2012 Hot Markets : Printing in a Mobile World
SECURITY/PROTECTION ($220B, 1 percent; with $4.1B to print, -1 percent) is locked in at No. 21, as terror threat assessments ease, troops return from foreign engagements and violent crime rates stay down. Property protection leader Tyco (0 percent) will search for new businesses to catch fire. Only data/document integrity/security will continue as a buyer of transit and business-to-business direct response, led by Symantec (+14 percent) as it expands into managed security services. This sector will secure 2.1 percent of total print, with no primary geography.
LEISURE ACTIVITY ($189B, 0 percent; with $4.0B to print, +10 percent) will rank No. 22 with a substantial increase in advertising, and the remaking of aging parks and destinations as with Six Flags (+9 percent). Digital grand-format graphics for walls, rides and other decorations and displays will queue up, as will promotional hand-outs, FSIs, discount coupon books and other print-intensive traffic builders.
LOGISTICS/FREIGHT ($670B, +7 percent; with $4.0B to print, -7 percent) is No. 23. Shipping volume will stay level, which speaks volumes about the flat economy, so the only “growth” will be energy surcharges. The sector’s largest printing buyer, the U.S. Postal Service (-4 percent), will reduce service and again raise rates. What an opportunity for our industry to occupy these facilities and offer mail and enhanced services! UPS (+8 percent) and FedEx (+11 percent) certainly will do so as they expand into printing brokerage, mail co-op and forwarding, money transfers, etc.
GOVERNMENT/FEDERAL AND STATE ($6.2T, +3 percent; with $2.5B to print, -15 percent) is No. 24. With all Cabinet departments and Congressional agencies taking massive cuts, the GPO will become the “gutted” printing office. Job tenders will be down by one-half and competition will be too intense to benefit suppliers’ bottom lines.
At the state level, unfunded liabilities and bailouts of bankrupt municipalities will force the privatization of driver’s manuals, maps, brochures, fishing licenses and most every type of “official” printed handout. Less than 3.1 percent of all print will be from government, concentrated in the Mid-Atlantic region.
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 email@example.com