Top 5 Takeaways From packagePRINTING's Business Challenges Study

While the packaging industry is exuding growth and opportunities for all segments of the printing industry, its rapid rate of change and evolution has caused a variety of business challenges for package printers to contend with.

packagePRINTING has released a new research study, “Understanding and Mitigating Packaging Industry Business Challenges,” which details what these challenges are and the potential strategies package printers can take to overcome them. The results of this report were correlated from more than 150 responses to a survey conducted by packagePRINTING earlier this year. Click here to access the full report.

Here are the Top 5 Key Takeaways from this report:

1. The Labor Issue Has Struck the Packaging Industry

Throughout the manufacturing world, a shortage of labor has been a major cause for concern, as young members of the workforce seek other forms of employment. This trend has not spared the packaging and printing industries. To make matters worse, survey respondents indicated their current production staff members are nearing retirement age. As one survey respondent put it, when asked to pinpoint his or her No. 1 business challenge, “Loss of personnel in manufacturing and filling those positions with qualified individuals.”

2. Short Runs and SKU Proliferation are Causing Production Problems

It’s been widely reported that brands are expanding their product lines and demanding shorter runs of their packaging. However, the influx of work has led to production slowdowns among package printers, as presses need to be changed over more frequently. Our results indicate that this trend remains a top of mind issue for package printers.

3. Digital Printing Piques Package Printers’ Interest

Likely related to the rise of short runs and SKU proliferation, more than half of the survey respondents indicated that they have either invested in digital printing or are considering it. Considering that only a small fraction of packaging is printed digitally, one has to wonder if that number is going to increase in the very near future.

4. Package Printers are Seeking Expansion Opportunities

While the survey indicates improving internal practices and processes is a key component of overcoming package printing business challenges, increasing sales and expanding customer bases were key objectives for package printers. Not only was increasing sales among the top business challenges, but respondents indicated they were seeking new customers in both their current market segments and new market segments.

5. Consolidation Presents Challenges and Opportunities

Advancements in technology have undoubtedly made it easier for printers to expand their product offerings. The results of this survey indicate that package printers have noticed an increase of both commercial printers and package printers from other segments becoming new competitors. While this may be alarming for some package printers, it also indicates that there are opportunities for packaging specialists to either demonstrate why they’re the best at what they do, or, expand on their own capabilities by identifying packaging opportunities and the technology that can bring them into the mix.

Click here to access “Understanding and Mitigating Packaging Industry Business Challenges.”