Hagop Tchamkertenian will present on the printing industry profile, challenges, and outlook. He will discuss how the printing industry is in transition from mass production to personalization and facing challenges from digital technologies. However, printing remains economically significant as the 4th largest manufacturing employer in Australia. The Printing Industries Association of Australia represents over 1,400 companies and is working to address issues like skills development, cost reductions, and sustainability to help the industry consolidate and evolve into a solutions provider within the multimedia landscape.

1. Presenter: Hagop Tchamkertenian
Title: National Manager for Policy & Government Affairs
Organisation: Printing Industries Association of Australia
Topic: Printing industry profile, challenges & outlook
National Conference
Coming of Age
16-17 May 2012, Crown Conference Centre, Melbourne

2. 19th
National Conference, Melbourne 2012
Coming of Age
Association background:
 The Printing Industries Association of Australia
(Printing Industries) is the peak advocate and support
organisation for companies operating in the paper,
print, packaging and visual communication industry in
Australia
 The history of the Association dates from the 1880's as
individual state bodies that later amalgamated to form
a national organisation in 1924.
 The Association has a diverse national membership
representing some 1,400 companies
Printing industry profile,
challenges and prospects

3. 19th
National Conference, Melbourne 2012
Coming of Age
 Print is very pervasive
 Have you ever imagined a world without print?
 Common printed items – newspapers, books,
magazines, greeting cards, labels, signage,
outdoor display, brochures, leaflets, posters,
print packaging, currency, stamps, security
products, etc, etc, etc,
 But print is also present in circuit boards, QR
codes, RFID tags,
Printing industry profile,
challenges and prospects

4. 19th
National Conference, Melbourne 2012
Coming of Age
 Traditional printing processes are being
supplemented by new ones – digital printing,
3-D printing, functional printing, nano-printing
Printing industry profile,
challenges and prospects

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National Conference, Melbourne 2012
Coming of Age
 Print is a hybrid industry displaying
characteristics of both manufacturing and
services
 Over the past decade the service component
has grown in importance
 The industry value chain is a broad one
encompassing paper, printing, publishing and
distribution/logistics
Printing industry profile,
challenges and prospects

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National Conference, Melbourne 2012
Coming of Age
 Despite being an industry in transition, the
industry value chain remains economically
significant
 4rth largest manufacturing employer
Printing industry profile,
challenges and prospects

7. 19th
National Conference, Melbourne 2012
Coming of Age
Indicator Value
Employment 120,000
Turnover $M 32,160
Value added $M 13,758
Capital expenditure $M 1,726
Number of businesses 11,112
Exports $M 1,540
Imports $M 4,758
Printing industry profile,
challenges and prospects
• Paper, print, publishing industry value chain
industry demographics

8. 19th
National Conference, Melbourne 2012
Coming of Age
Printing industry profile,
challenges and prospects
Recent Economic Performance - Printing
Indicator 2006 2011 % change
Sales $M 9,865 8,153 -17.4%
Gross value added $M 4,936 4,098 -17.0%
New investment $M 399 256 -35.8%
Employment 42,000 38,460 -8.4%
Number of businesses 7,923 6,822 -13.9%

9. 19th
National Conference, Melbourne 2012
Coming of Age
Printing industry profile,
challenges and prospects
Critical issues facing the industry
• Industry in transition, movement from
economies of scale to scope, from mass
production to small scale personalisation,
e-media impact
• Misalignment of installed capacity and demand
• Competitive landscape – internal, alternative
media and imports

10. 19th
National Conference, Melbourne 2012
Coming of Age
Printing industry profile,
challenges and prospects
Critical issues facing the industry
• Business management – SMEs mindset
• Succession planning
• Access to finance and cash flow management
• Industry perceptions
• Environmental sustainability

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National Conference, Melbourne 2012
Coming of Age
Printing industry profile,
challenges and prospects
Areas the Association is working on
• Promoting the concept of print as an integral
part of the communications channel
• Increased evidence that of strong synergies
between print and alternative or e-media
• Addressing industry misconceptions –
establishment of Two-Side Australia
• Looking at future industry skills sets to ensure
industry participants invest in the skills of the
future

12. 19th
National Conference, Melbourne 2012
Coming of Age
Printing industry profile,
challenges and prospects
Areas the Association is working on
• Reducing business operating costs by
introducing group purchasing schemes – such as
power
• Addressing commercial sustainability issues by
emphasising proper estimating and costing
processes
• Encouraging businesses to become more lean
and environmentally sustainable – benefits to
the bottom line

13. 19th
National Conference, Melbourne 2012
Coming of Age
Printing industry profile,
challenges and prospects
Areas the Association is working on
• Informing about emerging trends and new
commercial opportunities
• Working with the Government to implement an
industry transition process/model that will
encourage further industry consolidation and
rationalisation
• Looking at the issue of increased
competitiveness through a focus on business
innovation – engagement of Hargraves Institute

14. 19th
National Conference, Melbourne 2012
Coming of Age
Printing industry profile,
challenges and prospects
Industry outlook
• Ongoing consolidation
• Likely that more industry iconic companies
will be placed in administration
• Large segments of the industry are
considered mature. Expected to grow at best
by 1-2 per cent
• Penetration of digital technologies to
accelerate

15. 19th
National Conference, Melbourne 2012
Coming of Age
Printing industry profile,
challenges and prospects
Industry outlook
• Traditional printing businesses moving into
digital space. Danger of commoditising this
segment
• Print volumes will continue to shrink due to
adoption of digital processes and as it competes
with alternative media
• Emphasis more on value added and solutions
based activity
• Lower volume but higher margins

16. 19th
National Conference, Melbourne 2012
Coming of Age
Printing industry profile,
challenges and prospects
Industry outlook
• Will continue evolving and becoming part of
the multi-media channel environment
• By 2020, most printing businesses will operate
as communication and multi-media providers
• Increasing trends towards hub production
facilities
• Increased strategic alliances – invest in new
technologies, enhance capabilities
• Web to print platforms

17. 19th
National Conference, Melbourne 2012
Coming of Age
Printing industry profile,
challenges and prospects
Industry outlook
•
Source: Young’s Communications
Social
media
3D
Printing
Functional
Printing

18. 19th
National Conference, Melbourne 2012
Coming of Age
Printing industry profile,
challenges and prospects
Thank you……