Tapping Into Convergence

Convergence is a business philosophy that stresses looking outside of a business’s proverbial box to find new markets, applications, and opportunities to drive growth.

It’s easy enough to say a company is embracing “convergence,” but putting it into practice is sometimes more challenging. However, if done right, the payoff can be substantial.

B5 Creative has added a range of services to its lineup over the past five years, including DTF apparel printing. | Credit: B5 Creative

One such company that adventured outside of the box is B5 Creative, in Tampa, Florida, which, owner David Bermudez notes has added apparel over the past five years.

“We’ve added DTF print services and a dual platen heat press,” Bermudez says. “These services integrate directly with our core promotional product line, making it easier for us to provide apparel garments to our clients.”

Another company that has seen change in a different way is Famous Taste Digital Prints, based in Abuja, Nigeria. It’s CEO, Niyi Adesoye, says that for him, it’s been about adding new technologies to his mix, expanding not just what he can offer, but the overall quality and speed as well.

“I have added an industrial digital printing device [Konica Minolta c4080] to my current printing business, this single machine has significantly changed the shape of my business by increasing my quality, speed, and effectiveness,” Adesoye says. He notes that this addition “ … enhances our printing business by enabling the production of professional-looking, durable books and documents, which expands service offerings to include high-quality paperbacks, magazines, and manuals.”

For Seattle, Washington-based RPI Print, convergence has meant not only a $25 million CapEx investment to update the entire fleet of digital presses and add a new facility, but also an expansion into the book publishing space. Not to mention, the company has started expanding into the packaging space, which it sees as adjacent to what it currently offers, and a natural extension of what it already offers.

“One of our most significant developments has been our expansion into book publishing, especially as the industry shifts from traditional print-to-inventory models to print-on-demand,” Tom Hughes, CEO of RPI Print says. “This move aligns seamlessly with our tech and operational strengths and positions us to support publishers with greater agility and efficiency. Additionally, our acquisition of Blurb, the leading platform for bookmaking and self-publishing, has unlocked vertical integration. Blurb brings a robust creator community and brand that enhances our portfolio and deepens our reach across consumer and professional publishing segments.”

Book publishing has been one of the most significant
opportunities in recent years for RPI Print. | Credit: RPI Print

At Lake Worth, Florida-based Banyan Printing, Johnathan Manning, president, shares that convergence for them has been a move to digital and away from offset for some jobs. He notes that the company invested in a “sheetfed inkjet press, which was a natural fit for our toner devices, and gave us the ability to move away from smaller offset work. [It gave us more] sheet size and versatility, [and] we’ve stopped outsourcing a lot of jobs that we can produce in house now.”

Short-run packaging is a great addition to the services ITC Cutting Edge offers. | Credit: ITC Cutting Edge

Finally, ITC Cutting Edge in Dallas, Texas, started in the 1980s as a film processor and typesetter. Over the years, it has embraced convergence many times and did so again with the installation of a new flatbed cutting system, paired with a high-end wide-format flatbed press, that allowed it to expand into everything from “24pt cardstock to two-inch-thick wood panels,” Luis Gonzalez, senior account manager and partner, says.

Many Paths, Many Successes

What all of these companies have in common is that they weren’t content to just stick to the status quo. They went looking for new opportunities, and in all five cases they took a risk, investing in new equipment, seeking out new markets and customers, and taking that leap of faith that led them to where they are today.

“The addition of automated binderies across all four of our production facilities, alongside expanded inkjet, cutting capacity, and workflow automation, has reshaped our mix,” Hughes says. “These investments have enabled us to diversify our print-on-demand offerings beyond traditional photo products.”

Diversification is something Bermudez has seen as well. He says, “Before launching our online fundraising stores, 80% of our revenue was from bulk promotional product orders. Now, about 60% comes from apparel. The shift was driven by clients looking for full-color designs on shorter runs of garments, and the flexibility to broaden the options offered.”

For Adesoye, he notes that “revenue shot up more than 200% within the six months of purchase and installation of the devices.” So while the investment might have been a risk, it was one that paid off in spades.

Banners, wall graphics, and retail displays are just some of the applications ITC Cutting Edge now offers clients. | Credit: ITC Cutting Edge

Gonzalez says that the investment in the new systems “have made our production floor more efficient, scalable, and ready for future growth.” All things needed to not just keep the doors open, but to thrive in the current business environment.

So what advice do these printers offer to their peers taking a hard look at how to evolve and change?
Manning stresses, “Do your research. Technologies change often. Make sure what you’re buying into won’t change much in the next five or so years.”

For Hughes, it’s about more than just the right technologies. “Success in adjacent or complementary businesses hinges on strategic investment — not just in the right machines and software, but in the right people,” he says. “At RPI Print, our management team brings over 200 years of combined experience across on-demand, photo, and publishing, which has been instrumental in guiding our expansion. Building on that foundation, we’ve brought in leaders and engineers with a background and deep expertise in big tech and publishing.” That has allowed the company to rapidly scale the new spaces up, and bring them to the levels their customers expect from the start.

But perhaps Bermudez puts it best, “Start with your customers’ unmet needs, test on a small scale before investing heavily, and make sure any new offering complements your core strengths instead of distracting from them. Identify your customer, strategize on how to reach them, and confirm that they are aligned with your company values.”

In the end, convergence isn’t about throwing away what works, or walking away from the core business. It’s about expanding opportunities, finding new ways to serve existing customers, and bringing in fresh customers who might also benefit from a business’s core services and just don’t know it yet. Convergence should be about finding ways to strengthen a company, not segment or fragment it. When done thoughtfully, it can mean the difference between success or seeing the doors close as business walks away to those competitors who offer the full range of whatever that
customer might need.