Electronic Shelf Labels for Warehouses and Logistics

Electronic shelf label systems for warehouses and logistics display centrally managed location, product, inventory and operational information on digital e-paper screens installed throughout the facility.

Warehouse operations require more than knowing where products are stored. Location data must remain current, employees need to identify the correct shelves and changes in product placement must be communicated accurately across shifts.

Paper location labels can become difficult to manage in facilities where products, tasks and storage areas change regularly. Electronic labels provide a flexible alternative by allowing authorised information to be updated through a central platform and transmitted to the relevant warehouse location.

What Is a Warehouse Electronic Label System?

A warehouse electronic label is a digital e-paper display used to present location, product, stock or task-related information at shelves, bins, racks and operational stations.

Depending on the project, an electronic label may display:

• Aisle and rack number
• Shelf or bin location
• Product name
• SKU or stock code
• Barcode or QR code
• Available quantity
• Minimum stock level
• Picking quantity
• Order priority
• Batch or lot number
• Loading sequence
• Task instructions
• Temporary location information

An ESL system does not replace warehouse management software. It acts as a digital interface that presents selected WMS or ERP data directly where warehouse employees need it.

How Do Electronic Labels Work in Warehouses?

1. Warehouse locations are defined

Aisles, racks, shelves, bins and temporary storage areas are created within the management structure.

Each electronic label is then paired with a specific location or operational station.

2. Product and task information is received

The information displayed on the labels may be entered manually or transferred from an ERP or warehouse management system through integration.

3. Screen templates are prepared

Templates determine where the system displays:

• Product codes
• Locations
• Quantities
• Barcodes
• Task priorities
• Status information

The most important operational information should be made clearly visible according to the viewing distance and working conditions.

4. Data is sent through the gateway

Changes made in the central system are transmitted wirelessly to the relevant warehouse labels.

5. Update status is monitored

The system can confirm whether the selected labels have received the new content.

Depending on the label model, additional features such as LED indicators, NFC or interactive functions may also support picking and product identification.

Vycall Tip: Design label layouts according to actual viewing distance. Information intended for a forklift operator should not use the same font size as information viewed by an employee standing directly in front of a picking shelf.

Benefits of Electronic Labels for Warehouse and Logistics Operations

Faster location changes

When products are moved between racks, paper labels must usually be replaced.

Digital warehouse labels allow location and product information to be changed centrally without preparing a new physical label for every update.

Support for more accurate picking

Displaying the product code, rack location, barcode and required quantity together can help employees verify that they are picking from the correct location.

Electronic labels support the process, but they do not eliminate errors on their own. Accurate source data, correct pairing and employee training remain essential.

Improved picking workflows

Labels may display:

• Picking quantities
• Order priorities
• Route information
• Task status
• Temporary instructions

Models with LED indicators can also help employees visually identify the required location.

Reduced printing requirements

Warehouses with frequently changing locations may need to print and replace large numbers of paper labels.

Electronic labels can be reassigned and updated for different products, tasks or operational periods.

Centralised management across facilities

Multiple warehouses or distribution centres can be managed through the same authorised platform.

Different screen templates and user permissions may be created for each facility or department.

Better continuity between shifts

Temporary tasks and operational notices can be displayed directly at the relevant location instead of relying only on verbal communication or handwritten notes.

Paper Warehouse Labels vs Electronic Warehouse Labels

Warehouse ESL Use Case

Consider an e-commerce warehouse that uses selected racks for different product groups throughout the day.

During the morning shift, location A-24 may be assigned to one product group. Later, the same location may be used for priority dispatch orders.

With paper labels, every change requires a new printout and physical replacement.

With electronic warehouse labels, the process may be organised as follows:

1. The new product and location pairing is created in the WMS.
2. The relevant data is sent to the electronic label.
3. The required picking quantity appears on the screen.
4. Priority tasks are marked with a symbol or highlighted field.
5. The label is updated for the next task after completion.
6. The responsible user monitors the update status centrally.

This model may be particularly useful for:

• Temporary picking areas
• Seasonal operations
• Cross-docking locations
• Fast-moving stock
• E-commerce fulfilment centres
• Production supply zones

Where Can Electronic Labels Be Used in a Warehouse?

Picking shelves

Product code, location, quantity and barcode information can support warehouse employees during order preparation.

Goods receiving areas

Labels may display inspection status, receiving priority and the assigned storage location.

Dispatch areas

Order number, route, vehicle, loading sequence or delivery status may be displayed.

Temporary storage zones

Frequently changing product information can be updated without replacing physical labels.

Spare parts warehouses

Part numbers, compatibility information and product descriptions can help distinguish visually similar components.

Production supply points

Material type, required quantity and production line information may be displayed at relevant stations.

What Should Be Considered When Selecting a Warehouse ESL System?

WMS and ERP integration

The primary source of product, stock and task information should be clearly defined.

Where the same information exists in several systems, the project must establish which system has final authority.

Wireless coverage

Metal racks, high shelving, enclosed areas and large warehouse structures can affect communication performance.

Gateway placement should therefore be based on a proper site assessment.

Viewing distance

The selected screen size should match the distance from which employees need to read the information.

Environmental conditions

For cold storage, dusty environments, humid areas or locations with an increased risk of impact, the technical specifications of the label should be reviewed carefully.

Mounting method

The project should determine whether labels will be mounted on:

• Metal racks
• Plastic bins
• Pallet locations
• Shelves
• Containers
• Mobile stations

Battery and maintenance planning

Battery performance varies according to label model, update frequency and environmental temperature.

Maintenance planning should be based on actual operating conditions rather than ideal laboratory estimates alone.

Vycall Tip: Use separate screen templates for picking, goods receiving and dispatch operations. A visually distinct template helps employees understand the purpose of each label more quickly.

Frequently Asked Questions

Does an electronic label replace warehouse management software?

No. The label displays selected data from the authorised management system. Inventory control, order planning and operational rules remain within the WMS or ERP platform.

Is an electronic label required for every warehouse rack?

Not necessarily. A project may focus only on dynamic locations, high-risk picking areas, temporary storage zones or frequently changing product sections.

Can barcodes and QR codes be displayed?

Yes, provided that the label resolution and template design are suitable. Codes should be tested with the scanners used under real warehouse conditions.

Can electronic labels be used in cold storage?

Suitable models may be used in low-temperature environments. The supported operating range must be confirmed through the technical specifications of the selected device.

Build a Digital Label Infrastructure for Your Warehouse

Warehouse size, rack structure, product movement, WMS infrastructure and operational priorities should all be evaluated before selecting the appropriate electronic label system.

Review Vycall electronic shelf label solutions to explore label models, gateway infrastructure and central management options.

Contact Vycall to plan an electronic label project aligned with your warehouse and logistics operations.