Some 58 per cent of digital print providers increased their profit/revenue in 2009 as opposed to just over 31 per cent of non-digital providers, according to global research released by Canon Australia this week.
The research, which surveyed more than 840 international print providers, showed a big gap between non digital and digital providers who decreased their profits/revenue in the same period, with 45 per cent of non digital providers and only 11 per cent of digital providers decreasing their profit/revenue during 2009.
Mark Harvey, general manager production printing systems, Canon Australia says the global market has been contracting since the 1990s and the global financial crisis simply compounded what was already a negative trend.
He says, “Despite this, the global contraction rate is slowing as it becomes clear which products will continue to grow and which will not.”
The global research, which was conducted by Professor Frank Romano and the Rochester Institute of Technology, reported that the volume of print declined, although the number of print jobs increased- but with shorter runs per job.
Harvey continues, “With more print customers cutting back print runs, the research showed some service providers attempted to use their offset lithographic presses to meet these needs but many found their legacy presses inadequate for the task. As a result those providers who had invested in digital printing benefited.”
The study also showed that 26 per cent of printers who did well during the downturn had invested in both digital and offset lithographic, while 18 per cent had emphasised value added products and provided multi-media function.
The 17 per cent of profitable printers who invested in wide format printers benefited from the growth in the signage and display product market, as well as new industrial printing and decorating, according to Canon.
The research also found that small and medium size printers did better than larger printers, with most small being the first to adopt digital and many already having wide format printing.
It also found that 10 per cent of profitable printers reduced staff at the end of 2008 and the start of 2009 because of the economic crisis and the necessity to realign people’s skills to the new business requirements and new services offered.
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