Smart Labels Market to Reach $39.2 Billion

The global smart labels market was valued at $9 billion in 2021, and is projected to reach $39.2 billion by 2031, growing at a CAGR of 15.8% from 2022 to 2031.

Growth in number of industrial consolidations and technological explorations along with versatile benefits along with rapid urbanization drives the growth of the global smart labels market. On the other hand, poor mechanical susceptibility impedes the growth to some extent. However, growing e-commerce industry is expected to create lucrative opportunities in the industry.

Volatility in prices of raw materials such as paper, fabric, plastics, and other materials lowered the market demand, thus impacting the growth of the smart labels industry negatively. However, rise in organic growth strategies by the major key players has helped the market recover post-pandemic.

By product type, the RFID segment held the major share in 2021, garnering around 40% of the global smart labels market revenue. The sensing label segment would showcase the fastest CAGR of 20.2% during the forecast period. The large-scale application of RFID tags for retail and logistics industry is driving the segment growth.

By application, the retail inventory segment contributed to the highest share in 2021, accounting for around 70% of the global smart labels market revenue. The perishable goods segment would showcase the fastest CAGR of 4.6% throughout the forecast period owing to growing food & beverage industry which is growing the adoption of label sensing in order to track freshness and life of food products.

By end user, the retail segment accounted for nearly 45% of the global smart labels market share in 2021, and is expected to rule the roost by 2031. The healthcare segment would display the fastest CAGR of 23% throughout the forecast period. This is due to the fact that smart labels for healthcare industry helps in providing real time monitoring and helps in improving the supply chain.