Shrink Label Savvy
February 2005
Shrink sleeve label printing requires a lot of work, but the rewards can make it all worth while.
SHRINK SLEEVE LABELING has taken aim at the product decoration market in a big way. It's not doing this with a single-shot sniper's rifle, either. It's blasting away at market opportunities and market share with both barrels. Shrink labels represent a high-growth segment in product decoration, and those package printers with the technical savvy to make it work are reaping the benefits of its market appeal.
Technical savvy is the key, because a shrink label is a moving target—it starts out in one shape and ends up in another. Graphic design, label production, and label application all have to be done with the utmost care and skill.
packagePRINTING contacted a number of package printers that are veterans in the shrink label business—Fort Dearborn, Logotech/Tadbik, Multi-Color Corp., and SleeveCo. They provided a rundown of this exciting segment of the product decoration market in terms of market and process considerations.
Market play
Shrink sleeve labels are making their presence known in many consumer markets, but the beverage market is clearly leading the way. "By volume, the largest product category using shrink sleeves is the beverage market," says Martin Wilson, director of sales and marketing for SleeveCo. "Even when dividing this market into subcategories you find that by volume, they outpace many other markets. Examples include dairy, juices and teas, and nutritional drinks."
Other markets promising solid growth include food and health and beauty aids (HBA). "The demand for portability and single-serve meal and snack options is fostering continued growth within the food market as well," says Shannon Kroner, marketing business analyst for Fort Dearborn Company. "Many of the current products that cater to these trends are packaged in plastic containers decorated with shrink labels."
The benefits and functionality offered by shrink sleeves fit well in HBA, says Wilson. "They are a perfect match for the product differentiation and branding necessary in the HBA markets."
According to Micha Noah, R&D engineer for Logotech/Tadbik, shrink sleeves can also be used to unite more than one product into multi-packs. With shrink sleeves, individual packages can be securely combined, while highlighting the shapes of the packages.
This appears to be a further opportunity beyond individual package shrink labels. "Warehouse and club stores of the world continue to take in a significant percent of the consumers' dollars," says Kroner, "especially as they reduce the amount of oversized bulk items and switch to regular-sized items in multi-packs. This trend, too, will create growth for shrink sleeve applications, as many multi-packs are bundled and decorated using shrink sleeves."
SHRINK SLEEVE LABELING has taken aim at the product decoration market in a big way. It's not doing this with a single-shot sniper's rifle, either. It's blasting away at market opportunities and market share with both barrels. Shrink labels represent a high-growth segment in product decoration, and those package printers with the technical savvy to make it work are reaping the benefits of its market appeal.
Technical savvy is the key, because a shrink label is a moving target—it starts out in one shape and ends up in another. Graphic design, label production, and label application all have to be done with the utmost care and skill.
packagePRINTING contacted a number of package printers that are veterans in the shrink label business—Fort Dearborn, Logotech/Tadbik, Multi-Color Corp., and SleeveCo. They provided a rundown of this exciting segment of the product decoration market in terms of market and process considerations.
Market play
Shrink sleeve labels are making their presence known in many consumer markets, but the beverage market is clearly leading the way. "By volume, the largest product category using shrink sleeves is the beverage market," says Martin Wilson, director of sales and marketing for SleeveCo. "Even when dividing this market into subcategories you find that by volume, they outpace many other markets. Examples include dairy, juices and teas, and nutritional drinks."
Other markets promising solid growth include food and health and beauty aids (HBA). "The demand for portability and single-serve meal and snack options is fostering continued growth within the food market as well," says Shannon Kroner, marketing business analyst for Fort Dearborn Company. "Many of the current products that cater to these trends are packaged in plastic containers decorated with shrink labels."
The benefits and functionality offered by shrink sleeves fit well in HBA, says Wilson. "They are a perfect match for the product differentiation and branding necessary in the HBA markets."
According to Micha Noah, R&D engineer for Logotech/Tadbik, shrink sleeves can also be used to unite more than one product into multi-packs. With shrink sleeves, individual packages can be securely combined, while highlighting the shapes of the packages.
This appears to be a further opportunity beyond individual package shrink labels. "Warehouse and club stores of the world continue to take in a significant percent of the consumers' dollars," says Kroner, "especially as they reduce the amount of oversized bulk items and switch to regular-sized items in multi-packs. This trend, too, will create growth for shrink sleeve applications, as many multi-packs are bundled and decorated using shrink sleeves."



