2014 Hot Markets: Packaging, Pharma Head List
There are pockets of excitement, as in interactive publications, art books and prints, pop-ups, glow-in-the-dark, deluxe commemorative special editions with slipcases, 3D, faux paper fashion accessories and other high-value enhancements. Self-publishing, sold online and run digitally, provides high quality, very-short-run production of literary works, greeting cards, calendars, vanity wall coverings, photo books and most anything else. The marketplaces for these are less than 5 percent penetrated, so there's time to get in.
Ringing up to No. 3 is Telecommunications ($1.5T, +2 percent; with $12.0B to print, +5 percent). Sector growth is deceiving; some categories like mobile, other wireless (+43 percent) will be on an FSI, POP/POS and transit print binge while others, like directories, will continue downward at -22 percent.
Cable/satellite could be technologically displaced by 2016 as "cord-cutting" and migrations to streaming PC2TV. The cable industry will fight back with its "TV Everywhere" Wi-Fi for subscribers' movement, so there will be a lot of print in the fight for survival. Mobile apps and QR codes are also a "must provide" by smart printers (not an oxymoron), along with mobile site and SMS (short message service) management as essential complements in a cross-media interactive program.
Related, but crashing, are tech sectors, No. 14 Computer-ware ($790B, +4 percent; with $6.2B to print, -13 percent) and No. 20 Electronics ($761B, -4 percent; with $4.5B to print, 0 percent). Because most labeling and packaging are offshore, U.S. print demand is out-of-home and at retail locations. Apple will pursue lifestyles and loyalties while the other entrants tout price. Best Buy and other major outlets will maintain but not increase FSIs, bind-ins and in-store print; on hold or pause.
Banking/Insurance ($4.2T, +5 percent; with $11.6B to print, +4 percent) will withdraw to No. 5, as its financial relation Investment/Brokerage ($1.3T, +4 percent; with $5.2B to print, -6 percent) crashes to No. 19. These "institutions" are going where the big money is, and it's not in commercial banking. Retail branches will shrink into kiosks (screen and digital print-intensive), and mobile banking (+30 percent) will be widely promoted via POP/POS and out-of-home in cross-media campaigns.
Vincent Mallardi, C.M.C. is a Certified Management Consultant in the paper, printing and converting industries, and is an adjunct professor in economics. For the complete listing of all 1,500 of the largest print buying entities, including addresses and phone numbers for all 50 states, contact him via email at firstname.lastname@example.org