Printing Press Profits Look What I Found
The decline in traditional print companies is a big reason why the Printing Press Profits program has become a hugely popular course. You may have heard of the opportunity rating, First Research’s estimate on industry performance and risk. You might be curious about what it is and how it works. Here’s a quick overview. And then read on to find out how you can benefit from this program!
Nearly all U.S. commercial printers are privately owned and employ less then ten people. The industry’s top four companies account for less that 25% of its revenue. According to a recent survey conducted by the National Print Owners Association, 44 percent of member companies projected significant to moderate increases in sales in 2014. The results of this survey were analyzed by Sageworks, a financial information company. This company specializes on the financial performance and management of privately-owned companies.
The Printing Press Profits report also highlights a trend that could help predict future growth: the industry’s oligopolistic structure. The printing industry is currently transitioning to an oligopoly as a result of decades worth of consolidation. The smaller companies are growing while the larger ones are shrinking. While this trend may sound good on the surface, it could be disastrous for the industry.
In the past decade, the US economy has driven the growth of commercial printing. Financial printing, which is an extension of advertising, has become increasingly important. The stock market has an impact on commercial printing, but paper costs account for a quarter of the total. Printing companies don’t suffer if paper prices are low. Low paper prices, however, encourage higher volumes, which increases profits. Meanwhile, oil and resin prices affect ink prices.
The Printing Press Profits report shows that customers demand faster turnaround times and shorter print runs as the industry moves towards mass customization. Printing businesses need to find ways to improve speed and still make profits. Although incremental improvements have been made to speed up the cycle times, they may not be sufficient to meet the increasing demands of the customer. The Printing Industries of America estimates that 30 percent of all printing will be done within a day by 2010.
Rising oil and gas prices may impact the prices of paper and other materials used by commercial printers. Already, paper prices have increased. Printing presses could have to pass these increased oil and gas prices on to their customers if they continue to rise. Printing press profits may be affected by rising oil and natural gas prices. If you can’t afford the additional costs associated with these raw materials, you should consider the Printing Press Profits upgrade.
If you have a strong management skill, and some entrepreneurial instinct, you can start a profitable print shop. It is important to note that location plays a significant role in the profitability of a printing shop. Located in a business district, where people go to get their printings, you will be more likely to make more money. But remember, most people don’t like to drive far to find a printing shop. A lot of commercial space on busy streets will be expensive, so make sure to consider the expected sales before you sign the lease.
Your business should not only be near other businesses, but also in a convenient location. Customers will be more likely to visit your business if you have many options for printed materials. Your printing staff should be able to perform multiple tasks. Ideally, they should be adept at all tasks. Your graphic designer should be able operate a D.I. machine and understand digital printing basics. In short, you need to cover all areas of printing.
In today’s digital world, printers can differentiate themselves from their competition by offering value-added services. This will allow them to achieve their business goals, and run their business more efficiently and effectively. While these are small investments, they will be far less expensive than a professional 3D printer. If you can afford to invest in your printing presse, you will be able to make profits quickly.
While traditional print jobs are the largest single market, a few have ventured into higher-margin design work. They have invested in computerized design systems and have hired graphic designers to do prepress work. Prepress work includes page composition and typesetting, image manipulation, design, and layout. This type of work requires an additional team and usually costs up to 50% more than standard printing jobs. Profit leaders in this sector are less indebted and more productive. This allows them to hire designers at a lower rate.