• Login
    • Join
  • Subscribe Free
    • Magazine
    • eNewsletter
    Checkout
    • Magazine
    • News
    • Exclusives
    • Labels & Packaging
    • Markets
    • Technology
    • Equipment
    • Supplies
    • Buyers' Guide
    • Events
    • Jobs
    • More
  • Magazine
  • News
  • Exclusives
  • Labels & Packaging
  • Markets
  • Technology
  • Equipment
  • Supplies
  • Buyers' Guide
  • Events
  • Jobs
  • Current / Back Issues
    Features
    Editorial
    Columns
    Digital Edition
    eNewsletter Archive
    Our Team
    Subscribe Now
    Advertise Now
    Top Features
    Digital and Hybrid Printers and Presses

    Digital Printing Market Update

    Overlamination Films

    Narrow Web Profile: Quality Tape & Label

    Companies To Watch: Arrow Systems, Inc.
    Breaking News
    Converter News
    European Label News
    Industry News
    Industry People
    M&A News
    New Products
    Expert's Opinion
    Live From Shows
    Top News
    Meech debuts remote monitoring product

    Label management system aids CBD brand

    New Polyonics label material helps metal processors avoid recalls

    Mactac gives back to local communities

    Avery Dennison receives APR recognition
    Blog
    Video Bites
    Beauty & Personal Care Labels
    Beer Labels
    Beverage Labels
    Flexible Packaging
    Folding Carton
    Food Labels
    Glue-Applied
    In-Mold
    Industrial Labels
    Medical Labels
    Pharmaceutical Labels
    Pressure Sensitive
    Prime Labels
    Promotional Labels
    Security Labels
    Shrink
    Smart Labels
    Specialty Labels
    Spirits Labels
    Wine Labels

    New Polyonics label material helps metal processors avoid recalls

    Mactac enhances spirits bottle label

    Designing returnable and reusable takeout packaging

    Western Shield improves efficiency with new Nilpeter FA-17

    UFlex doubling capacity of aseptic liquid packaging plant
    Africa
    Asia
    Australia
    China
    Europe
    India
    Latin America
    Middle East
    North America

    Label management system aids CBD brand

    Avery Dennison receives APR recognition

    Mactac enhances spirits bottle label

    Fathom Optics unleashes new technology targeting packaging industry

    Domino highlights virtual demo capabilities
    Flexography
    Digital Printing
    Prepress
    Finishing
    Sustainability

    Avery Dennison receives APR recognition

    Mondi wins eight 2021 WorldStar Packaging awards

    Bobst opens digital inkjet demo center in Barcelona

    Domino highlights virtual demo capabilities

    Product Identification Company launches flexo label printing capability
    Digital Printers & Presses
    Flexo Presses
    Label Converting Equipment
    Label Finishing Equipment
    Prepress Equipment

    Loftware and NiceLabel join forces

    Flint Group announces new XSYS division

    Bobst opens digital inkjet demo center in Barcelona

    Domino highlights virtual demo capabilities

    Bellissima DMS now available in India
    Dies And Tooling
    Flexo Supplies
    Ink & Coatings
    Prepress Supplies
    Pressrooom Supplies
    Substrates

    New Polyonics label material helps metal processors avoid recalls

    Mactac gives back to local communities

    Avery Dennison receives APR recognition

    Flint Group announces new XSYS division

    Mondi wins eight 2021 WorldStar Packaging awards
    All Companies
    Categories
    Company Profiles
    Label Converters
    Trade Associations
    Add New Company
    International Buyers Guide Companies
    Mechanical Specialties, Inc.

    UPM Raflatac

    NarrowWebExchange.com, LLC

    QC Electronics, Inc.

    Flexo Label Advantage Group LLC (FLAG)
    Industry Events
    Webinars
    Live from Show Events
    • Magazine
      • Current & Past Issues
      • Features
      • Editorial
      • Columns
      • Digital Edition
      • eNewsletter Archive
      • Subscribe Now
      • Advertise Now
    • Breaking News
    • Buyers' Guide
      • All Companies
      • Categories
      • Company Profiles
      • Label Converters
      • Trade Associations
      • Add Your Company
    • Labels & Packaging
      • Beauty & Personal Care Labels
      • Beer Labels
      • Beverage Labels
      • Flexible Packaging
      • Folding Carton
      • Food Labels
      • Glue-Applied
      • In-Mold
      • Industrial Labels
      • Medical Labels
      • Pharmaceuticals Labels
      • Pressure Sensitive
      • Prime Labels
      • Promotional Labels
      • Security Labels
      • Shrink
      • Smart Labels
      • Speciality Labels
      • Spirits Labels
      • Wine Tables
    • Markets
      • Africa
      • Asia
      • Australia
      • China
      • Europe
      • India
      • Latin America
      • Middle East
      • North America
    • Equipment
      • Digital Printers & Presses
      • Flexo Presses
      • Label Converting Equipment
      • Label Fishing Equipment
    • Supplies
      • Dies And Tooling
      • Flexo Supplies
      • Ink & Coatings
      • Prepress Supplies
      • Pressrooom Supplies
      • Substrates
    • Online Exclusives
    • Slideshows
    • Experts Opinions
    • Videos
    • Podcasts
    • Infographics
    • Blog
    • Whitepapers
    • Events
      • Industry Events
      • Live from Show Events
      • Webinars
    • Jobs
    • Resources
      • Supplier Gallery
      • Literature Showcase
      • Homepage Showcase
    • About Us
      • About Us
      • Contact Us
      • Advertise With Us
      • Privacy Policy
      • Terms of Use
    Market Focus

    Nutraceuticals Labeling

    The nutraceuticals labeling market is influenced by small customers, short runs and a confusing maze of regulations.

    07.20.05


    Americans are fat. Very fat. According to the National Center for Health Statistics, an estimated 65 percent of US adults are overweight or obese. But somewhere between Big Macs and Whoppers those same Americans are finding time to reach for vitamins and low-carb bread. It’s ironic but true: This overweight nation is fueling the growth of a lucrative nutrition industry.

    According to the Nutrition Business Journal, the nutrition field grew to $63.7 billion in the US in 2003. By comparison, the industry was $20.2 billion in 1990. The journal defines the nutrition industry as covering four sectors: supplements, natural and organic foods, functional foods, and natural personal care products.

    Growing awareness of nutrition is occurring throughout the globe. The Freedonia Group, in a recent study titled World Nutraceuticals to 2008, predicted that nutraceuticals chemical demand will grow 6.1 percent annually to 9.6 billion in 2008, serving a nutritional products industry that is $173 billion strong.

    An ACNielsen Global Services study, What’s Hot Around the Globe — Insights on Growth in Food & Beverage 2004, found three trends driving the growth of the food and beverage industry. The first is a focus on health, followed by the need for convenience and the growing impact of private label brands. According to the study, out of the seven categories experiencing double digit revenue growth, five offered perceived health or weight loss benefits.

    The focus on healthy eating has aided the nutraceuticals industry and therefore the growth of its labels. The term nutraceutical is a marketing word, marrying the terms “nutrition” and “pharmaceutical.” For many, the term nutraceutical has become an umbrella category for all edible and personal care products perceived as having a health benefit beyond basic nutrition.

    The industry defined
    Not surprising considering its unregulated definition, players in the industry run the gamut. The business is composed of legitimate and illegitimate manufacturers, large and small. Some products lean toward the food industry (i.e., foods with added ingredients such as calcium), some products mimic pharmaceuticals (like herbal treatments for various ailments), and some promise enhancements or beautification that border on the ridiculous (check out the junk e-mail filter for a better idea).

    “We have all types of customers. From the guy making bees wax vitamins in his garage to a large pharmaceutical company with nutraceutical divisions,” says Mark Davenport, president of Mid South Graphics, based in Nashville, TN, USA.

    Small players
    While the nutraceuticals industry is varied, the segment boasts a significant number of small start-up companies, more so than in other industries. Mid South Graphics has been involved in nutraceuticals labeling for more than 10 years, and in that time Davenport has noticed significant changes in its demographic trends and in the size of its orders for labels.

    “I’ve seen it evolve from a few players in the market to thousands of players in the market. It used to be a few players who place large orders several times a year, to many players that place much smaller orders. Our average order size today is a lot smaller than it was 10 years ago,” says Davenport.

    The nutraceuticals industry is young by many standards; even the term nutraceutical was coined only about 15 years ago. Since then, start-ups and small players have flooded the marketplace. But perhaps the market has become over-saturated with little guys? Some argue that the demographic of the industry is already changing.

    “The industry lends itself to start-ups. It’s such a fad-oriented industry,” says Elisha Tropper, president of Prestige Label in Burgaw, NC, USA. But, he adds, “It would appear that there is a shakeout going on, in which a lot of small companies were initially able to get their products in, and now all of a sudden there are 10,000 of them selling the same or similar products. I think you are seeing consolidation, or just smaller products getting knocked out because the bigger products are taking over.”

    Others agree. “I don’t think you’re going to see the boom again that you did around five years ago. You had a lot of small start-ups, a lot of the companies coming in and out of the Internet. I think the bigger companies are well established and will continue with a certain amount of success and growth. But I don’t think you’ll see as many of the small guys come into it,” says Jim Brunner, director for Uni-Label in Elk Grove Village, IL, USA.

    Samples courtesy of Mid South Graphics.

    Influence of small players
    Whether here to stay or gone tomorrow, the proliferation of smaller start-up shops has had certain implications for label converters.

    Perhaps the most notable is the need for short runs. There are several reasons a company will opt for short runs, and their prevalence is leading to great demand for digitally printed labels. Lightning Labels, of Denver, CO, USA, is a converting operation consisting of one HP Indigo digital printer. President Steve Smith says that nutraceutical labels are one of the company’s single biggest vertical markets.

    “What we tend to find is that a lot of these companies don’t want to do large runs because what they can say on a label is subject to change on a regular basis. The other benefit of digital printing is that nutraceuticals companies have lots of different products. They may have 10 different products with the same sized label. Digital printing allows them to print relatively small numbers of each and find out whether the products are going to sell,” says Smith.

    Prestige Label is a flexo printer with digital capability. Although the company produces a larger volume of nutraceuticals labels each year on its flexo presses, the majority of its nutraceutical orders are digital (and a lot smaller in run length). “So much of the industry is composed of very small players. And the products are niche products that rarely go mainstream,” says Tropper.

    The number of small players also creates the need for label converters to play the role of educator.

    “A lot of these smaller companies are essentially doing the work themselves. They bought themselves Adobe Illustrator, and they’ve sat down and done their own artwork to keep the cost down,” says Smith.

    He continues, “We do a lot of educating. If you don’t ask the right questions, you are going to end up with some upset customers who didn’t realize they didn’t know the right question to ask, and therefore got the result wrong. We put a lot of effort into making sure they understand.”

    Brunner, of Uni-Label, hands out detailed instructions to smaller customers. “Especially if it’s a smaller company, we give them a print-out telling them how to build a file and what’s required. We tell them step by step how we would like the file to be.”

    And will these small companies eventually turn into large companies? Perhaps some will, but there are a lot of times when they shouldn’t have quit their day jobs.

    “Because we deal with a lot of smaller start-up companies, we find that many of these labels never get reprinted. Therefore, you have to come to the conclusion that they haven’t succeeded in what they were trying to do,” says Smith. “We see a lot of short-term customers.”

    Mid South Graphics is a flexo house that deals with nutraceutical customers that are generally more established. While it doesn’t see fly-by-night customers, there are many products that come and go.

    “We have a handful of nutraceutical companies, some very large, some very small,” says Davenport. “Some of the orders repeat every single month. A lot of them don’t though — a lot are only one time shots.”

    The nutraceuticals label look
    There are several label design trends hitting the nutraceuticals market today.

    “Some of these guys want their label to look like it came out of a big pharmaceutical company: really plain and very professional. Then there are some that just go crazy with the artwork. And there are others that make the label look earthy,” says Davenport.

    Brunner says that today, his nutraceutical customers are mainly concerned with shelf appeal. “If your product is sitting on the shelf with 100 brands, you’ve got to stand out. Now, more than ever, it’s not one or two colors with your name and Vitamin E on there. You need the flash of five, six, seven, eight colors and nice artwork.”

    If regulations became more stringent in the future, however, that would probably change. “I think you’d see a lot of the color and fancy labels go away very quickly, because the cost of the regulations itself would drive the cost of that label up. In doing so, the companies are going to take away fancy labels to cut cost. It will go more the way of pharmaceuticals,” he adds.

    Certain design themes pop up continually in the nutraceuticals industry. “They are targeting an ideology — natural herbal solutions,” says Tropper. “In a lot of the cases, the two design themes that jump out are nature themes: flowers, fauna, things like that. And you also get images of really healthy bodies.”

    Along the same lines, earth tones are commonly seen in nutraceutical labels. “As a direct comparison, we do a lot of hot sauce labels. They tend to work on making their graphics and designs exceedingly eye catching, vibrant colors. In the nutraceuticals business, my impression is that it’s more laid back, subtle. The color is nowhere near as vibrant.”

    Regulation quagmire
    Some converters say that current — or the possibility of future — regulations have also fueled the need for extended text labels. Extended text labels can be found in a variety of constructions — taking the shape of booklets, fold-outs, and peelable and resealable two-sided labels.

    Ampersand Label, of Garden Grove, CA, specializes in extended text labels. It started pursuing nutrition supplement customers in the 1990s after the DSHEA act (US regulations governing these products) went into effect, and the nutrition market makes up a huge part of its business.

    “More than 50 percent of our company’s business is in the nutraceuticals business. We have seen growth in the nutraceuticals industry every year and feel it will continue in the future. This is why we have spent so much time developing extended text labels to meet these demands,” says John Garrison, Multivision product representative, nutrition supplement industry.

    “They are all facing the big problem, which is how to get all the information they want and need on the label. They want to be educational, they want to be beautiful, they want to fulfill all of their requirements,” says Tropper.

    A lot of emphasis has been placed on regulating the nutraceuticals industry in the United States. Product labeling was brought to the forefront in 1990 with the Nutrition Labeling and Education Act. Another notable piece of legislation is the Dietary Supplement Health and Education Act of 1994 (DSHEA). And last November, the US Food & Drug Administration issued a guidance document titled Substantiation for Dietary Supplement Claims Made under Section 403 (r)(6) of the Federal Food, Drug and Cosmetic Act.

    Some argue that despite the glut of government information, this has not helped define what should and shouldn’t be on a nutrition label. “One of the issues with nutraceutical labels is the haziness of the FDA regulations,” says Tropper. “From an informational standpoint, it is murky as to what the requirements are, and the requirements are constantly evolving.”

    Sometimes text changes because of pressure from the consumer. “I have seen many changes in the nutraceuticals industry over the last few years, one being the addition of warnings to the product label. With juries awarding huge settlement for injuries due to lack of adequate warnings on the product label, we have been producing more and more extended text labels with the warnings permanently affixed to the bottle,” says Garrison.

    With the tangle of regulations and recommendations out there, should narrow web converters play legal consultant when it comes to nutraceutical labels? That, some say, could raise legal questions.

    “We get situations where customers will say, ‘Is it OK to put the following words on my label?’ To be honest, we run away from that. That’s not what we specialize in. We are essentially a print shop,” says Smith. “We just cannot accept any responsibility for advice. It’s just not our role. That doesn’t cause us too much pain, most of the time.”

    Related Searches
    • Label converter
    • Digital printing
    • Flexo presses

    Related Market Focus

    • Wine Labeling

      Wine Labeling

      This coveted, high-end packaging niche blends the creativity and resources of winemakers, designers, printers, and suppliers.
      03.11.11

    • Shrink Labels

      Shrink Labels

      Technological advancements in equipment and prepress are shortening the production cycle for this growing packaging niche.
      08.27.10

    • Paper Substrates

      Paper Substrates

      The digital printing boom has led paper suppliers to expand portofolios while focusing on variety, versatility and application-specific labelstocks.
      08.27.10


    • Pharmaceutical Labeling

      Pharmaceutical Labeling

      Servicing the pharmaceutical industrys labeling needs requires a healthy mix of dedication and flexibilty.
      08.27.10

    • Security Labeling

      Security Labeling

      The ongoing battle against counterfeiters and thieves requires ever-evolving technology for printers and their customers.
      03.15.10

    • Household Products Labeling

      Household Products Labeling

      The printing process and material choices are key considerations in the competitive household goods market.
      10.07.09


    • Beauty and Personal Care Labeling

      Beauty and Personal Care Labeling

      Consumers, brand owners and converters are adjusting to the shifting outlook of this lucrative market and niche of the label industry.
      09.02.09

    • Nutraceuticals Labeling

      Nutraceuticals Labeling

      Products designed to improve health and well-being have created a healthy, diverse, yet complex niche of the labeling industry.
      05.07.09

    • Food Labeling

      Food Labeling

      Issues abound in this complex segment of the packaging industry.
      03.06.09


    • Wine Labeling

      Wine Labeling

      More so than with most products, labels sell wine. Converters work closely with wineries to provide the labels that meet or exceed expectations.
      01.15.08

    • Security Labeling

      Security Labeling

      As protecting intellectual property becomes increasingly important, labels containing security features will be in higher demand.
      11.02.07

    • Pharmaceutical Labeling

      Pharmaceutical Labeling

      Tough regulations, high standards and utmost quality set drug labels and their converters apart from the rest.
      04.26.07


    • Food Labeling

      Food Labeling

      Competition is fierce and regulations are abundant when it comes to food. Labels offer brand owners a way to catch consumers eyes and comply with requirements while providing product information.
      11.01.06

    • Beauty & Personal Care Labeling

      Beauty & Personal Care Labeling

      The popularity of beauty and personal care items on store shelves has increased demand for labels and made the industry an important one for converters to recognize and understand.
      05.11.06

    • Wine Labeling

      Pressure sensitive labels own a large share of this lucrative market.
      07.20.05


    Trending
    • Fathom Optics Unleashes New Technology Targeting Packaging Industry
    • Alon Bar-Shany Appointed Chairman Of Highcon Board
    • Avery Dennison Receives APR Recognition
    • Fortis Solutions Group Achieves SGP Certification
    • L&NW Sits Down With PPG's Amy Mercante
    Breaking News
    • Exhibitor registration opens for virtual.drupa
    • FTA planning in-person Forum & INFOFLEX
    • Fortis Solutions Group achieves SGP certification
    • Baldwin's Ahlbrandt unveils corona treatment product
    • Meech debuts remote monitoring product
    View Breaking News >
    CURRENT ISSUE

    November/December 2020

    • Digital and Hybrid Printers and Presses
    • Digital Printing Market Update
    • Overlamination Films
    • Narrow Web Profile: Quality Tape & Label
    • View More >

    Cookies help us to provide you with an excellent service. By using our website, you declare yourself in agreement with our use of cookies.
    You can obtain detailed information about the use of cookies on our website by clicking on "More information”.

    • About Us
    • Privacy Policy
    • Terms And Conditions
    • Contact Us

    follow us

    Subscribe
    Nutraceuticals World

    Latest Breaking News From Nutraceuticals World

    Brown Fat Associated with Reductions in Chronic Disease Risk
    NIH Study Identifies Antibacterial Properties in Taurine
    NSF Begins New Certification Program
    Coatings World

    Latest Breaking News From Coatings World

    Zeppelin Acquires MTI Mischtechnik
    Ezio Braggio Joins ChemQuest Europe
    IFS Coatings Announce Carbon Offset Program
    Medical Product Outsourcing

    Latest Breaking News From Medical Product Outsourcing

    Optimize EP Launches CaRM Cardiac Device Data Management Platform
    U.S. TAVR Market Projected to Reach Nearly $5 Billion by 2030
    FDA Clears Canon Medical's Compressed SPEEDER for 3D Exams on 1.5T MR
    Contract Pharma

    Latest Breaking News From Contract Pharma

    KORSCH, MEDELPHARM Partner on R&D Equipment Portfolio
    Frontage Bolsters Clinical Services Capabilities
    Sanofi Unveils EUROAPI as Name of New European API Company
    Beauty Packaging

    Latest Breaking News From Beauty Packaging

    Neenah to Host Packaging Webinar for Printers
    W.S. Badger is Named a ‘150 Top Impact Company’
    Mana Products, Meiyume and RPG Form The Vertical Beauty Alliance
    Happi

    Latest Breaking News From Happi

    Amyris Named a Top Social & Environmental Impact Company
    L'Oréal Bans Animal Hair in Brushes
    Ashland Launches Antaron ECo Gel
    Ink World

    Latest Breaking News From Ink World

    dar-tech, inc. Becomes U.S. Midwestern Distributor for ZS Interpolymer
    Techkon USA, Konica Minolta Partner
    Alon Bar-Shany Appointed Chairman of Highcon Board
    Label & Narrow Web

    Latest Breaking News From Label & Narrow Web

    Exhibitor registration opens for virtual.drupa
    FTA planning in-person Forum & INFOFLEX
    Fortis Solutions Group achieves SGP certification
    Nonwovens Industry

    Latest Breaking News From Nonwovens Industry

    Shemesh Adds U.S. Headquarters
    TZMO USA, Special Needs Group Form Partnership
    BAHP Announces 2021 Officers, Board of Directors
    Orthopedic Design & Technology

    Latest Breaking News From Orthopedic Design & Technology

    Rapid Recovery Protocol Can Lead to Increased Range of Motion After TKA
    Boston Scientific Releases WaveWriter Alpha Spinal Cord Stimulators in U.S.
    New Chief Clinical Officer on Board at IncludeHealth
    Printed Electronics Now

    Latest Breaking News From Printed Electronics Now

    Roadsimple Modernizes Warehouse Ops with Zebra Technologies
    Toppan Announces 2050 Environmental Vision
    SOI Industry Consortium Joins SEMI as Strategic Association Partner

    Copyright © 2021 Rodman Media. All rights reserved. Use of this constitutes acceptance of our privacy policy The material on this site may not be reproduced, distributed, transmitted, or otherwise used, except with the prior written permission of Rodman Media.

    AD BLOCKER DETECTED

    Our website is made possible by displaying online advertisements to our visitors.
    Please consider supporting us by disabling your ad blocker.


    FREE SUBSCRIPTION Already a subscriber? Login