Price Tags – The Complete Guide for Retail

In recent years, digital price tags, also known as electronic shelf labels, have been assuming an increasingly prominent role in the retail sector, providing an innovative and effective way to manage product prices in stores. In the upcoming article, we will examine how digital price tags work and the benefits they offer, as well as some of the solutions and technologies available in the market.

How do Price Tags work?

To understand how digital price tags work, it is important to highlight their main component: electronic screens. These devices enable the display of information, such as the cost of products in digital format, thus eliminating the need for conventional paper labels.

Traders can quickly and efficiently adjust product prices, as digital price tags are updated remotely through a Wi-Fi or BLTE network. Instant price updating offers various benefits, such as reducing errors and providing greater flexibility in price management.

Digital devices use digital technologies to show information about product prices on store shelves. The tags operate similarly to smartphones or tablets, featuring electronic screens that can be updated remotely via a wireless connection.

Price Tags
Price Tags

Price Tags Benefits

Digital price tags offer a variety of benefits for both retailers and consumers. Some of the key benefits include:

  • Price Accuracy: Digital price tags ensure that the prices displayed on the shelves always match those recorded in the store's ERP, avoiding discrepancies that may cause confusion or dissatisfaction among customers. Digital price tags can reduce pricing errors by up to 50%.
  • Instant Updates: Due to their real-time updating capability, digital price tags allow retailers to adjust product prices instantly, whether to reflect temporary promotions or regular price adjustments. Digital price tags can be updated within seconds, enabling instant updates.
  • Operational Efficiency: By automating the price updating process, digital price tags allow employees to focus on more strategic tasks, contributing to improving the store's operational efficiency. Digital price tags can help reduce operational costs by up to 30%.

Retailers benefit in various ways from digital price tags, such as the ability to update prices instantly and reduce errors in price assignment. These tags also contribute to improving the operational efficiency of stores by saving retailers from manual price updating tasks.

Typical Features of Price Tags

Digital price tags provide a range of features that may be useful to the shops and their customers. Some of the most common functionalities include:

  • Automatic price update: Digital price tags can be set up to update product prices at regular intervals automatically or when there are changes in prices. This can help ensure that the displayed prices are always current and accurate.
  • Display of additional information: Besides prices, digital price tags may display other relevant information about products such as availability in stock, expiry dates, and ongoing promotions. This can assist customers in making more informed purchasing decisions.
  • Centralized pricing control: Digital price tags can be managed centrally, which allows retailers to control product prices at different selling locations from a single control point. This can help ensure that prices are consistent across all stores and reduce the time and effort needed for manual price updating.
  • Integration with Inventory Management Systems: Digital price tags can be connected to inventory management systems, allowing retailers to automatically update prices and product information in real time based on stock levels and other relevant information. Their usefulness lies in ensuring that prices and information are always up-to-date and accurate.
  • Online Display of Competitors' Prices: Some digital price tags can display competitors' prices online, which can help retailers adjust their prices to remain competitive.
  • Display of QR Codes for Online Orders: Some digital price tags can show QR codes to allow customers to place online orders, which can help increase sales and improve the customer experience.
  • Display of Product Reviews: Some digital price tags can display product reviews, which can help customers make more informed purchasing decisions and increase confidence in both the products and the retailers.

Digital price tags offer a variety of functionalities that can be useful for retailers and customers. These functionalities can help improve retailers' efficiency, accuracy, and competitiveness, enhancing the customer experience and increasing sales.

Selection and Implementation of Price Tags

Implementing a digital price tag project can be a complex process, but with the correct steps, it can be successfully accomplished. Here are some important steps for implementing a digital price tag project:

  1. Store and Product Analysis: Determining the type and quantity of tags needed is important when analyzing the store and its products.
  2. Selection of Content Management Software for Tags: Selecting appropriate content management software is necessary, which is compatible with the chosen tags.
  3. Tag Installation: It is necessary to position the tags at strategic points in the store to make them visible and easily accessible to customers.
  4. Choosing the Ideal Accessories: Considering the choice of accessories to position the digital price tags on the shelves is important. Depending on the availability of space and the store's needs, it is feasible to opt for various sizes and formats.
  5. Employee Training: Training employees on the use of software and tags is crucial to ensure they know how to update product prices and information.
  6. System Monitoring: It is essential to periodically monitor the system to ensure its good performance and make adjustments when necessary.

With careful implementation, digital price tags can contribute to improving price efficiency and accuracy, while providing a more satisfying shopping experience for customers.

How to select a Supplier for Price Tags?

  • Experience and Reputation: Find a supplier that has demonstrated success in past installations and customer satisfaction. Evaluate customer reviews and comments.
  • Product Offering: Choose a supplier that offers a wide range of options for digital price tags, including various sizes, designs, and functionalities. This will ensure that you find a solution that meets your specific needs.
  • Technical Expertise and Support: Find a supplier that provides comprehensive installation, training, and technical support services. This will ensure that you can quickly and easily resolve any technical issues that arise.
  • Prices and Cost Structure: Find a supplier that offers competitive and transparent prices, without hidden fees or charges. This will help you make accurate budgets and avoid unexpected expenses.
  • Innovation and Product Development: Select a supplier committed to innovation and product development. Find a supplier that is constantly improving and expanding its range of products, and strives to stay ahead of the digital price tag industry.

Market Trends

The market for digital price tags is constantly growing, thanks to the increasing demand for automated pricing solutions, the need to reduce labor costs, and the necessity to improve price accuracy. The rising adoption of Internet of Things (IoT) technologies and the need to enhance the customer experience also contribute to this growth.

According to a report from MarketsandMarkets, it is expected that the global market for digital price tags will grow from $1.2 billion in 2020 to $2.5 billion in 2025, with a compound annual growth rate (CAGR) of 15.4% during the forecast period. The Asia-Pacific region is expected to lead the market growth, due to the growing demand for automated pricing solutions and the increasing adoption of IoT technologies.

The increasing competition among digital price tag suppliers also drives market growth. Key suppliers of digital price tags are investing in innovation and product development to differentiate their offerings and increase their market share.

The Future of Price Tags

With the continuous evolution of technology, we can anticipate seeing innovations in the realm of digital price tags. In the future, we expect to see greater integration with other store management systems and the development of new functionalities and capabilities. This will include the display of promotional information, making consumer interaction via smartphones more common and pronounced.

We will also witness the use of digital price tags in other applications, such as goods transportation, storage, logistics, the food industry, and identification of bedridden patients in hospitals, as well as in exhibitions and museums.

Digital price tags assist in improving the accuracy and integrity of prices, which can help stores maintain their competitiveness in an ever-changing market. Adapting to market needs is essential for achieving long-term success in retail.

Price Tags and Digital Signage

Our digital signage solution - World VDS, offers seamless integration with digital price tags, allowing retailers to have remote, centralized, and efficient management of prices and promotions. With the World VDS software, retailers can update product prices in real time, ensuring that customers always see the correct values on the shelves. Additionally, the tool allows the display of promotional information, such as discounts and special offers, directly on the digital tags, creating a more engaging and informative shopping experience for consumers. By combining the accuracy of digital price tags with the versatility of World VDS digital signage, retailers can improve their competitiveness, increase customer satisfaction, and effectively boost sales.


Price tags bring significant innovation to the retail world, offering a more efficient and precise way to manage product prices in stores. With their ability for instant updates, price accuracy, and operational efficiency, price tags are becoming an indispensable tool for retailers looking to stay competitive in an increasingly demanding market. By choosing the right digital price tags and implementing them properly in your store, you can benefit from more effective price management and a better shopping experience for consumers.