Corporate research: Key paths to automation, simplicity, and sustainability
The objective of the workshop was to introduce the team to the potential of personalisation and digital printing, to think about brands in a radically different way and to make the most of the power of digitalisation. Burrag agreed with Myers and Wright Lindbergh that education is the biggest challenge for brands to understand what packaging printers and processors can do. They pointed out that through Instagram accounts, social media channels, websites, as well as trade shows, brands can become Subjet Matter Experts, thus reaping huge benefits in the creative industry.
In terms of personalization, Reiter Lindbergh stressed the importance of customized communication. He pointed out that it is necessary to maintain a balance between over-communication and customized communication, to ensure that communication is not just mass emailing or widely disseminating information, but really meets the individual needs of each customer. He believes that it is very important to stay up to date with the latest developments in technology, communication and education.
Marco Pohl, co-chair of the conference and vice-president of strategy at I.T., moderated a discussion on the impact of mergers and acquisitions on packers, joined by Peter Schaefer of New Direction Partners and Nitai Lauer, vice-president of investment banking at Mesirow Financial Holdings. Mr. Lauer said current interest rates would not affect buyer participation or valuations, and that M & A activity remained very healthy. He argued that buyers were competing for less supply because there were fewer good assets in the market, valuations were rising. Mr. Schaefer said there were more buyers involved in M & A than a year ago.https://www.risedongsheng.com/
Most companies making acquisitions have platform investments, a strategy owned by private equity firms, where they have access to financial backing and can easily raise new capital and inject capital into the business. However, there are still public companies involved in mergers and acquisitions. Schaefer pointed out that buyers in the packaging industry are demanding higher multiples because it is related to growth, especially in areas such as folding cartons, labels and flexible packaging, which are achieving double-digit organic growth, while GDP growth is only 2% -2.5%.https://www.risedongsheng.com/
After discussing M & A activity, Casey and Bohr came together to summarize the important messages from the summit. Digital printing does not necessarily replace traditional printing methods, but certainly continues to evolve as a complementary tool to achieve broad transformation goals. Some of the goals include meeting customer demand for more version control and customization, as well as increased productivity in production. Bohr explained that the productivity of digital printing technology is greatly improved, whether it is toner technology or inkjet technology, which provides greater flexibility.
According to Bohr, the old rules of choosing traditional printing over digital printing now no longer apply. As for the future of digital printing, processors are focusing on two aspects in particular: automation and simplification. According to Bohr, automation becomes even more important because of the seriousness of the workforce problem, anything that can reduce process steps is beneficial. In addition, it is also important to make technology easier to learn. He pointed out that not only do young people need to learn how to operate digital equipment, but many traditional operation workers have been in the industry for 30 years or more, and they also hope to learn how to operate digital equipment.
However, there is little talk of quality improvement and increased productivity. "I think it does show that the talk of better image quality is just a gamble at the moment," notes Casey. It is also important to be aware of brand concerns when adopting digital processes, which include protecting the brand's image and feel, reducing procurement costs, ensuring production is not compromised, meeting legal requirements and sustainability.https://www.risedongsheng.com/
When it comes to sustainability, Mr. Casey refers to the ideas of Wright Lindbergh and Mr. Myers, whose corporate goal is to be sustainable by 2025, but says he understands that from a company's standpoint, sometimes the cost difference that comes with sustainability cannot be afforded.
However, it is important to understand where customers stand on sustainability. Regardless, sustainability is still important and should be promoted to customers as an advantage of digital printing.
Mr. Bohr also said the opportunity should be used to educate customers about the capabilities and limitations of digital printing. He also stressed the importance of diversifying and expanding product offerings, because as the industry converges, other printers, such as commercial printers, are also moving into packaging and labelling, which is where digital printing can play a role.
"The reality is that digital printing costs more than traditional printing, so a different strategy is needed," Mr. Ball said. "That's where digital printing shines, and I've heard from some of the case studies that our industry is now at a stage where we can't leave digital printing, and it's an essential tool."
All in all, digital printing serves as an evolving complementary tool that can help packaging processors personalize their needs, increase productivity, and provide an advantage in terms of sustainability. Despite its higher cost, digital printing remains an essential tool for meeting customer needs and succeeding in a competitive market thanks to automated and streamlined methods.