Retail Shipping Labels Insights for 2034

Retail Shipping Labels Market Emerging Trends, Challenges and Growth Strategies

From 2025 to 2034, the global retail shipping labels market is set for a massive revenue upswing, with projections of growth reaching hundreds of millions of dollars. In 2024, Asia Pacific led the market with ~40% share, while North America is set for strong growth. Direct thermal (45%) and paper labels (55%) dominated by type and material. Permanent adhesive (70%) led adhesives, and logistics & courier firms (35%) topped end-users, with RFID, synthetic labels, repositionable adhesives, and e-commerce set for fastest growth.

Last Updated: 22 September 2025 Category: Advanced Packaging Insight Code: 5824 Format: PDF / PPT / Excel

The retail shipping labels market is booming, poised for a revenue surge into the hundreds of millions from 2025 to 2034, driving a revolution in sustainable transportation. Rapid advancement in technology like smart labelling, supply chain transparency, meeting huge customization demand in several industries are the major reasons behind the growth of the market. The major market players in this sector are primarily focusing towards development of product tracking process, sustainable material, and digital integration. This market is leading in the Asia Pacific due to the presence of top most companies for production of high-quality retail shipping labels.

Major Key Insights of the Retail Shipping Labels Market

  • By region, Asia Pacific dominated the global market by holding highest market share of approximately 40% in 2024. 
  • By region, North America is expected to grow at a notable CAGR from 2025 to 2034.
  • By label type, the direct thermal labels segment contributed the biggest market share of approximately 45% in 2024.
  • By label type, the RFID labels segment will be expanding at a significant CAGR in between 2025 and 2034.
  • By material, the paper labels segment contributed the biggest market share of approximately 55% in 2024.
  • By material, the plastic / synthetic labels segment is expected to expand at a significant CAGR in between 2025 and 2034.
  • By adhesive type, the permanent adhesive labels segment contributed the biggest market share of approximately 70% in 2024.
  • By adhesive type, the repositionable adhesive labels segment is expanding at a significant CAGR in between 2025 and 2034.
  • By end-user, the logistics & courier companies segment contributed the biggest market share of approximately 35% in 2024.
  • By end-user, the e-commerce platforms segment is expanding at a significant CAGR in between 2025 and 2034.

Market Overview

The retail shipping labels refers to the production, supply, and utilization of labels designed to track and manage goods in the retail and e-commerce ecosystem. These labels serve as critical identifiers by displaying barcodes, QR codes, RFID tags, or printed data, ensuring smooth logistics, accurate delivery, and streamlined returns. Retail shipping labels are manufactured in different materials, including paper and synthetic substrates, with a variety of adhesives and print technologies. Rising e-commerce volumes, globalization of retail supply chains, and the need for real-time order tracking are driving demand. Their adoption spans retailers, logistics companies, e-commerce platforms, and warehousing facilities, with Asia Pacific dominating due to rapid online retail growth and expansion of fulfillment centers.

Key Metrics and Overview

Metric Details
Key Drivers Rising e-commerce, smart labelling (NFC/RFID/QR), supply chain transparency, demand for customization, sustainability trends
Leading Region Asia Pacific
Market Segmentation By Label Type, By Material, By Adhesive Type, By End User and By Region
Top Key Players Avery Dennison Corporation, CCL Industries Inc., 3M Company, Honeywell International Inc., Zebra Technologies Corporation, Multi-Color Corporation (MCC), SATO Holdings Corporation (SATO / Sato America), Fuji Seal International, Inc., RR Donnelley & Sons Company (RRD), PDC International Corp., Cenveo Worldwide Ltd.

Rising Demand for Smart Labels & Digitalization

  • The rising demand for smart labelling such as integration of NFC, RFID, & QR code to enhance the traceability capacity.

Increasing Customization & Data-Driven Solution

  • Digital printing for customization and branding strategies boosting the growth of this market.

Growing Eco-friendly & Sustainability Trend

  • Growing trend for the development of eco-friendly & sustainable labelling due to rising focus towards social responsibilities.

How Can AI Improve the Retail Shipping Labels Market?

The integration of AI technology in the retail shipping labels market plays an important role in generating automatic labelling, optimized order management, smart labels and tracking, and data extraction and validation. Generative AI help in producing labels with accuracy in printing shopping address of the customers. Smart labelling help both retailer as well as customers to track the packages. The rising transparency in shipping of the products has enhanced the reliability which promote acceptance of this market.

Market Dynamics

Market Driver

Rising E-commerce Sector Drive the Retail Shipping Labels Market

The rising e-commerce sector has influenced the demand for the market. The increasing online shopping preference of the consumers has enhanced the demand for retail shipping labels. Efficient logistic solution available to manage the fast delivery service of the product purchased online boost the development of this market. Technological integration by introducing smart labels such as NFC and RFID tags promote the adoption of such labels. The growing emphasis towards consumers demands and sustainability in labelling has influenced the growth of the market.

Market Challenges and Restraints

Supply Chain Disruption Hindered the Retail Shipping Labels Market

Supply chain disruption of the labelling industry have hindered the expansion of the market. Volatile charges of the labels have restricted the extension of the market. Changing labelling guidelines has restricted the demand for this market.

Market Opportunity

Increasing Digital Printing & Customization Raised the Opportunities of the Retail Shipping Labels Market

Increasing digital printing & customization demand in the labelling sector has raised the opportunities for growth of the market. Digital printing permits cost-operative short runs and faster change times, permitting for customized and adjustable data labels to fulfil the special demand of the consumers. The incorporation of the automation in the labelling procedure streamlines services. Apart from general retailer it has huge opportunities existing in the pharmacy and healthcare sector.

Label Type Insights

Why Direct Thermal Labels Segment Dominated the Retail Shipping Labels Market In 2024?

The direct thermal labels segment dominated the market in 2024 due to real-time labelling solution, cost-efficacy, and high-speed. It is highly used in the paper-based labels which is extensively used as eco-friendly solution. These are affordable solution available for e-commerce industries for safe transportation of the products. It helps to stick mainly labels with address for longer period and resistant of adverse ecological impact such as moisture.

The RFID labels segment is expected to grow at the fastest rate in the market during the forecast period of 2025 to 2034. This segment is growing due to enhanced inventory management and huge supply chain visibility from producers. Contactless and real-time data monitoring capability is considered as major advantage of such labels which boost the expansion of this segment. It raises security management and protects from loss this tendency of RFID labels boosts its demand.

Material Type Insights

Why Paper Labels Segment Dominated the Retail Shipping Labels Market In 2024?

The paper labels segment held the largest share of the market in 2024 due to excellent printability, rising ecological sustainability, and cost-effectiveness. These are eco-friendly options available in the labelling industry boost the demand for this market. These are the sustainable solution available that can be recycled easily and reduce the wastage of materials. Rising high-speed labelling production process has influenced the demand for these materials for manufacturing labels.

The plastic / synthetic labels segment is expected to grow at the fastest rate in the market during the forecast period of 2025 to 2034. This segment is growing rapidly due to rapid growth od e-commerce industry. Enhanced demand for weather-resistance durable labelling has raised this segment. It can withstand high temperature, UV light, chemicals, and oil which appeal huge consumers towards this segment.

Adhesive Type Insights

Why Permanent Adhesive Labels Segment Dominated the Retail Shipping Labels Market In 2024?

The permanent adhesive labels segment held the largest share of the market in 2024 due to rising demand in various sectors. Advancement in the resources of the label enhance the quality of the labelling. Increasing demand for packaged products labelling in industries such as food & beverages, industrial, and pharmaceutical sectors. Rising concern for safety of products, superior durability, and strong adhesion has pushed this segment to grow rapidly.

The repositionable adhesive labels segment is expected to grow at the fastest rate in the market during the forecast period of 2025 to 2034. This segment is growing rapidly as it helps in misleading directions and avoid delays in delivery. It provides huge flexibility while compared with permanent adhesives. It can be utilized on reusable transport shelves, containers, or totes that can be removed without any residue. This segment is majorly growing due to rapid extension of e-commerce sector.

End-User Insights

Why Logistics & Courier Companies Segment Dominated the Retail Shipping Labels Market In 2024?

The logistics & courier companies segment held the largest share of the market in 2024 due to its potential for generating labels, network and reach, and service provision. Advanced API incorporation is utilized by several companies to automate the shipping labelling production process. It supports in fast fulfilment of order shipment without any delay. Major companies such as Ekart Logistics and Ecom Express has brought several innovations to upsurge the demand for this segment.

The e-commerce platforms segment is expected to grow at the fastest rate in the retail shipping labels market during the forecast period of 2025 to 2034. This segment is growing due to its efficiency and cost-effectiveness. With automation in printing process and its management help in the production of huge labels. For safe delivery of products in the e-commerce sector has influenced the growth of the labels with strong adhesive. The necessity for real-time tracking has raised the demand for labels that stick for longer period with precise information.

Regional Insights

Presence of Major Market Players in Asia-Pacific Promote Dominance

Asia Pacific held the largest share of the retail shipping labels market in 2024, due to the presence of major market players. Rapid urbanization has also enhanced the usage of label with increasing online ordering system. Presence of strict labelling guidelines in industries such as food & beverages and pharmaceutical sector has also boosted the production of high-quality labels. The introduction of smart labelling which help in providing detailed information about products has raised the adoption of retail shipping labels.

Partnership with Manufacturer Promote the Retail Shipping Labels Market in China

Increasing partnership with manufacturers has raised the expansion of the retail shipping labels market in China. The growing demand for innovation in this sector is fulfilled by the market players push the adoption for these labels. Introduction of innovative ways to add the details of the products has influenced labelling demand.

North America’s Expanded Adoption of Smart Labels Enhance Market Demand

North America expects the significant growth in the market during the forecast period. Increasing adoption of smart labels has influenced the growth of the market. The significant extension of online retail sector pushed the demand for trackable, durable, and high-quality shipping labels. Rising personalised label printing technology has also extended this market by meeting the demand of the consumers. With the growth of online ordering process there is a huge demand for smart labels for tracking of products.

Retail Shipping Labels Market - Value Chain Analysis

Raw Material Sourcing

The major raw materials utilized in this market are paper, synthetic and composite labels has boosted the demand.

  • Key Players: Mondi Group, 3M

Component Manufacturing

The major components used in this market are facestock, adhesive, and release liner.

  • Key Players: CCL Industries, TVS Electronics

Logistics and Distribution

This segment is highly influenced by technological advancement, worldwide trade guidelines, and sustainability concern.

  • Key Players: DHL Group, FedEx

Top Companies in the Retail Shipping Labels Market

Retail Shipping Labels Market Top Key Players

Tier 1

  • Avery Dennison Corporation
  • CCL Industries Inc.
  • 3M Company
  • Honeywell International Inc.
  • Zebra Technologies Corporation
  • WestRock Company
  • Amcor plc
  • UPM Raflatac

Tier 2

  • Multi-Color Corporation (MCC)
  • SATO Holdings Corporation (SATO / Sato America)
  • Fuji Seal International, Inc.
  • RR Donnelley & Sons Company (RRD)
  • Fort Dearborn Company
  • Lintec Corporation
  • Brady Corporation
  • Stora Enso Oyj
  • Mondi plc

Tier 3

  • PDC International Corp.
  • Cenveo Worldwide Ltd.
  • Resource Label Group / Edwards Label (regional converters)
  • Weber Packaging Solutions
  • Klöckner Pentaplast (KraussMaffei/related film specialists)
  • Nova Label / Star Label / other regional label printers

Latest Announcements by Industry Leaders

  • In August 2024, Sendle Australia managing director, Laura Hill expressed, “Personal senders and micro-business are benefitted with the launch of in-store shipping labels print process. It provides huge options to consumers as well as small businesses required wide range of sizes.”

Recent Developments

  • In December 2023, Reelables declared its invention of 5G Smart Labels which is a 5G printable label solution for logistics manufacturers. It is the first time this label work as a tracking device that can be connected to the cellular network.”
  • In June 2023, Etsy which is a worldwide company for creative and unique products collaborated with Shiprocket which is a topmost e-commerce platform to introduce domestic shipping labels. It is launched in India for multiple small and local sellers registered in Etsy.

Retail Shipping Labels Market Segments

By Label Type

  • Direct Thermal Labels
  • Thermal Transfer Labels
  • Laser/Inkjet Labels
  • RFID Labels
  • Pre-printed Labels
  • Others

By Material

  • Paper Labels
  • Plastic / Synthetic Labels
  • Polypropylene Labels
  • Polyester Labels
  • Polyethylene Labels
  • Composite / Hybrid Labels
  • Others

By Adhesive Type

  • Permanent Adhesive Labels
  • Removable Adhesive Labels
  • Repositionable Adhesive Labels

By End User

  • Retailers
  • E-commerce Platforms
  • Logistics & Courier Companies
  • Warehousing & Distribution Centers
  • Manufacturers

By Region

  • North America
    • U.S.
    • Canada
  • Europe
    • Germany
    • UK
    • France
    • Italy
    • Spain
    • Sweden
    • Denmark
    • Norway
  • Asia Pacific
    • China
    • Japan
    • India
    • South Korea
    • Thailand
  • Latin America
    • Brazil
    • Mexico
    • Argentina
  • Middle East and Africa (MEA)
    • South Africa
    • UAE
    • Saudi Arabia
    • Kuwait

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  • Insight Code: 5824
  • No. of Pages: 150
  • Format: PDF/PPT/Excel
  • Last Updated: 22 September 2025
  • Report Covered: [Revenue + Volume]
  • Historical Year: 2021–2023
  • Base Year: 2024
  • Estimated Years: 2025-2034

Meet the Team

Vidyesh Swar is a Senior Research Analyst at Towards Packaging, bringing over 4 years of dedicated expertise in market intelligence and strategic analysis across the dynamic world of packaging technologies and solutions.

Learn more about Vidyesh Swar

Aditi Shivarkar, with 14+ years in packaging market research, specializes in food, beverage, and eco-friendly packaging. She ensures accurate, actionable insights, driving Towards Packaging 's excellence in industry trends and sustainability.

Learn more about Aditi Shivarkar

Related Insights

FAQ's

The market is primarily driven by the rapid growth of e-commerce, rising demand for smart labels with NFC, RFID, and QR technology, supply chain transparency, and increasing need for customization. Sustainability trends and regulatory push for eco-friendly labeling further accelerate market expansion, especially in Asia Pacific.

Asia Pacific currently leads with approximately 40% market share due to rapid online retail growth and strong manufacturing presence. North America is projected to grow at a notable CAGR driven by adoption of smart labels, personalized printing, and e-commerce expansion. Europe will see steady growth due to regulatory compliance and sustainability initiatives.

Key trends include digital printing for customization, integration of AI and smart labelling for automated tracking, eco-friendly and recyclable materials, and real-time data solutions. Contactless and RFID-enabled labels are gaining traction for inventory visibility and secure logistics.

AI and IoT integration enable automated labeling, error-free data capture, optimized supply chains, and enhanced customer tracking. Generative AI facilitates accurate label printing with dynamic customer and shipping information, while smart labels enhance transparency and reduce losses in logistics operations.

Supply chain disruptions, fluctuating raw material costs, and changing regulatory guidelines are the primary challenges. Additionally, adoption barriers for advanced smart labels in smaller enterprises can slow growth, despite overall market potential.

Direct thermal labels dominate due to affordability and real-time printing benefits, while RFID labels are fastest-growing due to enhanced inventory management. Paper labels remain dominant for sustainability, but plastic/synthetic labels are expanding rapidly, driven by e-commerce demand for weather-resistant and durable solutions.

Permanent adhesive labels dominate for reliability and durability, particularly in logistics and e-commerce. Repositionable and removable labels are gaining popularity for reusable packaging, flexible supply chains, and cost-efficient returns, offering new product innovation opportunities.

Logistics and courier companies hold the largest share due to volume and network reach. E-commerce platforms are the fastest-growing segment, fueled by automation, real-time tracking needs, and the rise of small-to-medium online sellers. Retailers and manufacturers also contribute to steady demand.