A report by PODI found that digital volumes increased slightly in the Australian market last year, largely driven by a 55% boost in color volumes. The PODI study found that Australian production digital printers produced 13.8 billion A4-equivalent prints in 2009, a marginal increase of 1% from 13.6 billion in 2008. Monochrome volumes declined 9% to 10.4 billion pages in 2009, but the total result was propped up by a 55% increase in color volumes to 3.4 billion pages.

As a result of this trend, the proportion of color pages increased from 16% to 25% of all digital pages. Because of the higher value of color prints, the report estimates that the revenue from production digital printing increased 20%. The PODI study was based on data from digital vendors such as Canon, Fuji Xerox, HP, Konica Minolta, Océ and Ricoh.

To paraphrase NBC’s Today Show’s weatherman Al Roker, “that’s what’s happening around the world. What’s going on in your neck of the woods?”

Howard Fenton is a Senior Consultant at NAPL. Howie advises commercial printers, in-plants, and manufacturers on workflow management, operations, digital services, and customer research.

Reverse Accordion Direct Mail Series:

Here are three of the latest disaster stories from members of LinkedIn’s Direct Marketing Association (Official) discussion group. You might want to put down your coffee before reading so you don’t burst out into laughter and spit it at the screen.

When I was just starting my DM career, the blank spots for personalization were inside parentheses and usually had copy that said (insert name) as a reference for production purposes. You guessed it! When the material was printed, all the personalization spots were printed exactly as the original boards, i.e. with a salutation that said: “Dear (insert name).” It was just a test, but nonetheless, we printed 50,000 pieces that had to be trashed.

One of my insurance client’s mailings to home/auto policyholders for renewals also included “Dear Deceased.”

We lasered 11,000 (of a 150,000 run) before someone noticed the bottom line of the address read “City, State, ZIP.”

These are a funny read, but I’m sure it wasn’t funny when these things actually happened. The good news for us is that we can learn from someone else’s disaster.

Has your client checked its name field and cleansed it for “deceased”? What proofing processes do you have in place to ensure that variable field markers are not printed as text? It seems impossible until it actually happens to you.

So how about you? Got any of your own disaster stories to share?

The timing is perfect to explore these opportunities as the conference and trade show season starts to heat up. While webinars are a great way to take an intensive look into specific topics, the trade shows allow you to take a deep dive and learn best practices from your peers, explore new technologies and new and exciting business models. Some events are more invested in conference sessions while others focus on the show floor – some do a pretty good job of balancing both.

For example, print providers and application owners alike may consider attending the Document Strategy Forum in Chicago (September 13th – 15^th). This show will help you understand the changing requirements for mission critical business communication – mostly oriented to transaction printing with some multi-channel communications sessions. This event is more conference and less tradeshow and is a good place to network without being overwhelmed.

The favorite in the printing industry is Graph Expo, which is being held October 3^rd through 6^th at the McCormick Place in Chicago. Most of our industry segments are represented at this show, including graphic arts, books, newspapers, direct mail, transaction, display graphics, and labels and packaging. The event has a big conference and a big tradeshow – there is a lot to see and learn across all of these segments.

For a deeper dive into the specialty market, SGIA 10 in Las Vegas might be the right show for you (October 12^th through 15^th). If you want to learn how to produce images that end up on retail floors, vehicles, textiles, ceramics, and bathroom sinks, then this is definitely a must attend show.  If you want to take an even deeper dive into the textile market, perhaps you should attend the IFAI Expo Americas 2010 show in Orlando.

Or, the photography market might be beckoning you. PhotoPlus Expo will be held in NYC (October 28^th – 30^th). This is a perennial favorite for the professional photography industry.

Many of our industry associations also have niche conferences and I suspect that attendance at these events will be much higher than prior years. Often attending these conferences enables discounts on membership and future events and webinars. Supporting these industry associations also tends to pay dividends for our industry. That’s one of the many reasons that Oce supports them. For example, Oce is sponsoring the Pacific Printing and Imaging Association’s fall conference (www.pacprinting.org), and the PINE (www.pine.org) Print Management Conference in Newport, RI (October 16^th – 19^th). Printing Industries of America (PIA) will be hosting their Converge conference (November 6^th – 9^th). This is a good show to explore the latest in new technologies and cross-media trends.

These are just some of the industry events that I’m considering attending. If you haven’t been to any of these events before, I highly encourage you to look into them. For those of you who are regulars, I look forward to reconnecting. I’d also be interested in hearing feedback on these shows and recommendations of others that do a particularly good job on either the educational or tradeshow aspects of the event.

“The hope was that, without the burden of having to maintain a print inventory, the press might sustain itself largely on revenues from print-on-demand book sales,” Levy said. “Unfortunately, book sales remained very slow, and projections discouraged the anticipation that revenues would, in the foreseeable future, grow to a level that could materially cover even minimal costs of operations. Combined with pressures on the university budget from the broad fiscal crisis of recent years, the university concluded that it could not continue indefinite subsidy of the RUP experiment, as painful budget reductions were being absorbed across the entire university, including in the core of Rice’s educational and research mission.”

Supporters of academic publishing had high hopes for the Rice project, which was launched in 2006 with the goal of merging scholarly peer review with the convenience and low cost of digital publishing. Some supporters are in discussions about raising private support to continue the press as a scholarly publishing outfit that might not be attached to any single university. In other words, a University Press in a certain region to support multiple universities.

The demise of the project led to speculation about whether the Rice experience suggested difficulties for the digital printing business model. Especially after rumors spread that the University of Scranton Press was being shut down and the suspension of Southern Methodist University in May. While the Scranton and SMU presses are larger than Rice’s, they are both relatively small. And these are not new. Threats of the closure of university presses are ongoing. For example, the operations of both Louisiana State University and Utah State University were at risk in 2009, but survived – closures have been rare.

Levy said that the press was costing $150,000 to $200,000 a year. Admittedly, I have not done any work for any of these universities, but my experiences with university In-plants and other in-plant printing facilities is the same – it’s all about matching print demand to the investment in equipment. The reasons are obvious. There are different categories of digital printing devices and finishing equipment that range from slower, less expensive equipment to faster, more expensive equipment.

It’s not unusual for in-plant printers considering an equipment purchase to jump right into the deep end and buy the faster, more expensive equipment and build the infrastructure to support it. I often see in-plants make investments in 90 ppm black and white devices, 30 ppm color devices, automated finishing equipment and MIS systems with estimating, job ticketing, and billing modules. This level of investment is very productive but assumes a fairly high demand and if the demand does not exist or is not developed quickly then you are losing money.

Often critics oversimplify this issue and say that it does not make sense for Universities to have their own press, or companies to have their own in-plant printer. But the real questions are how important is convenience and low cost self publishing, what is the demand and could you cost justify the demand.

What do you think? Are you a fan of University in-plants or University Presses?

Howard Fenton is a Senior Consultant at NAPL. Howie advises commercial printers, in-plants, and manufacturers on workflow management, operations, digital services, and customer research.

Like a bidding war at an auction house, the printing business has been undergoing a fairly silent, yet the biggest consolidation this industry has ever seen. In addition, there have been an unheard number of plant and company closures resulting in a shrinking of the industry. This has led to a unique environment for buyers like us and a shift in the industry that has always been dominated by small business.

To first understand the impact of this current trend, you must take into consideration that printing is not just a big business–it is the biggest. US domestic printing is an $83+ billion industry that tops the automakers in terms of size and the number of people it employs (1+ million). Sounds pretty outrageous until you stop to think about it. In a society that’s constantly in search of access to information and literally obsessed with record-keeping, it stands to reason that printing is ubiquitous. From new car manuals to tabloid newspapers to t-shirts to those little tags on mattresses, nearly every product calls on the printing industry somewhere along the line. Put in that light, the numbers don’t seem so far-fetched. So the big question is: if the printing industry is suddenly starting to be controlled by a small group of industry leaders and many of the 70,000 plants in the country are shutting down, what happens to principals such as market competition and market controls such as “supply and demand”. . . not to mention the people and personnel it effects?

In the last year alone, as the economy has struggled, the industry giants have been buying up large portions of the market through mergers and acquisitions. This has pushed out the middle part of the market and, at the same time, made it difficult for smaller shops that make up the largest percentage of the industry to compete. Huge print companies like RR Donnelly, Quad, and Quebecor have acquired other players like Cenveo and Bowne and have solidified their hold on the market. Even in our own backyard, six very prominent regional shops have succumbed to economic pressures. This is a result of the economic times, coupled with a reduction of work available and renewed competition by these large national companies. With everyone competing for a slice of a much smaller pie, it has become increasingly difficult for these smaller shops to storm the weather.

As the volume of work continues to shrink and the number of players competing continues to shrink, we as buyers are faced with a market place driven by issues such as risk aversion and longevity tied to heavy pricing pressures. The landscape for print companies is really changing. Former relationships are always in question these days, and price and fiscal viability have become the benchmarks by which these companies are measured. The good news is that those with solid portfolios and strong business practices seem to be rising to the top. There is no question that once things have found equilibrium that there will be more work going to fewer players and that we as buyers will have fewer choices, less competition driving the marketing, more pressure to use the big companies, and less influence.

So for an industry that has remained fairly unchanged for so long, the next few years will usher in an era of reinvention and realignment. I believe that companies that have a business strategy that can readjust, be nimble, and be reliable will rise to the top and may be in a position to challenge the goliaths on the block–others may soon find themselves on the auction block. 

What do you think smaller firms need to do to survive and thrive in this market?

. . . Or maybe I should be saying Marketers Take Your Mark. Either way, I’m seeing example after example of why printed communications need to become increasingly nimble to stay relevant in the marketing mix. I was inspired by a recent post from Pat Allen of Rock the Boat Marketing (and by the Old Spice Guy video embedded in the post)

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According to Pat, “the tilt toward real-time communicating exposes what we believe to be the greatest weakness in investment product communicating: Reacting after the fact and on a delay.” While she is looking at the asset management industry through a marketing lens – you could easily point that same lens at print service providers and in-house shops. “The Old Spice guy work is an excellent demonstration of an emerging communications competency: the preparing to improvise, the organizing to be able to react in the moment to external stimulus,” says Pat.

Old Spice Guy says “Now I’m on a boat. Look in your hand. Look back at me. Now I’m on a ship. Look at your man. Look back at me. I’m on a horse.” Can your communications shift that quickly – and look that good doing it? (Phew!)

There have been several posts recently about combining print and other digital marketing channels. Most frequently referenced is putting PURLs on direct mail. You know what? That’s already old hat. PURLs provide an additional channel for the recipient, which is good, but it is not necessarily preparing the marketer to be able to  react quickly to external stimulus from social media sites, breaking news or other market activity.

We need to enable our print campaigns to launch on a dime in support of trends gleaned from online activity. Of course, we will want to communicate with people who are already online through online means – but why not extend the learning to be able to launch the same great message to the customers we know don’t use our online channels? Or simply reinforce the online message with a tangible printed campaign?

Allen cites a social media presentation by Matthew Guiste, category manager for social media at Starbucks and successful revenue-generating programs that involved a rapid exchange of information, internally and externally. Starbucks identified mini-trends from activity on Facebook and Twitter and worked quickly to syndicate that content across multiple other social media outlets. They could also have launched a direct mail campaign – but sadly – with the response times of most organizations today – not fast enough to ride the wave of the current trend.

For direct mail (and transactional communications) to gain a broader piece of the “social media response” pie it will need to be faster and more collaborative with what is now a social media silo. If the collaboration and rapid publishing tools can be put in place – with workflows that link social media monitoring, analytics, content management, approval and production approvals – social media can be a great friend to digital printing rather than a competitor.

So, look at your social media channels. Look back at me. Look at your direct mail. Look back at me. Anything is possible. I’m on a plane (Seriously, I am.)

What do you do when a family member is stricken with cancer?

You offer support in any way you can. Encouragement. Prayer. Help with the chores, pay a couple of bills. Whatever it takes to help him or her focus on the fight at hand.

The same holds true for your extended family, doesn’t it?

You offer support in any way you can. Whether a lifelong friend, a neighbor, a colleague at work, you naturally want to help.

As part of Team Centurion, I’ve joined with colleagues from around the globe to raise money for LIVESTRONG, the cancer foundation started by cyclist Lance Armstrong, on behalf of our good friend and fellow printing industry analyst, Steve Reynolds.

Steve selflessly raised money on behalf of other cancer victims by riding in three LIVESTRONG “Century” (100 mile) events over the last three years. This year’s ride would have been Steve’s fourth ride except for his June diagnosis of Stage 4 Colon Cancer. Despite the advanced stage and extreme seriousness of his situation, Steve is rising to the challenge and has begun his fight.

My colleagues are normally competitors with each other and Steve, but we’re united by something much more powerful than commerce – hope, courage and a determination to crush cancer. I will be joining colleagues and friends the afternoon and evening before Graph Expo opens in Chicago on October 2nd to show our support for Steve.

People who have been Steve’s customers and competitors will take a spirited 1.5 mile walk to show our support of his personal fight against cancer. We will gather at 4:30 at The House of Blues in downtown Chicago during which we’ll stop to toast Steve at two pubs.

Then, at 7:00 PM, we’ll arrive at the D4 Irish Pub & Cafe for a reception and dinner buffet sponsored by AR Advisors, Oce, Ricoh and Xerox. Everyone, whether a walker or not, is welcome to join us at the dinner. A $25 minimum contribution to LIVESTRONG is requested. Join us any time during the evening that’s convenient for you, but please confirm your attendance in advance if at all possible.

Coincidentally, October 2nd is “Livestrong Day,” so named because on that date in 1996 Lance Armstrong was diagnosed with cancer. Or, as he put it: “The day I was diagnosed with cancer was the day I started to live.” Lance realized he had to grab hold of his life and take nothing for granted. He made a decision to face his illness with courage, strength and dignity. On October 2, Lance Armstrong became a survivor.

The money raised in Steve’s honor by Team Centurion will go to support LIVESTRONG’s programs and services, which inspire and empower people affected by cancer. If you or someone you know is diagnosed, these resources will help them to face the challenges of cancer, head on, and live life on your own terms.
Please support Steve and help make a difference in the cancer fight.

Come to the events in Chicago to demonstrate your support. If you cannot make it, no problem. Simply visit the Livestrong website to make a contribution

Thank you!

PBO’s most recent closed poll (7/13/2010) is on the issue of monochrome digital printing. How is it being used? The results are interesting. Here’s what poll respondents said:

a) Black-and-white is dead. We’ll never go back now that we print in color (12%)

b) We’ve stayed with monochrome but have added a transpromotional touch to our statements with personal and relevant messaging that helps to cross-sell our products and services (18%)

c) We integrate monochromatic design themes occasionally to reduce printing costs (24%)

d) We use monochrome print and divert print cost savings to fund online elements that support campaigns such as email, mobile messaging and personalized URLs (6%)

e) Our print jobs are a mix of color and monochrome and our printer utilizes “job splitting” (printing color pages on color printers and B/W pages on B/W printers) to help keep costs down (41%)

The number that jumped out at me is the 18% of poll respondents who say they are integrating variable messaging into their black-and-white documents. When we think of selling 1:1 printing, we normally think about the need to go around print buyers, whose job is to hold the line on price. But this poll suggests that print buyers are increasingly tasked with understanding value and marketing content than they used to be.

Also standing out is the 12% who said that they’d permanently switched from black-and-white to color. Again, we normally think of print buyers as holding the line on price. Although the cost-efficiencies of color have come down greatly, black-and-white still costs less. Again, the print buyers in this poll are showing preference for value over price.

This isn’t yesterday’s print buyer.  Got any stories to tell?