Durable Labels Cost Reduction

5 Strategies for Reducing the Cost of Durable Labels

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Durable Labels Are Everywhere VITALLY IMPORTANT BUT OFTEN TAKEN FOR GRANTED

Consumers come into contact with dozens of durable labels daily but rarely give them a second thought. ● ● ● ● ●

Automobiles Consumer electronics Home appliances HVAC units Power equipment, and more

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Are They Costing You Too Much?

REDUCING THE COST OF YOUR COMPONENT PARTS

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Five strategies proven to reduce label costs year over year

Focus on the label design process

Treat printed parts as a strategic element of your operation

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Be open to alternative labeling technologies

Consolidate your printed parts vendors

3 Migrate to digital print-on-demand

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#1: Label Design BE CAREFUL NOT TO OVER-ENGINEER OR UNDER-ENGINEER More than 70% of the total cost of a durable label is “locked in’ during the design phase: ● Are the size, adhesive and face stock specs correct? ● Is a protective coating really necessary? ● Do you need to consider UL, ANSI, REACH or RoHs?

Your Takeaway Gloss over the design details and you may pay too much or invite costly performance issues later on.

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#2: Alternative Technologies REMEMBER THAT ALL BEST PRACTICES WERE ONCE “NEW” For example, silicone-coated linerless labels remove liner waste from manufacturing operations: ● Eliminate 50% of the end product that is ordinarily thrown away ● Reduce roll change labor costs thanks to rolls that are 75% longer ● Slash disposal costs while eliminating workplace hazards

Your Takeaway Being open to new labeling technologies – such as linerless labels – can give you a competitive edge in the marketplace.

DECREASED COSTS Linerless label stock is thinner, lighter and enables far more labels to “fit” on each roll. This reduces your ongoing distribution, storage and labor costs.

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#3: Digital Print-On-Demand START ORDERING IN SMALLER QUANTITIES – ECONOMICALLY Digital print-on-demand makes lower minimum order quantities possible and is more economical in many ways: ● Lower warehousing and obsolescence costs ● No fees for tooling, ink changes or job changeover ● No printing plates to replace

Your Takeaway It’s no longer necessary to order mass quantities of labels to reduce your total cost of ownership.

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#4: Vendor Consolidation STRIVE TO BRING ORDER TO THE CHAOS

Working with multiple vendors for labels and technical literature has many farreaching effects: ● Vendor management is complicated by redundant contracts and administrative work ● Engineering staff must juggle conflicting parts specifications and approval processes ● Fragmented sourcing leads to higher label costs and inconsistent execution

Your Takeaway Consolidating multiple vendors into a single label program delivers a range of hard and soft cost benefits.

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#5: Printed Parts As A Strategic Element STOP VIEWING PRINTED PRODUCTION PARTS AS A COMMODITY

Could a different type of labeling technology streamline our manufacturing process?

Would a simple die size reduction reduce materials cost?

By analyzing the fit, form and function of printed parts, it’s possible to unlock hidden

cost savings Your Takeaway Cost reduction wins and productivity gains become possible when you treat printed parts as an integral part of your manufacturing operation.

Can multiple label substrates and styles be consolidated into a single design?

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Thank You

CONFIDENTIALITY NOTICE: This document contains confidential information intended solely for the recipient(s) named herein.

The information set forth in this document may not be reproduced or disclosed by the recipient(s) without the prior written consent of the author.

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