introduction to product labels for small businesses
An Introduction to Product Labels for Small Businesses
As the owner of a small business, you’ve already poured your heart and soul into creating something you’re passionate about. Whether your idea was inspired by a gap in the market, a personal need, or a creative opportunity, getting your products into the hands of customers is the next major step—and your labelling and branding play a critical role in making that happen. One of the most effective ways to professionalise your product and stand out in a competitive market is through a well-designed, eye-catching, and recognisable label. Strong labelling helps customers identify your product instantly, understand what it offers, and remember your brand long after purchase. In this guide, we’ll walk you through everything you need to know about label design, printing, and best practices for small businesses.
Why Product Labelling Matters More Than You Think
To understand the power of labelling, let’s look at a well-known branding lesson.
In 2009, Tropicana redesigned its iconic packaging, replacing the familiar “straw in the orange” image with a more minimalist look. Despite heavy investment, customers struggled to recognise the product on shelves. Within weeks, sales dropped dramatically, forcing the company to revert to its original design.
The takeaway? Customers don’t just buy products—they buy familiarity, recognition, and trust.
Even for small businesses, inconsistent or poorly thought-out labels can confuse customers and impact sales.
That’s why your product label deserves the same attention as the product itself.
Types of Labels Every Small Business Should Know
There are four main types of labels commonly used by small businesses:
1. Product Labels
These are the front-facing labels customers see first. They usually include:
Brand name
Product name
Retail scanning
Size, quantity, or volume
Key materials or ingredients
2. Barcode Labels
Barcodes help with:
Inventory management
Pricing
Order tracking
Barcodes can be placed directly on product labels or applied separately, depending on packaging.
3. Packaging
Packaging refers to the container or box holding your product:
Primary packaging: Directly touches the product
Secondary packaging: Adds protection (e.g. boxes, sleeves)
Transport packaging: Used for shipping and logistics
4. Shipping Labels
Shipping labels include:
Recipient and return address
Package weight
Tracking barcode
Each label serves a different purpose, but together they create a smooth customer and logistics experience.
What Information Should Be Included on Product Labels?
Your product labels should never mislead customers. Clear, honest information builds trust and credibility.
At a minimum, labels should accurately represent:
Product size or quantity
Materials or ingredients
Intended use or benefits
Country or method of production
Depending on your industry, additional regulatory requirements may apply—especially for food, cosmetics, children’s products, or medical items.
Beyond compliance, consider including:
Your branding and logo
Product name and variant
Simple graphics or icons
Key selling points
Your goal is to provide everything a customer needs to make a confident buying decision—at a glance.
Choosing the Right Label Size and Shape
Selecting the right label size involves balancing aesthetics, functionality, and practicality.
Ask yourself:
What information must be included?
What shape and size is the packaging?
Is there an industry standard?
Do you want a full-wrap or minimalist label?
Will the barcode be on the main label?
Start by measuring your packaging and testing paper mock-ups. A label that’s too large or too small can look unprofessional and cause adhesion issues such as wrinkling or peeling.
While most labels are rectangular or square for cost efficiency, creative shapes can enhance shelf appeal when used thoughtfully.
Designing and Printing Your Own Labels
You don’t always need a professional designer to create effective labels. Tools like Canva offer beginner-friendly templates, making it easy to get started.
When it comes to printing, many small businesses prefer to keep things in-house using compact label printers. This allows flexibility, quick changes, and cost control.
Popular options include:
Compact thermal label printers for shipping and product labels
Easy-to-use label design software with templates
Scalable solutions that grow with your business
These tools help small teams produce professional labels without technical expertise.
Case Study: How Better Labels Improved Sales
A small handmade candle brand switched from generic labels to a clean, minimalist design featuring:
Neutral colours
Clear typography
A short brand story
The result?
Increased shelf visibility
Stronger brand recognition
Improved customer perception of quality
Within three months, repeat purchases increased, proving that good labelling directly influences buying behaviour.
Final Thoughts
Designing effective labels takes planning, testing, and attention to detail—but the payoff is worth it. Strong labelling builds trust, increases recognition, and elevates your brand.
With over 20 years of experience supporting businesses of all sizes, expert advice and the right tools can help you create labels that truly represent your products and set you apart in the market.
FAQs
Posted in: Customer Case Study
If you would like to find out more about our cost-effective, short-run labelling and packaging options, for personalisation and promotion. Please contact our customer care team, who will be happy to discuss your requirements and provide advice on the options available.
