Online printing used to be for the few, the wealthy, the proud. But, because it's gotten less expensive it has opened the door for others, the little guys, to get into the game.
"Web-to-Print systems used to be very expensive and only big print houses could have afforded [them] in the past; now since everything is SAAS (software as a service)-based, the costs dropped down and small to medium print providers can enter this market easily," explained Refael Royz, co-founder and CEO of B2CPrint, which has its main offices located in Israel and New York.
"The number of print providers entering this market is growing by 22 percent every year. The number of end-users who are using those systems and ordering through them is growing by 26 percent every year," Royz said.
Royz, who has been in the web-to-print market for six years, added markets are growing worldwide. Since Internet speeds are constantly improving, Royz said, it has allowed online printing to move beyond North America, Canada, Western Europe and Australia.
"Now, we see a lot of traffic from Eastern Europe, Asia, South America, Africa and the Middle East," Royz noted. "[They] used to be behind on it. [The speed of the Internet] and its accessibility created a global market of print providers that work worldwide/nationwide."
That is not the only interesting thing happening within the sector.
Ray Pinard, president of Boston-headquartered 48HourPrint.com, said he believes there is huge potential giving small to medium-sized businesses the ability to communicate one-to-one via personalized direct mail with simple online tools. Previously, this type of personalized marketing was either limited to large companies with the technology to do so or in collaboration with an outside direct mail firm or ad agency. In addition, Pinard said it required a good understanding of databases and related technologies.
"Today, small and medium-sized businesses and individuals can take advantage of personalized print using 48HourPrint.com's online tools. 48HourPrint.com customers enjoy the benefits of high response rates [from] personalized print, variable data and one-to-one marketing, that [were] previously either cost prohibitive or out of their reach technologically," he noted.
What Lisa Hoffman, product manager at Arlington, Texas-based PrintPlace.com, finds engaging is as customers become more accustomed to buying online, the inherent instantaneous mentality that goes along with that model has translated to expectations of much faster turnarounds.
"PrintPlace has answered that demand with same day (100 percent offset) printing on all of our products, including die-cut products. Providing consistent quality is a trend that not all online printers initially held as a priority (think of the original "gang run" printing reputation of poor quality)," she explained. "Online printing, while providing competitive pricing and quick turnaround, does not have to equal poor quality. PrintPlace, for example, has a full time G7 expert on staff to maintain consistent color and quality across all of our facilities."
And, there are plenty of advantages to being in the online printing business. For 48HourPrint.com it is definitely a boost in sales.
Pinard explained his company has the ability to service a large North American market without having to have numerous sales offices and manufacturing facilities throughout that same market. As a result, online printers such as 48HourPrint.com can operate with a very lean organization, which includes centralized customer support, marketing and software development.
"48HourPrint.com also has a small number of strategically located manufacturing plants that can service the entire North American market. For example, 48HourPrint.com has annual sales per employee of $233,000, as opposed to the average commercial printer that averages between $150,000 to $175,000 per employee," he concluded.
Hoffman observed the biggest advantages are the growth over the traditional model, as companies move more of their sourcing online, and reach beyond a physical facility.
"Being able to provide instantaneous quotes to the customer is a huge advantage, as well. Additionally, the required investment in technology for the front end inevitably spills over to the back end, making most online printers more efficient in manufacturing as well as ordering," she remarked.
Though there doesn't seem to be any real disadvantage to this sector, Hoffman mentioned it can be difficult to reach customers who don't feel comfortable purchasing online.
"The 24/7 nature of the Internet means that online printers must provide increased accessibility to customer service, as well as streamlined customer service processes, in order to better be able to handle the learning curve faced by customers who have never ordered printing before, as well as the relatively large number of phone and e-mail requests," Hoffman mentioned. "It has also forced them to create a common language that can be understood by both novice and veteran print buyers. This means a financial commitment to a customer contact center. Successful printers will not think of this as a con/disadvantage or a loss center, but as a way to distinguish themselves in the market."
Online printing seems to be in a good place, but companies agree things only are getting more exciting.
Pinard said online printing is really evolving and has the potential to evolve even further to transform marketing, sales and customer communications.
"There are technologies available today that will allow users to upload images and text, personalize content and have the message delivered to a set of recipients via their preferred delivery method or channel of choice. These channels can be print, e-mail or text messaging sent to their mobile device or there is the possibility of doing all three. In theory, printers are changing (or at least should be) to take advantage of these emerging technologies and become more of a provider of marketing communication services than just printed material," he added.
Pinard continued, comparing commercial printing to online printing.
"[The] commercial printing industry has been in decline for the last 15 years in terms of the overall value of shipments and profits on those shipments," he explained.
". . . While there's a number of arguments on why the industry is in decline, online printing is clearly growing," Pinard said. "Much of online printing's growth is driven by other industries that have been significantly changed by the Internet including how we buy books, music and book travel. High-speed Internet access is almost universal and for the most part, a utility like electricity that is available to every business, home and even on mobile devices. It is simply easier and more convenient to order print online."
Hoffman agreed, saying online printing has grown tremendously and continues to grow.
"Consumers have led the way with purchasing consumer-related printing such as invitations and photo products," she noted. "Business-to-business has been at a bit slower growth pace compared to consumer, but will steadily increase as the economy has forced businesses to get smarter about their expenditures. Printing on demand just makes good business sense."
It appears as though when it comes to online printing it can't get any better. However, companies say it will do just that.
In the next five years, Hoffman expects more companies to enter the online printing market.
"Whether or not they make it will depend on their commitment to investing in technology and equipment, as just hanging out a virtual shingle can get you some customers initially, but you cannot grow without a loyal customer base," she explained. "Online print offerings should grow beyond the current short-run small business products. PrintPlace has, in fact, recently launched an online commercial heatset web division, UnitedGraphics.com, which is already trending $10 million annually. The needs of the commercial customer are still there, which don't fit the cookie cutter mentality of many online printers—the successful online printers will continue to innovate and find ways to fill needs for more customized products and services."
In terms of the future, Pinard sees online printing becoming more of a service to both small and medium-sized businesses, as well as large companies or enterprises. For large companies, he noted online printing will take the form of private online portals that are only available to a company's employees.
"These private portals allow them to order commonly printed items such as business cards and stationery as well as enabling them to facilitate and manage all forms of customer communications from marketing, sales and customer support or anyone with customer-facing responsibilities," he said. "As a result, large companies will be able to control the message and delivery medium—print, e-mail or mobile devices and will benefit from tightly managed but decentralized customer communications with centralized cost and brand control."
Pinard also commented that mobile computing through smart phones and tablets will take on a bigger role as these devices become more prevalent. He predicted, in five years or even sooner, people will all be able to upload business cards and presentations to an online printer while they are waiting to catch a plane in one city and have them printed and waiting for them when they land in another.
"In fact, just this month, 48HourPrint.com has released a new mobile app, with versions for the iPhone, Android and BlackBerry. The app offers a convenient way for customers to gain instant pricing, track print orders and instantly communicate with 48HourPrint.com's customer service department via a one-click "Call Us" or an e-mail button," Pinard added.
Hoffman declared this a revolutionary time that printers should embrace.
"Printers must adapt to the changing expectations of the consumers," she encouraged. "Possibly for the first time ever, customers are coming to printers with expectations not necessarily based on what they get from other printers, but with expectations based on what they are getting from other Internet-based vendors across all industries. Dealing with a customer base that is not necessarily print-centric means understanding where customer expectations are coming from and how to translate them into a website and products."