Vector format files are the best format for commercial printing because they are made up of mathematically defined geometric shapes such as lines, curves, and points, rather than pixels. This means that they can be infinitely scaled without losing quality because the mathematical equations remain the same regardless of the size of the image.
In contrast, raster based images are made up of pixels and have a fixed resolution, meaning that if they are scaled up beyond their original size, the individual pixels become visible and the image can appear pixelated and blurry.
Overall, the scalability and quality of vector format files make them the preferred format for printing, especially when it comes to high-quality printed products such as custom labels.