The Importance of Labelling

Product labelling is essential for any business that sells consumer products. But why? Sure, certain industries require product labels by law, but is there anything more to them?

Absolutely! When used right, custom labelling helps promote sales and reach new customers. And in this article, you will find out just how to go about this.

What is the purpose of labelling?

Labels serve an important function. At face value, product labels communicate essential information about what a product is, what it contains and how to use it. You often find nutritional information, a batch number, and expiry dates on labels.

The information presented on a label is often regulated by the law, especially regarding food items or potentially hazardous or poisonous products. Labels are usually required by law. Especially if you sell food items, you must know what labels to inform and protect consumers. If in doubt, you can check out the UK Product labelling law.

This not only keeps customers safe, it also allows them to make an informed purchase decision. With the complete information printed on your labels, customers are more likely to trust your brand.

However, you can use custom labels in so many different ways. When used right, labelling allows for the identification of your products and can boost the perception of your brand.

What are the benefits of labelling?

Looking at labels in more detail, they are an effective sales promoting tool that can help you spread awareness for your brand and products.

Create a great first impression

Product labels can give your business a more professional look. The truth is, when it comes to making a purchase, we do judge a book by its cover. And an attractive label can encourage potential buyers. A professional-looking product presentation ignites trust and confidence, even if you have just started.

Make them match your branding

Labelling can also create a unique brand identity for your company. By using creative fonts, colours and a suitable label material, you can make your product labels stand out from the competition. This will help customers remember your product and increase brand loyalty.

Differentiate product ranges

Why not use your labels to differentiate between similar products? Not only can you create a stunning aesthetic, but you can make it super easy for customers to spot which products are part of your limited edition or premium range. (Pssst, holographic labels are the perfect way to add some extra pizzazz and make your product stand out).

Highlight unique selling points

You might need product labels to inform customers of ingredients and expiry dates. But you do not have to stop there. You can also highlight the unique selling points of a particular product. This means customers do not even have to deep-dive into your label. Simply add three product highlights to the front of your label.

What are the four types of labels?

When you start looking into labels, you soon realise that it can be a whole new world. Which material is best for you? What kind of adhesive do you need? Do your custom labels have to be waterproof? How will you use your labels? What type of label do you want?

Below, you will find a brief overview of each type, including plenty of examples. After this article, you will know precisely what label you need for your packaging.

Descriptive label

Descriptive labels are just as they sound: it describes what the product is and what it does. It should give your customers the information they need to know to use your product correctly.

These labels aim to describe what the product is and what it does. This includes the product's features and the product's usage. For example, if you have a new type of shampoo targeted at people with dry scalp, your label might say something like "New and improved formula for dry scalp."

Informational label

Informative labels are, again, precisely what they sound like. The goal of these labels is to provide the consumer with information about the product. They are more detailed than descriptive labels and include the expiry date, manufactured date as well as additional instructions

This label is often found on food items, as it is required by law in many countries. For example, a standard informative label is the nutrition label which tells the consumer the calorie content, fat content, and other nutritional information about the product.

Grade label

Grading labels are a bit more complicated. They describe the grade, category, or level of the product. These grades vary depending on the type of product you are buying. They can be a regular label or a sticky seal attached to the packaging.

It can be anything from a food hygiene rating to second-hand products that come in different categories or types of a product. British salt, for example, categorises products based on what industry they are suited for. These labels help consumers compare entire product ranges and make the right decisions.

Brand label

On the surface, brand labels can be as simple as stating your brand's name on your products. But this is where the real fun starts. This type of label is called branding label because it can create a distinct identity for your product's brand and allow for easy product identification.

Lastly, branding labels are all about creating an emotional connection between the consumer and the product. You can use label materials and designs to share your business's beliefs and values with your customers and enable them to connect with your brand.

What is the difference between packaging and labelling?

Packaging and labelling are often confused, but they are very different. The main difference between packaging and labelling is that packaging is what you typically use to contain, wrap and protect your product.

In contrast, labelling is applied to or printed onto the packaging and shares product information with a potential customer.

You can make both work together. Stick to a similar colour scheme for both, your label and your packaging. You can even choose a material that works well with your packaging; biodegradable paper labels and cardboard packaging are some of our favourites.

Are logos and labels the same?

No. Sometimes we think of something like a fashion label when we hear the term "label". But essentially, a label is a printed piece of paper or vinyl with an adhesive backing.

A logo, on the other hand, is a symbol that represents your business. It can be a combination of graphics and text that functions as a visual shortcut.

By simply looking at your logo, customers will think of your brand and what it stands for. You can find out more about the power of logo stickers in our article "How logo stickers can boost your branding".

Now, your label design should include your logo, just as you can see in the image below.

Why are packaging labels important?

With so many different types of labels, what makes packaging labels unique?

Depending o the nature of your business, your product packaging is the first thing a consumer sees or represents the first physical interaction a customer has with your company. Use them to:

• improve the perception of your product
• brand bland packaging boxes
• create a professional appearance
• secure your packaging

Just look at how Munch used their labels in the image above. Their packaging label not only brands a simple cardboard box, but it also functions as a seal that protects their desserts in transit.

And that is all you need to know about the importance of labelling. Are you ready to elevate your business with labels? Or do you want to learn more? Then our blog is perfect for you.