake goods present a significant risk to public health and safety in both situations.
• Surge in Adoption of IoT - Almost 14 billion IoT devices are currently online worldwide. By 2030, the number of active IoT devices is anticipated to double.
• Growth in Adoption of Smartphones - By 2023, there are projected to be about 5 billion smartphone users worldwide, which would also mean that approximately 85 percent of people would be smartphone owners. With the help of smartphones, reading barcode has become very easy. Hence, large number of people are able to scan the barcode efficiently. Therefore, this factor is estimated to boost the growth of the smart labels market over the forecast period.
• Upsurge in Company Initiatives - In July 2022, Oli-Tec created a brand-new smart label technology for goods that mimics the packaged good's decomposition cycle and is appropriate for time- and temperature-sensitive goods with a shelf life of five to fifteen days. Any product that is impacted by temperature and time deterioration may utilize the label; this includes goods from the food, pharmaceutical, and cosmetics industries.

Challenges

• High Cost of Devices - Lack of investment by traditional label printing companies in digital printing services is one of the main barriers identified. Given the costly nature of sophisticated systems, traditional businesses in the smart labels market still don't invest in them.
• Functional Abilities and Mechanical Susceptibility
• Growing Cyber Risk