Date post: | 18-May-2018 |
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ISA Wide Format Print &
Media Mix Survey
Part One
PREPARED BY:
SPONSORED BY:
PRODUCED BY:
ISA Research Report ISA Wide Format Pr int & Media Mix Survey Part One
. Inte rnat ional Sign Assoc iat ion 1
Introduction
The International Sign Association (ISA) leadership was asked to develop a
research survey to make some determinations about the state of the signage and
graphics market and the tools, technologies, and brands that ISA membership
counts on to conduct its business. InfoTrends, a market research and consulting
company that focuses on the printing and imaging business and with expertise in
electronic survey methods, was fortunate to be selected to contribute to this effort
as a research partner for ISA.
The stated objectives of this survey are:
To develop an accurate profile of ISA member & non-member companies by
size of company (number of employees and revenue), production volume
and other key metrics.
To get a firm understanding of the adoption of digital printing within the sign
industry.
Examine the primary applications for wide format digital printing solutions
and try to determine which applications are growing as a percentage of the
signage and graphics business.
To measure current wide format digital print media mix and brand
preferences as well as purchase volume, purchasing expectations and
purchasing decision criteria.
The combined survey included approximately 30 questions and was sent in two
separate invitations to participate. InfoTrends and the International Sign
Association extend their thanks to those who completed the survey.
This document provides the results from the first of the two surveys.
We hope you find these results informative and useful.
Key Takeaways Small shops make up
approximately 70% of the establishments within signage and graphics producers. This places a large emphasis on the importance of efficiency and cash flow management.
Digital printing is already the primary production method within the signage and graphics market
Within digital printing eco-solvent inkjet is the primary technology employed but UV-curable inkjet is coming on strong.
As expected, signs, banners, vehicle wraps and graphics are the top applications among these respondents
Durability, print quality, and price are the top wide format digital print media brand selection criteria
ISA Research Report ISA Wide Format Pr int & Media Mix Survey Part One
. Inte rnat ional Sign Assoc iat ion 2
Respondent Profile
Any survey should first indicate the role of the respondents. It is important to understand the role of the
respondents because it impacts their responses and their ability to respond to certain elements of the
survey. In this case, the respondents overwhelmingly represent leadership positions at these signage and
graphics companies.
President/CEO/Owner 74%
General Manager, COO, VP Mfg. 9%
Prepress/Production Manager 8%
VP Sales & Marketing 6%
IT Manager/CTO 2%
In-plant Manager 1%
Respondents by Establishment Type
One of the trends that InfoTrends has identified for a number of years is the continuous evolution of the
wide format signage and graphics market. Over time there have been a number of companies from other
traditional segments of the printing industry that have entered the signage and graphics market seeking
growth and higher profit margins. The chart below illustrates some of this evolution. The ISA membership
now includes shops that dont refer to themselves as sign shops but as digital graphics print shops,
digital printing specialists, or some other form of printing company.
Which of the following best describes your print operation?
Sign shop 72%
Digital graphics print shop
15%
Digital printing specialist
5%
Other print company4%
Other4%
ISA Research Report ISA Wide Format Pr int & Media Mix Survey Part One
. Inte rnat ional Sign Assoc iat ion 3
1 to 427.5%
5 to 935.0%
10 to 197.5%
20 to 4917.5%
50 to 995.0%
100 to 2497.5%
Mean: 27.1 Employees
Under $500K44.2%
$500K to $999K25.8%
$1.0M to $1.9M10.0%
$2.0M to $2.9M5.0%
$3.0M to $4.9M1.7%
$5.0M to $9.9M5.8%
$10.0M to $19.9M0.8%
$20.0M to $49.9M4.2%
$50.0M or more2.5%
Mean: $4.2M
Shop Size
Most of the shops that responded to the survey were fairly small in terms of revenue and number of
employees. Over 62% of the establishments have fewer than 10 employees and almost 70% have less
than $1 million in annual sales.
In total, how many employees work at your company (at your facility)?
The size of the average establishment is an important dynamic within the signage and graphics market.
While all shops try to run efficiently, small shops are perhaps more acutely affected by issues that impact
cash flow. An example of how digital printing is enabling more efficient operations is in how shops
manage inventory. When shops were making signs by primarily cutting vinyl, they needed to manage an
inventory of many different colors of vinyl. Using digital printing, all the vinyl is white which means shops
dont have to tie up their cash in inventory.
ISA Research Report ISA Wide Format Pr int & Media Mix Survey Part One
. Inte rnat ional Sign Assoc iat ion 4
Own Wide Format Digital Printers vs. Outsource
Many signage and graphics producers are smart about how they serve their customers. They recognize
that they dont have to own all the equipment they could possibly need to serve their customers, in some
cases it is better to outsource work that they are unable to do themselves. 21% of the shops surveyed
reported that they dont own any wide format digital printers, outsourcing all of their wide format print
production, while only 33% of the shops surveyed reported that they dont outsource any work.
Do you have your own wide format digital printers or do you outsource wide format digital work?
We have our own, dont outsource
33%
We have our own printers, still
outsource sometimes
46%
We dont have our own printers,
we outsource wide format print
production21%
ISA Research Report ISA Wide Format Pr int & Media Mix Survey Part One
. Inte rnat ional Sign Assoc iat ion 5
Shops Often Own Multiple Devices, Multiple Technologies
For the shops that own their own wide format production equipment, they often own multiple pieces of
equipment and technology. Shops do this for several reasons, they may need multiple devices to satisfy
capacity requirements, or they may buy several of the same production device to create redundancy as
part of a lean manufacturing strategy.
The most common technologies they own include analog, which is color-cut vinyl and screen printing
equipment. When they have an aqueous inkjet printer they typically have more than one, which is
probably because they use one as a proofing system and one as a production system.
How many of the following types do you have?
0.3
1.3
1.3
1.3
1.3
1.3
1.5
1.5
1.8
2.3
0 1 2 3
Other
Eco-solvent inkjet
Solvent-based inkjet
Dye-sublimation
UV-curable hybrid
UV-curable flatbed
Latex inkjet
UV-curable roll-to-roll
Aqueous Inkjet
Analog processes
# of Printers
ISA Research Report ISA Wide Format Pr int & Media Mix Survey Part One
. Inte rnat ional Sign Assoc iat ion 6
Digital Printing Will Represent a Larger Share of Production
As noted previously, digital printing technology is enabling a transformation in the signage and graphics
market. Already shops report that digital printing represents more than half of their production, and they
expect digital printing to make up a greater share of their production over the next two years.
Thinking just about your wide format graphics business, approximately what percentage is produced using the following methods now and in 2 years?
58.9%
32.9%
5.0%3.2%
64.4%
28.3%
4.8%2.5%
0%
10%
20%
30%
40%
50%
60%
70%
Digital print Cut vinyl Other Screen print
now
in 2 years
ISA Research Report ISA Wide Format Pr int & Media Mix Survey Part One
. Inte rnat ional Sign Assoc iat ion 7
Wide Format Digital Printing Technology
Eco-solvent inkjet is the dominant wide format digital print technology among the signage and graphics
shops surveyed. Eco-solvent inkjet is a very strong technology choice for signage and graphics shops
because of its ability to print a wide range of applications, competitive running costs, good image
durability, and low price. Also, some of the most popular eco-solvent devices on the market have
integrated cutting systems included, which provides additional value for small shops that need to produce
contour cut graphics.
The chart also indicates that 25% of the
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