The increasing application of coding and marking systems in the food & beverage and pharmaceutical industries, along with the automotive sector, is one of the major factors driving the coding and marking systems market. With the increasing equipment adoption in end-use industries, the market is expected to generate $7,469.6 million revenue by 2030, advancing at a CAGR of 6.4% during the forecast period (2020–2030).
The coronavirus pandemic has had an adverse impact on the coding and marking systems market, with the shutting down of large-scale manufacturing facilities. This is why several businesses have witnessed a recession, thereby impacting the demand for coding and marking systems globally.
Continuous Inkjet Systems To Generate Highest Revenue
The coding and marking systems market has been categorized into continuous inkjet, thermal transfer overprinting, thermal inkjet, drop-on-demand, print & apply labeling, laser coding & marking, and others. Among these, the continuous inkjet category is expected to account for the largest market share in the coming years. This is majorly ascribed to the advantageous properties of the technology, such as minimum servicing requirement and the ability to print on almost all materials. This makes continuous inkjet coding and marking systems suitable for a wide range of applications, including food & beverages, consumer goods, automotive & aerospace, and pharmaceuticals.
The laser coding & marking category has been further sub-categorized into direct part marking (DPM) and laser coding. Of these, the DPM category held the larger share in 2019, and the trend is likely to continue in the coming years, on account of the preference for DPM later systems for marking permanent batch numbers, codes, and labels on electrical components, automotive and aerospace body parts, and engineering products.
Based on material, the coding and marking systems market has been classified into metal, paper & cardboard, plastic, and others. Among these, the paper & cardboard category is expected to showcase the fastest growth during the forecast period. This is majorly attributed to the growth of the e-commerce sector on the account of the convenience and vast product availability online shopping websites offer consumers worldwide. Paper and cardboard are the materials of choice in the e-commerce sector for packaging purposes, owing to which the usage of coding and marking systems for paper & cardboard material, to enable the tracking of shipments, is expected to increase.
Geographically, the coding and marking systems market in Asia-Pacific (APAC) is expected to witness the highest growth rate, on account of the strict government regulations, increasing export of packaged food items, and the menace of counterfeiting and piracy in most of the industries. For instance, the China Food and Drug Administration (CFDA) introduced labeling norms for pre-packaged foods in 2011, according to which manufacturers need to put information including the product name, ingredients, producer details, batch identification, and storage condition on packages.
Product Launches Being Adopted as Key Strategy
Players in the coding and marking systems market are engaging in new product development in order to increase their market coverage. For instance, in April 2020, Domino Printing Sciences plc announced the launch of UV97BK, a new UV-curable black ink for food packaging, available for high-resolution digital inkjet printers.
Similarly, in October 2019, ATD Ltd. announced the launch of new thermal inkjet printers, such as the IP2000 online printer, which is a small-character coder, for industrial printing applications. Additionally, it launched the HC2000, which is a lightweight portable coder.
Overprint Packaging Ltd., Domino Printing Sciences plc, Dover Corporation, Matthews International Corporation, ATD Ltd., Danaher Corporation, Hitachi Ltd., Diagraph Group, ID Technology LLC, and Inkjet Inc. are some of the major players operating in the global coding and marking systems market.