2012 Hot Markets : Printing in a Mobile World
In recorded entertainment, music consolidations like the Vivendi Universal deal (+6 percent) and Sony (+2 percent) acquiring EMI’s music and publishing Internet arm, respectively, will invigorate re-releases and print packaging. Live concerts/events will take on new life as performances are promoted virally and streamed live to IP fixed and mobile audiences. Rave reviews for printed posters, outdoor, handouts, programs and event-themed merchandise. LiveNation (+3 percent) will be a smash hit at its more than 100 owned entertainment venues. This sector will engage 3.0 percent of total print, concentrated in the West and Northeast.
Two cross-over sectors are No. 18 DISCOUNT RETAIL ($1.3T, +5 percent; with $5B to print, 0 percent) and No. 19 HOME IMPROVEMENTS ($733B, +5 percent; with $4.9B to print, +13 percent). Big box stores such as Kohl’s (+7 percent) anticipate increased sales and employment in 2012, but there will be no corresponding rise in FSIs, catalogs and other print.
Wal-Mart (+5 percent) is 50 percent of this category, and is near total build-out domestically. Existing locations will be made into super centers with more, not fewer, items. Increased spending for in-store signage and localized FSI print will be to support the opening of nearly 300 stores overseas.
Target (+8 percent) will have Canada in its bulls-eye with a major build-out, but not until 2013. Household repairs/refurbishments has a much better foundation for print. Because of the 2010 Census, the leaders are moving away from and to metro areas that lost and gained population, respectively. Lowes (+7 percent) will close 20 under-performing stores and build 24 new ones! Home Depot (+2 percent) will reposition itself into a more virtual operation, encouraging pre-orders via Web and mobile storefronts. Bad for print is a planned cutback in FSIs and ROP usage. Together, these two sectors will be 5.0 percent of all print, with no geographic concentration.
Vincent Mallardi, C.M.C., is a the chairman of the Printing Brokerage/Buyers Association International (PBBA) and is a Certified Management Consultant in the paper, printing and converting industries. He is also an adjunct professor in economics. Contact him via email at firstname.lastname@example.org