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Christian Simcie, Vice President of Avly Dennison's coil group, points out that “tag printers have succeeded by actively transforming into solution providers and satisfying customer needs. Adapted and developed in a challenging economic environment. They encourage creativity and action, and above all, they are full of confidence."
He is convinced that "the new challenge requires us to do a very good job in all aspects. The shrink film sleeve label market focuses on cost management and brand building."
Label printers hope that market growth can increase productivity. Simsik put forward three strategies to achieve this goal: fostering entrepreneurship, close communication with customers, and creating maximum value.
The current status and future of the label market Simsik has classified the current market data according to the type of labels and business areas and compiled important statistical data. Data show that in the food packaging and decorating market, glue-ap-plied labels control 68% of the market share. 20% of pressure sensitive labels, 7% of direct printing, 4% of spiral-wound labels, and 1% of shrink film labels.
In the beverage label market, roll-fed accounts for the largest market share; 59%. Adhesive accounted for 24%, shrink film sleeves accounted for 9%, pressure-sensitive and direct-printing each accounted for 4%.
In the drug label market, pressure-sensitive labels occupy an absolute control position, accounting for 89%. Hot-seal accounted for 7% and blister packs accounted for 4%.
In the home and personal care market, pressure-sensitive labels also occupy a controlling position, accounting for 51%. In-mold labels accounted for 23%, direct screen labels accounted for 17%, adhesives accounted for 5%, and thermal transfer accounted for 4%.
Regarding the development trend in the next few years, Simsik pointed out that in the foreseeable future, the annual growth rate of pressure-sensitive labels will be 6%-7%. The amount of Wet-glue-applied labels will increase by nearly 2% annually. In the next three years, the annual growth potential of mono-foil tags will reach 16%-18%.
At present, based on the 2001 consumption statistics, the global pressure-sensitive label market is estimated at 15.4 trillion square inches. Which North American market accounted for 36%, together 5.5 trillion square inches. The global pressure-sensitive label market grew at an average annual rate of 8.8% between 1985 and 2001.
In the current rapidly developing competitive market, labels and containers are issues that must be considered in the design and development of new products. The shrink film sleeve label market with its unique shape and profile is proof of the strong demand.
Consumer and trademark well-known designer Robert Wilkes emphasized that “packaging is a commodity. Trademarks are the focus of packaging. Consumers look for products based on their brands, and their eyes focus on trademarks first. The packaging market must pay attention to consumption. "The consumer drives the commodity and the consumer drives the packaging." The label pattern is a reflection of the trademark. Therefore, every trademark that a designer designs must be unforgettable and unique. Trademarks are the guarantee of the quality and reliability of goods. Trademarks are the bond with consumers. Commodities represent a way of life. It is also a collection of ideas.
The product development process can be divided into three steps: understanding consumers, understanding distribution channels, and focusing on the creative process. Therefore, printers and processors must participate earlier in the product development process.
Packaging or labeling is a silent salesman, especially when the importance of a supermarket is increasing. The mission of every product and every design question is to grab the attention of the consumer and sell the goods. The factors that attract consumers' attention are mainly the color and decoration of the packaging or labels.
A 70% purchase behavior study shows that high quality graphics are the most important element of packaging. The study also showed that 40% of purchase decisions were made at the store site. The consumer's attention when visually presenting a package or label. The level of consumer awareness of goods is primarily color, followed by shape. Shrink film labels are popular because they combine high quality patterns with distinctive shapes.
Shrink film labels are the primary form of product decoration strategy. In 2002, the US shrink film labeling business reached 210 million U.S. dollars. By 2005, this business will grow to 300 million U.S. dollars. The relevant person once predicted that this business will reach 5-6 billion U.S. dollars in 2007, and the annual growth rate will be Up to 25%.
The reason why so stressed the importance of packaging or labeling is based on the fact that in the United States, 50% of packaged goods lack advertising support and packaging is their best advertisement.
Differentiation - Opportunity Gates packaging company Gary Gates pointed out: "Our customers want to reduce the number of suppliers, they insist on using instant inventory management. Customers in 2002 and beyond The main focus is on repeatability, innovation, new ideas, technical support, quality, price, and logistics."
Gary Duncan, president of Web Resources and chairman of the US Label and Packaging Suppliers Council, predicts: "In the next five years, shrink-film labels will increase by 20% or more per year."
The individual needs of customers demand that the packaging be more differentiated and enhance the effect of the designs. The design, style, and color of the tag must capture the consumer's attention and convey the value of the brand. Packaging solution providers must reduce costs and increase efficiency.
The universality of printing equipment: Mack Gillis, of the United States Paper Products Processing Machines Corporation (PCMC), pointed out that “flexo printing has grown rapidly and has dominated the North American packaging market. Flexo printing is being carried out elsewhere in the world. The more and more favored, the shorter and shorter the live work makes flexo printing more popular than other printing methods."
Gillis encourages printers and designers to “consider the entire process, not just printing. Equipment must be universal, and compounding, folding, punching, and die-cutting are best done in one go.â€
Gillis emphasized that "presses should remain versatile. They are ready to make changes in a rapidly changing market. Improve performance by repeating variable parts, reducing waste, rapid preparation, and non-printing drives."
Gillis went on to say, “The conversion time of an eight-color flexo press can be shortened to 30 minutes, which increases efficiency. The software system is easier to use and integrated in the main console. The quality of flexo printing can already be comparable to offset or gravure printing. Growth profits exist in the diverse capabilities of the business."
Trends in labeling Flexo printers should work closely with their customers in terms of selling products and managing packaging needs and understand labeling trends. For example, in the field of drug labeling, rapid development of non-prescription drugs, paper is still the main substrate, but the film has also developed rapidly. At present, the key is to reduce costs. Anti-counterfeit as a concept will not disappear. Surrounding external tags is becoming more and more popular. The shrinking trend of container sizes continues.
Label buyers are increasingly demanding that labels have excellent print quality and additional performance. They carefully observed the label's adhesion, durability, and appearance. They also require the addition of special effects to add value to the label.
Label printing is full of innovative past and bright future. In the United States, steady growth in recent years has given it a strong and promising business environment.