Between price pressure and increasing requirements

State-of-the-art technology, well-trained specialists and extensive know-how: all this has not saved many Swiss print shops from closing down in recent years. Added to this was the strong Swiss franc, which played into the hands of foreign competitors. More and more customers were unable to resist the comparatively low prices and had their print products printed abroad. How existing print companies should position themselves in order to remain competitive in the future is therefore not an easy question. Is there still a need for the typical generalist, who offers the widest possible range of services from company brochures to business stationery, or will specialists have the better chances in the future?

Diversification into new areas

Classic generalists for the printing industry almost no longer exist, notes Maurice Wicky, Managing Director of the Swiss Printing Industry Association (VSD). Of course, some print shops are trying to position themselves by diversifying into new areas such as marketing or event management. However, this requires corresponding employees and new processes. If this succeeds, new print products can emerge from this diversification or existing ones can be retained. He cites marketing automation and cross-media as the key words here.

Niches only for a few

When specializing in products, there is the possibility of covering a specific market segment, which can be advantageous. However, Wicky is convinced that these niches are reserved for only a small number of print shops. He sees the focus on a limited market, competition with foreign countries (prices) and dependence on a few customers (cluster risk) as a risk. There are interesting examples in this area, but they usually only work for a few print shops.

Digitization costs massive amounts of print jobs

He sees the biggest challenge for the printing industry in how consumer needs will develop. The digitization of all areas is costing print jobs massively. Examples are electronic forms or the elimination of payment slips through e-banking. Substitution by the Internet and mobile devices are the most important drivers.Another challenge is posed by globalization, which is also clearly evident in the area of magazines and newspapers. In the past, publishers also had a printing plant, but today the large publishers are increasingly withdrawing from the printing sector. An important issue is the shift to web services for customers. This area is diverse and offers opportunities, but is clearly outside traditional printing services.

Competence and product efficiency through specialization

"The range of services offered by generalists is still in demand among a relevant number of customers," emphasizes Daniel Sinn, Managing Director, Stämpfli AG. Of course, this is not the case for all customers. Sinn sees the advantages of specialization in the competence and production efficiency that can be achieved by focusing. Furthermore, there are more opportunities to occupy targeted niches through specialization, which allow for above-average margins. Disadvantages can be the interchangeability and the dependency within this specialization.

Communication needs

Stämpfli AG does not position itself specifically in the print market, but focuses on the overall communication needs of its customers with its broad range of services. Printed communication media represent one of several relevant channels. "Our core competencies lie in the conception of communication measures, the mastery of cross-media, system-supported processes and the economic implementation in the required quality.Stämpfli made several future-oriented investments only a few months ago. In addition to increasing its performance in web offset printing, Stämpfli is now focusing on a single-machine strategy in sheetfed printing. With the investment in a 10-color printing press of the latest generation from Heidelberg, production orders in sheetfed printing can be handled on just one machine in the future.At Stämpfli's digital printing center in Wallisellen ZH, existing equipment has been replaced with state-of-the-art digital printing systems, enabling orders to be executed even more flexibly and at shorter notice thanks to increased productivity. In addition to the acquisition of new production machines, the company has invested in the Woodwing Aurora software solution, which enables all communication channels to be used simultaneously: In the simplest way, content is published on websites, apps, social networks as well as in print publications. The result is a more efficient publishing process and a reduction in the workload of those responsible. "The main differentiation from competitors lies in the breadth of services and the view of the whole, with simultaneous strength in implementation through the individual service areas," summarizes Sinn. The investments made make a decisive contribution to this.

Margins tighten

For Sinn, the future challenges lie in the area of tension between rising requirements, increasing speed and a high need for investment (especially in specialists as well as in training and further education), while at the same time margins are becoming tighter. In the future, Stämpfli AG will focus even more strongly on the overall communication needs of customers and offer the desired relief with innovative solutions - a relief that is hardly possible, for example, when purchasing individual services via online stores. In the production environment, investments continue to be made in secure processes, automation and efficiency. "The combination of these aspects for the benefit of our customers brings us the necessary success in a highly competitive and increasingly international market."

Strong foreign competition

For Monika Kemptner, Marketing and Sales, Edubook AG, generalists in the printing sector are still in demand regionally, but mainly in cooperation with partners. She sees reasons for this development, among others, in the competition from (neighboring) countries, which is now overpowering. These competitors offer a wide range of services, attractive offers at unrivaled prices. Asked about the advantages of specialization, Kemptner cites an existing niche market where there is less competition and greater expertise is required. In addition, it is possible to address and market customers in a more target group-specific manner. A disadvantage for specialists is the fact that for some customers, specialists are not even considered as providers if the complete range of services is not available.

Modern technologies underutilized

Edubook is focused on the education sector and offers corresponding, comprehensive and not only print-specific, but also complementary services. These include, for example, the additional offer of an e-book solution (Edubase), corresponding web store solutions such as a specialized teaching materials store and more. The enormous price pressure, investments in automation/digitization and know-how are major challenges for the future. "Although modern technologies have been available for some time, customers still make too little use of them." Kemptner cites the example of customer-specific addressing with personalization or flexible use through situational (re)printing of printed materials. Unfortunately, the appropriate design and preparation of individual, personalized printed matter is still given too little weight in vocational training, she criticizes. "Edubook relies on automation and networking. Very small production starting from "edition 1" are possible with us."

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