by Electronic shelf labels (ESLs) are digital displays that are attached to physical shelves and update prices and product information in real-time. They enhance store operations by eliminating manual label changes and price verification, while also enabling dynamic pricing based on sales and promotions.
The global Electronic Shelf Labels Market is estimated to be valued at US$ 97.92 Mn in 2023 and is expected to exhibit a CAGR of 10% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends
Digitization is driving the adoption of electronic shelf labels across the retail industry. Traditional paper labels require frequent manual updates, which is labor intensive and prone to errors. ESLs enable automated price updates across all store shelves with the push of a button, eliminating the need for staff to print and change labels. They provide improved accuracy and facilitate dynamic pricing strategies. The ability of ESLs to change prices digitally based on sales trends and supply-demand is boosting their popularity among retailers. This technologically advanced labeling solution is revolutionizing retail shelf management and propelling the electronic shelf labels market growth over the forecast period.
SWOT Analysis
Strength: Electronic shelf labels have become popular among retailers as it enables effective inventory management and reduces paper waste. It also allows dynamic pricing updates in real-time.
Weakness: High initial investment required for setting up electronic shelf label infrastructure. Frequent software and hardware upgrades also increase maintenance costs for retailers.
Opportunity: Growth of organized retail sector in developing countries provides opportunities for electronic shelf label suppliers. Increasing focus on reducing carbon footprint is also driving retailers towards adoption of electronic shelf labels.
Threats: Technical issues such as network failures can cause glitches in electronic shelf label operations. Volatility in raw material prices needed for production of electronic displays is a threat.
Key Takeaways
The global Electronic Shelf Labels Market Demand is expected to witness high growth over the forecast period of 2023 to 2030. The global Electronic Shelf Labels Market is estimated to be valued at US$ 97.92 Mn in 2023 and is expected to exhibit a CAGR of 10% over the forecast period 2023 to 2030.
North America is currently the largest as well as the fastest-growing market for electronic shelf labels. Many large retail chains in the US and Canada have completely switched to electronic shelf labels. The Europe electronic shelf labels market is majorly driven by UK and Germany. Strict regulations regarding plastic waste and emphasis on sustainability are influencing retailers’ transition to electronic shelf labels. Several small and medium retailers have also started deploying electronic shelf labels.
Key players operating in the electronic shelf labels market are Pricer AB, SES-imagotag, Displaydata Ltd., Altierre, Teraoka Seiko, Hanshow Technology, and E Ink. Pricer leads the global market with over 30% share. SES-imagotag follows Pricer as the second largest player globally. These companies are focusing on expansion in Southeast Asia and Latin America to tap high-growth opportunities.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
