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    Features

    Nutraceutical Labels

    With interest in consumer health at an all-time high, these labels are expected to surge in popularity.

    Nutraceutical Labels
    Image courtesy of Lightning Labels
    Nutraceutical Labels
    A Wizard Labels’ nutraceutical label
    Greg Hrinya, Editor06.03.20
    Now more than ever, health and safety are of the utmost importance. Even before the outbreak of COVID-19, consumers were taking a particular interest in their health and well-being. Currently, everyone is looking for a way to boost their immunity. Enter nutraceuticals.

    While definitions can vary, Avery Dennison, a substrates and adhesives supplier based in Mentor, OH, USA, defines nutraceuticals as “any food (or part of food) that provides health benefits – including prevention and treatment of disease – in addition to the basic nutritional value found in food. Nutraceuticals might include dietary supplements and vitamins, herbal or natural products and minerals, and functional foods.

    The nutraceuticals market encompasses quite a few products, which include but are not limited to, vitamin supplements, performance proteins and amino acids, nootropic smart drugs and cognitive enhancers, skincare products, and CBD.

    Given the rapid transmission of the novel coronavirus, nutraceuticals have emerged as a hot commodity. This provides quite an opportunity for label converters. During Avery Dennison’s recent Pharma Converter Academy, the company stated pharmaceutical and nutraceutical spending will only increase in the future. In regards to nutraceuticals, the US makes up the largest global segment, with roughly $90-100 billion in sales. The US nutraceuticals market is anticipated to grow at a 7% CAGR through 2023. Growth will be driven by demand from the Baby Boomers, who look to nutraceuticals for healthy aging and natural alternatives to pharmaceuticals, and the Millennials, who look to nutraceuticals for clean, convenient, nutrient-dense foods and beverages to help them manage weight, increase energy and “feel good.”

    According to PMMI, the US nutraceutical market is expected to grow at a CAGR of 5.3%, reaching $84.2 billion in sales for 2020. These figures, of course, predated the COVID-19 pandemic.

    “The supplement market is going nuts, especially with anything offering an immune system boost and/or physical activity endurance and performance enhancers,” notes Gary Paulin, director of sales and client services at Lightning Labels. “Four of the five largest CBD manufacturers nationwide are based in Colorado, and they are booming, along with a couple in California.”

    An effective nutraceutical label must accomplish several goals. There is a delicate balance between standing out on the shelf while clearly and legibly detailing the product.

    “Effective nutraceutical labels include a compelling design with text that clearly informs the consumer of the product’s benefits,” explains Steve Smith, founder and CEO of Wizard Labels. “In addition, it’s paramount that the labels correctly communicate product directions for use, as well as ingredients and safety information. These labels often require fine text – so print quality is of the utmost importance.

    “A good nutraceutical label should balance aesthetics and shelf appeal with mission-critical information,” Smith adds. “Many nutraceuticals consumers today buy their products online, in addition to browsing shelves at health food stores, vitamin shops and at the big-name retailers.”

    By their very nature, nutraceuticals labels can be confusing. Take a stroll through any vitamin store, and there is a litany of products that promote certain health benefits. On the other hand, consumers might enter a store – or visit a website – searching for certain ingredients. Clarity can make the purchasing process easier and more efficient.

    “It’s essential to communicate quickly and clearly what the product does, and what it’s intended for,” says Smith. “If a potential buyer sees a main image that is somewhat ambiguous about what the product does, they’ll move on and buy from a competitor – or possibly buy the wrong product.”

    Label converters turn to a specific set of materials to accomplish these objectives. At Wizard Labels, its customers increasingly rely on BOPP materials because of their durability and ability to take on vibrant colors along with a variety of finishes.

    “Nutraceuticals brands often turn to materials that catch the shopper’s eye,” explains Smith. “One example is our Metalized Chrome BOPP label material, which creates the perception of high-end quality that nutraceutical brand owners desire. Another popular choice is our white BOPP material, which could be especially beneficial in this segment, as nutraceuticals are often kept in kitchen or bathroom environments.”

    Lightning Labels has observed similar trends. “White BOPP with a matte or glossy lamination is the most popular by far,” says Paulin. “More than 75% of all nutraceutical brands use this combination, but chrome and clear BOPP with lamination are also gaining in popularity.”

    From the supplier perspective, Avery Dennison has seen clear and white film facestock materials commonly requested by nutraceutical printers. In general, Avery Dennison offers its Pharmaceutical film-based portfolios, which have risen in popularity lately. The company’s Pharmaceutical paper facestock portfolios have also been popular across all product types.

    “Avery Dennison has a robust portfolio to address the many presentations of nutraceutical products,” the company states. “For presentation as an OTC product in a bottle format, Avery Dennison’s paper-based label facestocks for pharma applications include both high gloss un-calendered and calendered papers, which promote high strength and excellent print quality as demanded in these applications.”

    FSC-certified Pharma semi-gloss papers for high strength, and high-quality printing applications, as well as lightweight pharma litho facestocks for tight mandrel applications, are also available. For tube applications, such as in the emerging cosmeceutical arena, squeezable high-performance labels made from Avery Dennison’s Primax 350 facestock work to provide excellent print quality, dispensability, and dimensional stability in labeling applications. Other film facestocks that provide rigidity, clarity and high print quality are also available.

    “The breadth of pressure sensitive adhesives offered for all nutraceutical applications include general purpose permanent hot-melt adhesives with high initial tack and ultimate adhesion to many formats, as well as many special use adhesives for tight mandrel labeling, sterilization and other specialized high-performance applications,” Avery Dennison adds.

    In addition to materials, shape and size can also play a role. Brands owners should look to differentiate their products on a crowded shelf. “In most cases, you do not want a label that is similar to other brands and can easily confuse consumers,” explains Smith. “In the competitive nutraceuticals market, it’s imperative for consumers to easily identify brands accurately and immediately. For example, a good strategy might be going with a vertical layout when most of the competition is horizontal. Having a bold and different label design can really set a brand apart.”

    A bright, healthy future
    As the world grapples with the COVID-19 pandemic, there is the expectation that more people will look to nutraceutical products to boost their immunity. Consumer interest in their personal health was already on the rise, but the coronavirus should spur further growth in this marketplace.

    According to Avery Dennison, 2019 saw heightened consumer awareness and demand for sustainably-sourced nutraceuticals and healthy functional foods and beverages packaged in
    convenient formats. 

    “Coronavirus has dramatically increased US consumer demand in many dietary supplements, whether it is for improved nutrition during the crisis, assistance with sleep and stress relief, or supporting a strong immune function to improve general resistance to health threats,” says Avery Dennison.

    The company adds that 65% of consumers seek functional benefits from their food and drink. The top five ingredients perceived to deliver these kinds of benefits were omega-3s, green tea, honey, coffee and probiotics. Functional foods loaded with fiber, probiotics or other beneficial ingredients have grown in part because the technology has been developed to make products that contain them taste better or have a more pleasant mouth feel.

    “Globally, nutraceuticals are gaining importance and are becoming a part of the consumer’s daily diet,” Avery Dennison states. “The major reasons for this change have been the increasing prevalence of lifestyle diseases and people consciously taking preventive healthcare measures.”

    “In light of the current coronavirus pandemic, the emphasis on health has never been greater,” says Wizard Labels’ Smith. “Many people the world over are investigating ways to improve their overall well-being and strengthen their immune systems. Nutritionally and medicinally beneficial products, like nutraceuticals, are something people continue to turn to improve their health and wellness, whether through dietary supplements or functional foods. We expect this market will continue to grow at a rapid clip.”

    Lightning Labels envisions a similar scenario. “We see growth and more growth,” says Lightning Labels’ Paulin. “Various estimates indicate this segment will continue to grow in double digits year-over-year for the foreseeable future. I don’t see anything inhibiting growth of this industry except where a regulatory agency, such as the FDA, sees a public risk.”

    Overall, Paulin anticipates the nutraceuticals industry experiencing healthy growth for a long time to come. He does caution, however, that nutraceutical manufacturers should be wary of exacerbating claims of health benefits provided by a specific product – which would be touted on the label.

    “When in doubt, check it out, check it out, check it out,” Paulin emphasizes. “Don’t take a chance with graphics or content that claim too much in the way of remedies or cures. Less is more typically. Key are a strong logo, memorable product name, clean design lines and an impactful brand or value statement. If something isn’t spelled right or a content statement is inaccurate, it can make consumers wonder if the product itself suffers from questionable quality control.”

    The popularity of the nutraceuticals space brings with it a potential list of concerns. Manufacturers, label printers and consumers alike should all ask a plethora of questions, such as: Is it safe? What are possible side effects? Under what conditions will it work, and to what extent? What am I really paying for?

    “As interest in supplements – and functional and alternative medicine – has grown, so has motivation to address every health problem, challenge or condition from pain relief to increasing or guarding mental acuity,” explains Paulin. “Interest is exploding, but there’s the consequent effect of too much noise that can confuse and bewilder consumers amid legitimate information. There are manufacturer claims. Then, there are rapidly spreading conflictual and often undocumented reports, opinions and observations via social media, mainstream media, reviews, forums and other third-party platforms.”

    With the growing rate of investment in digital printers and presses, label converters have an opportunistic point-of-entry for this market. Both Lightning Labels and Wizard Labels specialize in digital printing capabilities, and both see that as an advantage for the nutraceuticals market.

    “Digital print capability is a tremendous asset to have in serving the nutraceuticals market,” states Smith. “For starters, there are simply so many SKUs in all of the many nutraceuticals segments that exist. So, of course, digital printing, with its ability to economically and efficiently print short run labels with variable information, make it a perfect fit for nutraceutical products.”

    Digital printing also aids converters with rapidly-changing product formulations, which can occur in response to shifts in consumer demand and regulatory requirements. “With digital printing, brand owners must be nimble in adapting to these changes – thus their label supplier must be as well,” adds Smith. “This is something we pride ourselves on at Wizard Labels. We offer an innovative approach to online ordering and just-in-time label printing. Plus, our customers can print just enough labels to meet current demand, allowing for better cashflow and inventory control. Too often, we hear of customers throwing out rolls of perfectly good nutraceutical labels because they didn’t anticipate a change in requirements. But once they go digital with us, this problem is largely mitigated.”

    Regulations
    When analyzing the nutraceutical labels market, regulations can sometimes present themselves as the Wild West. The FDA holds nutraceuticals to food standards, but regulations can change between locations.

    “Regulation varies all over the place depending on supplement types and all applicable jurisdictions – which can include FDA, states, cities, counties and even regional government zones such as multi-county health departments,” states Lightning Labels’ Paulin. “Hemp, cannabis and CBD product regulations can differ widely in terms of permitted uses, cautions and claims, and required safety warnings. It depends on the sum total of the jurisdictions and regulators involved.”

    “There are often stringent label requirements promulgated by national, state and local regulatory agencies, and consumers also have high expectations about what they want to see on the product label,” explains Wizard Labels’ Smith. “So, it’s important for brand owners to follow best practices when it comes to label design.”

    Paulin adds that Lightning Labels will advise its clients that it’s their responsibility to submit artwork and content that are fully compliant. “If they have questions or doubts, they need to do their due diligence to ensure it is correct,” he says. “We will cite FDA guidelines for supplements and products and advise them about standard agency language, along with making recommendations to verify compliance with every applicable jurisdiction or regulatory body. We will call out such concerns as a potential copyright violation, and request proof of ownership in order to print the job.”

    During COVID-19, scrutiny should only increase, too. “While FDA-approved products provide some level of assurance, there are many ‘legitimate’ products that either don’t carry FDA approval or are ‘certified’ by another third party – which itself needs to be carefully scrutinized,” says Paulin. “One needs to look no further than COVID-19 to see how a consumer health problem has spurred interest, excitement and sometimes unclear or dangerous outcomes depending on the remedy or supplement involved.”
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