Thermal Paper Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 4.30 Billion |
| Market Size (2029) | USD 6.80 Billion |
| CAGR (2024 - 2029) | 9.60 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
| Market Concentration | Low |
Major Players.webp)
*Disclaimer: Major Players sorted in no particular order |
Thermal Paper Market Analysis
The Thermal Paper Market size is estimated at USD 4.30 billion in 2024, and is expected to reach USD 6.80 billion by 2029, growing at a CAGR of 9.60% during the forecast period (2024-2029).
- Thermal paper has gained significant importance due to the increasing demand for labeling in the food and beverage industry. This trend is driven by the need to standardize the quality of packaged items and ensure compliance with regulatory requirements. The increased adoption of thermal paper in applications like label printing is a significant factor driving market growth. Thermal paper provides benefits such as durability, resistance to environmental factors, and high-quality printing, making it well-suited for food packaging labels. Additionally, the rise of e-commerce and home delivery services has further boosted the demand for thermal paper labels in the food and beverage industry, providing precise and long-lasting information for consumers and logistics operations.
- Point-of-sale (POS) systems are gaining widespread adoption in the foodservice and retail industries, offering integrated time clock and inventory management functionalities. The fast-paced modern lifestyle has increased the use of thermal paper for applications such as tickets and passes across various industries. This trend, coupled with growing environmental concerns, is driving demand for eco-friendly paper alternatives. The shift toward sustainable options is expected to stimulate innovation in the paper industry and contribute to market growth as businesses align their operations with sustainability goals while meeting consumer expectations for convenience and efficiency.
- The pharmaceutical industry's increasing need for precise labeling is expected to drive growth in the thermal paper market. Thermal paper labels convey essential information such as expiration dates, production dates, bar codes, and product composition for medications, injections, and pharmaceutical equipment. These labels offer advantages, including high-quality printing, durability, and efficiency in production. The growing focus on patient safety and regulatory compliance has further emphasized the importance of accurate and detailed pharmaceutical labeling, making thermal paper an essential component in the industry's labeling processes.
- Environmental regulations imposed on dye manufacturing plants have restricted dye production, hindering the overall growth of the thermal paper market. These constraints have led to reduced output and limited the expansion potential of thermal paper businesses. Consequently, fluctuations in raw material costs within the thermal paper market are considered a primary constraint to market expansion. The volatility in prices of essential components used in thermal paper production creates uncertainty for manufacturers and affects their ability to maintain consistent profit margins.
- Rising online transactions in e-commerce applications primarily drive this trend. The growing consumer preference for digital shopping experiences is leading to a gradual decline in demand for traditional paper receipts. E-commerce platforms and retailers are increasingly offering electronic receipts as an environmentally friendly and convenient alternative. This trend may reduce the long-term demand for thermal paper products in specific market segments.
- Companies are innovating new thermal paper labels for various applications. For instance, in September 2023, Appvion announced the launch of its latest innovation, Résiste SR, a pre-siliconized direct thermal facestock that aims to improve performance and reliability in the label industry. By eliminating paper liners, Résiste SR simplifies the labeling process, making it more efficient and cost-effective for businesses of all sizes. The product is manufactured using a solvent-free, emulsion-based thermal cure silicone release. Résiste SR is compatible with various pressure-sensitive label adhesives for linerless applications across multiple industries, including foodservice, mobile printing, logistics, healthcare, and manufacturing.
Thermal Paper Market Trends
POS to Hold Significant Market Share
- The point-of-sale (POS) end-user industry is projected to proliferate during the forecast period, driven by the increasing global billing requirements in the retail industry. This growth is attributed to the rising adoption of digital payment methods and the need for efficient transaction processing systems. The worldwide expansion of supermarkets and hypermarkets is expected to boost POS terminal applications and fuel market growth. These large-format retail stores require sophisticated POS systems to manage high transaction volumes and inventory tracking. In the United States, chain supermarkets dominate grocery retail, contributing significantly to the demand for advanced POS solutions.
- The increasing preference for self-checkout systems and contactless payment options in these stores further drives the market growth. Sales in the supermarket and other grocery store categories in the United States rose from USD 728.86 billion in 2020 to USD 846.48 billion in 2023, generating substantial demand for thermal paper in POS systems. This growth in sales underscores the importance of reliable and efficient POS solutions in the retail industry, particularly for printing receipts and transaction records.
- The increasing digitization in emerging economies like India has led to a higher demand for point-of-sale (POS) systems, consequently boosting the market for thermal paper rolls. This trend is particularly evident in retail, hospitality, and banking, where POS systems are becoming increasingly prevalent. The adoption of digital payment methods and the need for instant transaction receipts have further accelerated this demand. Additionally, the rising importance of product marking as a measure against counterfeiting has increased the demand for thermal paper rolls. Industries such as pharmaceuticals, luxury goods, and electronics are increasingly using thermal paper for labels and packaging to incorporate security features like holograms and QR codes.
- These measures not only help in tracking products throughout the supply chain but also enable consumers to verify the authenticity of their purchases. Furthermore, the environmental concerns associated with traditional paper production have led to the development of eco-friendly thermal paper options. These sustainable alternatives, often made from recycled materials or featuring chemical-free coatings, are gaining traction in environmentally-conscious markets, opening new avenues for growth in the thermal paper market.
- Thermal paper's superior printing capabilities and fade-resistant finish are ideal for various applications, including POS food labeling and barcode printing in manufacturing and shipping. Its durability, versatility, and efficiency in high-traffic areas have increased global demand across multiple industries, including retail, logistics, healthcare, and hospitality. Thermal paper's resistance to environmental factors and cost-effectiveness further contribute to its growing popularity in diverse applications.
- The shift from traditional transactional methods to point-of-sale (POS) systems, driven by increasing data volumes across industries, is propelling the growth of the thermal paper market. POS terminals enhance business reliability by reducing errors in financial transactions and inventory management. The retail industry's expansion and increased demand for receipt and bill printing in various establishments further contribute to market growth. Mobile POS terminals, widely used in transportation ticketing and inventory management across different sectors, are expected to sustain product demand in the coming years.
Asia is the Fastest Growing Market for Thermal Paper
- Asia dominates the thermal paper market due to increased consumer demand for conveniently available products and the rise of retail chains in the region. China, a significant Asian market shareholder, has experienced remarkable growth in its industries over the past few decades. The region's growing industrial activity has increased the demand for thermal paper in labeling applications. The expanding market for FMCG (fast-moving consumer goods) in developing nations has necessitated increased manufacturing capacity. Consequently, the volume of transactions at retail outlets has driven up the demand for thermal paper.
- India's industrial labels market shows significant potential due to increasing market growth and recovery. The government is supporting the market by educating consumers about proper labeling practices. Additionally, the rising trend of online shopping and improved warehouse operations are expected to boost the market during the forecast period. According to IBEF, India's e-commerce industry is projected to reach USD 350 billion by 2030.
- The food and beverage industry is projected to be the largest consumer of thermal paper in Asia, driven by the growing demand for packaged food products in the expanding economies of China and India. This trend boosts the need for specialty labels and tags, positively impacting the thermal paper market. Integrating Industry 4.0 technologies with print and label applicators enables real-time monitoring in the food and beverage industry, further enhancing demand. Thermal paper's versatility in food packaging labels, expiration date printing, and receipts, coupled with the focus on food safety and traceability, contributes to its increasing adoption in the region.
- Furthermore, India's pharmaceutical market was valued at USD 49 billion in 2022, with projections indicating it could reach USD 450 billion by 2047. The market is expected to register a CAGR of 9% in the coming years. This growth trend creates demand for thermal paper labels to enhance product safety and prevent counterfeiting. The expanding pharmaceutical industry in India is driving the need for secure packaging solutions, including thermal paper labels. These labels are crucial for maintaining product integrity, tracking inventory, and ensuring authenticity throughout the supply chain. As the market grows, the demand for high-quality thermal paper labels is expected to increase, supporting regulatory compliance and consumer safety in the pharmaceutical industry.
Thermal Paper Industry Overview
The thermal paper market is fragmented, with several global and regional players, such as Ricoh Company Ltd, Appvion LLC, Koehler Paper SE, and Hansol Paper Co., vying for attention in a contested market space. This market is characterized by low product differentiation, growing levels of product penetration, and high levels of competition.
- May 2024 - Appvion launched EarthChem, a portfolio of sustainable direct thermal products designed to transform the paper industry. The EarthChem range includes various paper and film direct thermal products, reflecting the company's dedication to sustainability and environmental responsibility.
- September 2023 - Hansol broadened its direct thermal facestock range by introducing products with bisphenol S (BPS)-free and phenol-free developers. The company also developed new offerings, including thermal transfer paper for facestock, clay-coated kraft (CCK) paper, and supercalendered kraft (SCK) paper for a release liner.
- June 2023 - Appvion expanded its next-generation technology product line by introducing CleanSlate, a direct thermal film that improves traditional direct thermal performance by enhancing environmental durability. Appvion's CleanSlate film is compatible with standard direct thermal printers for pressure-sensitive labels. The distinctive color of CleanSlate makes it easily identifiable as a direct thermal film that does not contain phenolic developers.
Thermal Paper Market Leaders
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Ricoh Company, Ltd.
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Appvion, LLC.
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Koehler Paper SE
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Hansol Paper Co., Ltd
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Thermal Solutions International, Inc.
*Disclaimer: Major Players sorted in no particular order
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Thermal Paper Market News
- April 2024 - Kite Packaging unveiled its latest line of thermal labels and printers, expanding its product portfolio. The new range includes a variety of direct thermal and thermal transfer printers, complemented by consumables, labels, and ribbons. Designed to cater to diverse budgets and needs, Kite's offerings are tailored for start-ups, mid-sized enterprises, and large corporations.
- April 2024 - Lecta introduced a new thermal facestock designed explicitly for linerless label production. By eliminating the traditional liner, linerless labels offer a significant opportunity to reduce waste in the labeling industry. This Ineris-certified, top-coated, phenol-free facestock is suitable for barcode and variable printing applications in logistics and retail, providing high-quality and durable results. The thermal facestock meets stringent quality standards and offers resistance to environmental factors. Its moisture- and grease-resistant properties make it suitable for various applications, including logistics, retail environments, supermarket scales, food packaging, fast-food restaurants, and take-out orders.
Thermal Paper 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
4.2.3 Threat of New Entrants
4.2.4 Threat of Substitutes
4.2.5 Intensity of Competitive Rivalry
4.3 Industry Stakeholder Analysis
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Increasing POS Utility in Services for Billing Operations
5.1.2 Robust Durability and Print Precision Offered by the Thermal Paper
5.2 Market Restraints
5.2.1 Fluctuating Raw Material Prices Affecting the Production
5.3 Market Challenges
5.3.1 Increase in Digital Receipt Due to Rising Online Transactions for E-commerce Applications
6. MARKET SEGMENTATION
6.1 By End-user Industry
6.1.1 Point-of-Sale (POS)
6.1.2 Labels
6.1.3 Entertainment
6.1.4 Medical and Pharmaceutical
6.1.5 Other End-user Industries
6.2 By Geography***
6.2.1 North America
6.2.2 Europe
6.2.3 Asia
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles*
7.1.1 Ricoh Company Ltd
7.1.2 Oji Holdings Corporation
7.1.3 Appvion LLC
7.1.4 Koehler Paper SE
7.1.5 Mitsubishi HiTec Paper Europe GmbH
7.1.6 Hansol Paper Co. Ltd
7.1.7 Henan JiangHE Paper Co. Ltd
7.1.8 Kanzaki Specialty Papers Inc.
7.1.9 Thermal Solutions International Inc.
7.1.10 Paper Rolls Plus
7.1.11 Jujo Thermal Ltd
7.1.12 NAKAGAWA Manufacturing (USA) Inc.
7.1.13 Panda Paper Roll
7.1.14 Bizerba SE & Co. KG
7.1.15 Rotolificio Bergamasco SRL
7.1.16 Twin Rivers Paper Company Inc.
7.1.17 Iconex LLC
7.1.18 Telemark Diversified Graphics
8. INVESTMENT ANALYSIS
9. FUTURE OF THE MARKET
Thermal Paper Industry Segmentation
Thermal paper is a specialized recording medium for thermal printers that produces images without ink when exposed to heat. Its heat-sensitive coating changes color to black, enabling direct image creation through thermal energy transfer. This technology eliminates the need for ink cartridges or ribbons, making it cost-effective and low-maintenance. Thermal paper coatings consist of dyes and developers that react to heat and are commonly used in point-of-sale systems, receipt printers, ticketing machines, and medical equipment. The prints are sharp and durable but may fade if exposed to heat or sunlight. Despite environmental sensitivities, thermal paper remains famous for its convenience and reliability across various industries.
The thermal paper market is segmented by end-user industry (POS, labels, entertainment, medical and pharmaceutical, and other end-user industries) and geography (North America, Latin America, Europe, Asia, and Middle East and Africa). The market sizes and forecasts are provided in terms of value (USD) for all the above segments).
| By End-user Industry | |
| Point-of-Sale (POS) | |
| Labels | |
| Entertainment | |
| Medical and Pharmaceutical | |
| Other End-user Industries |
| By Geography*** | |
| North America | |
| Europe | |
| Asia |
Thermal Paper Market Research FAQs
How big is the Thermal Paper Market?
The Thermal Paper Market size is expected to reach USD 4.30 billion in 2024 and grow at a CAGR of 9.60% to reach USD 6.80 billion by 2029.
What is the current Thermal Paper Market size?
In 2024, the Thermal Paper Market size is expected to reach USD 4.30 billion.
Who are the key players in Thermal Paper Market?
Ricoh Company, Ltd., Appvion, LLC., Koehler Paper SE, Hansol Paper Co., Ltd and Thermal Solutions International, Inc. are the major companies operating in the Thermal Paper Market.
Which is the fastest growing region in Thermal Paper Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Thermal Paper Market?
In 2024, the North America accounts for the largest market share in Thermal Paper Market.
What years does this Thermal Paper Market cover, and what was the market size in 2023?
In 2023, the Thermal Paper Market size was estimated at USD 3.89 billion. The report covers the Thermal Paper Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Thermal Paper Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Thermal Paper Industry Report
Statistics for the 2024 Thermal Paper market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Thermal Paper analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
