In a largely populated country India, the normal of growth of
population itself, translates into large volume growth in demand. For label
industry growth in India estimates have been made at 7-15%. Even if we assume a
10% growth, market will probably grow by 100 million square meters adding a
whopping 2500 million Rupees or about 38 million US Dollars to the existing
market size. One is left wondering that with demand growth in double digits,
why is then the label industry, facing intense competition and stressed
margins? One simple conclusion can be that in a growing economy with government
encouraging new industrial investments and banks ready to finance, people start
looking for areas that have stable growth over the years, labels do move into
their focus. Packaging industry in an effort to offer a complete bouquet of
packaging products, keeps on adding labels in their manufacturing program. The
capacity seems to be growing a little faster than demand. This leads to a
situation whereby to service their debt and stay afloat, printers flock toward
leading brand owners who pitch sellers against one another to get lower prices.
There are other reasons like increasing raw material prices, reverse auctions
and short runs which bring further pressure on margins. In such a situation it
becomes imperative, that to achieve a better bottom line, there is need for
“creating innovations in labels”. Many label companies in India have already
moved into this direction by investing to enhance capabilities to create
products that do not fall into the commodity or simple label range. Even brand
owners who are in a race to catch the consumer’s eye while shopping, are on the
lookout for such labels that make their premium products on the shop shelves
being picked up faster. They are willing to pay higher if the label
has unique features escalating their brand image. Some of the printers who have
moved in this direction are listed below with details of their moves to create
labels that are different.
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| Gautham Pai |
Gautham Pai lead Manipal Technologies, is a multi
product and multi location company that has made substantial investments in
label manufacturing. Though they have units located in India and abroad, a tour
of their facilities in Manipal leaves one in awe of what they have achieved.
The company has integrated backward and forward with investment in extremely
diverse technologies enhancing capabilities to innovate. As for labels, they
produce their own holograms, security labels, security envelopes, etc. They
also produce their own self adhesive labelstocks on a Nordson hotmelt coater.
Recent developments include; Electroluminescence Label: This is an
eye-catching and low power consuming optical lighting system developed in-house
with strong competency on printed electronics. It works best for promotional
activities with various activation options using any of the touch sensitive,
pressure sensitive, motion sensitive sensors. This can be adopted for both
labels as well as carton packaging.
Glow in the Dark: The Glow-in-the-dark feature will completely transform packaging by hiding messages, creating a nightclub atmosphere, or an element of surprise.
 |
| Kuldip Goel |
Kuldip Goel of Any Graphics Noida has repeatedly
proven the need to invest time and money in creating innovations. Though he has
always wanted to produce the best, stressing on aesthetics yet it was in the
start of new millennium that he realized the pressing need to strengthen
capabilities to produce labels that were not commodity labels done on one
simple flexo press but those with added value by indulging in creativity.
Anygraphics have to their credit the world label awards, Fespa awards, only
Indian company to have been nominated for Global Label award for innovation,
winning Printweek label printer of the year award for five consecutive years in
a row, special Printweek Jury award for innovation and many LMAI label awards.
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| Label created by Any Graphics |
Anygraphics creates innovative labels and packaging using multiple equipment
and processes for the same product employing technologies like Screen Printing,
Foiling, Embossing, Doming, Narrow web Letterpress printing, Narrow web Flexo
printing, Offset printing and Digital printing.
 |
Booklet Label by Unick-Fix-A
-Form |
Hemen Vasa’s Unick Fix-A-Form was set up in
1985-1986, in rented premises with one small machine (Semi automatic model) for
making Booklet/Leaflet labels in Ahmedabad. In the initial years they
outsourced printing. They convinced Bayer-India to be their first
customer for their Innovative leaflet labels made by using wet glue, developed
for manual application on containers of agrochemical bottles. In 1992 another
customer came for these labels in self adhesive format. Since pressure
sensitive products were in a nascent stage that time and locally made silicone
release paper was not consistent creating problem of label dispensing from
applicator, Unick started import of Self Adhesive Paper. Being the
only manufacturer of booklet/leaflet labels those days, their business grew
profitably and they expanded by moving into own premises and installing high-end
rotary label presses, booklet making equipment and offset press. Their business
has expanded to the pharmaceuticals segment with a range of offerings that
include Cartons, Labels, in mould labels, Shrink Sleeves, etc. They have won
many awards at home and abroad. Their supremacy in innovative leaflet-booklet
labels segment has been the main reason for their success and expansion!
Pragati Pack (India) Pvt. Ltd., being one of the most
awarded printers in the country is hesitant to share their work and endeavours
in creating innovations. However still, Hemanth Paruchuri says, they try
to bring innovation in labels by investing in the right equipment and pushing
the limits of that equipment. Their knowledge and experience gained in the
carton, commercial printing areas aids their efforts. The aim is to create
innovations that are unique and have a high shelf appeal.
U K Gupta, Managing Director of India’s largest Hologram
manufacturing company and specialty label manufacturer Holostik India Ltd. says,
“Innovation is the key to drive any industry in the ever-changing dynamic
world, anything that does not keep changing, ultimately loses track and is out
of the race.” He has mentored his team to understand that ‘Change is the only
constant’ and therefore they have to innovate with their products.
Extraordinary labels, that are not just visually appealing but also render
security to the product are now a necessity in view of the fact that security
feature of labels cannot be ignored due to the tremendous growth of the
counterfeiting business. Holostik has on an ongoing basis been making
significant investments to enhance their capabilities.
Anil Namugade at Trigon Digital Solutions says,
“Innovation is a continuous process.” They are passionate,
entrepreneurial, collaborative and creative to always deliver on their
commitments. Trigon Digital established in 2007 has production facilities in
Mumbai, Bangalore, Delhi, Dubai and an office in Singapore offering
services in Pre-press, Print Packaging, Color management and serving over
350 brands including 20 out of top 100 global brands in 12
countries. They provide packaging mockups on actual substrates with
finishes like foiling, embossing, varnishing, lamination etc. for cartons
pouches, shrink sleeves, lamitubes and labels. They specialize in Print on
Demand, small and medium quantities for shrinks sleeves and Labels with
personalization and variable data printing. With an ongoing innovation
developing vision they aspire to be the best in the innovative label and
packaging business.
Anuj Bhargava of Kumar Labels belonging to an
extended family of label printers, is excited that his company has been
recipient of many label awards in recent times including Printweek label
printer of year award 2017. His team is trained to look at the product, its
target audience, its selling price bracket and the brand’s desired perception
that it wants to create amongst its customers, before proposing a label
solution. For them innovation is not just increasing price of a label or adding
shots of foil or screen inks. Different brands need different innovations. A
mass market brand needs a re-engineered cost effective label stock with which
it can reduce its decoration costs. A brand from the same customer, which may
be targeted for the upper market segment, may need multiple foils and textured
stocks. So no one formula works for all. By utilizing their expertise in print
process, machine manufacturing and label stock making, Kumar Labels is able to
offer different innovations. They produce their own specialized labelstocks
that include textured and unique substrates normally not available.
It is evident that to drive in better margins, capabilities in
print and decoration need to be substantially enhanced by making the correct
and timely investments. Earlier only a reasonably designed and printed label
was enough. Now with growing, knowledgeable, and well informed consumers one
needs to study the demand perception and design the label to appeal and
communicate with the end consumer in a short while that he or she is in front
of the shop shelf. Pre-press is extremely important process to draw out the
creativity that the design tends to deliver. Selecting the right substrate, the
adhesive and shape of the label is another imperative. The label has to last
the life of the consumer product as it remains visible until all of its
lifespan and keeps delivering value to the brand by its aesthetic appearance. Finally
it is the Press that will not only do full justice to the print but also
decorate, inspect and finish the label with speed; ease of use and with least
waste generation. Productivity and managing production waste are other
imperatives that affect the profitability. Brand owners attempt buying at the
lowest prices for their established products, however the fact still remains
that to stay ahead of competition in getting the consumer attention, they need
to dress up their products well. With numerous options available in an already
crowded shelf space, brand owners will only consider higher prices if a label
promotes their sales. To reach a win-win situation for suppliers and brand
owners, printers need to invest in “Creating Innovations in Labels”!
Written exclusively for Narrow Web Tech, Germany by Harveer Sahni Chairman Weldon Celloplast Ltd. New
Delhi India December 2017.
The above article is restricted for reproduction without permission from the author or Narrow Web Tech, Germany
Huhtamaki-PPL Ltd. or HPPL (Previously
known as Paper Products Limited) is a Rupees 2200 Crores flexible packaging
company in India and is listed on the Indian stock Exchanges since more than 50
years. They are providers of flexible packaging, labels, tube laminate webs, thermo
formable laminates, promotional materials, and gravure cylinders. The parent
company Huhtamaki OYJ is a NASDAQ listed packaging company with a turnover
exceeding 3 Billion Euros. 
