| For some years now we have been automating | | | | of thousands of copies to sit in warehouses or on |
| the process of pre-press and now pre-media to | | | | shop shelfs unsold, even worse to be returned to |
| make it super effieceint, some opted for | | | | the distributors when the shop needs the shelf |
| outsourcing, others for setting up business units in | | | | space for stock rotation. Lower cost options need |
| far away lands where the cost of labour is really | | | | to happen and Print On Demand for lower |
| cheap, unfortunately it's a far cry from Sean's | | | | quantities with no wastage and less material costs. |
| beach photo in the Hot At Vyre post and more | | | | Magazine readership |
| like mine here. | | | | We all read that magazine readership is down, and |
| The focus moved onto improving the process | | | | publishers are producing less magazines and sure |
| within the manufacturing facilities to ensure that | | | | we have seen some of our favorites disappear, |
| the capacity could be managed with fewer staff | | | | but has the consumer actually been affected by |
| and thus allow the company to remain | | | | at least 2 forces? Firstly the amount of choice |
| competitive on price. More and more technology | | | | the readers have, you only need to walk into a |
| was deployed to allow greater savings on the | | | | newsagents and look at the amount of women's |
| actual cost of production ensuring that the quality | | | | gossip magazines there are to see that there is |
| of the separations that are going to plate | | | | an abundance of choice, the second is |
| providing a good amount of ink optimization | | | | manufacturing and distribution costs. |
| (previously done at repro stage) that provided an | | | | You would think that as the years have gone by |
| equally as good cost saving on ink, but never at | | | | the the cost of producing the printed matter has |
| the expenses of the quality of the final product. | | | | been reduced, and for sure it has been, pre-media |
| As the business requirements change for all types | | | | automation, manufacturing automation, digital |
| of printed materials, with marketing now requiring | | | | photograpghy etc etc the list will go on for ever, |
| their campaigns to target audiences that no longer | | | | but the cost of distribution and the fight for shelf |
| want the nuisance of paper, and with the need | | | | space is leading publishers to take a look at new |
| for packaging to be sustainable, we see new | | | | output streams, still produced by the traditional |
| business models emerging into market verticles | | | | pre-media suppliers and still printed, just in smaller |
| that were traditionally bulk print channels. To add | | | | quantities and also provided in the new form of a |
| to this, there is a growing trend in personalization; | | | | digital magazine. Yesterday I was flicking through |
| this without fail requires a minimum order quantity | | | | one of our industry magazines.... online! No printed |
| of one! | | | | matter what so ever, yet I can assure you it is |
| So lets take a snapshot of a few markets that | | | | still printed and sent if it's subscribers. |
| have been affected over the last 5 years by the | | | | Another example of how the printed pages are |
| decline of the bulk order. | | | | also available online is with Ceros, with over 100 |
| Books & the raise of self publishing | | | | titles available in a slick digital viewing format. It |
| There was once a time when publishers would | | | | has the ability to add interactivity and moving |
| sign an author against an estimated volume of | | | | adverts into what seems like the same as the |
| sales and pay the author an advance before he | | | | static content you would get from a printed copy. |
| she had even written a word. Today it's possible | | | | One of my favourites that isn't available in printed |
| for anyone to write his or her own book and | | | | form is IGizmo, yes not available in printed form |
| publish it with ease using everyday sites like | | | | and yes it's free! |
| Amazon, Barnes & Nobel and Lulu. How is | | | | These new output streams are undoubtedly |
| the possible? In the complex world of book | | | | distrupting the printed versions reducing the order |
| publishing, companies like Lightning Source or The | | | | quantities, but new models for distribution to |
| Book Printing Company provide retailers the ability | | | | reach the reader base need to be explored, it's |
| to order minimum quantities, even Ingram the | | | | not that people are anti printed material, but they |
| largest US distributor of books will carry stock of | | | | want the convience to get it when and where |
| POD items to ensure they can supply the stores | | | | they want, why is it that subscription prices are |
| the required quantity on demand. | | | | so much lower that the shop shelf price.... and |
| The ability to Print On Demand for the book | | | | maybe it could fit into my vision of a possible |
| industry opened a new business model that | | | | future of news print... |
| wasn't based on the traditional need to | | | | Distribution of home entertainment |
| warehouse, ship and return unsold of books, the | | | | As with the music industry, the home |
| cost of the actual print was, although higher than | | | | entertainment has also been through the mill with |
| the bulk as an immediate cost, it actually would | | | | a number of format wars over the past decade, |
| take a run of around 750 copies to get the | | | | when DVD burst onto the scene and the cost of |
| offset printing cost per book down to the | | | | the consumer home units reached prices that the |
| print-on-demand cost. Here's where the | | | | masses could afford, so the demand for DVD |
| print-on-demand and traditional publishing models | | | | rocketed. Sales were through the roof as |
| diverge. There never are "large quantities" | | | | consumers were happy to pay a premium for |
| involved with POD, there are never books to | | | | films they owned and watched on their ropey |
| warehouse or cash to tie up in inventory. Even | | | | VHS player, people proceeded to replenish their |
| more important for a small publisher using a | | | | collections with the pristine picture quality of DVD. |
| service such as Lightning Source or The Book | | | | Then the slump hit, stocks piled up around the |
| Printing Company, there is no shipping cost for | | | | globe and reorders slowed down; the replicators |
| books sold into the distribution channels. | | | | begun to suffer and some had to shut up shop... |
| One company is working on bringing print on | | | | along comes another format war to disrupt both |
| demand to the out of print book market, has a | | | | consumer and manufacturing, the Bluray - |
| collect of 235,000 books, all pre-1923 and plan to | | | | HD-DVD formats paved the way to wastage on |
| more than double that in the coming weeks, | | | | an astronomical scale that again (remember the |
| what's more their innovative scanning methods | | | | DAT tape or the minidisc that consumers |
| and the use of the Cooliris technology allows | | | | invested in only to slip away un-noticed) hit the |
| them to provide a free online viewing, but not | | | | consumers who backed HD-DVD, who would |
| stopping there they also have an Invest In | | | | have known which way it would go, and people |
| Knowledge program that allows you to subsidize | | | | were holding onto their pennies to be safe, thus |
| the cost of digitizing the book in return for 5% of | | | | neither format was moving in any sort of |
| the future books takings. Content providers can | | | | quantity... Was it the inclusion of Bluray into the |
| partner with KirtasBooks and provide their MARC | | | | PS3 that tipped the scales, or was it the sheer |
| records to make them instantly available for sale, | | | | power of the studio's that backed the format? |
| the books are then digitized on demand as well! | | | | With a new format, a decline in sales of the old |
| The decline of music sales | | | | format, new manufacturing models and a |
| Ok so moving from the printed word to the | | | | reduction of orders a new business model needs |
| vibrating sound waves of music, I won't cover | | | | to be formulated to move away from the 1000 |
| the raise and fall of the music industry, Steve | | | | unit order and move towards smaller minimum |
| Knopper did a well enough job of that in his book | | | | quantities.... The studios need to move away from |
| Appetite for Self-Destruction: The Spectacular | | | | the old paradigm of manufacturing and into an on |
| Crash of the Record Industry in the Digital Age | | | | demad one to reduce the cost of production. |
| But the rollercoster ride that saw the music | | | | The future |
| industry change from the large format vinyl | | | | In just 4 examples of consumer facing products |
| printed on stiff board and cassette inlays with | | | | that have been disrupted by the changing times, |
| double sided 18 folded paper, into the era of the | | | | all have had an impact on the pre-media and print |
| CD then onto the digital download has had a | | | | world of manufacturing we see the need for new |
| massive impact on the pre-media industry. Once | | | | business models to handle the changing distribution |
| an industry of double time overtime and over | | | | requirements that fill now just one of the |
| night "must have" campaigns followed by print | | | | consumer engagement output stream. Print On |
| runs into the 100's of thousands, now we see | | | | Demand has never been so relevant to reduce |
| that the distuptive force of the internet and the | | | | the manufacturing costs and allow smaller order |
| raise of broadband speed access as all but | | | | quantities. The increase of personalization will fuel |
| removed the quantity order. It hasn't completely | | | | a new wave of consumer driven products and |
| removed the requirement for the printed copy | | | | manufacturers are able to make the most of |
| that people can buy instore or online, but the | | | | today's technology. Those that struggle to move |
| sales of this format are in a decline and new | | | | forward wont' be left behind, but will suffer from |
| business models need to be found inorder for the | | | | a decline in their consumer support and |
| music companies to maintain this retail channel, no | | | | awareness. |
| longer can they afford to print and replicate 100's | | | | |