Electronic Shelf Labels Market – Trends Forecast Till 2030

Market Snapshot

Market Overview

The global Electronic Shelf Labels Market size was estimated at USD 1,440 million in 2023 and is projected to reach USD 3,163.54 million in 2030 at a CAGR of 11.90 % during the forecast period 2024-2030.

The electronic shelf labels (ESL) market refers to the use of digital price tags that are placed on retail store shelves to display product information, such as prices, promotions, and product descriptions. These labels utilize e-ink technology or other digital display methods to provide real-time updates, reducing the need for manual price changes. ESLs are increasingly being adopted by retailers due to their ability to enhance customer experience, streamline store operations, and improve pricing accuracy and flexibility.

The scope of the ESL market is expanding as retailers across various sectors, including grocery, pharmacy, fashion, and electronics, seek to modernize their pricing systems. ESLs enable dynamic pricing, allowing for adjustments in real-time based on market conditions or competitor pricing. This has led to their widespread adoption in both large retail chains and smaller stores. Additionally, ESLs are being integrated with Internet of Things (IoT) systems to offer more advanced capabilities, such as automatic price updates and integration with inventory management systems.

Key trends driving the growth of the ESL market include the increasing demand for automation in retail operations, the shift towards digitalization, and the growing need for sustainability. As consumers expect more personalized and dynamic shopping experiences, ESLs offer retailers a cost-effective way to meet these demands. Additionally, the growing emphasis on reducing paper waste and improving energy efficiency in retail operations has contributed to the adoption of electronic labels as an eco-friendly alternative to traditional paper tags.

Several factors are fuelling the expansion of the ESL market. The rise of e-commerce and omnichannel retailing has made it essential for physical stores to enhance operational efficiency and offer seamless pricing strategies. Retailers are increasingly focusing on enhancing in-store customer experiences, which has accelerated the adoption of ESLs. Furthermore, advancements in technology, such as improved battery life, better connectivity, and lower costs of production, have made ESLs more affordable and accessible to a wider range of retailers, supporting the market's growth.

Delvens Industry Expert's Standpoint

Experts in the Electronic Shelf Labels Market highlight several key trends driving growth and innovation. The electronic shelf labels (ESL) market is expanding as retailers adopt digital price tags that enhance customer experience, streamline operations, and improve pricing accuracy. ESLs enable dynamic pricing and real-time updates, making them popular across various retail sectors like grocery, pharmacy, and fashion. Driven by trends such as automation, digitalization, and sustainability, ESLs offer a cost-effective and eco-friendly alternative to traditional paper tags. The rise of omnichannel retailing and advancements in technology, including better battery life and affordability, are further accelerating the market's growth, as retailers seek to enhance in-store efficiency and meet evolving consumer expectations.

Market Portfolio

Key Findings

• The 7 to 10 inches segment is anticipated to experience the highest CAGR in the electronic shelf labels market during the forecast period, owing to its excellent visibility and flexibility. These displays provide an ideal balance between compact design and ample display area, making them versatile for various retail applications. Their portability allows retailers to showcase product details, pricing, promotions, and contactless information like QR codes without disrupting the store's overall aesthetic.

• The growing trend towards digital shelf technologies and the adoption of smart retail practices are driving the demand for mid-sized ESDs. These displays can incorporate advanced features such as wireless connectivity, integration with inventory management systems, and the use of e-paper or LCD technology, boosting their efficiency and profitability.

• The Fully Graphic E-paper display type is projected to experience rapid growth during the forecast period. These displays, with their paper-like appearance and low power consumption, outperform traditional LCD and LED technologies. They provide superior performance compared to segmented or partial graphic e-paper displays and are capable of showing detailed graphics, animations, and high-resolution images. Their energy efficiency and ability to retain images without a continuous power supply make them ideal for devices that prioritize power conservation. Their ability to display dynamic pricing, product details, and promotional content in real time has revolutionized the retail industry, improving stock management and customer engagement.

• The market is also divided into various regions such as North America, Europe, Asia-Pacific, South America, and Middle East and Africa. Europe region is projected to hold the largest market share. Factors such as increased retail automation, adoption of Industry 4.0 technologies, sustainability trends, real-time information demands, technological advancements, expansion of modern retail formats, improved inventory management, and enhanced customer experiences. have triggered the Electronic Shelf Labels Market in the region.

Regional Analysis

Europe to Dominate the Market

• The U.S. electronic shelf label market held the largest share of over 35.0%, driven by significant competition from the e-commerce sector. During the COVID-19 pandemic, food retailers in the U.S. faced unprecedented challenges, prompting them to integrate technological solutions into their operations post-pandemic. Additionally, the growing trend of online shopping has pushed retailers to adopt solutions that minimize labour costs, further contributing to the market's expansion.
• In Europe, the electronic shelf label market accounted for over 35.0% of the global share in 2023. The region's competitive retail environment fosters innovation and technology adoption, with retailers increasingly investing in ESLs to improve their operations and customer service. The rise of self-checkout kiosks in European grocery chains, like the partnership between ITAB Shop Concept AB and a leading grocery chain in January 2024, further drives demand for ESLs to provide essential product information to customers.

• The electronic shelf label market in Asia Pacific held a significant share in 2023, largely due to the demand from the electronics retail sector. The integration of Industry 4.0 technologies, such as automation and IoT, by retail players in the region presents strong growth opportunities for ESLs. China, with its large number of product manufacturers and expanding retail sector, accounted for a substantial portion of the market, while Japan's trend of zero-waste supermarkets is expected to contribute to further growth.

Competitive Landscape

• VusionGroup
• Solum
• Pricer AB
• Displaydata
• Teraoka Seiko Co., Ltd.
• M2Comm
• Opticon
• Partron ESL
• Shanghai Sunmi Technology Co., Ltd.
• Hanshow
• Other Players:
• Dalian Sertag Technology Co., Ltd.
• Minewtag
• Labelnest
• Digety
• Zkong Networks
• Tronitag GmbH
• Yalatech
• SSSIND

Recent Developments

• In October 2024, Pricer’s partner JRTECH Solutions entered into an agreement with Associated Grocers, Inc., a leading grocery wholesaler, to adopt electronic shelf labels in Canadian retail stores.

• In September 2024, VusionGroup teamed up with Médiaperformances, a prominent player in retail media, to revolutionize in-store retail media experiences. The partnership aims to develop a SaaS platform that integrates IoT solutions for managing and distributing in-store campaigns.

• In February 2024, Pricer partnered with PaperShell to make strides in the electronics industry. Their collaboration focuses on creating ESX Electronic Shelf Labels made entirely from bio-based materials, free of fossil components. This initiative is part of a broader effort to define sustainability in the electronics sector.

• In January 2024, VusionGroup launched a new generative AI application in physical commerce marketing, marking a significant step forward in applying artificial intelligence to physical retail spaces. This launch is part of a larger trend where generative AI is transforming how businesses interact with consumers and streamline operations.

• Also, in January 2024, Displaydata Ltd. formed a partnership with Ligna Energy to revolutionize retail technology with future smart ESL solutions.

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• In-depth analysis of the changing trends of the market by visualizing the historic and forecast year growth patterns.

Report Scope