Europe Shrink and Stretch Sleeve Label Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 1.58 Billion |
| Market Size (2029) | USD 1.92 Billion |
| CAGR (2024 - 2029) | 4.00 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Europe Shrink and Stretch Sleeve Label Market Analysis
The Europe Shrink and Stretch Sleeve Label Market size is estimated at USD 1.58 billion in 2024, and is expected to reach USD 1.92 billion by 2029, growing at a CAGR of 4% during the forecast period (2024-2029).
The COVID-19 pandemic and the consequent lockdowns have affected industrial activities across the region. However, the disruptions caused in the first four months of 2020 were expected to result in order delays and increased lead times across the sleeve label supply chain until the second quarter of 2021.
The pandemic has also created a short-term supply pressure on sleeve label players, as raw material suppliers have been functioning at lowered efficiencies. Most packaging companies in Europe were not able to manage full production capacities due to lockdowns in many countries.
- The shelf appeal of a product plays a crucial role in driving its sales, especially in retail stores, and supermarkets. Moreover, with the advent of the 3D modeling technology for packaging, the streamlining of the pre-press process becomes simpler and allows the converter to simulate the appearance of the finished product packaging to brands before they hit the press.
- Further, shrink sleeve labels offer added security and safety for product companies as they cover the container from top to bottom, and incorporate an easy open or guarantee seal on the same label, thereby protecting the contents from being tampered with.
- For example, Brown-Forman Beverages used the Eastman Embrace LV copolyester for shrink film labels, covering the entire 70 cl bottle of Southern Comfort liquor for a limited edition package, which was launched in the United Kingdom. The shrink label includes the neck and cap, acting as a tamper-evident seal and giving the impression of a wrapped gift.
- Shrink-sleeve labels that are either PVC-based or PETG-based have a density higher than water. Hence, they contaminate the recycled PET stream and deteriorate the quality of recycled PET (rPET) products. This has led to increased efforts for developing new polyolefin film structures that float during washing to enable the separation of the label and bottle materials.
- The European Union banned single-use plastic items in 2021. The member states need to achieve a 77% collection target for plastic bottles by 2025 and 90% by 2029. Also, the law requires plastic bottles to contain at least 25% recycled content by 2025 and 30% recycled content by 2030. Such dynamic changes in regulatory standards, especially the ban on plastic, are expected to have an adverse effect on the shrink and stretch sleeve label market in the region.
Europe Shrink and Stretch Sleeve Label Market Trends
This section covers the major market trends shaping the Europe Shrink & Stretch Sleeve Label Market according to our research experts:
PE Segment to Witness Significant Growth
- Polyethylene is the most commonly used material for shrink and stretch wrapping because it is relatively cheap, and can be produced in a wide range of different densities and modified with additives to perform many functions. The vast majority of shrink film is LDPE, and some of the more sophisticated films have blends of LLDPE as well. Sometimes, a small quantity of HDPE material is also added.
- Most market players are launching new labels that offer a wide variety of sustainable solutions to choose from. For instance, in May 2020, UPM Raflatac launched UPM Raflatac Forest Film PE to complement its range of sustainable film labeling solutions. The new PE film label takes UPM Raflatac forward in its quest for a smarter future beyond fossils, decreasing the use of fossil-based virgin raw materials in home and personal care labeling applications.
- Furthermore, Barbier Group, a producer of polyethylene films and recyclers, is fully committed to transition to a more sustainable model. Using recycled polymers in its production process, Barbier Group reduces its carbon impact by reducing its consumption of virgin plastic (fossil fuels). One ton of recycled plastics, when replacing one ton of material from oil, corresponds to a savings of three tons of carbon.
- However, with the decline in the growth of PE, there is a delay in new capacity start-ups. A total of 7.1 million tons of PE were due on stream in the 2020 year, but 2.7 million tons of this was expected to be shifted to 2021 (source: European Commission).
Beverages to Occupy Significant Market Share
- The use of sleeve-format labels has been growing continuously in the beverage end-user segment. This is primarily driven by the growing competition for consumer acceptance.
- There is a growing trend of use of plastic bottles and aluminum cans for beverage products. Aluminum cans are increasingly using shrink sleeves, replacing direct printing. Sleeves provide the brand volume and versioning flexibility. Sustainability, shelf impact, functionality, and digital printing are expected to drive innovation in the use of labels in the beverage industry in the future.
- In order to address sustainability concerns, many companies are launching sleeves in new material formats. Sleever International recently launched the LDPET, a new product for the better recovery of used PET bottles.
- In February 2021, CCL Label launched EcoStretch, a sustainable stretch sleeve option, which, after use, would be recycled at the company’s facility in Austria and returned to the manufacturing process in an entirely closed production loop. The recycling facility would be located at CCL’s Voelkermarkt site in Austria, a hub for the production of stretch and shrink sleeves mainly produced for the dairy, beverage, and home care industries.
- Further, according to the Union of European Beverages Associations (UNESDA), in 2019, the average citizen of an EU member state consumed about 94.7 liters of soft drinks annually. Leading industrialized countries, such as the United Kingdom, see a much higher consumption of soft drinks than the EU average. In 2010, 238.2 liters of non-alcoholic drinks were consumed per person in the European Union, which increased to 243.9 liters per person by 2019. Such instances may lead to substantial market growth.
Europe Shrink and Stretch Sleeve Label Industry Overview
The European shrink and stretch sleeve label market is moderately fragmented. Innovation and ease in deployment and usage, which leads to increased end-to-end customer satisfaction, have been the key factors driving the product innovation and strategies among the market players. The market players are are adopting powerful competitive strategies, such as product development, investments, and acquisitions, to remain relevant in the market.
Europe Shrink and Stretch Sleeve Label Market Leaders
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Berry Global Inc.
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CCL Industries Inc.
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Fuji Seal International Inc.
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Huhtamaki Group
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Amcor PLC
*Disclaimer: Major Players sorted in no particular order
Europe Shrink and Stretch Sleeve Label Market News
- In September 2020, Rani Plast launched RaniCollationShrink EcoL, which is a high-performance beverage shrink film manufactured from 50% recycled raw material, for use primarily in the beverage industry.
- In February 2021, CCL Label launched EcoStretch, a sustainable stretch sleeve option, which, after use, would be recycled at the company's facility in Austria and returned to the manufacturing process in an entirely closed production loop.
Europe Shrink and Stretch Sleeve Label Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Attractiveness - Porter's Five Forces Analysis
4.2.1 Bargaining Power of Suppliers
4.2.2 Bargaining Power of Buyers/Consumers
4.2.3 Threat of New Entrants
4.2.4 Threat of Substitute Products
4.2.5 Intensity of Competitive Rivalry
4.3 Industry Ecosystem Analysis
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Demand to Increase On-shelf Appeal of Various Products
5.1.2 Need for Tamper-evident Protection
5.2 Market Restraints
5.2.1 Changes in Regulatory Standards due to Increasing Environmental Concerns
5.3 Impact of COVID -19 on the Market
6. MARKET SEGMENTATION
6.1 By Type
6.1.1 Heat Shrink Sleeve
6.1.2 Stretch Sleeve
6.1.3 Other Types
6.2 By Material
6.2.1 PVC
6.2.2 PET-G
6.2.3 PE
6.2.4 PP
6.2.5 Other Materials
6.3 By Application
6.3.1 Beverage
6.3.2 Food
6.3.3 Personal Care
6.3.4 Other Applications
6.4 By Country
6.4.1 Germany
6.4.2 France
6.4.3 United Kingdom
6.4.4 Italy
6.4.5 Russia
6.4.6 Poland
6.4.7 Netherlands
6.4.8 Spain
6.4.9 Rest of Europe
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 Berry Global Inc.
7.1.2 CCL Industries Inc.
7.1.3 Klockner Pentaplast Group
7.1.4 Fuji Seal International Inc.
7.1.5 Huhtamaki OYJ
7.1.6 The Dow Chemical Company
7.1.7 Amcor PLC
7.1.8 Clondalkin Group Holdings BV
7.1.9 Westrock Company
7.1.10 Decomatic SA
7.1.11 Oerlemans Plastics
7.1.12 Maca SRL
- *List Not Exhaustive
8. MAJOR MACHINE SUPPLIERS
9. INVESTMENT ANLYSIS
10. FUTURE OF THE MARKET
Europe Shrink and Stretch Sleeve Label Industry Segmentation
Stretch and shrink sleeve labels are polyester or plastic labels that wrap the entire perimeter of a product and conform to the unique geometry of any package. The market study comprises an analysis by type, material, and application. The study also covers various major European countries.
The impact of the COVID-19 pandemic on the key customer sectors and the nature of the product delivery are also provided, and this assessment is done by considering a wide range of regional factors.
| By Type | |
| Heat Shrink Sleeve | |
| Stretch Sleeve | |
| Other Types |
| By Material | |
| PVC | |
| PET-G | |
| PE | |
| PP | |
| Other Materials |
| By Application | |
| Beverage | |
| Food | |
| Personal Care | |
| Other Applications |
| By Country | |
| Germany | |
| France | |
| United Kingdom | |
| Italy | |
| Russia | |
| Poland | |
| Netherlands | |
| Spain | |
| Rest of Europe |
Europe Shrink and Stretch Sleeve Label Market Research FAQs
How big is the Europe Shrink and Stretch Sleeve Label Market?
The Europe Shrink and Stretch Sleeve Label Market size is expected to reach USD 1.58 billion in 2024 and grow at a CAGR of 4% to reach USD 1.92 billion by 2029.
What is the current Europe Shrink and Stretch Sleeve Label Market size?
In 2024, the Europe Shrink and Stretch Sleeve Label Market size is expected to reach USD 1.58 billion.
Who are the key players in Europe Shrink and Stretch Sleeve Label Market?
Berry Global Inc., CCL Industries Inc., Fuji Seal International Inc., Huhtamaki Group and Amcor PLC are the major companies operating in the Europe Shrink and Stretch Sleeve Label Market.
What years does this Europe Shrink and Stretch Sleeve Label Market cover, and what was the market size in 2023?
In 2023, the Europe Shrink and Stretch Sleeve Label Market size was estimated at USD 1.52 billion. The report covers the Europe Shrink and Stretch Sleeve Label Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Europe Shrink and Stretch Sleeve Label Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Europe Stretch and Shrink Sleeve Label Industry Report
Statistics for the 2024 Europe Stretch and Shrink Sleeve Label market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Europe Stretch and Shrink Sleeve Label analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
