May 29, 2024
Electronic Shelf Labels Market
Ict

The Global Electronic Shelf Labels Market Is Driven By Growing Need For Real-Time Pricing

Electronic shelf labels (ESLs) are digital displays that are attached to physical shelves and display product and pricing information digitally. ESLs eliminate the need for printing and manually changing paper price tags, which is a labour-intensive process. ESLs allow retailers to change pricing information remotely in real-time via central servers. This enables retailers to engage in flexible pricing strategies and frequent promotional campaigns. ESLs also prevent pricing errors that can occur due to manual mislabeling. The increasing focus on omnichannel retailing is driving demand for ESLs as they ensure retailers provide up-to-date pricing across physical stores and online channels.

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

The adoption of ESLs is being driven by the growing need for real-time pricing strategies among retailers. ESLs allow retailers to change prices remotely on a large scale instantly without any additional labour cost. This helps retailers engage in flexible and dynamic pricing based on factors like inventory levels, seasonal demands, regional consumer behaviour, and promotional campaigns. ESLs also enable optimalpricing across retailers’ physical and online stores to provide a seamless omnichannel shopping experience to consumers. The ability of ESLs to preventing pricing errors is another key trend boosting their adoption. Manual paper price tags are prone to errors during labelling or relabeling which can impact retailers’ profitability and brand image negatively. ESLs eliminate such human errors ensuring accurate pricing is reflected across stores at all times.

Porter’s Analysis

Threat of new entrants: New entrants in the electronic shelf labels market may face high initial investment requirements. Established players have strong economies of scale and brand recognition.

Bargaining power of buyers: Buyers have moderate bargaining power. There are many vendors in the market providing electronic shelf labels at competitive prices.

Bargaining power of suppliers: A few major players control the supply of components used to manufacture electronic shelf labels. This gives them some bargaining power over buyers.

Threat of new substitutes: There are limited substitutes for electronic shelf labels. Traditional paper shelf labels cannot match the benefits provided by electronic shelf labels.

Competitive rivalry: The electronic shelf labels market features many global and regional players. Competition is high based on product features, quality, and pricing.

Key Takeaways

The global Electronic Shelf Labels Market Demand is expected to witness high growth during 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 2030Regional analysis: North America dominates the electronic shelf labels market currently, followed by Europe. The Asia Pacific region is expected to grow at the fastest pace during the forecast period due to the growing retail sector in countries like China and India. Large retail chains are adopting electronic shelf labels to enhance operational efficiency.

Key players: Key players operating in the electronic shelf labels market include Pricer, SES-imagotag, Displaydata, Opticon Sensors Europe B.V, Altierre, Teraoka Seiko, and Advantech USD. Pricer and SES-imagotag collectively hold over 50% of the global market share. These players are focusing on new product launches and partnerships with retailers to strengthen their positions.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it