Printing and Publishing
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Fulfilling client expectations PDF Print E-mail
Written by Kevin Rogers, Business Development Director at Elanders, 2007   

Profitable print companies build their success on anticipating and understanding client problems and coming up with solutions. Kevin Rogers, Business Development Director at Elanders, gives an overview of developments across the print industry that impact on maintaining service levels today. 

Few in the print world would disagree that the accelerated pace of developments in Web technology tools has underpinned many of the wide-ranging and innovative solutions now being delivered to clients and adding value to their businesses.

However the enormous changes in what is now recognised as a dynamic and forward-thinking industry is actually down to two key drivers - the other being higher client expectations. The basic marketing principle of understanding and fulfilling client needs is now nowhere better expressed than in the print business.

Much, though not all, of the wave of investment across the industry over recent years has been focused on digital systems. The twin benefits of lower costs and fast turnaround are now matched by an increasingly sophisticated quality and finish, as manufacturers themselves continue to invest in new production and finishing tools. Although not the mainstream print method by any means, experts predict that digital's increasing popularity will see it take a 13.5 per cent share of the market by 2008.

Ideal for reaching today's consumers, who expect the most up-to date-information, available on-demand, digital supports the 'just in time' production environments common across all industries, eliminating the need for storage space, removing obsolescence and waste - and crucially, giving print companies the opportunity to expand their services to remove the pressure it places on the client's logistics function.

The growth in digital, along with constant improvements to offset print methods has resulted in a wide range of available technology, allowing print partners greater flexibility when devising solutions. Using offset to produce a long run of colour shells to give economy of scale, then adding the flexibility of short-run digital overprinting with personalised information is just one example of combining two processes in order to achieve the desired results.

Growing concerns over environmental issues are also playing a large part in industry changes. The print business is undeniably a heavy user of energy and raw materials, although in its defence the latest available statistics from the Office of National Statistics show that out of the 14 manufacturing sectors, it ranks second in terms of its contribution to the UK economy.

Progressive print companies, particularly those with global connections, are way ahead of legislative changes, continually working to improve their use of resources, introduce alternative production methods, reduce emissions and manage their waste.

In addition to the corporate social responsibility argument for a greener industry, there is also a sound business case through reduced costs, increased profit margins as clients become more accepting of the higher cost of some projects, strengthened brand perception and avoidance of non-compliance penalties.

It's now not enough for a print company simply to claim to "reduce, reuse and recycle" - clients demand proof of robust environmental management. Holding accreditations such as quality standard ISO14001 and either Forest Stewardship Council Chain of Custody or the Programme for the Endorsement of Forest Certification is now de facto among the leading print companies, while European initiative the Eco Management Audit System of Accreditation continues to gain support and is likely to become the recognised gold standard of green credentials in the near future.

As consumers and businesses become more environmentally aware, the next five years is likely to see an even greater shift towards including environmental credentials in procurement frameworks. In the UK, the new pan-Government Collaborative Print Services Framework identifies environmental issues as a high priority and could become the yardstick for all public sector print procurement.

Another route through which the industry is working to reduce its environmental impact is in minimising transport and its associated costs. The International Printers Network, a worldwide partnership of independent companies, allows projects to be managed in one location and produced in another, making global management and local production not only possible but a highly cost-effective and environmentally friendly option.

Reducing transport needs is also being done through more efficient logistics management. Many print companies now combine tight timescale, on-demand print services with sophisticated storage management facilities and staged despatch to any point in the world, from a simple sales outlet through to sequenced delivery to a production line working 24/7.

Whatever their business, clients are under increasing pressure to deliver better results at lower costs. Effective ownership, management and instant availability of information lies at the heart of every prosperous organisation, and we are now very much a knowledge economy where information reigns supreme.

The rapid growth of the information-based direct mail industry has had a knock-on effect in the print world. Direct mail is big business - a total of 62,000 tonnes of it is estimated to drop through UK letterboxes annually - and companies are waking up to the fact that a sound data strategy, combined with an innovative print partner, can pay dividends.

High-volume, standard information mailshots sent out en masse are a thing of the past as highly developed customer profiling tools allow tailored marketing, which requires correspondingly personalised material.

Clients across every industry expect to be able to produce thousands of pieces of material, each containing a combination of standard and personalised information, using specific imagery and copy chosen from a predetermined range of options to communicate accurately with every one of their targets.

A prime example of what can be achieved is in the automotive sector, where the wide range of standard specifications, safety equipment and optional extras requires manufacturers to generate literature covering complex combinations of models, specifications and languages, and to maintain availability of that literature for the lifetime of the vehicle. By sharing sales forecasts and using a combination of on-demand print plus warehousing and logistics services, global vehicle manufacturers can now receive sequenced delivery of the right information, at exactly the right time, as each vehicle leaves the trackside. The same multi-media publishing platform can also be accessed by a worldwide network of dealers, who can log into the system, order and pay online and receive delivery of just one set of very specific pre-owned vehicle information.
 
Print businesses can now get extremely close to their clients, and printers and marketers have become firm allies in the race to win customers. A few years ago the cost of delivering client-focused services such as those in the example above would have been crippling as well as risky, but as markets became increasingly competitive, print partners were quick to harness available technology to devise more cost-effective and efficient methods of delivering client solutions.

Some print companies are already well ahead in the push to offer proven cross-media platforms and multi-channel publishing systems, but despite the evidence that technology is driving the market, many companies are still playing catch up in this arena. A secure and flexible digital asset management system that can hold, amend and export information in the desired format - and update and repeat as frequently as necessary - requires less time and resources, and enables an immediate response to changing market conditions and opportunities. It also puts clients in control and by paying only for the print they use, provides yet another cost-cutting opportunity.

Electronic publishing facilities linked to digital asset management systems might not be standard across the entire industry yet, but as clients demand its functionality and flexibility, printers who are lagging behind would be foolish to ignore the obvious signs of a market that is shifting under them.

Companies that simply provide print as a commodity will find clients switching suppliers whenever they want to force prices down, particularly in light of the low prices being set by Eastern Europe and the Far East. However positioning themselves as a master vendor by providing a complete, wraparound service from design to production to end user will bring tangible benefits for the client and establish a firm and lasting relationship that will be hard to disrupt.

While price will play a large part in any contract negotiation, service level will always be the deciding factor. Today's long-standing and most profitable print companies built their success on anticipating and understanding client's problems and coming up with solutions, and service innovators will continue to lead the way among the print industry.

In a world where everyone is striving for growth, better profitability and long-term success, the smart players in the print industry are transforming their organisations from commodity suppliers into infomedia service partners, shouldering more of the risk and firmly integrating themselves into every single client's business - and that's good news for everyone.
 
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