Label, traceability, marking: what SMEs need to know in 2025
In the constantly evolving landscape of product labelling, traceability, and marking, staying up-to-date can be challenging. In fact, this is one of the challenges, or even bottlenecks, small and medium-sized enterprises face in 2025.
The key reason, according to safety experts, is the emergence of new regulations, digital transformation, and, of course, rising consumer expectations for transparency and sustainability. So, how do you adapt to maintain market access, avoid penalties, and build trust with customers?
Read on for more.
Why Labelling, Traceability, and Marking Matter More Than Ever
It may come as a surprise, but labelling and traceability are now central to supply chain visibility, enabling businesses and consumers to track a product's journey from origin to end-of-life.
Governments worldwide are aligning their regulations, making it essential for SMEs to comply with international standards if they want to export or participate in global supply chains. Regulatory changes, such as the EU's Digital Product Passport (DPP) and stricter ESG (Environmental, Social, and Governance) reporting, are making detailed product information mandatory, including materials, environmental impact, and recycling instructions.
The UK, for instance, is updating packaging rules. Speaking specifically, now they are requiring QR codes or unique identifiers on packaging. This is done to improve traceability and accountability within the entire supply chain.
Key Trends and Technologies Shaping 2025
Here are some of the emerging trends that shape the current landscape:
- Smart Labels and Digital Integration: QR codes, RFID, and NFC tags are becoming standard, enabling real-time tracking, instant access to product data, and interactive consumer experiences
- Sustainability and Eco-Friendly Materials: Pressure from regulators and consumers is driving the adoption of biodegradable, compostable, and recycled label materials, as well as transparent communication of environmental credentials
- Cloud and AI Automation: Cloud-based systems and AI-powered compliance tools simplify regulatory reporting, automate data collection, and reduce manual errors, making compliance more accessible for SMEs
- Security and Anti-Counterfeiting: Advanced security features—like tamper-proof seals, holograms, and blockchain-based traceability—help protect against fraud and ensure product authenticity
So, what do SMEs need to do?
There are several key factors that SMEs need to consider to stay ahead of the curve. First of all, it is the adoption of digital tools (mainly because they make lives much easier). For example, you can consider implementing digital solutions for tracking, labelling, and reporting. This is key in auditing your current processes. Our tip is to map out your existing labelling, marking, and traceability practices. Such an approach will help you identify areas for improvement.
The second step is to prepare for new regulations, as they will arrive sooner or later. The best approach here is to stay informed about upcoming requirements. As a vivid example, most common requirements include DPPS in the EU, plastic waste rules, and sector mandates.. All are equally important for compliance with all kinds and sizes of businesses.
The next step is to collaborate with other players across the supply chain. This way, you can make sure that standardised labelling and interoperable systems are key to compliance and transparency.
Last but not least, focus on customer engagement (your product is built for them, remember?). So, use smart labels and clear and minimalist designs. Why? The answer is simple – to provide transparent and accessible information. More often than not, this comprehensive approach builds trust and enhances the customer experience.
Turning compliance into a competitive advantage is that easy
For SMES, the shift toward advanced labelling, traceability, and marking is as much an opportunity as a challenge. By adopting digital tools, prioritising sustainability, and proactively engaging with new regulations, SMEs can not only meet compliance requirements but also differentiate themselves in a crowded market, building stronger brands and more resilient supply chains for the future.
