Capital Expenditure Plans Remain Positive

Despite or because of the challenging market conditions both printers and suppliers remain committed to good levels of capital expenditure. In market terms, functional leads with a net balance of 41% reporting increased expenditure in the last 12 months, followed closely by packaging at 36% then commercial at 26% and publishing at 19%. It is a similar pattern with respect to plans for next year. Printing technology is the most common priority followed by Finishing and PrePress/Workflow/MIS (53%, 50% and 38% respectively).

Strategic Issues for Printers and Suppliers

Both printers and suppliers face rapidly changing markets in generally tough economic conditions. But the key underlying change for at least the commercial and publishing markets is the rapid and largely irreversible adoption of digital communications. All printers listed the key constraints are the lack of sales and the consequential strong competition. As for the lack of sales there was broad agreement that the challenge of finding new customers was the toughest challenge followed by that of finding good sales staff. The third most common constraint was lack of demand for conventional print, but here opinion was sharply divided between Commercial (39%) and Publishing (43%) printers and Packaging (22%) and Functional (24%) printers.

Source: http://medianet.messe-duesseldorf.de/press/drupa/assets.html

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