In-Mold Labeling: The Future of the Packaging Industry

In-mold labeling is a merchandising technology used to label commercial products. This tech is used for packaging canisters, bottles, boxes, cases, and containers. This is an automated system. IML system eliminates any need for post-production labeling.

Generally, papers and plastics are used for manufacturing. The label plays a vital role in the marketing of the product. After being labeled, the product is delivered as a pre-garnished commodity.

There are several ways to conduct the process. One is using vacuum and compressed air to handle the labels. It also uses electricity in some cases. Labels are generally laminated paper or similar materials. When static electricity is used, electrodes charge a label while it is being delivered to the machine. The label is placed on the tool and released when the product comes into the designated zone. After that, the label wraps around the product itself.

Benefits of Using In-Mold Labeling Technology

One of the critical advantages of IML technology is that the label is of high print quality and more excellent resolution. It is recyclable as well. Another perk is that it is immune to all kinds of scratches. The performance does not decline under the high- humid condition. It is not liable to spots. The labels are waterproof as well. It also has long-lasting workability. Translucent labeling is attractive too.

Companies are using this label in various daily use products. Some of them are beverage canister, shampoo bottles, soda bottles, drug containers, chemical products, and much more. One reason why firms use this system is that it keeps the cost down. However, the production time may be prolonged. It is a small market at this moment. But analysts predict it has enormous potential.

If we laminate the labels, it becomes more durable. This also means the product is resistant to fading or scuffing. They provide support on thin films. The beautiful decoration is always appreciated. IML technology eliminates manual labor well.

This modern technology allows a product to present itself in a way that traditional labels will not. Business operators can customize packaging. They can add a personal touch to any commodity.

In-mold labeling enhances sustainability, as well. The in-mold labeling leaves a permanent mark on the product. So, there will no question of its existence. For litigation purposes, it is a very crucial point. This benefit is not found in traditional coatings. There is no finishing work needed after post-production as well. Cellphone, notebook, and computer manufacturers have taken a keen interest as well. It’s because of the more excellent wear resistance. It is better than spray painting or pad painting.

Why Should You Invest in In-Mold Labeling?

The demand for in-molding labeling is increasing day by day. This is especially visible in the food and beverage industry. Consumers in the F&B sector, like decorative packaging. It attracts them. Therefore, in the coming years, the F&B industry will be a regular customer of in-molding technology.

For now, the investors have not taken attention to this field yet. But as the world goes into automation, we expect the in-mold labeling market to take off. Analysts are predicting a boom in the market as well.

Managers don’t want the hassle that comes with manual labor. They have to pay for the employer’s insurance. It’s a logistical nightmare. Of course, before using technology, the managers need to make sure they are adequately prepared. But after installing the machines, it’s a smooth operation.

There is a reasonable amount of growth in digital countries, as we have seen. The emerging countries want to use this technology because it will help them ingratiate with the modern world.

Another market driver is the sustainable material. Because of environmental concerns, a more considerable emphasis is being put on sustainability.

Current Situation & Market Analysis

The market for IML technologies is forecasted to grow at a CAGR of 4.54%. CAGR stands for compound annual growth rate. It is a matric to judge a specific industry.

By the end of 2020, the total market share of in-mold labeling systems is predicted to be US$ 3.23 billion. In 2015 it was only US$ 2.58 billion. We can see that there has been significant growth in the last five years.

However, this is primarily due to the North American markets. They have seen a boom. Most of the growth opportunities are there, and the confidence in many European countries is low.

But this was previously not the case. It was quite attractive early on. But now there is a concern for high penetration levels of the machine. However, it is still the largest single market for IML production.

Growth in the African and Middle Eastern markets is satisfactory. But they will suffer from poor infrastructure and political instability. Another factor is they have started late. They will possibly lag.

Chinese and Indian markets are doing well. China can compete with the USA. But for now, America remains the top dog in this industry.

According to analysts, the complex supply structure is a deterrent to the investors. But they also added that it is a potent industry. So, the whole scenario can be changed in a very short time. The emerging markets in Latin America, China, and India will increase the total global market share to $4 billion by 2030.

Bottom Line

Printed labels are gaining popularity fast because it is a direct marketing and branding tool. With creative work, it can appeal to consumers’ tastes. For religious, cultural, and national festivals, the label can be customized as well. Promotional offers and others can be conducted as well via the labels.

Less labeling cost is enticing for any business. IML process eliminates any post-production activity.

First, the in-mold technology was used for a particular shampoo brand. Now it is being used for various products. It is quite possibly a sleeping giant. As we move closer to a digital world, its true potential will be unlocked soon.



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