Asia-Pacific Electronic Shelf Label Market Forecast to 2027 - COVID-19 Impact and Regional Analysis by Components (Displays, Batteries, Transceivers, Microprocessors, and Others), Product Type (LCD ESL and E-Paper based ESL), Store Type (Hypermarkets, Supermarkets, Non-Food Retail Stores, Specialty Stores, and Others), and Communication Technology (Radio Frequency, Infrared, Near Field Communication, and Others)

The APAC electronic shelf label market is expected to grow from US$ 117.1 million in 2019 to US$ 498.4 million by 2027; it is estimated to grow at a CAGR of 20.3 % from 2020 to 2027.

Introduction of battery-free solutions would accelerate the APAC electronic shelf label market in coming years. ESLs take benefit of wireless data transmission, which helps in improving efficiency and speed and reducing errors caused due to changing price. The application of ESLs can also be extended to factory/warehouse logistics and smart inventory management. Therefore, besides its common black & white dual-color ePaper, many companies across APAC—such as E Ink—has created a low-temperature ePaper and triple color ePaper for ESL applications in several locations. The low-temperature ePaper is appropriate for freezers, and triple color ePaper is designed for promotional or concessional markings. The triple color ePaper has a combination of black, white & yellow, and black, white & red. In addition, low voltage-driven ESLs solutions are launched recently. In comparison to wireless transmission is required in large-scale malls, the new battery-free solution neither requires interior decoration to be modified, nor any hardware installation is needed, which makes it more ideal for small shops. Only a single mobile phone equipped with the NFC feature is required to update label content anytime. In the current market scenario, demand for better connectivity and battery-free solution in logistics and retail sectors is high. Therefore, developers of ESLs across APAC aim to continue to invest in more Energy Harvesting technology for ePaper. Such investments would magnify the applications of ESL throughout the region, which would drive the growth of the APAC electronic shelf label market.

Countries in APAC are adversely affected due to the COVID-19 outbreak, especially China and India. China is the most important manufacturer and industrial producer because it trades the highest number of manufacturing products than any other country in the world. According to the Organization for Economic Co-operation and Development (OECD), the pandemic has also adversely affected other major economies outside China, such as the large South Korea, India, Australia, and Japan. These countries are experiencing downward inflation. The large presence of small and medium retailers across the region creates a huge demand for ESL. However, the sudden lockdown owing to the pandemic is hindering the retail sector, especially hypermarkets, supermarket, and specialty stores. The severe impact of the COVID-19 outbreak on the region has also shifted the consumer buying behavior from offline mode to online mode. For instance, India has recorded an increase in e-commerce by 53% during the lockdown. Thus, the shift from offline stores to online buying by the population across the region is expected to restrain the APAC electronic shelf label market in the coming years.   

Based on store type, the hypermarkets segment led the APAC electronic shelf label market in 2019. The hypermarket is a shopping store having a combination of departmental store and convenience stores, which makes them larger than supermarket due to wide assortment of products. In the case of sales through hypermarkets, the manufacturer sells his product to a distributor who then provides these products to the hypermarkets depending upon its demand. This proves to be beneficial as the product would get a good sales image in the hypermarkets and also there would be no wastage of products as it would be manufactured as per the demand with specific numbers. Convenience and affordability are the two main elements that attract customers to buy products in hypermarkets. The number of hypermarkets is rising in developing countries such as India and China due to rapid urbanization. The demand for ESL is increasing in these hypermarkets owing to its advantages such as accurate pricing, better inventory management, and low labor cost, which is driving the growth of the APAC electronic shelf label market.

The overall APAC electronic shelf label market size has been derived using both primary and secondary sources. To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the market. The process also serves the purpose of obtaining an overview and forecast for the APAC electronic shelf label market with respect to all the segments pertaining to the region. Also, multiple primary interviews have been conducted with industry participants and commentators to validate the data, as well as to gain more analytical insights into the topic. The participants of this process include industry experts such as VPs, business development managers, electronic shelf label market intelligence managers, and national sales managers, along with external consultants such as valuation experts, research analysts, and key opinion leaders, specializing in the APAC electronic shelf label market. Diebold Nixdorf, Incorporated; Displaydata Limited; E Ink Holdings Inc.; LabelNest; M2Communication; New Zealand Electronic Shelf Labelling; Opticon Sensors Europe B.V.; Samsung Electro-Mechanics Co., Ltd.; SES-imagotag; and Teraoka Seiko Co., Ltd. are a few players operating in the market.