The events of the past two years have plunged the UK into a pit of economic uncertainty the likes of which has not been seen since the Second World War. Most everyday goods and commodities have skyrocketed in price, due to a combination of supply chain issues and a general lack of availability.
Unfortunately, blank labels (and related consumables) have not been immune to the whole thing. Numerous factors have converged to result in major supply chain issues for the custom labels sector, including but not limited to the following:
- Pulp prices continue to hover around record highs due to stock shortages and demand increases across Europe.
- Supply chain bottle necks have resulted in a growing disparity between demand for silicone and paper chemicals and available supply.
- Business shutdowns and redundancies have put a further strain on the supply chain and reduced the availability of key products and base materials.
- Transportations costs have increased significantly and shipping materials to and from the UK has become more complicated.
- Energy costs have increased this year faster than at any other point in recorded history, making paper products significantly more expensive to produce.
All of the above is making it extremely difficult for label suppliers and those who rely on their products to continue functioning in the normal way.
Price increases and longer lead times are an unfortunate reality of the current situation in the UK, but will hopefully be reversed as the economic climate becomes more favourable.
How to Cope with the Current Supply Issues
For the time being, we are advising our customers to take all possible steps to safeguard themselves from possible delays and disruptions.
Examples of which include the following:
- For the foreseeable future, it is advisable to place all orders for important labels and supplementary materials as far in advance as possible. What would normally take four days to ship can now sometimes take as long as four weeks.
- If you experience predictable shifts in demand at various times during the year, please let us know about these in advance. We can adapt our own procurement and manufacturing operations to accommodate your seasonal peaks.
- Where possible, consider ordering more with each run of labels you commission. As there is a tendency for on-hand stocks to be wiped out fairly fast, we advise stocking up on your most important labels to ensure you have a decent buffer to fall back on.
- If appropriate to do so, you could also consider switching to a different type of material or finish for your labels, as demand for some products is much higher than for others. If the material you need is not currently in stock, we can advise on the closest approximation and the other alternatives available.
If you have any questions or concerns regarding blank label price increases and longer lead times, we’d be delighted to hear from you anytime. Contact a member of the team at Mercury Labels today, or email us and we’ll get back to you as soon as possible.
Craig Upton supports UK businesses by increasing sales growth using various marketing solutions online. Creating strategic partnerships and keen focus to detail, Craig equips websites with the right tools to rank in organic search. Craig is also the CEO of iCONQUER, a UK based SEO Firm and has been working in the digital marketing arena for many years. A trusted SEO consultant and trainer, Craig has worked with British brands such as FT.com, djkit.com, Mercury Labels, Serimax and has also supported UK doctors, solicitors and property developers to gain more exposure online. Craig has gained a wealth of knowledge using Google and is committed to creating new opportunities and partnerships.
