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Npes Nl 020808 Volume XXVII, Number 2 February 2008 THE ASSOCIATION FOR SUPPLIERS OFnews PRINTING, PUBLISHING AND CONVERTING TECHNOLOGIES NPES 2008 Regional Meeting Series REACHES OUT TO MEMBERS ON LOCAL BASIS n January and February, 116 Iprint industry executives from 51 companies participated in one of five NPES Regional Meetings held in Teaneck, NJ; Dayton, OH; Irvine, CA; Chicago, IL and Boston, MA. This series of one-day industry education and business net- working events, which debuted last year, delivered a content- rich program in areas easily accessible to the largest geo- graphic concentration of NPES NPES Regional Meetings were a well-received, effective outreach to the 116 attendees from 51 companies who participated in members, and according to one of the five sessions held across the country in January and February. attendees the concept – and this year’s program – was a Each session combined a member participation was to standing out from their resounding success! blend of interactive industry- strong and exceeded last year’s competition. In his presentation, customer dialogue, a dynamic inaugural series in both indi- “Being Different in the Eyes of INSIDE: presentation on how to vidual member and company Your Customers,” supply chain differentiate your company participation.” specialist Nadeau explained President’s Perspective.............. 2 from the competition, and Headlining each event was how being different is all about timely updates on invaluable the popular Printers Panel, a delivering the right mix of value One on One: market data with tremendous group of local print company to customers. During this Timothy Combs ........................4 business opportunities. executives who shared their enlightening session, he defined “The Regional Meetings were candid insights on the market- for attendees the mix of value NPES 2008 Industry Summit ....5 designed to engage new place, and the key factors that they are currently delivering to Sheetfed Offset is Still the members and reach deeper and drive their investment decisions. their customers, examined how “Workhorse” of the broader into our member base. Sixteen printers who partici- their customers derive benefit Printing Industry......................6 Because of the success of the pated in sessions during the from this value, and shared 2007 series, we were pleased to five-city series provided great specific strategies for setting NPES Marks 75th Year add a fifth location, on the west confirmation of the message their business apart from the of Service to the coast,” explained Ralph Nappi, that featured speaker, Robert competition — in the eyes of Industry in 2008 ......................7 President of NPES. “I’m pleased Nadeau, shared with NPES their customers. News and Notes ........................ 8 to report that, again this year, members about the “secret” The program also included continued on page 3 president’s perspective 2008 Through a the American magazine printing sector, non-print growth areas for the U.S. in found by PRIMIR research to be the 2010, only two ----- mailing management Global Looking Glass biggest defined segment of commercial and professional creative design ----- are As many enter 2008 with a fair level of printing. Although new magazines will of an analog nature. The rest are digital, caution, it is important to frame the potential continue to hit the market in coming starting with Web and Internet for this year with an objective look back at years, they’ll probably look different from services. our recent past. During the past few years the publications Americans are used to Planning, Integration the U.S. print industry, which previously seeing. Print readership has been on the Worldwide, the fastest growing seemed to be stagnating, showed a promis- decline for some time thanks, in part, to print sector in the coming years will be ing resurgence with remarkable double-digit the popularity of the Internet and other packaging (including labels and other growth in 2006. And, although it would electronic devices that compete for associated print products) with this have been difficult to match that pace in consumers’ leisure time, and this Ralph Nappi segment expected to increase by 20% 2007, it still managed growth. phenomenon is not confined to the NPES President by 2011. Coming in close behind is the The U.S. forecast for 2008 offers a U.S. — electronic media is affecting publications market; despite the grow- relatively modest picture, as our industry print demand globally. Online advertising, from 2006 to 2011 ----- not so impressive ing pains being experienced by the adjusts to the realities of the general for example, has reportedly cut into when compared to the explosive market American magazine printing sector, this economy, such as a slow housing market, above-the-line and below-the-line growth we are expecting in other areas of is a hot growth area worldwide fore- a mortgage crisis and high oil prices. advertising markets. print. That said, if we assume that the cast to see 18% growth. Advertising Economists generally agree that we can Within the U.S., this means there younger graphic communications markets and commercial print revenues are expect growth in the graphic communica- will be a rise of niche titles that cater to in various countries may follow at least expected to rise by 15%, while business tions industry of between 1.5% and 2.5%, smaller audiences. Thus a “mass market” somewhat the path of the U.S. graphic and transactional print revenues will with slightly greater growth in 2009. publication, once defined as a magazine communications industry, then printers reportedly grow by 14%. Global Trends with a circulation of more than one million, worldwide should consider the future As these predicted growth areas Graphic communications industries in may in the future boast a circulation profit potential of bindery and finishing. show yet again, what’s happening in other nations will enjoy an even better out- confined to the 250,000 to one million Industry vendors are offering faster, the U.S. graphic communications look. According to a report on worldwide mark. Yesterday’s thick glossy more efficient and more powerful industry will not necessarily occur in print markets by the research arm of NPES, magazines, once printed on an offset equipment than ever before. Bindery other nations, and vice versa. So PRIMIR (Print Industries Market Information press, may be replaced tomorrow by and finishing technologies, particularly, perhaps the biggest keys to future and Research organization), demand for selectively bound and versioned boast automation and material-handling success are planning and integration. print is predicted to grow rapidly in the publications, printed on a digital press features that truly add value to the Study the lessons provided by the emerging economies of Asia (which will and with a corresponding online process, by either shaving minutes off more mature graphic communications experience the greatest absolute growth component. Such personalization and makeready or taking the load off the industries, consider the emerging globally), Latin America (up 43%), Eastern versioning will also increase elsewhere laborers at the back end. trends seen internationally, and plan Europe (up 51%), the Middle East (up 52%) in the world, due to greater market Eventually, one might also expect that ahead for what we think will work and Africa (up 34%). The report also segmentation and brand requirements non-print services will figure ever larger in best for our own situations, in our own predicts that Asia will become the world’s for differentiation. the profile of the international graphic part of the world. largest print market by 2011, accounting for Changing Revenue Sources communications industry. In the U.S., non- Consider also integrating those just more than 30% of global print demand, All of these trends underscore the print services make up an increasingly services and mindsets that may not be pushing the U.S. market to second place. In notion that revenue sources, just as print, important revenue stream for the graphic on the immediate horizon in our own all, the worldwide print market is expected have changed. Twenty or 30 years ago, communications provider. These services countries. For some, this may mean to grow by 18% between 2006 and 2011, prepress capabilities allowed U.S. have, however, evolved from more labor- figuring out how to combine digital to nearly US$721 billion. printers to differentiate themselves from intensive enterprises to offerings with a services with the more “traditional” While in the coming years the U.S. the competition. Now, at least in the distinctly digital flavor. Where once offset printing capabilities. For others, printing industry faces different challenges American graphic communications American printers handled kit fulfillment this may involve planning for increased compared to some of our counterparts in market, the focus has changed to the and mailing management for customers, postpress emphasis. For still others, the other countries, we will all be well-served to back end. Print buyers seek a provider they are now just as likely to be providing idea of integration could focus solely on keep an eye on certain globally emerging that can finish a piece and transform it digital media storage, developing integrating the production workflow, trends. from ink on paper to a communications sophisticated websites, producing folding in new equipment and ideas to Everywhere there are countless vehicle. And, of course, they want it DVDs and creating multi-media marketing the existing process. examples of how print’s role has changed. done fast! campaigns. According to our research, One thing is for certain: print is Here in the U.S., our industry is recognizing Globally, sales of postpress equip- digital will continue to play a large role in changing, and will continue to change. that print is different than it used to be. Take ment is predicted to increase by just 4% future non-print endeavors.
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