AWA Alexander Watson Associates and TLMI teamed up for an interactive conference and exhibition in Covington, KY, USA, just outside of Cincinnati, OH. The two associations jointly held the AWA & TLMI International Sleeve Label Conference & Exhibition from November 10-12, 2021, where they connected the shrink sleeve labeling industry and its customers in a hybrid format. Attendees had the option of attending the in-person event at the Cincinnati Marriott at RiverCenter or participating virtually.

After more than 18 months away from trade shows, conferences and other industry events, the AWA & TLMI International Sleeve Label Conference & Exhibition provided a welcome return for suppliers, converters and brands. The event highlighted the opportunities present for label converters looking to expand their business, how to succeed on the shelf, and what sustainable measures are being taken in this growth segment.

The hybrid event welcomed 120 in-person guests and more than 150 participating virtually. Those joining AWA and TLMI at the in-person portion of the event were treated to a tabletop exhibition, which featured a wide range of companies, from Fathom Optics and Flint Group to HP and Siegwerk.

“It’s been a pleasure to work with TLMI to put together this program and launch this conference, which is the first sleeve label event we’ve had in almost two years,” said Corey Reardon, president and CEO of AWA. “Shrink sleeve is still the fastest growing labeling format. It’s growing at a decelerating rate and will fluctuate with GDP growth. But it’s still growing faster than any other labeling format globally at just under 4% growth.”

By comparison, pressure sensitive labels are seeing global growth of 3.4% annually for labels.
Asia is the driver in this segment at 4.6%. While pressure sensitive represents a larger portion of labels produced, shrink sleeve edges pressure sensitive labels in the prime labeling category.

In 2020, 12.6 billion square meters of shrink sleeves were printed, with Asia accounting for 66% while Europe and North America represented 19% and 11%, respectively. According to Reardon, 89% of shrink sleeves globally are Heat Shrink TD Sleeve Labels, which he says “is the dominant format.”

“Pressure sensitive will continue to see healthy growth due to its flexibility and variety of materials,” adds Reardon. “The shrink sleeve segment is promising, and we expect to see it grow at a healthy rate for some time.” 

The event also marked a milestone for AWA, as well. The AWA & TLMI International Sleeve Label Industry Conference & Exhibition – which took place for the 15th time – commemorated the 50-year anniversary of AWA Alexander Watson Associates providing the specialty paper, film, packaging, coating and converting sectors with expert intelligence and data. Since 1971, AWA has emphasized these key market segments, including labeling and shrink sleeves.

Linnea Keen, TLMI president, detailed the association’s role in the industry. TLMI partnered with AWA for this well-attended event.

TLMI has 310 members, with a breakdown of 150 converters and 160 suppliers. According to Keen, TLMI members see two-times the sales growth versus non-members.

“This is a very resilient industry to be in,” she notes. “We pride ourselves in promoting networking, knowledge sharing and support.”

Keen also presented some of the results of TLMI’s latest Converter Survey. “All label segments have shown growth in 2021 and the segments that struggled in 2020 have been rebounding back with strong growth, up to 20+% in some segments.”

She adds, “86% of converters responding experienced increased sales compared to Q2 2020, and 75% reported increased profits compared to same quarter last year.”

Succeeding on-shelf
There are a host of label and package printing converters that have found success in the booming shrink sleeve space. AWA and TLMI explored how converters can capitalize on this market, especially as more and more end-use segments migrate to shrink sleeve technology.

A key panel discussion, entitled, “From Concept to Consumer Delight: Keys to achieving shrink sleeves that win on-shelf” detailed ways in which converters can produce effective shrink sleeves.

David Lukshus, CEO of COG, moderated the session, which included panelists Lindsey Frimming, CIO, COG, Tracy Murchison, senior design manager at PCC Olay, Safeguard, Ivory, Procter & Gamble, and Kris Knox, senior design producer of personal care at Procter & Gamble.

“Our goal is to leverage as much of the real estate as we can,” explains Murchison. “I’ve got this billboard, now what can I do to maximize this design?”

Knox emphasized the importance of visualizing the 3D shape and what’s inside the bottle. “What are we trying to show or cover up? This could be an undesirable color, for example,” says Knox. “We want consumers to crave the package itself and what’s being shown on the outside.”

Digital printing is starting to play a big role in this space, as well. Ricardo Rodríguez, commercial director, Grupo Mayapack, states, “75% of purchasing decisions are made right in front of you on the shelf. And today, over 25% of jobs contain multiple versions, or SKUs. Digital, for us, has doubled our business in one year’s time.”

Meanwhile, shrink sleeves are emerging as critical component for many beer brands, from major players to craft breweries. Tara Halpin, CEO and owner, Steinhauser, and Greg Rouse, Co-founder and COO, Braxton Brewing Co., identified the trends and success strategies in this particular end-use market.

As part of the AWA & TLMI International Sleeve Label Conference & Exhibition, Steinhauser, Verst, and AWA welcomed attendees to The Loft at Braxton Brewing Company on November 11, 2021. The event provided an opportunity for attendees to network and see Braxton Brewing Company’s latest shrink sleeve products.