As converters eye the developing success of the nutraceuticals industry, with products offered in the form of capsules, beverages, powders and foods, they also take note of what qualities the consumer seeks in a label and packaging. Two of the most important qualities in a package are convenience and portability, so flexible packaging is showing its muscle in this product segment with many ready-to-eat, individually packaged energy bars and snacks.
On the substrate side, paper rules. This popular material is less expensive than its alternatives and serves the purpose for many nutraceutical bottled products. If strength or gloss is required, there are numerous coatings available to achieve a desired look. In addition, due to a trend toward distinct shapes in the packaging arena, unsupported film is making its way into the nutraceuticals market and interest in heat shrinkable labels is reaching a peak. "In the past shrink material was used mainly for tamper evidence, with PVC shrink bands. Now this material has expanded into other areas for decorating purposes. It allows for more unique containers, as it conforms to the bottle," said Jim Malen, director-hannel sales, CMS Gilbreth Packaging Systems, Croydon, PA.
Joan Zeigler, marketing director, accounts manager, Gamse Lithographing, Baltimore, MD, provided her opinion on this up and coming material. "Film clings to a bottle more and can ensure a consistent performance and appearance," she said. "Today the use of different shaped bottles are seen more often, while before they were limited to basic shapes. Shrink film is ideal for these types of applications."
In addition to labels, this growing film trend has also created an expanding market for shrink wrap packages for bulk items and bonus packs. "With an increase in stores such as Sam's and Price Club, clear bonus packs have really taken off. It creates another billboard for additional advertising, where before carton packaging would obstruct the viewing of the product," said Ms. Zeigler. "With clear film you can put a number of products together and still be able to see the product through the wrap."
Foils, holograms and high gloss are other popular requests in this competitive market. "There are a lot more foils being requested, like golds and silvers, to provide a richer, more expensive look," said Jeffrey Vaughan, president, Elmark Packaging, Westchester, PA. To achieve a sharp shine and high gloss appeal, the company relies on a UV varnish on top of its paper pressure sensitive labels. For the nutraceutical market, Elmark Packaging converts pressure sensitive labels for bottled products such as gel caps, capsules and tablets. The company also sells label applicators, a segment which Mr. Vaughan says has greatly improved in the last two years.
Expanding The Possibilities
In a market dependent on its ingredients, nutraceutical labels are filled with loads of nutritional information. On top of it all are mandated FDA disclaimers and possible structure function claims. So how does a supplement manufacturer fit all of this information and still maintain explosive graphic appeal? The answer many converters are discovering is expanded content or booklet labels. Although not the average request of many end users, these fold-out and peel-back labels are indeed on the horizon. "We offer multiple-page text labels, but the requests from our customers for this product are not at a high point as of yet," said Mr. Vaughan. "It's a great way to provide more information on the label and may possibly take away from the packaging side of the product."
Ampersand Label, Garden Grove, CA, has observed the great potential for added content labeling and recently developed its own patent pending product "Multivision." With its easy-open pull tab, this innovative label promotes instant access to information at the point of sale. A special resealing mechanism allows for multiple viewings without altering the condition of the label. "Multivision" is available in a single- or double-fold configuration.
Still high on the expanded label charts is the patented "Spinformation" label from CCL Label, Rosemont, IL. The design incorporates a dual-ply construction, in which the top or rotating ply carries a clear or open window that rotates as the consumer turns it. As the outer label rotates, important product information and graphics are revealed on the stationary base label. "Customers want to get more graphics on the container in the most economical and efficient way. It is consumer friendly and easier to put on a bottle than a fold-out label," said Ted Wade, account executive for the Rexall-Sundown account for CCL Label.
The expanded label format is taking on new dimensions. Innovative Folding Carton, South Plainfield, NJ, in conjunction with Label Express, offers customers a new label product called "Reveal Estate." With this particular innovation, the consumer is able to take a corner of the label and peel it away to reveal added product information. The label can then be resealed easily for future use. "Reveal Estate is a way of making an extended label without the high cost of an extended label," commented Dan Stolfi, executive vice president of sales and marketing.
Label Graphics, Little Falls, NJ, recently entered the multi-layer label market with a product of its own. "We see this area greatly expanding and that's why we are pushing ourselves to service this niche market. We already have the capability to achieve higher quality and enhanced appeal," said company president Tom Silvano.
Larry Begelfer, business development manager, York Tape & Label, York, PA, said the introduction of multilingual labels is also pushing the demand for outserts or booklet labels. Security features are another trend, added Mr. Begelfer. "This is a very proprietary process," he explained. "We use covert features to combat look-alike and counterfeit products. This helps locate false products, as well as protect the public."
Aside from expanded labels and security features, bright and vibrant colors are everything. "Color is big," said Paulette Carnes, vice president of sales and marketing for Ampersand Label. "Customers are asking for seven colors and above. That's why most of our newer presses will be eight colors and above. Shelf appeal is everything," she added.
Mr. Begelfer also commented on the battle for shelf space. "In the past labels in this market were very generic. Now that companies have to fight for shelf space, the graphics have become more important to establish brand identity and value," he said.
The Printing Plan
In a label market that is reaching pharmaceutical quality with high-end graphics and vibrant colors, a variety of printing processes can be utilized. Converters in the nutraceutical market provide their observations.
At Ampersand Label, flexo presses from Roto Press International dominate. "Flexo presses have come a long way," said Ms. Carnes. "Presses that we have recently purchased are so different from those purchased five years ago. This improved technology has allowed us to do more things that were not able to be done in the past. We can print 175-line screens with a 1% dot. This puts us in close competition with letterpress."
Innovative Folding Carton relies on UV flexo printing for its nutritional labels. But in today's competitive marketplace, customers demand much more from their suppliers. As a result, combination printing, such as flexo, letterpress and screen, is growing in leaps and bounds, said Mr. Stolfi.
Mr. Begelfer of York Tape and Label added, "Selecting a printing process for a job depends on the graphic requirements. If you want rich opacity and a raised feel, then screen might be the way to go. But if you want those same qualities with four-color process and the use of hot stamping foils, then combination printing is the answer." York Tape & Label utilizes a range of printing processes, including flexo, letterpress, combination, screen and its own proprietary technology of modified presses.
Rotary letterpress is also shedding light on the nutraceutical market. "Customers want high-end, high-quality work-pharmaceutical quality," said Tom Silvano of Label Graphics. "There is a move away from line copy and more incidents of rotary letterpress, flexo and hot stamping," he said
Although nutraceutical professionals and statistics predict a bright future for this emerging market, only the converters involved in this industry can provide an inside look at its potential for labels. Mr. Zeigler said Gamse Lithographing has not seen the rapid growth that the company anticipated, but the potential is there. Gamse specializes in wide and narrow web printing.
Innovation Folding Carton's Mr. Stolfi commented, "We've seen the nutritional market grow in 1998 and throughout 1999, resulting in sales growth for both labels and cartons," he said. "There have been a lot of new products introduced into the market. One of the drivers is the need for more body-function, versus multiple-function, focused products. The market has become less fragmented and more specific," he added. "The consumer has become better educated about what these products do for the body. They are looking at herbs and the nutritional market more seriously than ever before."
York Tape & Label also observed the potential of the nutraceutical market for labels. "There is a huge opportunity for growth in this market because people are living longer, are more health conscious and because nutraceutical products don't fall under the same strict regulations as other products," said Mr. Begelfer.
Although nutraceuticals is not a major portion of the business for Prime Label & Screen, Pewaukee, WI, the future is promising. "We see a lot of new companies and opportunities out there because of the proliferation of products," said company president Barry Scott. "Nutraceuticals are becoming very accepted in society. People are looking for non-medical, non-evasive ways to handle ailments. The only challenges we see are the FDA regulations that will come into play at some point in time." He added, "Companies will become more accountable for the information they place on their labels."
Ms. Carnes of Ampersand Label added a few positive predictions: "Consumer knowledge is increasing, as people begin to spend more time learning about nutraceuticals. With the rising cost of pharmaceutical products, they are looking for alternative ways to improve their health. Everyone wants to live forever and people are taking charge of their health."
NW
