While digital printing, sustainability, automation, and numerous other facets of label manufacturing have been trending for years, 2025 promises to see a greater emphasis on some burgeoning areas. According to Stevi Sterns, product manager, Epson America, a few of the top industry trends to watch for in 2025 include the proliferation of smart, connected labels, and a greater spotlight on sustainability and personalization.

From a connectivity standpoint, RFID (Radio Frequency Identification), labels are trending – especially with major stores like Walmart requiring the implementation of this technology. While RFID is not a new technology, it is gaining steam in numerous industries, including retail.

“Smart labels, with elements such as RFID, QR codes or NFC, help businesses and brands level up packaging appeal, customer engagement and convenience, as well as inventory management and operational efficiency,” explains Sterns. “For example, RFID provides businesses with up-to-the-minute data on products, updating inventory levels as products are moved, shipped, or sold. Also, many businesses are starting to incorporate AI into their business operations to help streamline processes and drive better business outcomes – whether it’s ways to reduce shrink, better track inventory, or fine tune logistics scheduling. When integrated, RFID and AI can help businesses improve operations, from inventory to customer experience.”

As Sterns notes, the historical shift from passive labels to modern labels with active intelligence is allowing businesses to make informed decisions that drive growth and enhance customer experiences. As RFID label adoption continues to grow, businesses, brands and manufacturers will look for label printing solutions or label providers that can provide RFID labels in a quick, efficient, and cost-effective manner.

On the sustainability front, brands have been responding to consumer demand. Multiple studies illustrate that consumers are willing to spend more money on products that act responsibly and deliver environmentally friendly packaging solutions.

“In recent years, consumers have considered whether or not the products they use are environmentally responsible, increasing the demand for products that are mindful of their impact on the planet and have a smaller environmental footprint,” states Sterns. “As a result, there’s growing pressure for the label and packaging printing industry to implement environmentally friendly practices.”

Digital printing, which continues to see increased adoption, will serve as a remedy on numerous fronts, from personalization to sustainability. Many are turning to digital solutions due to their associated environmental benefits, especially in applications where durability, color accuracy, and operational costs are critical factors.

“Businesses want to be able to print what they need, when they need it, and minimize not only media and consumables waste, but also shipping and logistics costs associated with ordering, transporting, and storing excess inventory,” says Sterns. “We will continue to see businesses turn to technology and techniques that minimize environmental impact, such as solutions that support efficient ink usage, low power consumption and low consumable and packing waste.”

Digital printing also drives differentiation at the shelf. In crowded markets, products with distinct labels that stand apart from their competitors can help drive consumer interest. Businesses and brands have been turning to customized labels based on customer data to stand out.

“Personalized labels not only engage customers but can also lead to sales opportunities by targeting specific needs or preferences,” explains Sterns. “One great example of personalization was Coca-Cola’s creative ‘Share a Coke’ campaign, where sodas were personalized with popular names, sparking interest, appeal, and engagement. It is a good example of how personalized labels and packaging can simultaneously foster strong connections with customers and enhance brand relevance.”

Today’s digital printing technologies offer the benefits of on-demand printing, flexibility, quick turnaround times, and the ability to print in small batches, which are all necessities for personalized labels. Digital printing enables easy and cost-effective label production for businesses to offer customization and personalization at scale.

“Labels have evolved from traditional identification tools to now, smart packaging elements, and while businesses need functional yet creative and compliant labels at the foundational level, they also need to be able to effortlessly adapt to evolving and specialized demands moving forward,” concludes Sterns.