The method uses a transparent, opaque paper or plastic film flexible substrate. It is in a roll form with images pre-printed at intervals on one side with an opaque coating. It is pre-marked with registration marks to be sensed by an optical reader in the applicator (14). The opposite surface of the web has an adhesive coating and a release coating. The substrate is fed from the roll (40) to the application station at a predetermined feed rate. The article to be labelled is positioned adjacent the application station on a conveyor line (90). The registration marks are sensed and the web is interposed between the die and anvil plate (110). The label is cut in the shape determined by the edge of the die. A transfer member transports the label, held in place by a vacuum. The adhesive on the label surface secures it to the article. The vacuum is released and the transfer member is withdrawn leaving the label affixed to the article.