Studies offer signs of industry upturn

There are signs of a recovery in the print industry from both printers and customers.

Directions, the BPIF's quarterly survey and the Institute of Practitioners in Advertising's Bellwether Report suggest printers will be busy over the normally quiet summer months.

 

The BPIF's report said that 35% of respondents' order books were better than normal for the time of year and over half predicted the state of the trade would improve over the next three months. The survey also found that increasing numbers of printers are concentrating on margins rather than volume.

 

In the quarterly edition of the Bellwether Report marketing budgets were reportedly on the increase.

 

The survey said 19% of companies increased their budgets compared with 17% reporting a decrease. It is the largest increase since the first quarter of 2000.

 

"The net increase was modest, but publishers will be encouraged that the FMCG, retail and IT sectors had the largest upward revisions," said PPA director of marketing Phil Cutts.

 

Pensord Press chief executive Tony Jones added that magazine paginations are starting to increase and supplements are coming through. "When I look at the titles we have and their performance this year, there is an improvement for the first time in three years," he said.

 

The figures for direct mail showed growth although it had slowed compared to the previous quarter. Direct marketing budgets were up by 35% and printers have said that they have felt the benefits.

 

"Our sales for this year are already up by 30%," said SR Communications chairman John Burbidge. "And capacity is also filling up very quickly, especially during the traditionally quiet summer months."

 

Key report findings

81% of print firms worked below capacity

19% of clients to increase marketing spend

Direct marketing budgets up 35%

35% of printers' order books better than normal for the time of year

54% of printers believed that the state of the trade would be better in the coming three months

 

Story by Philip Chadwick