Country Report: Japan

Transcription

1 Country Report: Japan current status of Japanese printing industries General Mgr, International Relations Kunio Ishibashi

2 GDP (Trillion Yen) Printing (Billion Yen) Trend of GDP and Print Volume 600 GDP and Printing Volume Year GDP(T Yen) Printing(B Yen) $6T $69B Exchange rate $1.00=Yen 90

3 Printing Industry Position among Manufacturing Industries Number of Companies Number of Employee (1000 people) Printing, % Printing, % Entire Manufacturing, Entire Manufacturing, 8164 Shipment Value (Trillion Yen) Printing, % Added Value (Trillion Yen) Printing, % Source: Industry Statistics 2010 Entire Manufacturing, 267 Entire Manufacturing, 80.3

4 Market Segments Market Segment Amount (B Yen) % Commercial Printing Publication Printing Packaging Forms & Data Print Building & Decorative Security Printing Others Total Note: Figures based on companies with more than 100 employees. Year 2011 Status of major business segments - Commercial Printing is the largest business segment which can be affected by advertisement budget. - Publication has been facing with impact of internet and mobile. - Package printing has been increasing in volume in spite of shrinkage in most of other printing segments. - Business Forms has been decreasing but increase of data print services for statement, invoice, direct mail etc. have helped the growth of this market. But data print service is finally started to saturate.

5 Advertisement Market Media Advertisement expense(billion Yen) US$ Million Comparison Comparison / /2006 Total Advertisement expense % 82.3% 4 Major Media % 73.7% Newspaper % 60.0% Magazines % 53.2% Radio % 71.5% TV % 85.5% Satellite TV % 163.8% Internet % 167.1% Promotion Media % 77.2% Outdoor Ad % 73.1% Transportation % 74.8% Newspaper Insert % 76.0% DM % 90.6% Free paper % 76.0% POP % 99.3% Tel Directory % 50.5% Exhibition etc % 69.6%

6 Amount (Billion Yen) Book & Magazine Shipment 2500 Book & Magazine Shipment Year book magazine total $9.11B $19.93B $20.04B

7 Value (B Yen) Export & Import of Printing Export & Import Export Import Year Printing is very domestic oriented business in Japan. Export of 2011 is 37.8B Yen($420M) and Import is 96.4B Yen($1,071M) which are 0.6% and 1.5% of entire Japanese printing industry volume.

8 Recent Trends in Japanese Printing Industries Increase of W2P service Current estimate is approx 50B Yen($556M) Some estimate the market to grow to 200B 300B Yen ($2.2B-3.3B) market in future. Customer of W2P is not always consumer or end users. Some printing company is using W2P service of other printer to handle their small qty jobs. A lot of effort is made to establish e-book infrastructures Current number of e-book title is still around 100K. A consortium organization called Digital Publishing Initiative Japan was established in 2012 to facilitate the issuance of 1M e-book titles by The consortium is supported by major publishers as well as major printing companies and a government fund. In addition to many smart phones and tablet PC, Amazon released Kindle in Japan, Rakuten released Kobo and Toppan Printing released its own e-reader Rideo in EPub3, which can support vertical text writing necessary for Japanese text, seems to be main format in future. In spite of these efforts and progress, e-book market has decreased a little from 2010 to 2011, from 65 T Yen($722M) to 62.9 T Yen($699M).

9 Digital Printing Market Status in Japan

10 1. Digital Printing Business Volume in Japan (est) 2012(est) Billion Yen $2.94B Printing (B Yen) NA NA % of digital 3.6% 4.0% 4.4% 4.1% NA NA 10

11 Number of Digital Press 2. Number of Digital Press B/W Color Est 2010 Fcst 2011 Fcst 2012 Fcast (Data :Yano Economic Research Institutes)

12 3. Trend of Digital Printing Market in Japan In spite of the number of digital press increasing, the sales volume remain rather flat. Ratio of digital vs total printing market is approx 4% in Japan(12% for USA) Transaction Printing(Data Print Services) Largest business segment for digital printing Shift from monochrome to more color printing Due to increase of web-base statement, the volume of transaction printing is getting saturated Commercial Printing Due to fierce price competition among offset printers and also newer press being more efficient in small batch, use of digital press tends to be a job with less than pcs. Commercial printing jobs for such small qty is rather limited so that the entire volume for digital press jobs is not so significant. Publication Printing Except for photobook, there is not so much demand for very small qty books. Kodansya(one of the largest publisher) acquired HP T-series inkjet press. This will be an experiment to see the viability of small qty on-demand book printing. Package, Seal & Label Printing Digital press has been used for sample production as well as for small qty job. Expect more usage of digital press in future. 12

13 4-1.Result of JFPI Digital Press Survey Conducted survey in Send questionnaires to 631 selected member printing companies and received reply from 180 companies. 180 respondents represent total business volume of Yen335B ($3.7B) and the business volume for digital printing represent Yen 28.1B ($312M) which is 8.4% of their business. Printing Market by Type Ancillary service(front end) 2% Ancillary service(back end) 3% Conventional Printing 87% Digital 8% Inkjet 7% Toner 1% 13

14 4-2. Digital Press Market by Business Segment Seal & Label 2% Speciality 2% Large Format 1% Photo Album 1% Book Ondemand 1% Form Printing 1% Commercial Printing 6% Hybrid Printing 6% Data Printing 80%

15 4-3. Types & Profitability Status of Digital Press Type of Digital Press Color 57% B/W 43% Profitablity of Digital Press Breakeven 35% Profitable 32% Unprofitable 33% 15

16 Monthly Production Volume Monthly Production Volume 4-4. Monthly Production Volume Monthly Production Volume (B/W) 3-6M 1-3M 500K-1M K K K 10-50K 5-10K 1-5K 1K or less Number of respondants Monthly Production Volume (Color) 3-6M 1-3M 500K-1M K K K 10-50K 5-10K 1-5K 1K or less Number of Respondants 16

17 4-5. What is needed in digital printing Implement Hybrid production workflow 4% Improve print quality 4% Secure IT partner 5% Auto production planning 7% Higher efficiency(operate more than 3 press by one operator) 2% Implement small qty production 17% Reduce running cost 17% Multi-skill operator 8% Auto data preparation 8% VDP output capability 8% Retain IT skill & education 11% Hybrid printing 9% 17

18 4-6. JFPI Digital Press Survey Summary & Comments Survey result indicated ratio for digital printing as 8.4% which is higher than industry standard of 4%. From business segment, 80% is for data print service (transaction) and followed by commercial printing and hybrid printing(both 6%). Only 1/3 is profitable in digital printing. Nearly half of equipments are underutilized with only 1,000 or less print per month. Require specific business model for success in digital printing. In order to utilize the feature of digital press, you will required to have both frontend and back-end processes internally. This may be burden for some smaller printers. Require too frequent maintenance. Expect more maintenance-free features and higher durability in digital press. In order to utilize variable data function, knowledgeable staff is required. Equipment and consumable cost to be reduced. Require high level of solution proposal skill. Registration accuracy, limitation in post-process and paper selection. Digital press helps to expand business opportunity in seal/label segment but small qty job market is still rather limited niche and when it comes to large volume, cost become issue. 18

19 Thank you very much for listening. (JFPI) Shintomi-cho , Chuo-ku, Tokyo , Japan Tel: +81-(0) Fax: +81-(0) JFPI was established in June 1985 to join the force of 10 printing associations established according to their different business segments. Member of these 10 associations are 9,270 companies as of June Our aim is promote the activation of business for printing industries as well as to foster a culture which printing has been nurtured.