Report on Digital Printing for Narrow-Web Label Applications

EDEN, N.Y.—Packaging graphics and supply chain consultant, Karstedt Associates, Ltd., announced its first Commercialization Assessment Report focusing on digital printing for narrow-web label applications. Designed for narrow-web label printers and converters, this first report reveals a potential market of roughly 1.1 billion MSI when using current digital-printing economics and capabilities in narrow-web label applications.

“Commercialization Assessment Reports are a direct response to client requests for more substance and assistance in evaluating the use of digital printing in packaging applications,” says Kevin Karstedt, president of Karstedt Associates.

“Our internal research regarding the potential application fit for digital printing in narrow-web label applications revealed ‘the digital sweet spot’ of 1.1 billion MSI. We further estimated the current penetration of digital technology is addressing less than 10 percent of the digital sweet spot. Despite the focus and attention digital printing has received in this application, the rate of adoption has been slow. The reasons why became apparent as we discussed the findings with potential buyers of the technology, as well as with technology suppliers,” says Karstedt.

“The Commercialization Assessments are designed to match buyer needs with supplier capability,” he continues. “Not all buyers have the same needs or motivation to purchase, so their purchasing decision will be triggered based on a strategic need in responses to a changing market. Likewise, suppliers need to identify the needs of the early potential buyers of the technology to generate a revenue stream and continue their development efforts. The Commercialization Assessments provide market and product development visibility to buyers and sellers, along with the assessment tools, to enable timely, accurate decision making.”

Similar to other markets, digital participation in labels will not be a huge volume component, but it will be extremely disruptive, Karstedt says. “We have identified several ‘battleground’ areas where it will be extremely difficult to compete against digital with conventional-print technologies. These battlegrounds will evolve into a ‘have vs. have not’ situation. The implications to label printers and converters are pretty severe.

“We’ve taken what we typically cover in individual consulting engagements over a period of several days and what typically costs in the tens of thousands of dollars and have synthesized it down into a written report to facilitate understanding and decision-making for considerably less cost. Karstedt Associates is in a unique position to deliver this type of information. Our focus is on packaging, and we have a broad and well-established client list encompassing the entire supply chain,” says Karstedt.

For more information on this report, visit http://karstedt.com/commercialization.html, call Kevin Karstedt at 716-992-2017, or contact him at kevin@karstedt.com.