Hi Linny. There used to be a pod in Tokyo who experimented with sewing the label into the seam so that it stuck out like a tab. See http://www.morsbags.com/phpBB2/viewtopi ... c&start=60
Personally I prefer it flat on the front of the bag - I find it doesn't get lost visually even in quite strong patterns, and the idea is that it should be pretty prominent - it is the most important thing about the bag, really. We want people to be able to see the web address clearly. What I occasionally do - particularly if there is a suitable piece of material left over - is to sew the label onto a pocket which could be plain or contrasting material and sew that onto the front of the bag (sew round sides & bottom, leave the top open to receive shopping lists). Does add to the work & time involved though.