Sleeve Label Market

Sleeve Label Market Outlook (2024 to 2034)

According to a new research by Fact.MR, the global sleeve label market is expected to generate US$ 16 billion revenue in 2024. Sales of sleeve labels are projected to rise at 4.8% CAGR to reach US$ 25.6 billion by the end of 2034. Sleeve labels, which are also known as shrink and stretch sleeves, are being widely adopted by manufacturers in several industries for branding and promotional purposes.

Sleeve labels are primarily used for product labeling purposes in industries such as food and beverages, pharmaceuticals, home care, electronics, chemicals, and home care. The market for sleeve labels is growing at a significant pace due to the rising demand for convenient food and beverage packaging solutions.

Key Market Growth Drivers

• Growth of the FMCG industry plays a significant role in the expansion of the sleeve label market size because they are widely used for attractive food and beverage packaging.
• Container labels can be attached to receptacles of different forms, dimensions, and substances, such as plastic containers, glass jugs, and metal tins. This adaptability makes them appropriate for a wide range of businesses, including food and beverages, pharmaceuticals, and household products.
• Sleeve labels provide full coverage of 360-degree graphics, enabling bright and visually appealing designs that grab attention on the shelf. This feature allows brands to distinguish their products, captivate consumer interest, and reinforce brand recognition.
• Improvements in printing methods, such as digital printing and high-definition flexographic printing, have increased the quality and effectiveness of producing sleeve labels. These improvements allow brands to have shorter print runs, quicker turnaround times, and more customization options.
• Sleeve labels offer enough space for product details, brand elements, and promotional messages. This functionality enables brands to directly convey important selling points, product attributes, and marketing strategies to customers, boosting brand recognition and sales.
• Sleeve labels can act as tamper-evident seals, offering an extra level of security and safeguarding products. This characteristic is especially important in sectors where the top priority is the safety and quality of products, such as pharmaceuticals.
• One of the key sleeve label market trends is the increasing adoption of digital printing.

Report Attributes	Details
Sleeve Label Market Size (2024E)	US$ 16 Billion
Forecasted Market Value (2034F)	US$ 25.6 Billion
Global Market Growth Rate (2024 to 2034)	4.8% CAGR
North America Market Growth Rate (2024 to 2034)	5% CAGR
East Asia Market Value (2024E)	US$ 2.5 Billion
Sales of Stretch Sleeve Labels (2034F)	US$ 19.6 Billion
Key Companies Profiled	CCL Industries Inc. Bemis Company Avery Dennison Corporation Bonset America Corporation, Fuji Seal International, Inc. Berry Global, Inc. Fort Dearborn Company D&L Packaging, Resource Label Group, LLC. Consolidated Label Co., Inc. Amcor Plc Edward Label, Inc. Huhtamki Oyj Macfarlane Group Plc Multi-Color Corporation Klockner Pentaplast

Why is Use of Sleeve Labels Increasing across Industries?

“Personalized Sleeve Labels Driving Enhanced Consumer Engagement”

Sleeve labels present a flexible way for brands to make special and bespoke designs for their offerings. Thanks to advancements in digital printing technology, brands can now without difficulty and economically generate customized sleeve labels that speak to their desired demographic.

Individualized labels let brands relate to buyers more profoundly by mirroring their tastes, principles, and lifestyle selections. By providing goods with personalized sleeve labels, brands can boost brand devotion, build emotional bonds with shoppers, and ultimately boost their sales.

“Integration of Smart Packaging in Sleeve Tags”

The addition of smart packaging capabilities to sleeve tags is a major development propelled by technological progress. Brands are progressively using technologies such as NFC tags, QR codes, and augmented reality to improve consumer interaction and provide important product data.

These smart packaging solutions let brands create direct communication pathways with buyers, providing interactive experiences, customized content, and extra product information. By integrating smart features into sleeve tags, brands can boost the overall user experience, cultivate brand loyalty, and differentiate their products in a competitive market environment.

What are the Hindrances to Sleeve Label Market Growth?

“Substantial Initial Investments and Complexity of Sleeve Labeling Procedures”

Equipment for sleeve labeling may require a substantial initial investment, particularly for small enterprises or those operating on a limited budget. The complexity of sleeve labeling procedures requires certain tools and expertise for setup, operation, and upkeep.

Ensuring compatibility with current packaging equipment and handling technical problems may be a challenge, especially for companies with limited technical resources or expertise. These difficulties can make it more difficult for companies to use sleeve labeling solutions.

“Sustainability Concerns and Stringent Regulatory Framework”

Sleeve labels are visually appealing and provide branding benefits, but their environmental concerns raise sustainability issues. The industry needs to focus on creating sleeve labels with eco-friendly materials to meet regulatory requirements. Due to advancements in technology, manufacturers of sleeve labels have started using recyclable materials such as PET (polyethylene terephthalate) or PP (polypropylene) in sleeve label production.

“Rising Preference for More Efficient Tamper-evident Labels”

Rising competition from labels made from more sustainable and eco-friendly materials is becoming a major hurdle for market growth. Other than this wraparound labels are competing with sleeve labels to gain market share. Temper-evident labels are becoming popular as they come in sticky form and are easy to apply to products.

Country-wise Insights

Why is Use of Sleeve Labels Increasing in the United States?

“Focus of Retailers on Enhancing Shopping Experience”

Attribute	United States
Market Value (2024E)	US$ 2.3 Billion
Growth Rate (2024 to 2034)	5.2% CAGR
Projected Value (2034F)	US$ 3.9 Billion

In the North American region, the United States is expected to hold a 73.5% sleeve label market share in 2024 because the country has a varied consumer base with a wide range of products needing packaging. Sleeve labels provide flexibility and can be used on many container forms and materials, thus driving their preference among producers across industries including food and beverages, drugs, personal care, and household items.

In the United States, retailers are focusing more and more on improving the shopping experience for consumers and making eye-catching displays. Sleeve labels offer opportunities to differentiate products and strengthen brand identity.

Which Market Trends are Driving Demand for Sleeve Labels in China?

“Substantial Expansion of e-Commerce Sector”

Attribute	China
Market Value (2024E)	US$ 1.1 Billion
Growth Rate (2024 to 2034)	5.3% CAGR
Projected Value (2034F)	US$ 1.9 Billion

The e-Commerce sector in China is growing at a significant pace, fueled by the rising use of the Internet and smartphones mainly by the younger generation. Sleeve labels are an important part of e-commerce packaging as they help promote brands and provide space for product details and other important information related to the product. Other than this, urbanization and modernization are changing people's lifestyles and preferences. The aesthetics of a product play a crucial role in attracting consumers and prompting them to make a purchase.

Category-wise Insights

What is Fueling Sales of Stretch Sleeve Labels?

“Heat-free Application Process of Stretch Sleeve Labels”

Attribute	Stretch Sleeve Labels
Market Value (2024E)	US$ 12.1 Billion
Growth Rate (2024 to 2034)	5% CAGR
Projected Value (2034F)	US$ 19.6 Billion

By product type, stretch sleeve labels are estimated to account for 75% of the market share in 2024. Adoption of stretch sleeve labels is gaining traction across the retail and food and beverage sectors for their heat-free application process. Effective labeling is essential in food packaging to convey information about product usage and health risks.

Why Does the Beverage Industry Account for High Consumption of Sleeve Labels?

“Ability of Sleeve Labels to Effectively Preserve Product Integrity”

Attribute	Beverages
Market Value (2024E)	US$ 5 Billion
Growth Rate (2024 to 2034)	4.5% CAGR
Projected Value (2034F)	US$ 8.3 Billion

Sleeve label demand is increasing in the beverages sector because they provide a protective covering for product containers. It is mandatory for food and beverage packaging to include information about the product such as manufacturing date, expiry date, health risks, and contents used. This label provides 360-degree covers for products to provide information and branding. Sleeve labels are cost-effective options for various types of packaging such as cans, bottles, and containers.

Competitive Landscape

Key players in the sleeve label industry are CCL Industries Inc., Bemis Company, Avery Dennison Corporation, Bonset America Corporation, Fuji Seal International, Inc., Berry Global, Inc., Fort Dearborn Company, D&L Packaging, and Resource Label Group, LLC.

• In October 2023, Cymmetrik Group expanded its sleeve labels division with a new plant in Zhejiang. This facility employs flexographic printing technology, replacing gravure.
• In December 2018, Weldon Celloplast Ltd., with its headquarters in New Delhi, was chosen by the Jindali Packaging Machinery plant in China as a partner to expand sales of its assortment of flexible packaging and finishing equipment used after printing. The company offered products such as shrink sleeve inspection, seaming, and cutting machines.

Segmentation of Sleeve Label Market Research

• By Product Type :

  • Stretch Sleeve Labels
  • Shrink Sleeve Labels

• By Material :

  • Polythene Terephthalate Glycol (PETG) Sleeve Labels
  • Polyvinyl Chloride (PVC) Sleeve Labels
  • Oriented Polystyrene (OPS) Sleeve Labels
  • Polypropylene (PP) Sleeve Labels
  • Polyethylene (PE) Sleeve Labels
    • HDPE
    • LDPE
    • LLDPE
  • Others (Polylactic Acid, etc.)

• By Printing Technology :

  • Rotogravure Printing
  • Flexographic Printing
  • Offset Printing
  • Digital
  • Letterpress Printing

• By End Use :

  • Food
    • Bakery & Confectionaries
    • Dairy Products
    • Baby Food
    • Frozen Foods
    • Other (Sweet & Savory Snacks)
  • Beverages
    • Alcoholic Products
    • Non-Alcoholic Products
  • Pharmaceuticals
  • Personal Care & Home Care
    • Toiletries
    • Hair & Skin Care
    • Baby Care
    • Other (Surface Care, Air Freshener, etc.)
  • Chemicals

• By Region :

  • North America
  • Europe
  • Latin America
  • East Asia
  • South Asia & Oceania
  • Middle East & Africa