Super-sizing products and production capabilities is hugely successful for some manufacturers
With regard to size, bigger is definitely better, according to both Xpanded Label Technology, Appleton, Wis., and Hub Labels, Hagerstown, Md., In the case of the former, it is the super-sized dimensions of its label products that set the company apart, while the latter boasts a large, 110,000-sq.-ft. plant housing extremely diversified printing methodologies to leverage multiple production capabilities.
Here, Jim Volkman, executive vice president of Xpanded Label Technology, and Jonathan Freed, director, southeast, for Hub Labels, discussed their companies' unique operations and how they help distributors add value.
Volkman explained that expanded label technology first emerged in Europe in the late 1980s. "We've seen a proliferation of its use in the United States within the last five to seven years due to an increasing need to add information to small amounts of space," he continued. "We combine pressure-sensitive labels with paper leaflets commonly referred to as expanded content labels (ECLs) that are pre-printed on an offset press." ECLs are often used for on-pack promotional coupons, mail-in rebates, recipes and usage tips, and informational labeling.
"We only produce expanded labels, specializing in fast turnarounds of short and medium runs," said Volkman. "Our market research indicated a strong need for a trade-exclusive supplier—our printer customers don't need to worry about us being their competition, and our distributor customers don't need to worry about us selling direct."
The key to the company's success lies in the specially modified tipping/attaching machinery that's been customized to facilitate quick changeover times—and reduce scrap rates. "The machinery provides production efficiencies and controlled operating costs, ultimately simplifying what is typically a very complex and expensive operation," said Volkman.
Four Categories
Volkman pointed out that the expanded label products basically fall into four categories of use: promotional, agricultural, informational and pharmaceutical. Promotional applications include solutions for direct mailers, and on-pack marketing campaigns involving coupons and sweepstakes.
Agricultural/chemical/pesticide and herbicide products use ECLs for warnings, as well as usage and content information. "There is good volume of real estate here," noted Volkman. "We're frequently working with 4x4˝, 6x4˝ and other large label formats." The labels are typically printed in black ink and have warning information in red.
The informational category deals with usage, instructions and warranties—often multi-lingual—for products within a variety of markets and industries. "For warranty cards, we typically use 8-pt. stock to meet postal regulations," Volkman observed.
Although there are obviously tremendous selling opportunities within the pharmaceutical market, Volkman stressed that it's very demanding and highly regulated, and often dominated by direct sellers. He suggested that unless distributors already specialize in serving the pharmaceutical market, they will find greater success focusing on one of the other categories.
At Xpanded Label Technology, each order is custom designed in accordance with the end-use application using a broad range of pressure-sensitive paper stocks, films, and removable and permanent adhesive combinations. "We use everything from lightweight, thin-gauge, uncoated stock to heavy-weight card stock—which, for example, would be necessary for a warranty on a car battery that doesn't come in a box," observed Volkman. Film stocks are typically clear or white, and are indicated whenever moisture is a factor.
Options include one-time removal, resealable and four-sided seal designs. "Keep in mind that when the label is encapsulated on all four sides—typically as a protective measure—it cannot be resealed once it is open. An alternative would be to use a synthetic paper and have a one-time resealability benefit," Volkman suggested.
Applications for ECLs exist with a wide variety of products sold in hardware stores, home and garden centers, and nurseries. Volkman recommended looking for situations where information is being manually applied to products, such as with neck hangers, and offering automated ECL solutions. "Product use instructions, liability protection and regulatory compliance are perfect applications for ECLs," he said. "They're also great ways to add value to food and beverage items, perhaps by including a recipe or some sort of promotion."
While it's difficult to be cost-effective on orders of less than 50,000, Xpanded Label Technology often runs jobs for 10,000 to 15,000 pieces.
Turnaround for ECLs is typically five to 10 days from final proof approval, and providing samples of the products that the labels are being attached to—as well as any existing label or leaflet being used—helps to ensure customer satisfaction.
Bring It On
At Hub Label, the big news isn't the size of the label, but the operation itself, which includes more than 30 presses. "Instead of specializing in one area, such as flexo—which is the bulk of the work—growth has come from diversifying into other areas, such as digital," said Freed.
In the past two years, the company has spent $10 million on equipment, including five Gallus presses, a new HP Indigo press and a Domino online numbering machine. "The state-of-the-art Gallus presses bring so many things to the table—such as nine-color printing, laminating, rotary screen capabilities and UV curing—that they have really enabled us to get to the next level," noted Freed.
For example, the servo-driven Gallus RCS 330 press has no shaft or gear keeping it inline, so basically, the press can re-time itself. "We can do a changeover on the fly, which is simply amazing," Freed continued. "If we're printing labels with the same die shape, we can plate up two jobs at once. When the first job is done running, those plate cylinders drop away and the next ones come up. In one instance, we were running 300 ft. per minute and did a changeover on the fly in just 18 inches. By the fourth label, we were completely in register on the second job."
Orders include prime labeling for a variety of products, as well as industrial applications, direct mail inserts, coupons, and shipping labels featuring consecutive numbering and bar codes. "Some of our largest orders are for blank thermal-transfer labels, and we do hundreds of millions of linear feet of return address labels used by direct mailers," said Freed. "We even patented a process that puts the labels and letters on a single form so that they stay together throughout the personalization and mailing sequences, saving 20 percent to 30 percent on mail shop costs."
He explained that deciding on which printing method to use—digital, flexo or rotary screen—essentially comes down to common sense and equipment restrictions. In some cases, end-users make the call, but even then, manufacturers and value-added distributors may offer suggestions that can save time and money.
A job involving high-color, four-color process that's fewer than 5,000 pieces would likely be produced on a digital press. "Four-color process plates cost hundreds of dollars vs. a $60 set-up to run digitally," noted Freed. When jobs require super-reflective materials, such as foils, digital printing is essentially ruled out due to heat-induced arcing that can occur. "An option is to go with a dull silver, which gives a pretty neat effect," he added. Obviously, digital is also indicated for on-demand printing and quick turn times.
Rotary screen printing is perfect when using film substrates—particularly clear labels and liners—and for high-density ink coverage. "However, rotary screen is a slow process, and the screens are fairly expensive," Freed observed. "Some flexo inks are hitting densities that closely resemble rotary screen printing, offering end-customers essentially the same look for a lot less money and a quicker turnaround."
Flexo also has almost no limitations and offers tremendous substrate diversity. "We can run very thin 1 mil. and 2 mil. media all the way up to 15 mil. rigid PVC," said Freed. He added that there's now better control over prepress, and they're getting a much finer dot in production.
"People in the offset world tended to not be impressed with flexo, which could have a rubber-stamped look about it," Freed continued. "But, there have been significant technological advances. We actually beat offset printers with our flexo work for an award last year."
Freed commented that reverse-printed laminated films—where the printing is done on the back of the top layer of clear film, which is then laminated to the other films, essentially trapping the image—has always been tricky for Hub Label. "Most of what we do is top printed, but I recently discovered that new adhesives and coatings are coming out that are geared toward our production methods," he observed. "Even 'watch-out' items are becoming doables, thanks to advances in printing technology."
By Maggie DeWitt