Spoil Detection Based Smart Label Market Size, Share Global Analysis Report, 2024 – 2032

Industry Insights

[221+ Pages Report] According to Facts and Factors, the global spoil detection based smart label market size was valued at USD 1,023.56 million in 2023 and is predicted to surpass USD 3,079.72 million by the end of 2032. The spoil detection based smart label industry is expected to grow by a CAGR of 13.02% between 2024 and 2032.

Market Overview

Spoil detection based smart labels are tags designed to monitor the quality and freshness of the products, especially perishable items like pharmaceuticals and food. These labels consist of sensor technology to look for changes in environmental conditions like humidity, temperature, gas levels, and others.

These sensors help in data processing to keep the check on the product’s freshness. These sensors are also well equipped with communication capabilities like RFID, NFC, etc., to establish data exchange between smartphones, tablets, and others.

These solutions have emerged as an ideal tool for traceability to track the movements of products in the supply chain. These sensors also help in reducing food wastage, enhancing consumer trust, and checking for food safety.

Key Insights

• As per the analysis shared by our research analyst, the global spoil detection based smart label market size is estimated to grow annually at a CAGR of around 13.02% over the forecast period (2024-2032).
• In terms of revenue, the global spoil detection based smart label market size was valued at around USD 1,023.56 million in 2023 and is projected to reach USD 3,079.72 million by 2032.
• Growing demand for food safety is driving the growth of the global spoil detection based smart label market.
• Based on the end-users, the time-temperature indicator segment is growing at a high rate and is projected to dominate the global market.
• Based on the applications, the processed foods segment is projected to swipe the largest market share.
• Based on the types, the pharmaceutical segment is expected to dominate the global market.
• Based on region, North America is expected to dominate the global market during the forecast period.

Growth Drivers

• Growing demand for food safety is expected to drive the growth of the global market.

The increasing incidences of foodborne diseases are driving the growth of the global spoil detection based smart label market during the forecast period. Also, the increasing focus of food companies and the government on food safety is further boosting the need for spoil detection-based label solutions. These solutions help in real-time monitoring to avoid food contamination and spoilage.

Also, consumers are demanding fresh products, especially in the food and beverage sector. These labels offer transparency and assurance of the food products. Regulatory bodies all across the globe are deploying solutions to trace the products across the supply chain.

Furthermore, the advancements in sensor technology, wireless communication, and data analytics are expected to accentuate the growth of the industry. Food waste is a big challenge worldwide, and therefore, these solutions help in addressing the issue effectively by predicting the shelf life of the products and other inventory management practices.

All these factors are likely to propel the growth of the market significantly. For instance, Timestrip UK Ltd came up with a newly launched vaccine temperature indicator in September 2021 to reduce vaccine supply wastage.

Restraints

• High cost is likely to hamper the growth of the global market.

High initial costs are likely to hinder the growth of the spoil detection based smart label industry. Implementing spoil detection solutions requires heavy upfront investments, which deters price-sensitive businesses. Moreover, people are not highly aware of the advantages of these systems, which further hinders their adoption.

Opportunities

• Increasing investments are likely to foster growth opportunities in the global market.

Increasing investments is a major factor expected to deeply impact the growth trajectory of the global spoil detection based smart label market during the forecast period. These investments accentuate the research and development activities that are fostering product innovation in the market.

Also, the growing partnerships between industry players and technology providers are further boosting the adoption of spoil detection-based smart labels in the market.

For instance, CCL Industries Inc. took over Lodging Access System and International Master Products in January 2022. The acquiring company is a world leader in specialty label and packaging solutions.

Challenges

• Integration complexity is a big challenge in the global market.

Integrating spoil detection solutions into legacy systems is a big challenge in the spoil detection based smart label industry. The rising compatibility issues in supply chain infrastructure are causing hindrances in the industry.

Segmentation Analysis

The global spoil detection based smart label market can be segmented into end-users, applications, types, and regions.

End-users Insights

By end-users, the market can be segmented into pathogens detection indicators, carbon dioxide indicators, oxygen indicators, time-temperature indicators, and others. The time-temperature indicator segment accounts for the largest share of the spoil detection based smart label industry. The time-temperature indicators assist in detecting the type of soil based on a smart label that analyzes both the temperature and time of the perishable products, thereby helping in concluding whether the product is safe for consumption or not.

Time-temperature indicators are effective tools that help businesses and consumers make informed decisions regarding product safety and quality. Also, these indicators are widely used across various end-user sectors like cosmetics, pharmaceuticals, sports, and others where analyzing product integrity and safety is critical. The reliability and versatility of these indicators make them ideal for monitoring perishable goods throughout the supply chain.

Applications Insights

By applications, the market can be segmented into personal care & hygiene, face makeup & cosmetics, clinical trial samples, pharmaceutical drugs, vegetables, processed foods, dairy products, meat, fish, and others. Processed food is the fastest-growing segment in the global spoil detection-based smart label market during the forecast period. Increasing consumer awareness regarding food safety is a major reason for the high growth rate of the segment.

The spoiled detection based smart labels offer alerts for contamination and humidity, thereby helping companies address these issues and enhance consumer confidence. The sector is highly prone to strict regulations and standards, which poses a huge requirement for these solutions.

Smart labels help companies align with the regulations by offering accurate analysis of critical parameters throughout the transport journey of the products. Smart labels offer important insights into inventory management. These insights help companies reduce costs, minimize waste, and enhance the entire operational efficiency. Moreover, the growing modernization and urbanization are fostering demand for packaged and processed food items, which in turn is also expected to widen the scope of the segment during the forecast period.

Type Insights

By type, the market can be segmented into logistics, cosmetics & personal care, pharmaceuticals, food & beverages, and others. The pharmaceutical segment is expected to dominate the spoil detection based smart label industry during the forecast period. Regulations imposed by the government and regulatory bodies on food items significantly accentuate the demand for spoiled detection base smart labels for product safety. Moreover, these tools help organizations monitor various external factors like integrity, humidity, and temperature during transportation and storage.  

Pharmaceutical products, particularly biologics, are highly sensitive and therefore pose demand for spoil detection based smart label solutions. Also, these labels are very well equipped with indicators and sensors to prevent spoilage and maintain product efficacy. The smart label helps pharmaceutical companies taste products throughout the whole supply chain to keep them in check throughout the whole journey. This optimization helps in avoiding counterfeiting, spillage, and other associated risks.

Technology Insights

By technology, the market can be segmented into NFC, RFID, ensing labels, and others. The RFID segment is likely to witness huge developments in the coming years. RFID is the acronym for radio frequency identification, which helps track and monitor products. RFID is an affordable technology that is highly beneficial for different sectors like pharmaceuticals, where there is a high requirement for visibility of products throughout their movements. Moreover, the advancements in RFID technology are making them more accessible.

The constant research and development activities also improve its performance like durability, reliability, and read range also contributing towards its high growth rate. RFID is likely to play a role in Industry 4.0 and IOT by enabling communication between devices and systems. It helps in forging seamless data exchange and process automation across different manufacturing operations.

Report Scope

Regional Analysis

• North America to dominate the global market

North America accounts for the largest share of the global spoil detection based smart label market during the forecast period. The region is known to have strict regulations regarding food and safety. The implementation of the Food Safety Modernization Act in the United States is one of the major reasons for the high growth rate of the regional market.

The act focuses on preventive measures and quality assurance across the supply chain. Food companies adopt spoil detection based smart label solutions to comply with these regulations. Various factors like growing consumer awareness, rising issues regarding food waste, ongoing technological advancement, and many others are contributing heavily towards the high growth rate of the regional market in the coming years.

Asia Pacific is also expected to see significant developments in the forthcoming years because of the fast-moving food industry in the region. The region is home to diverse and fast-growing food markets like Japan, South Korea, China, and India. The growing disposable income in these countries significantly drives the demand for processed food, which poses huge requirements for spoiled detection based smart label solutions to look after the food quality and safety.

Furthermore, retailers and food manufacturers are adopting these solutions for reliability in order to improve the operational efficiency in the supply chain. Also, technological advancements and growing awareness among people are expected to accentuate the growth of the regional market. For instance, SpotSee successfully acquired Biosynergy Inc in January 2022. Former is a company offering solutions that protect life science products against damage.

Competitive Analysis

The key players in the global spoil detection based smart label market include:

• Avery Dennison Corporation
• Scanbuy Inc.
• Zebra Technologies Corporation
• CCL Industries Inc.
• Invengo Information Technologies Co. Ltd.
• Smartrac N.V.
• Thinfilm Electronics ASA
• SATO Holding AG
• Evigence Sensors
• Insignia Technologies

For instance, Avery Dennison Corporation took over linerless label technology in March 2022. The technology is innovated by Catchpoint Ltd. It is a UK-based company in Yorkshire.

The global spoil detection based smart label market is segmented as follows:

By End-Users Segment Analysis

• Pathogens Detection Indicators
• Carbon Dioxide Indicators
• Oxygen Indicators
• Time-Temperature Indicators
• Others

By Applications Segment Analysis

• Personal Care & Hygiene
• Face Makeup & Cosmetics
• Clinical Trial Samples
• Pharmaceutical Drugs
• Vegetables
• Processed Foods
• Dairy Products
• Meat
• Fish
• Others

By Types Segment Analysis

• Logistics
• Cosmetics & Personal Care
• Pharmaceuticals
• Food & Beverages
• Others

By Regional Segment Analysis

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • Australia
  • Southeast Asia
  • Rest of Asia Pacific
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • Kuwait
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America