As we cross the halfway mark of 2021, what market trends will emerge, and what can your business do to take advantage of them? Businesses that are still reeling from the economic disruption of the past 18 months can leverage the following opportunities to their benefit in the near future.
At Edwards Business Systems, we have noted the following three market trends that are poised for significant growth for print-for-pay providers:
Digital label and packaging printing facilities shorter and shorter and shorter print runs, improves time-to-market, reduces supply chain problems, and allows manufacturers to take control of their own processes by producing labels and other specialized packaging products by printing them in-house.
Digital label and packaging printing is a growing market segment with nearly 25% growth year-over-year in 2020 compared to 2019. Print-for-pay providers should be positioning themselves to thrive in this growing market over the next five years.
Digital printing lets you add decorative elements like foil stamping. It also provides for personalization, which is important for many manufacturers. Digital work processes are inherently more efficient that non-digital processes where analog printing presses are optimized for printing thousands or millions of the exact same thing.
Digital label printing is more sustainable because it reduces or eliminates waste, and doesn’t require the use of toxic or caustic chemical agents. Additionally, digital color devices do not require any “make ready” sheets to be printed in advance of actual production because digital color printers do not need time and paper to be wasted at the beginning of a run to “come up to color”.
Print-for-pay providers can acquire new customers and expand into new markets with digital label printing technology, allowing local businesses to leverage new revenue streams.
Even though demand for wide format printing was expanding rapidly in 2019, the pandemic drove double-digit wide format growth in 2020 when businesses needed new temporary signage, floor decals to encourage physical distancing in stores and other retail establishments, and banners to promote new locations and new ways of doing business.
Products printed on wide format printers include self-adhesive floor decals, posters, banners, vehicle wraps, and much more. These printed pieces can be extremely effective for businesses looking to promote themselves. And, with businesses looking for new ways to leverage the increase in economic activity in the next few years, wide format output is positioned to see even greater growth.
Wide-format printing is an attractive product offering for companies because of how inexpensive the cost of entry is, and because of the profit margins that are possible with certain types of wide format output. This makes it a useful tool for print businesses looking to diversify and attract new customers.
Edwards Business Systems partners with leading manufacturers like HP, Kip, and KM to offer a wide range of wide-format device solutions. HP offers latex printers and cutters with the benefit of safe, environmentally friendly, water-based latex colorants. They are ideal for indoor applications such as custom wallpaper. The Kip wide format devices use dry toners for colorants, and much like latex, can generate dry, ready-to-use prints to reduce turnaround times. KIP prints are perfect for color architectural and engineering renderings. KM’s AccurioWide printers offer UV ink curing which provides for instant ink drying and long-term colorfastness. Print businesses can take advantage of the market opportunities presented by economic growth and the growth in wide-format printing while keeping running costs low.
Growth in the architecture, engineering, and construction (AEC) industries has created a requirement for scanning as well as printing of plans, blueprints, diagrams, and maps. The HP DesignJet and HP PageWide XL wide format production printers are capable of scanning large format documents all in one multifunctional print, scan, and copy solution.
Retailers and merchandisers know that attention-getting packaging can help their products stand out. Adding foil and spot varnish effects and other embellishments to labels and packaging can help their brands stand out on the shelf which can drive sales as well as brand loyalty.
Embellishments like foil create a unique attention-getting look and feel that instills a sense of value and quality to products and brands. Market research shows that consumers prefer and are more likely to purchase products with embellished labels and packaging than those that are not embellished. Unique embellishment effects can influence buying behaviors and reinforce brand identity. Stand-out labels and packaging help reinforce prices, and improve profit margins for retail products.
Print businesses can leverage digital presses that offer inline varnishing and foiling technology in the same device. KM offers both inline and offline embellishing and foiling capabilities that are both flexible and affordable.
The Konica Minolta AccurioWide UV device has capabilities that are a great fit for a host of packaging applications. With the ability to output large sheets plus outstanding print quality and substrate handling, this device has best in class productivity and efficiency. When coupled embellishment capabilities, unique label and packaging products can be cost-effectively produced. This allows manufacturers and retailers to package their products in a way that increases sales, improves brand awareness and brand loyalty, and drives higher revenues and profits.
As businesses emerge from the chaos of the 2020 global pandemic, it’s critical to expand their offerings, improve efficiency and operating profit, and acquire new customers. These three key performance indicators (KPI’s) represent significant growth opportunities as the 2021-22 economy approaches the “hockey stick” inflection point.
For more information on how Edwards Business Systems can help your business be successful in 2021 and beyond, please contact us today!