Stretch Sleeve & Shrink Sleeve Labels Market Report 2025

The stretch sleeve & shrink sleeve labels market size has grown strongly in recent years. It will grow from $15.53 billion in 2024 to $16.59 billion in 2025 at a compound annual growth rate (CAGR) of 6.8%. The growth in the historic period can be attributed to brand differentiation, product visibility, regulatory compliance and labeling requirements, consumer convenience, sustainability initiatives.

The stretch sleeve & shrink sleeve labels market size is expected to see strong growth in the next few years. It will grow to $21.67 billion in 2029 at a compound annual growth rate (CAGR) of 6.9%. The growth in the forecast period can be attributed to increasing adoption in beverage industry, rise in e-commerce packaging, focus on recyclability, emergence of smart packaging, globalization and standardization. Major trends in the forecast period include increasing demand for sustainable packaging, advanced printing technologies, e-commerce packaging solutions, smart packaging integration, regulatory compliance and labeling standards.

The rising demand in the food and beverage industry is expected to accelerate the growth of the stretch sleeve and shrink sleeve label markets. The food and beverage industry encompasses all businesses involved in the processing, packaging, and distribution of uncooked food. Stretch sleeve labels and shrink sleeve labels are commonly used in this sector for packaging and branding, made from flexible materials that can stretch or shrink to fit snugly around containers, offering 360-degree visibility. For instance, in October 2024, the World Bank Group, a US-based international trade and development organization, projected that the global population will reach 10 billion by 2050. This growth will require a 60% increase in food production to meet rising demand while addressing the challenges posed by climate change. Thus, the increasing demand in the food and beverage industry is driving the expansion of the stretch sleeve and shrink sleeve label markets.

The growth of e-commerce is expected to significantly boost the stretch and shrink sleeve labels market. E-commerce encompasses the buying and selling of goods and services online, including business-to-consumer (B2C), business-to-business (B2B), consumer-to-consumer (C2C), and government-to-citizens (G2C) transactions. Stretch sleeve and shrink sleeve labels are crucial for e-commerce packaging as they protect products during shipping and handling. These labels are ideal for this sector because they provide a seamless finish, can be printed with high-quality graphics and text, and offer excellent tamper-evident and moisture-resistant properties. For example, in 2024, the International Trade Administration (ITA), a US-based government agency, reported that global e-commerce revenue reached $3.6 trillion in 2023, with projections estimating growth to $5.5 trillion by 2027, representing a compound annual growth rate (CAGR) of 14.4%. Thus, the increasing growth of e-commerce is driving the expansion of the stretch and shrink sleeve labels market.

The stretch sleeve and shrink sleeve label market are witnessing a notable trend of product innovations. Companies within this market are embracing inventive solutions to maintain their competitive positions. For instance, in January 2023, CCL Industries Inc., a Canadian company renowned for manufacturing extensive labels, unveiled a stretch sleeve with a thickness of 30 microns. This ultra-thin stretch sleeve was designed for exceptional durability, standing out with its 30-micron thickness compared to the 'standard' 45-micron sleeves. The reduced use of raw materials contributes to a lower carbon footprint for the product.

Major companies in the sleeve and shrink sleeve label markets are increasingly focusing on innovative solutions like recyclable packaging to enhance sustainability and meet the rising consumer demand for eco-friendly products. Recyclable packaging refers to materials that can be processed and reused, thereby reducing waste and conserving resources. For example, in February 2024, CCL Label, a Canada-based label manufacturer, launched EcoFloat WHITE, a low-density polyolefin shrink sleeve specifically designed for light-sensitive dairy products. This innovation improves packaging recyclability while preserving essential branding and functionality. The low-density sleeve floats during the recycling process, enabling effective separation from PET flakes, which helps reclaim high-quality, food-grade PET for new bottle production. This development exemplifies the broader trend toward sustainable packaging solutions that minimize environmental impact while addressing consumer expectations for safety and transparency.

In April 2024, ProMach, a US-based machinery manufacturing company, acquired Etiflex for an undisclosed sum. This acquisition enhances ProMach's operational capabilities and strategically bolsters its presence in the North American market. Etiflex is a US-based firm that specializes in producing pressure-sensitive labels, tickets, and RFID (Radio-Frequency Identification) labels.

Major companies operating in the stretch sleeve & shrink sleeve labels market include Berry Global Inc., CCL Industries Inc., Huhtamäki Oyj, Klöckner Pentaplast Group, Fuji Seal International Inc, Hammer Packaging Corp., Sleeveco Inc., Amcor PLC, Fort Dearborn Company, Clondalkin Group Holdings B.V., Taghleef Industries LLC, Bonset America Corporation, Edwards Label Inc., Polysack Flexible Packaging Ltd., Westrock Company, Sonoco Products Company, Albea Group, Pactiv LLC, Takween Advanced Industries Company, Al Jabri Plastic Factory, Avery Dennison Corporation, Comexi Group Industries S.L.U., Constantia Flexibles Group GmbH, Coveris Holdings S.A., Dow Inc., Inland Label & Marketing Services LLC, Innovia Films, IPL Plastics Inc., Label Impressions Inc., Labelcraft Products Ltd., Mondi Group, Resource Label Group LLC, UPM Raflatac, WS Packaging Group Inc.

Asia-Pacific was the largest region in the stretch and shrink sleeve label market in 2024. The regions covered in the stretch sleeve & shrink sleeve labels market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the stretch sleeve & shrink sleeve labels market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Stretch and shrink sleeve labels are plastic or polyester labels designed to wrap around the entire perimeter of a product, conforming to the unique shape of the packaging. These flexible labeling solutions serve multiple purposes, including enhancing brand image, providing product details, and offering protection in diverse sectors.

The primary types of stretch sleeve and shrink sleeve labels include shrink sleeves and stretch sleeves. Stretch sleeves are crafted from a recyclable material, specifically polyethylene, making them an ideal choice for businesses prioritizing sustainability. These labels utilize various polymer films, including PVC, PETG, OPS, PE, and other polymer films. They feature different embellishing types such as hot foil, cold foil, and other embellishing methods, and leverage various printing techniques such as rotogravure, flexography, digital printing, and other printing technologies. These labels find applications across a spectrum of industries, including food, soft drinks, alcoholic beverages, cosmetics and household products, pharmaceuticals, and other sectors.

The stretch sleeve & shrink sleeve labels market research report is one of a series of new reports that provides stretch sleeve & shrink sleeve labels market statistics, including stretch sleeve & shrink sleeve labels industry global market size, regional shares, competitors with a stretch sleeve & shrink sleeve labels market share, detailed stretch sleeve & shrink sleeve labels market segments, market trends and opportunities, and any further data you may need to thrive in the stretch sleeve & shrink sleeve labels industry. This stretch sleeve & shrink sleeve labels market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The stretch and shrink sleeve label market consists of sales clear sleeves, printed sleeves, tamper-evident sleeves, perforated sleeves, and dual-layer sleeves. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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