Spoil Detection-based Smart Labels Market Size

Spoil Detection Based Smart Labels Market Analysis

The Spoil Detection-based Smart Labels Market size is estimated at USD 1 billion in 2024, and is expected to reach USD 1.68 billion by 2029, growing at a CAGR of 11.09% during the forecast period (2024-2029).

Smart labels are becoming one of the most popular technologies across the pharmaceutical, food, and cosmetics industries. They are viewed as an ideal means to achieve greater efficiencies and profitability while providing the authenticity of an item and its traceability.

• Smart labels provide detailed information about individual items in less time and offer real-time information. They also ensure authenticity and supply chain integrity while creating new opportunities for brands to engage with customers. The rising customer preference for hygienic food materials and the ability to quickly detect the degree of freshness is expected to drive the demand in the spoil detection-based smart labels market over the forecast period.
• The increased food and pharmaceutical recalls in recent years have raised global awareness about the genuine challenges of maintaining safe product temperature ranges during the production, handling, and administration of specific 'cold chain' goods. In January 2020, FUSION IV Pharmaceuticals Inc. dba. AXIA Pharmaceutical voluntarily recalled all unused sterile drug products within expiry, to the user level, due to a lack of assurance of sterility.
• Further, the emergence of the COVID-19 pandemic has led to an increase in visible behavioral changes due to a higher inclination toward safe and traceable food on e-commerce platforms and raised public consciousness about health and safety in general.
• According to an IBM study (2020), approximately 71% of consumers were willing to pay an additional average premium of around 37% for companies providing full transparency and traceability of their products. Under such conditions, end-to-end visibility within the supply chain has become one of the top priorities for businesses seeking to build trust with their consumers, where blockchain and IoT are expected to make a significant impact.
• Smart labels in the pharmaceutical, healthcare, and food industries are buoyed by the increasing need to track and maintain the quality of the products in these industries. Some smart labels are also equipped to detect spoilage, especially during transit. Many kinds of sensors are integrated into these labels, such as optical, ultrasonic, and active sensors. They are durable and provide information about moisture, temperature, movement, location, and many other factors.
• Companies deploying such sensors can use them to check the products' condition to prevent spoilage and validate their freshness. Companies may also check the temperature of storage facilities to avoid spoilage.