1. Convergence: How the Wide-Format Industry is Changing SPIRE Conference
Steve Urmano, Director of Wide Format
February 2018

2. Production Digital Printing Application Landscape
Graphic Communication
Packaging
Decorative
Functional
Functional & Industrial
Graphics Arts
Materials
Ink & Toner
Paper
Paper/Board/Plastic
Industrial Substrates
Objects
Addressing
CAD
Photo
Promotional
Publishing
Sign & Display
Transactional
Brand protection
Coding/Barcodes
Consumer Labels
Corrugated
Direct-to-shape
Flexible Packaging
Folding carton
Ceramics
Glass
Architectural
Automotive
Consumer electronics
Consumer goods
Laminates
Wall/Floor covering
Wood
Textiles & DTG
3D/AM
Prototypes
Tooling
Manufacturing
Printed Electronics
Semiconductors Displays
Solar panels
Biomedical
Pharmaceuticals
Organs
In the last several years we have seen growing demand from consumers for products and solutions that better fit their life style
And as a result many consumer goods companies today provide their clients with an ever expanding range of products tailored to their needs.
These, combined with technological innovation are a fertile ground for new products that help manufacturers deliver goods and products tailored to their customers.
Short-run and just-in-time manufacturing are key drivers in developing print related solutions that deliver output at the time of need
in industry segments, such packaging;
ticket, tag, and label printing;
Decorative printing;
3D printing;
printed electronics; just to name a few.
Some applications are meant to add a level of richness such as color images and messaging to a product while others such as 3D printing are creating functional devices..
However the myriad of products and solutions could, at times, be confusing and require focused attention that can reveal where key opportunities are, profit pools,
and the needs of producers around the world.
Geographic, and cultural differences also play key role in adaptation of some of these technologies.
For that reason InfoTrends, as your strategic partner, will be addressing these opportunities under the umbrella terms “Functional and Industrial Printing.”
Product decoration definition:
Product decoration is the direct printing of consumer products by analog or digital means, to enhance appearance or add or enhance brand imagery such as logos.
Product decoration can be achieved by analog printing such as pad printing or transfer printing, or by digital printing such as inkjet or laser etching. Product decoration can be on flat surfaces or on curved or multiple surfaces.
Product decoration could include textile products such a T-shirts, but it should be kept separate. Product decoration is separate from product coding, where the focus is not on enhancing appearance, but rather on conveying information.
Functional printing today is the digital deposition of materials to create products with active or passive functionality
Creates physical products
Enables rapid prototypes, small batches
Simplifies manufacturing
Reorganizes the industry value chain
3D printing is the additive layering of jetted materials to create closely designed functional three-dimensional objects
Market drivers:
New jetting technologies and materials
Capital investment inflow
OEM strategic transformation – value, costs, time

3. How the Wide-Format Industry is Changing1
Wide Format’s Big Picture 2
Market Trends 3
Media, Equipment & Technology Trends 4
Wide Format Workflow Trends 5
High Value Applications Add Growth 6
Conclusions / Takeaways

4. Wide Format Enables An Industry Evolution!
Ron: I made changes below – I think fewer words is better? Concerned about trying to map back to the consumer – isn’t it more the brand and print buyer at Print 17?
Wide Format Enables An Industry Evolution!
Mass-customization
Supply chain optimization
Just-in-Time
Short Run
Automation
Innovation in Digital Technology
Consultative sales
Print 4.0 & Smart Print Manufacturing
Print volume growth
What are the obvious adjacencies
What are the less obvious adjacencies
Wide format
Folding Carton
Label
Corrugated
The impact of lower TCO

5. Market Trends & Expectations for 2018
Optimism and confidence swells on back of revenue growth
Customer demands drives change from mass production to mass customisation
Digital technology is the change enabler.
The future of Sign & Display printing becomes more integrated with digital media
Functional & Industrial inkjet becomes more broad based
Textile print growth in graphics, decor and industrial markets
Decorative surfaces are becoming a growth opportunity for the PSP

6. New Applications + Automation = Growth
Roland DG Durst AqueousUV Formica Laminates HP Latex Décor'
Digitran Automated Sewing Swiss Q Print Robotics Zund Cutting & Routing INCA Autoloading

7. Value Add Services = Growth
CNC Routing The Finished Product
Interactive displays integrate with graphics.
Integrated Décor Hard and Soft Surfaces

8. Production Graphics Wide Format Print Volume Forecast CAGR 4%
Source: Wide Format Print Forecast: ; Keypoint Intelligence – InfoTrends 2017

9. Wide Format UV Technology – Landscape
Flatbed – Production UV Printer
Large Scale high productivity UV printing, analogue replacing machines
Flatbed - Floor Standing UV Printer
Free standing multi-purpose UV printing with small to medium bed sizes, targeted towards sign, specialty graphics and personalization companies
Flatbed - Table top UV Printer Small form factor desktop printers for prints on a variety of substrates including plastics, metal, wood, leather and glass onto materials to around 2”
Roll to Roll UV Printer
Roll fed UV printers for paper and flexible media
Hybrid UV Printer
Convertible UV printers integrated with both Roll-to-Roll & flat bed feeding systems for prints on a wide array of sign, display, décor and art materials

10. Emerging Wide Format Decorative Applications
Glass
Laminates
Tile
Customization &
Personalization
Décor’
Apparel

11. Soft Signage Poised For Continued Growth
Consumers like the look and tactile feel of the of soft signage imagery.
Popular backlit applications are produced by using Dyesub, Latex, LED UV inks.
PSPs see soft signage as a major growth market.
Finishing & sewing requirements need to be considered.
EFI VUTEk FabriVU 5M Aqueous Sublimation Printer
HP 3500 High Production Latex Printer
Fujifilm Uvistar Hybrid 320
Source: EFI

12. Tensioned Fabric Displays Using UV Flex Inks Are Now Common
Tradeshow & exhibition companies have embraced UV textile printing
and for use in signs and entire booth construction.
Source: McCrae Digital Imaging

13. Packaging Application Worldwide Volumes Advance
Millions /M2
Folding Cartons
Flexible Packaging
Labels
Corrugated Printing
High speed single pass will dominate volume 2020

14. Become the Best Printer A Print 4.0 Evolution
Production automation
Process integration
Connected DFEs
Data collection
Predictive management
Robotics
Business optimization
Estimation, quoting, onboarding remain pain points.
Shop Floor Data Collection gains importance to enable Print 4.0, dashboards and predictive modelling
Robotics for efficiency
$1 billion USD in revenue for 2016, representing 10.3% of the entire print production software market
Subscriptions will grow across all segments as vendors offer entire replacements or add-on modules, e.g. analytics and dashboards, to complement on-premise licenses.
As digital print equipment placements grow, so do digital workflows that are often bundled. Adoption rates are lower than those seen for conventional and packaging, which translates to growth opportunities.
The importance of color management systems is only strengthening as PSPs need to manage and match color across different print technologies, ink, and substrates.
Transactional workflows are growing as new features and new, i.e., mobile, reporting options for production managers are being added.
Print 4.0 demands Digital Print
Presses & Modules
Web-to-print automation
Quick preparation
On-demand production
Just-in-time manufacturing
Large-scale manufacturing
Affordable short runs
Growing number of substrates
White-paper-in/Full-color-out
Customization & Personalization
Growing number of finishing options
Lights out production
Process improvement
Ecologically friendly processes

15. Workflow: New Methods + New Products = Revenue Growth
Make it easier for customers to buy
Automate order to delivery
Expand your product catalog
Investigate new finishing techniques
Consider methods to provide new value within the supply chain
How companies create new products and drive volume
Investment decision paths
Workflow requirements
Peripherals that make a difference
Making work flow to broader output channels
Hand off to Matt

16. Media and Substrates Usage

17. Rigid Media Substrates Flexible Media Substrates
Growth of UV-Curable is Driving Growth of Rigid Media Rigid vs. Flexible Media
Q40: Of the rigid media you print on, what percent is on the following substrates?
Q41: Of the flexible media you print on, what percent of your digital wide format output is on the following media?
Rigid Media Substrates
Flexible Media Substrates
N = 310 Respondents
Source: Wide Format Printing Critical Element in the Communications Mix, InfoTrends 2013

18. Market Trends-Latest InfoTrends 2017 Study: Looking for BIG Opportunity in Graphic Communications & Specialty Printing; InfoTrends 2017

19. Objectives
Identify key equipment investment and market trends to pinpoint new opportunities for providers and technology suppliers
Uncover the key reasons providers are purchasing devices, software, and media products
Determine the best actions and hardware/software investments for providers to support growth of current application mix and expansion into other application areas or markets
Define best practices for business growth
Identify the tools and information that wide format graphic providers require from equipment and supplies manufacturers to grow their wide format businesses

20. Demographics: Primary Business
Q1: Which of the following best represents your company’s primary business?
N = 304 Total Respondents
Source: Looking for BIG Opportunity in Graphic Communications & Specialty Printing; InfoTrends 2017

21. Most Shops Get >50% of Revenue from Wide Format
Q11: What percentage of your revenue is related to sign, display, and specialty graphics?
Overall Mean Revenue from Sign/Display/ Specialty Graphics: 57%
54%
N = 304 Total Respondents
Source: Looking for BIG Opportunity in Graphic Communications & Specialty Printing; InfoTrends 2017

22. Adjacencies help build the business Top Key Study Takeaways

23. Wide format printing surrounds us…

24. The Wide Format Market Continues to Expand
Demand and Profitability
Wide format is a growth market! The share of surveyed firms reporting volume increases outnumbered those reporting decreases by 17 to 1.
Top industries that purchase wide format include retail, advertising, education, real estate, and construction
Application Purchasing
The most popular traditional wide format products include banners, vehicle graphics, signs, window graphics, and backlit displays.
Newer applications include wallpaper, soft signage,
industrial products, floor graphics, and apparel.

25. Advancing Applications
White Ink on
Clear Acrylic
Ad Specialty
Cell Phone Covers
Wall Décor
Thermoforming
Direct-to-Shape
Thermoforming Inks
can stretch up to 300%
Soft Signage
Decals
Backlit Displays

26. Wide Format Printer Volumes Are Increasing
Survey respondents expected output volumes to grow across all types of devices.
UV roll-to-roll and flatbed devices had the highest monthly volume output, often 2 to 5 times greater than most other devices.
Respondents expected the volume produced on eco-solvent devices to grow, followed by latex and direct dye sublimation.
Unit placements counter by -23%.

27. A Wide Variety of Media Types Add Growth
Over 75% of wide format output is produced on flexible media.
Pressure-sensitive vinyl was the most popular type of flexible media.
Commercial printers and ad specialty providers most commonly used paper and banner vinyl.
The most popular film is high-gloss white poly.
Half of commercial printers’ output is produced on clear media.
Nearly 25% of wide format output is produced on rigid media.
Coroplast was the must popular rigid media across all company types.
PVC was the most popular digital media.
Screen printers printed the most on wood.

28. Priorities are Shifting!
Operations Trends
Three-quarters of respondents report increasing demand for short turnaround; the majority require production in less than 24 hours.
Many respondents are outsourcing to meet expanding customer demands; the most commonly outsourced applications include flags, billboards, and ad specialty items.
Marketing
Over 40% of respondents are taking a vertical market focus.
Key marketing priorities include retaining customers, building relationships, increasing value, and growing brand awareness.
Social media is an important venue for promoting and expanding wide format business opportunities.

29. Aquisition, Demand, and Profitability Trends

30. Application Purchasing, Demand, and Profitability
Firms report volume growth outnumbered those reporting declines by 17 to 1.
Key purchasers of WF include retail, advertising, education, real estate, construction, restaurant, manufacturing, & healthcare

31. Print Directly on Glass Print Backlit Displays
UV Wide Format Printers offer a vast range of application opportunities
Print on Foam Core & Sintra
Print Flexible Outdoor Flags, Signs
Print on Wood or Acrylic
Print Directly on Glass
Print on Buildings & Car Wraps
Print on Cell Phone Covers
Print Backlit Displays
Print Floor Graphics
Print POP Displays
Print Billboards

32. Application Production Trends

33. Change in Application Volumes
Q40: For the applications that you regularly produce, how is volume changing?
N = Varies; Base: 304 Respondents who offer these digital wide format applications
Source: Looking for BIG Opportunity in Graphic Communications & Specialty Printing; InfoTrends 2017

34. Conclusions / Takeaways
Diversify!, Wide Format remains a growth market but adjacencies are offering additional growth benefits.
PSP’s are looking to expend into direct to surface and décor for additional growth opportunities.
Competition is coming from many directions as many paper based franchises enter into wide format to survive.
Commercial printers stay close to their paper based roots however are also generating higher volumes.
Training & education are the key ingredients to growth.
Workflow will gain more importance as more automation is adopted.

35. Steve.Urmano@keypointintelligence.com www.KeypointIntelligence.com
Thank you