The Importance of Labels and How to Use Them to Your Advantage

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The launch of any new product is a difficult but exciting time for any company, particularly if they are newcomers in a particular industry. There are many aspects that go into the making of the product, and we know the importance of consumer demand for getting every single aspect right. The one thing that many companies neglect, however, is a quality product label. But it’s one of the most crucial things about launching any new product, as we shall explore.

The Impact of Labels on Product Perception

Perceptions of different products depend not only on marketing, but also on the product label included with the item. In short, it is your sales pitch to your potential consumer and it can make all the difference between a buy or a pass.

By containing all the essential information required for somebody to make an educated purchase, you are not only preventing future buyers from having an unfortunate future reaction to the product – such as allergy from an ingredient not mentioned on the bottle of cereals – but also prevent legal tangles later on. The FDA, in fact, requires labels to be put on products to ensure quality control and consumer protection.

Case Studies of Product Labeling

Labeling laws are quite stringent, especially when it comes to cosmetics. In the case of soap, for instance, the FDA has a whole set of rules. Complying with these is essential to stay on the right side of the law. In fact, a lawsuit was filed in Alameda County against a cosmetics company which claimed to have “a false list of ingredients” according to the plaintiffs.

On the other hand, labels can help brands as well by putting them across to the customer as a dependable, accountable brand. Missing contact information on the label, for instance, can discourage shoppers who think there’s no brand accountability. On the other hand, an inadequate list of ingredients can discourage those who have a specific dietary restriction. No wonder label designing continues to be an important part of pre-market process maps for apparel manufacturers.

A Solution for Manufacturers to Ensure Quality Control for All Their Labels

The reason why many new products fail is because of a communication error between the design team, type-setters, and printers. Printing errors can result in difficulties such as translation mistakes, inadequate information, and excessive printing costs: all of which can be easily avoided if the labels are printed in-house instead. The process is made extremely simple by the use of tools like the QuickLabel label printer, which manages a remarkable and extremely professional job of providing to these production needs.

The Terrific Practices of Product Labeling

There are 5 specific areas which need to be addressed in a product label. There are minor exceptions depending on the case, but these are the general guidelines of any concrete or suitable product label.

  1. A)  It must provide adequate information regarding the manufacturer.
  2. B)  It must contain the list of details for ingredients used in the end product.
  3. C)  It must provide a guideline for directions of use.
  4. D)  It must include warnings.
  5. E)  The label must be easy to read and visible, with information like expiry date, manufacturing date made out in bold letters.

In addition, an astute product label must also ensure that it follows the conventions of a particular place – and of course, describes the product that is actually being sold. There are countless instances of product labeling mistakes, starting from wrongly identified products (Babycorn packaged as watermelon, for instance), to wrongly translated products (Coca Cola’s Chinese misadventure where they translated their label name to something that sounded like Coca Cola in Chinese, but actually meant something quite different).

About Mohit Tater

Mohit is the co-founder and editor of Entrepreneurship Life, a place where entrepreneurs, start-ups, and business owners can find wide ranging information, advice, resources, and tools for starting, running, and growing their businesses.

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