Hot Markets for Printing Forecast Reveals Top 25 Industries for Print Demand in 2020
Noted printing industry analyst Vincent Mallardi has been compiling an exclusive ranking of the Hot Markets for Printing for the past 40 years. His newest research report reveals the Top 25 industries/sectors for print buying in 2020—which will account for a whopping $207.6 billion of total print demand potential—and he provides additional expert commentary on the actual types of printed products and printing processes that will be in high print buying demand for each market vertical.
According to Mallardi, 12 sectors among the Top 25 Hot Markets that he tracks are projected to increase their demand for print by a range of between 5% to 15% in 2020, accounting for one-half of total print buying activity this year—the highest proportion since he began compiling this printing industry research four decades ago. In addition, Mallardi points out that these Hot Markets Top 25 sectors/categories will account for 95% of total printing buying demand in the U.S., a 13% increase from 2019. In fact, he says, "2020 should be the best sales year in printing industry history. Technology is making everything possible, thereby raising individual and business confidence and expectations."
Mallardi also implores printing industry companies to be proactive in specifically targeting these key Hot Markets verticals for the best print sales opportunities as part of their overall sales and marketing planning processes, in order to see what fits best with their product application, print production, finishing, and ancillary services capabilities.
"Managers have the choice between leading or lagging. Strategic decision-making is proactive and controlled," Mallardi points out. "The opposite is reactive where others determine the outcome."
Packaged Foods Leads Print Buying Hunger
Due to the explosive growth in the demand for packaging, Packaged Foods once again tops his Top 25 Hot Markets list as a $1.43 trillion industry with print buying potential of $19.9 billion. Due to economies of scale, the majority of print demand will be for static printing, with labels and cartons being the main growth areas for shorter-run, digitally printed packaging. He also foresees a 15% increase in the demand for wide-web flexographic printing for polyethylene (PE) stretch wrap.
Mallardi sees lower demand for individual-carton packaged food, and bottle and canned foods, resulting in reduced demand for the stacked litho labels attached to them. And, contrary to historical print market opportunities, consumer demand for prepared foods for drive-up or home delivery, combined with more online grocery purchases through Amazon and other online providers, will cause many brick-and mortar supermarkets and grocery stores to close.
As such, this will have a negative impact on in-store print purchases, reducing the demand for printed items such as wide-format signage, point-of-purchase (POP) displays, shelf talkers, and end-of-aisle print.
Medical/Pharma Is Cure for Print Demand
As a $714 billion industry, Mallardi forecasts that the Medical/Pharmaceuticals industry will represent $18.8 billion in print potential; this year. Opportunities for printers lie in transpromo direct mail due to all of the class-action legal lawsuits filed against Big Pharma, as well as in miniature-folded pharmaceutical inserts and expansion labels.
He predicts a decline in the opportunity for pharmaceutical ROP inserts, due largely to the overabundance of heatset web offset printing operations competing for that type of work. To the contrary, Mallardi foresees more opportunity in higher value-added printing for medical products and wellness management. Both markets, he maintains, are benefitting from an aging U.S. population, technology advancements, and government health cost containments.
These two categories will generate opportunities for carton and blister packaging, point-of-purchase/point-of-sale output, and out of home signage.
Packaged Foods and Medical/Pharma are just the top two sectors for print demand. Check out the full "Top 25 Hot Markets for Printing in 2020" report by clicking here. The future sales success of your printing business may hinge on steering your sales efforts toward several of these leading print-buying market verticals.