US commercial Printing Industry Sales are expected to increase between 1.5% and 3% in 2017, according to an industry report and forecast released in September 2016 by printing trade industry association Idealliance. In the first half of 2016, printing industry sales grew just 0.3% from the same period the year before, the weakest growth in three years. Commercial printing industry supply and production capacity continue to outstrip demand as the digitization of information has eroded demand for core services. However, nearly 49% of printers surveyed for Idealliance’s 2016 State of the Industry report said their profits rose in the first half of 2016 compared to the same period in 2015; about 27% said profits had declined. Gains in profitability were achieved mainly by controlling costs, increasing production efficiencies, and winning higher-margin work.

Industry Indicators

• US corporate profits, an indicator for corporate demand for printing services, fell 4.9% in the second quarter of 2016 compared to the same period in 2015.
• US nondurable goods manufacturers’ shipments of printed goods, an indicator of demand for commercial printing, rose 0.4% year-to-date in August 2016 compared to the same period in 2015.

Posted by Anthony Contaldo.

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