Labels and Decals and Tags, Oh My

If the Wizard of Oz was granting a distributor’s wish for increased sales success, he just might produce an array of labels, decals and tags from his bag of tricks. Nothing can compete for customer loyalty while effectively differentiating brand identity and providing content information quite like a label. And, given the adhesives discoveries, design innovations and aesthetically appealing substrates, they thrive on technology and marketplace challenges.

Adhesives are certainly playing a role in creating label products and opening new markets. Ingrid Brase, global marketing manager for National Adhesives, pointed out utilizing clear film for a no-label-look is replacing the much more expensive process of etching on glass bottles. The labeling also allows more opportunity to punch out graphics. “Graphics stand out much better,” she said. “Anheuser Busch has even reported on the impact the label has had on its ability to take market share.”

Adhesives designed for the no-label-look—such as National Adhesives’ DURO-TAK 34-659B hot melt adhesive for pressure-sensitive labels—are formulated not only to be invisible, but to machine better as well, so presses can run faster for improved productivity. DURO-TAK 34-659B exhibits excellent clarity on polyolefin films, and is ideal for use in clear film labels, overlays and decals. “Hot melts, generally, will have a deep yellow cast to them. But, when you see the container of DURO-TAK, it is a very pale, straw yellow, and when it goes on the label it is clear,” explained Brase.

In addition, the company’s ETI-MELT 396 adhesive provides superior adhesion on wraparound labeling of glass, PVC, HDPE and PET bottles with paper and poly labels, and is especially suited for cold-beverage containers. More importantly, ETI MELT 396 resists string for maximum up time on the labeling line. With some products, strings of adhesive can form as labels release from liners, which necessitates shutting down the presses for cleaning. National Adhesives is also developing adhesives to aid in the recycling process. “For instance, there are triggers that facilitate label removal, so glass bottles could be recycled more easily,” added Brase.

She went on to explain that adhesives have a bearing on ink. “Hot melts provide a degree of flexibility and allow for buried graphics. Instead of printing on the top surface of the label, the label is printed on the underside. [Adhesive is then generally coated] on to a liner and laminate[d] in the top face stock. Because this adhesive is 100 percent solid, it does not contain any water or solvents, which can then distort or damage the ink,” said Brase.

Whether a hot melt, solvent- or aqueous-based product, the variety of adhesives provides options in the pressure-sensitive label world, enabling manufacturers to make decisions based on the equipment on hand and what offers the best solution to the customer. The marketplace is using more plastic to replace glass, noted Brase, and the plastic, in and of itself, poses challenges to sticking adhesives. “We are always trying to push the envelope of hot melt technology, and we’re currently working on UV-cured, pressure-sensitive hot melt,” she continued. “Particularly for the durable label market—including automotive applications and power equipment—UV-cured, pressure-sensitive hot melts use ultraviolet light to [make them] more heat-resistant. When UV-cured hot melt [reaches] high temperatures, it won’t remelt, whereas conventional hot melts will.”

At Woodinville, Washington-based Labels West, Lance Wilson, director of sales, observed the demand for security labels is creating new opportunities for distributors. The company has a full line of tamper-evident security products to improve product authenticity and indicate tampering, while reducing retail theft and fraud. The labels are used for at-risk applications including heavily-regulated pharmaceutical packaging and over-the-counter drugs; personal care products; high-priced electronics; and trouble-free mail closures for consumer and manufacturer protection. Some of the feature options with the security labeling are digitally printed microtext; tamper evident void patterns; invisible ultraviolet fluorescent fibers (black light detectable); highly destructible papers and vinyls; 2-D barcodes; and holographic polyester films.

Labels undoubtedly provide a competitive edge in product marketing, and as a result, niche applications such as shrink sleeves offering 360-degree advertising impact are on the rise. According to Wilson, in addition to digital technology, shrink sleeves are one of the fastest growing segments of the label market. He went on to say the company is very excited about advances in digital labels, which eliminate expensive setup costs for small- to medium-runs and offer incredible flexibility for brand managers, product developers and sophisticated buyers.

“Because they are no longer held to the expensive setup costs and long lead times, brand managers can fine-tune their campaigns by running smaller quantities for test marketing, regional and seasonal marketing, and even customize the message for event marketing,” said Wilson. “End-users can have shorter, more frequent print runs done to minimize the cost of expensive inventory sitting on the shelf or becoming obsolete. This is a very important and cost effective option when working with multiple SKUs for private label programs.”

Applications include specialty food products; one-to-one marketing with variable data; personal care and health and beauty products; wine labels; supplement labels with several SKUs; event and seasonal marketing; and private label programs for water bottles. The labels are available in waterproof and product-resistant laminations, white and clear films and premium textured stocks for wine labels.

Wilson explained Labels West prints high-quality wine labels on an HP Indigo digital label press and high-end flexographic presses. Printing is done on textured Estate stocks, linens, classic laid and silver and gold materials. Foil stamping, embossing and unique custom-color matches are optional. Labels are produced on rolls for automatic application and can be combined with poly-craft liners to keep high speed applicators running smoothly.

Rotoflex International, Mississauga, Ontario supplied Vericut 2 digital finishing equipment to label producer Profecta Labels in Ontario, and in combination with a Hewlett-Packard (HP) Indigo press, Profecta Labels is using the new equipment to significantly grow its digital label line.

Pierre Roberge, president of Profecta Labels, noted in today’s competitive label industry, customer expectations are up while loyalty is down. Increased price pressure encourages a ‘commodity mentality’ and manufacturers are searching for lean production tactics as a means to squeeze margins. “Digital technology enables manufacturers to respond to these changes directly while creating new opportunities in the marketplace,” he said. “ We have had an HP Indigo press for a few months now, and ... it is attracting a lot of new customers and jobs from existing customers that were unthinkable to produce with conventional presses.”

(According to HP, approximately 65 percent of current label print runs fall into the short and mid- quantity range runs less than 50,000 labels or under 6,500 feet).

In addition, Profecta—which specializes in serving the pharmaceutical, food and beverage, consumer durables, chemical and retail markets—observed pharmaceuticals and medical devices are showing an increasing trend towards more colorful, trendier labels as more drugs attain over-the-counter status where the label has to sell the product. “Many marketers in this industry now understand the power of a strong label to build a loyal relationship with the patient. Pharmaceutical labeling is ideal for digital production. There’s a need for multi-language versions, greater use of colors and when it comes to compliance, print quality is critical,” added Roberge. “Staying ahead of these digital trends is critical as Profecta continues to differentiate itself from its competitors through technology.”

Of course, advances in RFID technology will also continue to impact label and tag sales for some time to come. Avery Dennison RFID, Flowery Branch, Ga., recently released the 4x1⁄2" AD-222 inlay, an upgrade from the popular, general-purpose Gen 2 AD-220. Said George Reynolds, vice president of global sales and marketing, “One of the noteworthy new features of the AD-222 inlay is wide-band functionality. It operates across the globe in regions operating between 866 and 954 MHz, and it performs on a broader variety of carton contents.”

The AD-222 also offers improved read rates and read range for better overall read performance. And, because the inlay position remains the same as the AD-220, as well as other popular 4x1⁄2" inlays, most users with common RFID printer hardware will not have to change any settings or reconfigure label artwork. “The AD-220 is currently used in a variety of applications, from supply chain carton tracking and CD inventory monitoring, to multimedia shopping cart and self-serve retail kiosks. The enhancements offered by the AD-222 give end-users even more options with this small footprint inlay,” said Reynolds.

Despite the many ups and downs faced by industry professionals in the independent channel, label, decals and tags continue to be industry staples, thriving in a changing marketplace.