State of the Industry: Label Printing & Converting

Not too long ago, the label segment typically followed predictable patterns that converters and suppliers could rely on, says Linnea Keen, president of TLMI, an industry association serving the North American label industry. Seasonal influxes of label jobs stemming from the likes of back-to-school sales or end-of-year holidays were viewed as reliable sources of work the industry could plan around. But, with a combination of rapidly evolving consumer behavior driving the rise of e-commerce and the ongoing impacts of COVID-19, a return to what was once considered normal remains elusive.

“In the past five to seven years, all of that had been shifting – that consumer behavior,” Keen says. “Then you throw COVID in there and everyone took the cards and just threw them all up in the air and nobody knows what [the patterns are]. But everyone wanted to go back to comparing to what we knew and I’m not sure if it’s going to be there.”

As the fourth anniversary of the initial pandemic shutdowns has passed, there are strategies converters are relying on to contend with this new reality. Automation, technological advancements in both flexographic and digital printing, navigating material availability, and combating ongoing labor difficulties are all on the table as the label industry works toward a return to stability.

“People have looked internally and improved their efficiencies,” Keen says. “That means with automation and consolidating of plants. The overriding reason I hear people most looking at automation is because of workforce related items. It’s a huge challenge.”