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The third quarter of 2015 marked a huge divergence in the performance of the industry, according to the Department of Commerce Quarterly Financial Report. Printers with more than $25 million in assets wrote down assets amounting to nearly -15% of revenues. This sent the quarterly moving total of inflation-adjusted profits before taxes to +$1.46 billion.
Last week, we took a wide-format look back at 2015. Now let’s switch directions. What can we expect in 2016? Before we answer that, though, what is 2016 likely to hold for the printing industry in general?
We took a survey of printers and they told us they were really happy. We got data about ad agency revenues and their revenues is still heading up. A big consulting firm says digital content will be bigger than ever. The post office data tells us there's less and less of their work in our mailboxes. The world is full of contradictory trends, and Dr. Joe sorts them out.
These are the results of the Economics and Research Center’s (ERC) survey conducted in October and November 2015.
A promotional campaign for paper and packaging goes for the heartstrings with special boxes to be filled with gifts for kids spending the holidays in hospitals.
Albert Einstein’s general theory of relativity is 100 years old, but his appeal as a creative inspiration for graphic illustrators is 100 years young.
The print medium is returning as an important marketing and sales tool. This holiday season, firms like Bloomingdales, Nordstrom, and Saks Fifth Avenue are sending more targeted and specialized catalogs. This article cites InfoTrends’ recent research to explore how catalogs are cutting through the clutter in today’s digital world.
The recession started just before 2008 was beginning and the latest data from the County Business Patterns report shows how the business formats of the industry changed by 2013.
Last week I attended Singularity University’s Executive Program in Silicon Valley. The best way to describe what happened to me after a week of hearing some of the brightest people in tech talk about the future is that they dramatically changed my perspective. Come to find out, I had a very narrow lens through which I viewed the world; they replaced it with a wide angle lens that goes beyond our planet and looks far into the future.
A company called High Quality Printing Inventions, LLC, is using a patent initially granted to Moore (now R.R. Donnelley) to file patent infringement lawsuits in the U.S. District Courts in a litigation campaign against several printing companies using common web-to-print functionality.
2015 was a chock-full-of-news year on the technology front—but only a curtain-raiser for what lies ahead in 2016.
Santa Claus, who knows a thing or two about packaging, has a sackful of innovations for fans of the art form this year.
What were the top growth areas for wide-format in 2015? What applications are ascendant? What technologies are emerging and evolving?
Integrated direct marketing solutions provider SG360° made an exciting announcement the other day, and I wanted to make sure you didn’t miss it.
Saugatuck Capital bolts Plymouth Printing onto Pharmaceutic Litho & Label, Rondo-Pak adds Contemporary Graphics to US pharma printing platform, Firespring evolves into MSP, Circle Graphics corrals grand format printer Imagic, the Mittera Group continues traditional printing rollup.
Rather than face the reality that all print businesses need to evolve, many print owners default to staying “busy” running the business the way it’s been run for years. Don’t be tempted to “numb yourself” by keeping busy, the market conditions are indisputable, the past performance of your print business is not indicative of future results. We are operating in a different reality with very compelling digital alternatives to print communication.
For the holidays, “shop early and shop often” is still good advice—assuming that you know what “early” now is starting to mean in the retailing world.
Last week's unemployment report did it again, it was all wrapped up in a pretty package but it seemed empty when you looked inside. Contents must have settled during shipping. Speaking of content, employment in agencies and designers are up strongly compared to last year. The content creation business is doing well. Commercial printers are reconfiguring their businesses and produced an historic high in shipments per employee. Dr. Joe has the details.
Two technology leaders want to take digital printing for packaging to the next level—and to several levels after that—with a 110-inch-wide web inkjet press specifically for the corrugated market.
Digital wide-format printing is one of the most significant growth areas in the entire print industry. InfoTrends offers some of its data on the top-growing wide-format printing applications, and takes a look at how the supply chain for equipment, supplies, and consumables is changing.
After doing a multi-year stint managing the established imaging and printing businesses for HP, Steve Nigro is back doing what he loves – running a start-up business. His current role is President, 3D Printing, at HP, Inc., with worldwide responsibility for creating and scaling HP’s 3D business.
The recovery indicators turned in a mixed performance that warrants some caution, concern but not worry, yet. Some outside economic analysts starting to raise concerns about the economy in 2016. Citibank analysts peg the chances of recession in 2016 at 65%, the first such prognostication of a major investment firm that we have seen.
For 17 consecutive months the US commercial printing industry has scored increased shipments compared to the same month of the prior year. In current dollars, the Commerce Department reported that shipments were $7.729 billion. That meant that October 2016's shipments were +$204 million compared to 2015, a +2.7% performance. For the year through October, shipments are +3.3% on a current dollar basis.
The rise of mobile marketing has been long expected, and it looks like Black Friday 2015 is key milestone: mobile was more than half of web site traffic for e-commerce sites. Black Friday “brick-and-mortar” traffic was disappointing, but retailers were aggressively pushing sales online because it reduces the risks of riot-like runs for bargains as stores open. Target Stores had so much online traffic for CyberMonday its servers could not handle the volume. It wasn't the first time that Target misforecast demand for online sales. Some of Black Friday shopping may have been “window shopping” for mobile ordering. IBM, which still has a big business in systems for retailers issued a free download report about what was learned on Black Friday. In that report is the chart we highlight this week. If you sell to retailers or to businesses that sell to retailers, the report is worth reading.
Most printers are business to business (B2B), they do business with other businesses that they have a working relationship with. Business-to-consumer (B2C) is the term used for online businesses that serve anyone who shows up on the website (not necessarily just consumers). As printers consider B2C, they need to understand what it takes to build a successful online business.
Henrik Müller-Hansen, Gelato’s Founder and CEO, had a vision for democratizing the world of printing. This article provides an overview of the Gelato Group’s offerings and explores how these solutions can make a difference in today’s mobile world.
As the production inkjet market continues to gain traction, more choices are coming to market, many of which were first shown at drupa 2012. As we approach drupa 2016, there is no doubt that a growing number of production inkjet solutions will be making their way to commercial availability. Delphax elan is one of those.
As printing companies continue to transform their businesses by offering marketing and related services, establishing direct communication with the brand owner at client or prospect companies – the person who ultimately has responsibility for driving brand initiatives – can pay big dividends. Learn more about what these new services might look like.
From your own physical location—and website—to social media, to local business media, there is no shortage of options for showing off and promoting cool, creative projects you have completed.
The US economy was reported to be stronger in the third quarter than originally thought, but much of it was a rise in inventories. If retailers were stocking up for Black Friday, that might have been a mistake based on early reports. What's happened to the relationship of commercial printing and department stores? Dr. Joe has the history of that and also previews what's coming in this week's economic data.
Take another look at the tried-and-true stuff that shipping cartons are made of. Some top developers of packaging printing technology are.
If you been to Comic-Con in the last five years, you have seen Las Vegas based Off the Wall Signs & Graphics’ work. Its updated fleet of grand format printers have enabled bigger projects with shorter cycle times and are the basis for the company’s growth. Learn more in this story sponsored by HP.
Five years ago, Kodak CTO Terry Taber began building a technology pipeline that he hoped would lead the company into new businesses, including a key focus area for CEO Jeff Clarke, Functional Printing. He speaks with Senior Editor Cary Sherburne about the current state of the organization from a technology perspective.
Packaging isn’t everything at Island Pro Digital, a printing company with a highly diversified product base. But, it represents some of the most interesting work that the firm fabricates for its clients.
The scale of the program is modest, but when the young writers who take part in it see their words in print, its achievement seems far-reaching.
Four-and-a-half years ago, Bob Kelleher of East Syracuse’s SpeedPro Imaging of Central New York made the transition from software sales to wide-format printing and has never looked back.
Even the usual industry dynamics are dynamic. The latest commercial printing industry birth-death data comparing 2012 to 2011 show a rising birth rate and a declining death rate. The +1608 births and -2262 deaths in 2012 were recent lows, as was the net change of only -654 establishments.
That old hippie mood ring you’d die of embarrassment to be seen wearing now? It was the cutting edge of an important decorative technology for labels and packaging.
The news story reporting that James Eby, a 25-year veteran of Wunderman, joined Tukaiz as Chief Creative Office caught my eye. Tukaiz, which recently started an in-house agency, agenz, has long been an innovator and thought leader in the industry. Now they have taken that to a whole new level with Eby leading agenz.
Integration projects span a wide spectrum, from cheap and easy to complex and very expensive. Focus all your attention about print software integration from one place – your business objectives.
Allison Payment Systems was founded in 1888 by Noah Allison, who is credited with the invention of the coupon payment book. The focal point for Allison Payment Systems is personalized customer communications through electronic delivery and first class mail … and lots of it.
The choice of a digital front end (DFE) is perhaps one of the most overlooked decisions in the purchasing process. In some cases, there is only one choice. But for a wide range of toner-based digital presses, two (or even more) options are available. Senior Editor Cary Sherburne spoke with a number of printing professionals to better understand how they are approaching this decision and what criteria they use. Read more for advice from the front lines.
A growth forecast of half a percentage point per year may not sound like much, but it indicates undeniable post-recession momentum for the folding carton market.
Building the world’s first “print shop in a box” was a watershed achievement for Xerox. So was marketing and selling it—a story that “DocuFrank” knows from the inside.
It’s hard to believe that the Xerox DocuTech Production Publisher was launched 25 years ago last month. This was truly a breakthrough product that is credited with launching the print-on-demand market and ultimately generated billions of dollars of revenue for Xerox and its customers.
What could be an important product for local retailers to make their baby steps into direct mail, keeps declining as the USPS raises prices on the Every Door Direct Mail (EDDM) service.
Following on the success of their 2012 book entitled The Challenger Sale: Taking Control of the Customer Conversation, authors Matthew Dixon and Brent Adamson have published a new book entitled The Challenger Customer: Selling to the Hidden Influencer Who Can Multiply Your Results. This article outlines ideas from the new book and explores how winning the right types of customers can enable salespeople to do their jobs more effectively.
Printers working with UV curing have a new technology to learn about, if they are not already acquainted with it: UV LED
Your Print MIS or Print ERP is the most important print software in your business. The process for purchasing a Print MIS is dysfunctional; avoid these five common mistakes in your Print MIS sales process.
The recovery indicators had a better month than last. Five of the six indicators increased and one fell below the level of the start of the recession. New orders for manufacturing and non-manufacturing were impressive in their increases, in stark contrast to government reports about September's durable goods and factory orders.
We wrap up our coverage of last week’s SGIA Expo 2015 with a look at a handful of the major new product announcements that were made at the show.
The Box is in – paperboard, corrugated, decorated, foil-stamped, bar-coded, laminated, textured, embossed, pearlized, diecut, folded, glued, large and small. Folks in the business of printing love the box. Unlike the box’s troubled cousin, commercial printing, the box is reordered on a regular basis and is far less subject to disruption by online internet-based technologies.
The economic pundits were out in full force about the unemployment rate falling to 5%. Was it meaningful? Is this the sign of a bullish economic rebound? Then there's the 16 month rise in printing shipments. You'd think there'd be cheers from the audience that Dr. Doom is dead, and long live Dr. Boom! Instead, we hear nighttime crickets. What's behind the rise in shipments, is it real and will it last?
The Atlanta skyline may have been shrouded in fog, but inside the Georgia World Congress Center, all was clear on Wednesday as the SGIA Expo 2015 officially opened.
A recent academic paper published in the Journal of Economic Perspectives (Volume 29, Number 4, Fall 2015), “Household Surveys in Crisis,” illustrates the problems of government surveys that are used to make multibillion dollar and multiyear decisions of government and business.
The US Commerce Department reported that commercial printing industry shipments are up for 16 consecutive months in current dollars compared to the same month of 2014.
It’s not so much Hotlanta as Humidlanta, and although the SGIA Expo officially opens on Wednesday, Tuesday saw a full slate of programs that ran the gamut from the highly technical (the Printed Electronics Symposium), to the specialized (the vehicle wrapping hands-on workshop), to the very basic (Wide-Format 101).
Web-to-print is a critical piece of your online presence. The ability for your customers to easily transact with you online is no longer a differentiator, it’s an expectation.
A label and carton company doesn’t get to be 137 years old without having made an unwavering commitment to quality. The 137-year-old label and carton company profiled here has done it by adopting a well-known philosophy of continuous improvement as its playbook.
Stink-squelching film, inkless color printing, and built-in 3D bar codes are three recent laboratory innovations that could be commercialized as packaging problem-solvers.
Consumers have all channels turned on and they are in control of how they gather information, obtain advice from friends and family in their social networks, and complete transactions with suppliers. This article cites recent research from InfoTrends to explore the role that service providers can play in delivering an omni-channel experience.
The advance estimate of third quarter 2015 real GDP is +1.5%. We much prefer the year-to-year comparison, and also without the fluctuations of inventories. Those figures, also indicated in the chart, are +2.03% and +2.18% respectively. Net inventories have been running very high, but in the third quarter were $56.8 billion. This figure was cut in half from Q2, and is close to the 2010 to 2014 average.
There’s an important point that needs to be made upfront, boldly and italically: Print and printers are two distinct things. We all love print. But we love printers and the people who work in print businesses more.
Can you say “sesquicentennial”? It’s an anniversary. This company feels the pride and the joy of every one of its 150 years.
Digital Lizard of Las Vegas reports an astounding 500% growth from 2011 to 2014. Senior Editor Cary Sherburne speaks with Digital Lizard President Bill Wieners to find out how this growth was achieved and what his expectations are for the future in this article sponsored by HP.
A plethora of educational opportunities, a packed show floor, and new product introductions are on tap for this ever-growing show.
There's a new poster that hopes to attract students to the printing workplace. Dr. Joe wonders if it can. He's got some ideas. Is getting involved in events a real business opportunity? There are so many touchpoints in the event process that there are numerous opportunities to help your clients and build your business
Exhibits at this innovation-packed event said it all about the accelerating advance of digital technologies into every segment of the label printing market.
A number of applications that blend print and mobile technologies are emerging, and some of these creatively leverage Near-Field Communication (NFC) tags. This article explores how certain firms are merging print with NFC tags to deliver exciting new applications for their customers.
The latest estimate (October 20) by the Atlanta Fed's GDPNow model indicates that third quarter GDP will be +0.9%. That is, until the next data for their model comes in.
This pace of change is outrunning your print business’ technology decisions. A web-to-print platform decision you made two years ago could be completely out of date with the mobile-first world we live in today. Your aging ERP/Print MIS system has no way of understanding a product that exits your building via an Ethernet cable rather than a shipping truck.
Pressure-sensitive labels account for half of all release liner applications. Conferees at this event found no shortage of opportunities to discuss technical advances and market challenges.
At drupa 2016, expect post-press to emerge as a Cinderella story. Already, prepress and print have benefited from technologies that speed work through the production process, but for many companies post-press processes are still a bottleneck.
There's no COLA for Social Security recipients this year, and that has nothing to do with the popular drink. The campaign trail leads to all kinds of abuse of economic data, so Dr. Joe adds a different perspective to things. Income isn't always income, because it's spending that really matters. Dr. Joe explains why. The winner of the Nobel Prize in economics explains the contentious political environment.
People don’t like packages that look as though they contain more than is actually inside them. But, prosecutors and class-action attorneys do.
The 2015 Xerox Premier Partners Congress (October 6-7 in Prague, Czech Republic) explored how the power of networking can be put to work. This article highlights just a few of the positive experiences that attendees and business partners enjoyed at this year’s event.
The Economic and Research Center Recovery Indicators had a mixed month but other economic data should raise some concerns.
The Pew Internet Survey has released their latest survey (free download) of social media use and the long term trends are striking. The organization started tracking use in 2005 when social media use was by just 7% of the US population. Now, 65% of adults use social networking sites. Our chart shows the increases by age group.
Ninety percent of those between 18 and 29 use social media, which is not a surprise. Those social media users who are 65+ has more than tripled from 11% in 2010 to 35% in 2015. The report includes data about social media use by various demographics including income, race, gender, community, and education.
US commercial printing industry shipments are up for 15 consecutive months compared to the same month of the prior year.
Dreamworks Graphic Communications calls its HP Indigo 10000 a game-changer, eliminating one offset press and increasing the amount of hybrid offset/digital work it does. EVP John Perkins shares his thoughts on the benefits of digital printing with Senior Editor Cary Sherburne in this HP-sponsored article.
St. Louis’ Triflare specializes in racewear for triathlon participants, swimmers, and other athletes—all produced digitally using dye-sublimation printing.
Although cross-training is certainly important, it is only one component of the overall training pie. This article discusses other considerations that are equally or even more important, including how well our industry trains and how your company compares to the leaders in the industry.
September 2015 –Mergers, Acquisitions & Restructuring in the Printing, Packaging & Related Industries
The chart shows the changes in the average number of employees per establishment in the US and large printing states. The average size of printing businesses in an area offers clues to the kinds of printing produced there and the history of the industry in that area.
All printers should be thinking about “workflow automation” as a strategic initiative; produce more with less labor, less waste, in less time as a way to remain competitive. Time savings should be strategically invested in diversification, new skills acquisition, and cross-training.
A dust-sized anti-counterfeiting tag for medicine pills? Turns out the idea isn’t hard to swallow or digest.
Three pairs of eyes that have seen it all in print measurement are looking straight at the acceptability of press output from machines of every type.
We’re always trying to look at things—trends, technology, etc.—from a historical perspective. We try to compare new phenomena to older phenomena that we understand. That’s normal. History is cyclical, isn’t it?
The PIA Financial Ratios have been published for decades, and may be the most recognized of the association's publications. There are, of course, problems with all kinds of research gathering efforts, but the positives of the Ratios reports outweigh the negatives from a methodological standpoint.
Many people confuse debt and deficit when they see it as part of the Federal government's annual budget. Deficit is the annual shortfall between a government's spending and its revenues. Debt is the accumulation of all of the deficits and surpluses of the prior years in that government's history.
Even in the industry's most profitable and growing years, the mantra “there's too much capacity in the industry” was always heard. It's been a misplaced and inaccurate portrayal of the business, yet it persists.
Mobile technology can interact with the consumer at the most contextually relevant time and location possible. Mobile can and will work when it is used properly. This article discusses the fundamentals of creating a true customer experience and explores how Target Stores created an effective mobile campaign for the 2014 holiday season.
Anyone who has ever picked up a glossy magazine probably has touched SAPPI publication paper. Now the company hopes to achieve the same kind of ubiquity with its packaging papers.
One of the most common calls we get is from people frustrated about trying to build storefronts for their customers. The questions we get are often along these lines: “I’ve had this software for 6 months and we have only launched one store. Why is it taking so long?”; “Are my people qualified to build these storefronts?”; “I have no idea where to start, where should we start?”
In 1981, L.A. photographer Steve Reisch captured legendary director John Cassavetes and his stock company backstage as they rehearsed and performed an experimental series of plays. Unseen for 34 years, the images have been brought back to life thanks to a partnership between Reisch and Canon USA.
The advantages of flexible films—economy, versatility, convenience, and bio-adaptability—will make flexible packaging one of the most opportune growth markets in packaging over the next several years.
Print is a manufacturing process built on technology. As new technological developments emerge, the print industry grows in capability, productivity, and value. In the last twenty years, a boom in global innovation has coincided with new business models and brought print into the fold in a lot of newfound industries. Allan Brow, Kodak's Vice President Software Solutions Division shares his thought on the future of print in this article sponsored by Kodak.
Dr. Joe wonders why there isn't a little spring to the industry's step with 14 months of better sales levels. It could just be that printers a feeling a sense of relief as they wonder what's next. And then there's the economy. Second quarter GDP look great, but was really less filling. He scratches the economic surface and finds some skepticism inside. If he didn't, he wouldn't be Dr. Joe.
By improving the customer experience, businesses can drive value, reduce cost, and build a competitive advantage in the marketplace. Customers are seeking partners that deliver solutions beyond simple variable data, pURLs, and customized landing pages. The article explores how businesses can gain a competitive advantage by delivering an improved customer experience.
If it jets ink, it’s a hot technology, and while production inkjet got the bulk of the buzz at last week’s Graph Expo, wide-format and specialty printing continue to play a much larger role.
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