CAP Ventures (Norwell, MA) October 22, 2003... In CAP Ventures' new white paper entitled Large Format Digital Print Market Segment Profile: Repro Houses, analysts profile the repro house market and offer insight that will enable hardware and supply vendors to sell more successfully into this segment.
According to CAP Ventures' research, large format digital printing is an integral part of repro houses' business, currently contributing over 41% of their total annual revenue. On average, reprographics houses output nearly 227,776 square feet of large format digital printing per month and spend a combined average of $86,600 on media, ink, and toner per year.
Large format reprographics shops primarily serve the architectural, engineering, and construction (AEC) industries with document production services. They produce technical documents such as floor plans, renderings, and schematics. In addition, repro houses also produce many digital graphics applications such as signs, posters, and banners.
Trends in the AEC industries to internalize the production of technical documents are forcing repro houses to seek higher margin activities by diversifying their services. Repro houses are evolving into true document service providers, offering color graphics printing, technical document scanning services, and document archiving and retrieval services.
Over the forecast period, technical printers are expected to account for a shrinking portion of shipments to repro shops, decreasing from a total of 32,675 units in 2002 to 32,700 units in 2007. Graphic shipments, however, will demonstrate a compound annual growth rate of 4.4% over the same period, growing from 15,500 units to 19,200 units. This is representative of repro houses' new market focus.
"As some of the earliest adopters of large format digital printing technologies, repro houses service customers that require a high volume of wide format technical prints," commented Tim Greene, an Associate Director at CAP Ventures. "To meet the ever-changing needs of these customers, repro houses are leveraging new printers and production processes to meet the demand for faster turnaround times, lower costs, and better service."
CAP Ventures' complete report is available immediately to clients of the Visual Communications Technologies Consulting Service. For more information on the report or to make a purchase, please contact Stewart MacDonald at (781) 871-9000, ext. 175 or via e-mail at [email protected]