Surviving the large-format print industry
IDC’s worldwide quarterly large-format printer tracker analyses the trends that are impacting the demand for technical and graphics applications. The organisation recently revealed maintaining profit margin as the top challenge of the large-format printing industry today.
Friday, 22 Feb 2019 13:09 GMT
A recent survey by IDC lists maintaining profit margin as the top challenge in the large-format print industry today
With the IDC predicting the value of the industry to rise to over $22bn in 2019, it has revealed that the total growth is constrained by point of purchase, posters, signs, banners, and backlit displays making up more than 50% of total large-format digital print revenue.
With the rise of digital print, large-format print service providers (PSPs) no longer have to struggle to get print jobs completed in short timescales.
With the expansion of other sectors such as interior and fashion into the digital print market, IDC predicts the industry will become even more commoditised due to the amount of equipment now available.
To survive this expansion, IDC recommends large-format printers look for ways to evolve business and avoid competitive price pressures and trouble maintaining profit margins.
In order to survive and overcome the commoditized large-format printing market, print shops need to change their mindset ”
Guest blogging for MASSIVit 3D, wide-format specialist and research developer at IDC, Tim Greene, says: “The trend to faster production and lower prices is a response to customer demand, as marketers are increasingly asked to do more with less. Marketers are looking for new ideas, new materials, and new services that can help them achieve their communications and business goals.
“We’ve been advising large-format print shops to evolve their business model, to move away from selling on a “cost-per-square-foot” basis to selling on a “project” and/or “program” basis that allows shops to charge for the valuable services they provide.”
Following on from the IDC report, Greene predicts a rise in super-sized 3D printing could be the answer to avoiding getting left behind as the market evolves.
“In order to survive and overcome the commoditized large-format printing market, print shops need to change their mindset and ensure that their business evolves, says Greene.
“Super-sized 3D printing, for most shops, would be a new capability that offers customers a chance to improve their business results. In turn, it helps shops change their selling approach and add revenue and profit to their business,” he concludes.
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