Market Analysis and Insights:
The thermal paper market is forecast to be valued USD 4.49 billion in 2022, and to rise at a CAGR of 4.57% between 2023 and 2033, reaching USD 7.33 billion in 2033.
A variety of variables impact the thermal paper industry's growth. A significant driver is the escalating demand for thermal paper within the retail sector, where it is commonly utilized for printing barcode labels, receipts, and tickets. Moreover, the healthcare sector is increasingly adopting thermal paper for printing medical records, lab test results, and prescription labels, thereby bolstering market expansion. The surge in online shopping activities is also propelling the market growth as the e-commerce industry depends on thermal paper for printing shipping labels, invoices, and packing slips. Additionally, various sectors like transportation, banking, and hospitality are in need of instant and efficient printing solutions, further stimulating the market. Despite the ongoing digitalization trend, thermal paper remains widely used due to its cost-effectiveness, resilience, and compatibility with thermal printers. In conclusion, the strong demand from diverse industries and the unique characteristics of thermal paper are crucial factors driving the growth of the thermal paper market.
Thermal Paper Market Scope :
| Metrics | Details |
| Base Year | 2023 |
| Historic Data | 2018-2022 |
| Forecast Period | 2023-2033 |
| Study Period | 2018-2033 |
| Forecast Unit | Value (USD) |
| Revenue forecast in 2033 | USD 7.33 billion |
| Growth Rate | CAGR of 4.57 % during 2023-2033 |
| Segment Covered | Thermal Paper Type, Technology, Application, End-User , Regions |
| Regions Covered | North America, Europe, Asia Pacific, South America, Middle East and Africa |
| Key Players Profiled | Oji Holdings Corporation, Appvion Operations Inc., Koehler Paper Group, Ricoh Company Ltd., Koç Group, Mitsubishi Paper Mills Limited, Jujo Thermal Ltd., Hansol Paper Co. Ltd., Nakagawa Manufacturing Co. Ltd., and Nakagawa Special Paper Co. Ltd. |
Market Definition
Thermal paper is a distinct variety of paper coated with a chemical compound that undergoes a color transformation upon heat exposure. This unique paper is widely utilized for printing receipts, tickets, and labels due to its inherent qualities. The chemical coating incorporates bisphenol-A (BPA) and a dye that interacts with heat to create the intended image or text.
Thermal paper stands out for its unique characteristics and diverse applications. Its heat-reactive coating enables instant and enduring printing via thermal printers, eliminating the necessity for ink or toner. This feature makes thermal paper highly suitable for a wide range of industries, including retail, hospitality, healthcare, and transportation. Its effectiveness and convenience contribute to faster transaction processing, precise record-keeping, and enhanced customer service. Its environmentally friendly properties, stemming from the avoidance of traditional printing supplies, have made it a favored option for businesses aiming to minimize their ecological footprint. With these advantages, thermal paper remains a vital component in various sectors globally.
Key Market Segmentation:
Insights On Key Type
Top Coated
The Top Coated is expected to dominate the global thermal paper market. This is primarily due to the superior print quality and resistance to fading offered by top coated thermal paper. Additionally, top coated thermal paper is widely used in industries such as retail, healthcare, logistics, and hospitality, driving its demand in the market.
Non-Top Coated
The Non-Top Coated of the thermal paper market is expected to hold a significant share. Non-top coated thermal paper is often preferred for applications where print quality is not a critical factor and cost-effectiveness is valued. This finds applications in sectors such as banking, parking systems, lottery tickets, and labeling, driving its demand in the market.
Insights On Key Technology
Direct Thermal Technology
Direct Thermal is expected to dominate the Global Thermal Paper market. Direct Thermal technology is widely used in applications where the printed information is temporary and does not require extreme durability. The simplicity, cost-effectiveness, and ease of use associated with Direct Thermal technology make it the dominant part in the Global Thermal Paper market.
Thermal Transfer Technology
Thermal transfer technology is another significant part in the Global Thermal Paper market. This technology provides long-lasting print results that are resistant to environmental factors like heat, light, and moisture.
Others
The "Others" part includes various emerging and niche technologies within the Thermal Paper market. Although it may have potential for growth and innovation, it currently holds a smaller market share compared to Direct Thermal and Thermal transfer. Some of the technologies included in this part are dye diffusion thermal transfer (D2T2) and offset thermal transfer (OTT). These technologies cater to specific application requirements and may find increased adoption in the future.
In summary, while Direct Thermal dominates the Global Thermal Paper market due to its widespread use in temporary labeling and receipts, Thermal transfer technology offers durability for applications requiring long-lasting printed information. The "Others" part comprises emerging technologies that have the potential for growth but currently hold a smaller market share.
Insights On Key Application
POS Receipts
The dominating in the Global Thermal Paper market is POS Receipts. POS stands for Point of Sale, and it refers to the transactional process that takes place at the time of purchase. The demand for POS receipts is driven by the increasing number of cashless transactions, the need for efficient and fast billing systems, and the convenience it provides to both customers and businesses. Therefore, POS receipts are expected to dominate the Global Thermal Paper market due to their high demand and widespread usage.
Lottery & Gaming Tickets
Lottery & gaming tickets are an important part of the Global Thermal Paper market. These tickets are commonly used in lottery games, gaming events, and promotional activities that require instant printing and ticket issuance. The demand for thermal paper in this part is driven by the growing popularity of lotteries and gaming events worldwide. The convenience of instant printing, the ease of distribution, and the ability to incorporate features such as security coding and barcode scanning contribute to the dominance of this part in the thermal paper market.
Labels & Tags
Labels & tags constitute another significant part of the Global Thermal Paper market. Thermal paper is widely used in printing labels and tags for various applications, including product labeling, inventory management, shipping and logistics, and retail price labeling. The demand for thermal paper labels and tags is primarily driven by the increasing requirement for efficient and cost-effective labeling solutions across industries. The ability of thermal paper to produce high-quality prints, resist fading, and withstand variable environmental conditions makes it a preferred choice for labeling and tagging applications.
Others
The "others" part includes applications of thermal paper that are not covered in the POS receipts, lottery & gaming tickets, and labels & tags categories. This part may include applications such as event tickets, parking tickets, transportation tickets, and more. Although this part may have a significant market share, it is likely to be overshadowed by the dominance of the POS receipts part in terms of overall market size and demand. The specific dominance within this part would depend on the respective market demands and growth rates of the various applications included under "others."
Insights On Key End User
Packaging & Labelling
The Packaging & Labelling part is expected to dominate the global thermal paper market. This can be attributed to the increasing demand for thermal paper in the packaging industry for labeling various products. Thermal paper offers convenience, durability, and excellent print quality, making it suitable for packaging and labeling applications. The growth of e-commerce and the need for efficient packaging and labeling solutions further support the dominance of this part.
Printin
The Printing part is another significant part of the global thermal paper market. Thermal paper is widely used in printing applications, such as receipts, tickets, and barcode labels. The printing part benefits from the widespread use of thermal printers in retail, hospitality, transportation, and other sectors. The ease of use, cost-effectiveness, and high-quality printing offered by thermal paper contribute to the demand for this part.
Retail
The Retail part also holds a notable share in the global thermal paper market. Thermal paper is extensively used in retail settings for printing various transactional receipts, including point of sale (POS) receipts. The increasing adoption of thermal printers in supermarkets, restaurants, convenience stores, and other retail establishments drives the demand for thermal paper in this part.
Others
Although not dominating the market, the Others part plays a smaller but still relevant role in the global thermal paper market. This part includes various end users that utilize thermal paper for different purposes, such as ticketing, gaming, medical records, and banking. While the demand from these industries may not be as substantial as the dominant parts, it contributes to the overall growth and diversity of the thermal paper market.
Insights on Regional Analysis:
Asia Pacific
The Asia Pacific region is anticipated to dominate the global thermal paper market due to the rise in retail and e-commerce sectors in countries like China, India, and Japan. The growth of the retail industry, coupled with a high demand for thermal paper in the packaging and labeling applications, is driving the market in this region. Furthermore, the increasing adoption of point-of-sale (POS) systems in businesses further boosts the demand for thermal paper, contributing to the dominance of the Asia Pacific region in the global market.
North America
The thermal paper market in North America is predicted to develop significantly as the retail industry expands, thermal paper usage in the healthcare sector increases, and internet shopping becomes more popular. Based on these considerations, North America is expected to remain the dominating market for thermal paper.
Europe
The European thermal paper market is projected to witness steady growth due to the increasing application of thermal papers in various sectors such as retail, packaging, and transportation. Moreover, the stringent regulations regarding the use of environmentally-friendly materials and the rising awareness towards sustainable packaging are driving the demand for thermal paper in this region.
Latin America
The thermal paper market in Latin America is predicted to develop at a moderate rate. Factors such as the expansion of the retail sector, growth in the food and beverage industry, and increased usage of thermal printers all contribute to market growth in this area. However, economic volatility and price swings may limit market expansion to some extent.
Middle East & Africa
The Middle East & Africa region is anticipated to witness gradual growth in the thermal paper market due to the expansion of the retail sector, growth in the hospitality industry, and increasing investment in infrastructure development. The demand for thermal paper is expected to rise in applications such as point-of-sale (POS) systems, parking tickets, and ATM receipts. However, various economic and political challenges may impact the market growth in this region.
Company Profiles:
Prominent stakeholders in the worldwide Thermal Paper industry play a pivotal role in stimulating market advancement by spearheading product advancements and expansion tactics in order to cater to the increasing need for top-notch thermal paper merchandise. In addition, they prioritize sustainability endeavors to comply with environmental standards and fulfill consumer requirements.
Prominent companies in the thermal paper industry comprise Oji Holdings Corporation, Appvion Operations Inc., Koehler Paper Group, Ricoh Company Ltd., Koç Group, Mitsubishi Paper Mills Limited, Jujo Thermal Ltd., Hansol Paper Co. Ltd., Nakagawa Manufacturing Co. Ltd., and Nakagawa Special Paper Co. Ltd. These entities are significant participants in the thermal paper sector, offering a diverse array of thermal paper solutions across multiple sectors. Engaged in product innovation, manufacturing, and distribution, these leading organizations actively vie for market dominance. Leveraging their vast expertise, inventive approaches, and widespread global presence, these key industry players wield immense influence in shaping the thermal paper market and fulfilling the escalating global demand for thermal paper products.
COVID-19 Impact and Market Status:
The thermal paper market has been significantly impacted by the COVID-19 pandemic as a result of lockdown measures and social distancing regulations. These restrictions have led to a decrease in economic activities across various sectors, resulting in a reduced demand for thermal paper products. The closure of retail outlets, restaurants, and entertainment venues has also contributed to the decline in the need for receipts and tickets, which are key applications of thermal paper. Additionally, the growing trend towards online transactions and digital receipts has further dampened the demand for thermal paper.
Moreover, disruptions in the global supply chain, logistical challenges, and temporary closures of manufacturing facilities have hindered the production and distribution of thermal paper, exacerbating the market's downturn. Nevertheless, as lockdown restrictions are eased and economic activities gradually resume, the demand for thermal paper is expected to recover. While the thermal paper market may face short-term challenges, it is anticipated to bounce back as the world emerges from the COVID-19 crisis.
Latest Trends and Innovation:
- On May 6, 2021, Appvion Operations, Inc. announced the acquisition of Iconex LLC, a leading provider of receipt and label solutions.
- On March 23, 2021, Mitsubishi Paper Mills Limited acquired a 58% stake in Connecta Paper, a global leader in specialty paper products.
- On November 10, 2020, Oji Holdings Corporation introduced a new thermal paper product with enhanced resistance to fading and heat.
- On August 7, 2020, Appvion Operations, Inc. launched Triumph High-Speed Inkjet, a new thermal paper range designed for high-speed inkjet printing applications.
- On June 17, 2020, Jujo Thermal Ltd. announced the launch of Jujo Value Up, a high-performance thermal paper product with improved printability and reduced environmental impact.
- On April 2, 2020, Koehler Paper Group unveiled Koehler NexPlus, a new thermal paper technology that reduces the amount of chemical developers used in the production process.
- On January 15, 2020, Mitsubishi HiTec Paper announced the expansion of its thermal paper production capacity at its Bielefeld mill in Germany.
Significant Growth Factors:
Factors driving growth in the thermal paper market comprise rising demand from the retail and hospitality industries, innovations in printing technologies, and a mounting emphasis on environmentally friendly and sustainable goods.
The thermal paper industry is poised for substantial expansion in the foreseeable future, propelled by various pivotal factors. Primarily, the burgeoning global retail landscape is fueling the demand for thermal paper utilized in billing and receipt applications. The surge in the adoption of digital payment mechanisms has further amplified the need for thermal paper within the retail sector. Additionally, the burgeoning e-commerce sphere is playing a significant role in the market's growth, with thermal labels being extensively employed in packaging and shipping operations. The proliferation of online food delivery services has also ened the requirement for thermal paper for printing order receipts and labels within the food and beverage industry. Furthermore, industries like healthcare, transportation, and logistics are increasingly seeking secure and efficient printing solutions, thus contributing to the demand for thermal paper. Moreover, advancements in thermal printing technologies, particularly the innovation of high-caliber and environmentally friendly thermal paper products, are anticipated to propel market expansion. Lastly, the growing emphasis on environmental sustainability and the shift towards eco-conscious products present an avenue for manufacturers to create recyclable thermal paper derived from sustainable materials. In essence, the growth trajectory of the thermal paper market is underpinned by the expansion of retail and e-commerce sectors, the imperative for efficient printing solutions across diverse industries, and the evolution of eco-friendly thermal paper offerings.
Restraining Factors:
An important obstacle hindering the expansion of the thermal paper market is the rising environmental apprehensions surrounding the disposal of thermal paper, leading to a surge in the need for sustainable substitutes.
The thermal paper industry faces various obstacles that impact its growth. In particular, the shift towards digitalization and electronic documentation diminishes the demand for printed receipts and tickets. Concerns about environmental sustainability also constrain market expansion, as thermal papers are often coated with chemicals like bisphenol A (BPA), which is detrimental to both the environment and human health. Stringent regulations and prohibitions on BPA usage in thermal papers further compound these challenges. Additionally, increasing costs of raw materials like leuco dye and sensitizers utilized in thermal paper manufacturing could impede market progress. The global economic slowdown induced by the COVID-19 pandemic has further reduced the consumption of thermal paper-based products in sectors such as retail, hospitality, and transportation.
Nevertheless, amidst these hurdles, the thermal paper sector presents growth opportunities. Manufacturers are exploring eco-friendly alternatives to conventional thermal papers, incorporating BPA-free coatings and recyclable materials, thereby aligning with sustainability goals. Innovations like self-adhesive thermal paper are gaining prominence, opening up new avenues for market expansion. By prioritizing sustainability and embracing emerging technologies, the thermal paper industry can surmount these challenges and thrive in the years ahead.
Key Segments of the Thermal Paper Market
Thermal Paper Type Overview
• Top Coated Thermal Paper
• Non-Top Coated Thermal Paper
Technology Overview
• Direct Thermal Technology
• Thermal Transfer Technology
• Others
Application Overview
• POS Receipts
• Lottery & Gaming Tickets
• Labels & Tags
• Others
End-User Overview
• Packaging & Labelling
• Printing
• Retail
• Others
Regional Overview
North America
• United States
• Canada
• Mexico
Europe
• Germany
• France
• United Kingdom
• Rest of Europe
Asia Pacific
• China
• Japan
• India
• Rest of Asia Pacific
Middle East and Africa
• Saudi Arabia
• United Arab Emirates
• Rest of Middle East and Africa
Latin America
• Brazil
• Argentina
• Rest of Latin America
Frequently Asked Questions (FAQ) :
The Global Thermal Paper Market estimated to reach USD 7.98 billion by 2032
The thermal paper market is growing at a CAGR of 4.63% over the forecast period.
The top companies that hold the market share in thermal paper market are Oji Holdings Corporation, Koehler Group, Hansol Paper Co. Ltd., Gold Huasheng Paper Co. Ltd., Henan Province JiangHe Paper Co., NCR Corporation, Appvion Inc., Fujitsu Frontech Limited, Domtar Corporation, Mitsubishi Paper Mills Limited, and Nippon Paper Industries Co., Ltd.