Highlighting the key demand drivers of the tamper evident labels market, the study suggests that increasing emphasis on preventing pilferage and product labeling policies in the pharmaceutical industry will remain crucial to the prospects of tamper evident label manufacturers. According to the study, demand from the pharmaceutical industry is expected to surpass US$ 7 billion by 2028.
Buoyancy in the automotive industry is likely to complement demand from pharmaceutical industry. Fact.MR expects demand from automotive industry to grow at over 7% CAGR during the forecast period. Government recommendations on implementing tamper-evident features in automobiles, to address vehicular pollution, and establish improved vehicle identification number (VIN) operations continue to uphold the market growth.
The study envisages plastic to be most preferred material for tamper evident labels manufacturing, projected to account for bulk share of the market share over the period of forecast. Vinyl continues to capture higher demand among plastic variants, accounting for approximately half volume sales. Demand for vinyl is majorly concentrate in the pharmaceutical and electronics industry, where meeting performance requirements in altering temperature and moisture conditions.
The report estimates barcode technology to remain sought-after among end-use industries, recording volume sales in excess of 5,000 Mn sq. meter. In a bid to optimize the production cost, manufacturers persistently seek barcode technology which provides cost-effective and reliable methods of labeling. Study estimates that the RFID and NFC tagged tamper evident labels will witness the most attractive growth both in terms of value and volume against the backdrop of growing digitalization.
Brand protection remains the prime concern of all industries dealing with packaging, constantly creating demand for VOID tamper evident labels. Fact.MR study opines that VOID tamper evident labels will hold over half market value share. However, the destructible tamper evident labels are estimated to expand at a rate twice that of VOID pattern labels through 2028.
APEJ continues to spearhead the tamper evident labels market, with volume sales pegged to exceed 4,100 Mn sq. meter by 2028-end. Considerable growth of the end-user industries- particularly pharmaceutical, consumer durables, and electronic goods (CDEG), coupled with rapidly transforming retail landscape, and shifting focus of manufacturers towards strengthening brand identity, will continue to underpin growth of the market in APEJ.
Prominent manufacturers are engaged in strategic mergers and acquisitions to enhance production capacity and strengthen their market presence. For example, CCL Industries has recently completed the acquisition of Treofan Americas. Both the participants are leaders in the labels market and the acquisition is anticipated to expand CCL’s global footprints in the Food & Beverage and Healthcare & Specialty labelling sectors.
Introduction of innovative products is another key strategy adopted by manufacturers in the tamper evident labels market. For instance, in 2016, PPG launched Teslin label stock to expand the portfolio of tamper evident label range. In 2017, Covectra launched StellaGUARD security labels that meet the EU's Falsified Medicines Directive 2019 requirement for tamper evident seals for pharmaceutical and OTC primary packaging solutions.
The insights presented above are from a research study on Tamper Evident Labels Market by Fact.MR. For more info, visit https://www.factmr.com/report/2147/tamper-evident-labels-market