Business Printing Trends in the US and the Competitive Landscape
The business printing solution vendors are far and many with several giants like Quebecor World ruling the roost with multibillion revenues while the large" printing companies have annual revenues with less than a billion dollars. Most of the business printing vendors are small or midsized businesses which employ an average of 20 people and generate less than $5 million.
The largest 50 business printing companies cover only 30 percent of the printing market.Most of the demand is centered on the advertising sector and needs of business customers. Effective sales operations are crucial to the profitability of these companies. Large companies never shy from spending on paper and ink and tend to attend regional or national needs while making use of expensive printing presses. Offering better local service is important for small players.
The competitive landscape of business printing market has changed drastically due to the shift in technology. Digital printing prices are falling below offset printing prices too.Business printing services include printing of magazines, advertising brochures, business catalogs, direct mail marketing collateral, corporate reports and business forms.
Most business printers deliver design services; printing services; folding, cutting, and binding services and lastly; fulfillment. The packaged services include packing, storing, and shipping as well as database management, web design services and consulting. The industry is picking up compared to other industries with a steady growth over the years.
The main business printing process includes offset lithography on sheets web presses. Sheet fed presses print 16 pages at a time, with a speed of 15,000 impressions per hour. Web presses are faster in printing with 32 pages printed with a speed of over 40,000 impressions per hour.Printing press solutions allow printing in one, two, four, or six colors with presses seldom allowing for 8 colors.
Paper is the biggest cost involved in manufacturing with 25 percent of revenue allocated to its procurement. Printing papers are coated, and purchased as sheet rolls from distributors. Paper prices have varied drastically from year to year. Requirements also change with time and from job to job. Inks, films and printing plates make up the rest of the costs involved along with cleaning solvents.
Major press manufacturers opt for conventional presses while Hewlett-Packard’s Indigo and Kodak's Nexpress use digital printing presses now. Printing technology has evolved rapidly although digital presses are extremely expensive and used for different types of work. It resembles a local business where the small players can challenge the large ones with their quality and deliverables. The personal attention required for most print jobs means that customers prefer using local printers. Price is secondary to quality and timeliness.
Business printers generally keep fewer inventories and mostly do not require bank financing. Equipment is sometimes financed and leased. Most business printing presses have become extremely expensive and versatile due to specific controls and enhancements.Business printing services provided by efficient vendors are in demand now. Anyone is willing to give any type of money but the focus is on quality. It is essential for printing companies to print bulk documents for saving on time and money.
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Keywords: Business Printing, Postcard Printing, Flyer Printing
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