Labeling is said to be the informative component of packaging and it has become quite significant parameter for marketers and brand owners to attract customers. It is estimated that around 76% of shoppers make their purchase decision in-store at the shelf. Therefore, it can be inferred that an extended text label would provide more opportunity to influence customer choice in comparison to a conventional label, which provides lesser information than an extended label.
Extended text label adds more information in less space and contains either fold-out pages, or a booklet based on the requirement. Some of the best features of extended text labels are that these labels are used as a part of primary packaging and are adaptable to any type of container. The extended text labels eliminate the use of secondary labels and can be placed anywhere easily, even more copies can be added or can be removed without leaving any sticky residue. These labels provide flexibility to the brand owners to reduce excess packaging, maintain shelf appeal and meet the required regulations without increasing the packaging cost. Therefore, based on all of the mentioned features and advantages, the extended text labels market is expected to grow at a CAGR of around 3% over the forecast period of 2016-2024.
Extended Text Labels Market Dynamics:
With growing initiatives by the marketers and brand owners to provide informative packaging solutions, the demand in extended text labels market is expected to grow. Furthermore, the increase in customer base that make informed decisions after reading the labeling and product related information coupled with increased government regulations to provide mandatory warnings and other specific product information drives the growth in the extended text labels market. In addition, these labels also act as cross marketing tool and provides all the features of conventional labels in more cost effective way, which further fuels the growth in the extended text labels market.
The labels market is a very competitive industry and there several players that keep on improvising their products and keep developing new and innovative products to have a first mover advantage in the changing technological environment. All these factors can act as restraints for the extended text labels market, as alternate products can take over the market share of the extended text labels market.