Packaging innovation is getting smarter—and greener. A recent article from PlasticsToday highlights how RFID-enabled smart labels are helping brands unlock real progress in recycling and sustainability.
Phenix Label weighed in on this shift, sharing how these intelligent label solutions go beyond tracking. They simplify sorting, reduce material waste, and support compliance with retailer sustainability targets. As the article notes, “Smart packaging has gone from trend to essential.” The piece also calls out Phenix for helping brands stay ahead of requirements with RFID-compliant, high-performance label solutions.
Industry innovations
Phenix Label recently announced an expansion in its production capacity for RFID-enabled packaging, specifically doubling output for hard-to-tag retail items. This advance represents a breakthrough for the packaging industry, particularly for water-based food products that have traditionally been challenging to track using RFID technology.
The company’s packaging design addresses a critical industry challenge: The high conductivity of liquids that typically interferes with RFID tag performance. Their patent-pending solution features a tear-away RFID-enabled label strategically positioned above fill levels, dramatically improving scan reliability for liquid-filled consumer packaged goods.
This development comes at a crucial time as RFID technology now comprises 32% of the food traceability market, with nearly 10% annual growth. The technology enables real-time tracking throughout supply chains, helping retailers meet stringent food standards and efficiently manage potential product recalls.
With the rise of online shopping, accurate inventory visibility has become essential for customer satisfaction. Phenix Label’s enhanced packaging ensures that products shown as available in inventory systems are actually on shelves, reducing discrepancies and improving the shopping experience.
The design also incorporates sustainability features, allowing consumers to easily remove RFID labels from empty containers for proper recycling, addressing growing environmental concerns in packaging.
Michael Sanders, vice president of Global Channel Sales at Avery Dennison, highlighted the significance of this capacity expansion, noting that it “demonstrates the increasing demand for innovative solutions in the ever-evolving landscape of food production and distribution.”
Mark Volz, vice president of Sales and Marketing at Phenix Label, emphasized the company’s commitment to continuous investment in technologies that improve both reliability and sustainability while increasing production throughput.
“Collaborating with partners like Avery Dennison, we bring innovation, vast experience, and unmatched service to enable the power of RFID intelligence for hard-to-tag items, delivering better overall value for world-class food and retail brands.”
Industry impact
RFID labels in packaging have long been an issue in recycling, and designers have to be mindful as they develop this type of packaging. RFID labels can be placed directly onto packages, on the label, bottle or cap.
The decision can impact how the packaging moves through the reclamation stream, and the ultimate quality of the recycled resin itself.
By preventing label and adhesive residues from contaminating reclaimed PET, the technology enables brands to incorporate RFID tracking on packaging without compromising recyclability. This is significant as PET plastics (used in beverage, food, and cosmetic packaging) are widely recycled, and even small contaminants can degrade the quality of recycled resin. The company said the RFID labels will be made broadly available later this year, helping consumer goods companies meet aggressive waste reduction and smart packaging goals simultaneously.
The technology enables plastics manufacturers to offer packaging solutions that satisfy both the technical requirements for smart packaging functionality and the increasingly stringent sustainability demands of the consumer goods marketplace, positioning them as innovation leaders in an increasingly eco-conscious industry.
Read the full PlasticsToday article to see how Smart Labels Are Shaping a More Sustainable Packaging Future