Here here! Absolutley do not put any sticky labels onto a DVD you have burned. bad news all around for all the reasons you've read above. You'll find that a good proportion of those with labels do not play.
Printable media and a suitable printer is the only way to go. I've, personally, had best results with glossy printable Verbatim but the non-glossy kind are really fine, especially if you buy a can of fixative and give them a spray once the print had dried. Gives them a nice sheen!
I learned the very hard way about 3 yrs ago that you just cannot glue labels to dvd discs - a video production shop guy told me it involved weight and disc balance - so you can get away with glue on labels for cds but NOT dvds and why use paper and glue anyway when you can just buy direct print cd and dvd discs?
I have no lightscribe experience - looks like magic to me - so I agree with earlier poster that Epson makes GREAT yet inexpensive printers that will print incredible labels right on the printable discs.
I like some of my movie labels better than the commercial labels the movie maker used. I recall that I paid around $179 for my R300 Epson printer but they have had a model with same features for around $90.
The Epson printer comes with a disc of software and I found their label creation utility to be feature rich for professional looking labels yet very, very simple to figure out and use.