The new era_of_printing_and_publishing

The New Era of Printing & Publishing On Demand

Charlie Corr March 23, 2011

©2011 Mimeo.com, Inc. All Rights Reserved.2

Printing & Publishing


H a r v a r d U n i v e r s i t y

Office of University Publisher


On Demand Printing & Publishing

Production Workflow Solutions Consulting Service


The Great Recession + The Next Wave of Technological Change = STRESS

©2011 Mimeo.com, Inc. All Rights Reserved.

$386$397

$408 $419$430 $441 $425

$391 $389 $389 $390 $392 $394

$0

$50

$100

$150

$200

$250

$300

$350

$400

$450

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

2009-2014 CAGR: FLAT

Source: U.S. Printing and Publishing Market Sizing: 2009-2014, InfoTrends, 2011

• Dramatic impact of 2008-2009 economic recession

• Diminished but positive growth in forecast years

U.S. Printing, Publishing and Related Industries:Historical and Projected Value of Shipments, 2002-2014

10

$ B

illio

ns


U.S. Printing and Publishing Market Forecast 2002-2014CAGR ‘09 to ‘14

$0

$20

$40

$60

$80

$100

$120

$140

$160

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Printing - Flat

Publishing - (6%)

Source: U.S. Printing and Publishing Market Sizing: 2009-2014, InfoTrends, 2011

$ B

illio

ns

11


896

755

680

700

720

740

760

780

800

820

840

860

880

900

920

Jan-08 Jan-11

(000

's)

14

U.S. Publishing Employment (Excluding Internet)

16% Loss


Global Advertising Spending by Medium

39%

23%

12%10%

8% 7%

1%

41%

18% 18%

8%7% 7%

1%0%

10%

20%

30%

40%

50%2009

2013

Source: ZenithOptimedia


Number of U.S. Commercial Printing Establishments’09 to ’15 CAGR -10.5%

0

10,000

20,000

30,000

40,000

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

# of

Est

ablis

men

ts

Year

Source: US Dep’t of Commerce, BLS County Business Patterns

16


» The economy is recovering

» Global literacy is on the rise

» There is increasing demand for content

» Even in declining markets, growth opportunities exist for those who gain share through innovation & acquisition

Good News!


Global Retail Value of Production Digital Printing

$0

$30,000

$60,000

$90,000

$120,000

$150,000

2010 2011 2012 2013

Mill

ions

$

Year

B&W - 3%

Color 12%

Source: InfoTrends

CAGR

Total 10%

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US Digital Color Page Volume Growth (CAGR 2009 to 2014)

Source: InfoTrends

General Office

- Business Cards- CAD/Rendering- General Office- Presentations- Proposals- Reports

10%

Promotional

- Brochures- Catalogs- Direct Mail- Inserts- Coupons- Posters- Banners- Signage

31%

Publishing

- Books- Greeting Cards- Directories- Magazines- Manuals- Newspapers

31%

Transactions

- Bills- Statements- Checks- Tickets- Data-driven

Reports

20%Packaging

- Folding Cartons- Flexible

Packaging- Labels- Prototypes

20%

Utility

- Identity Cards- Forms

10%

Consumer

- Fine Art- Photo-related

23%

Application Family Application

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» Web2Print» Cloud» Localization/Customization

› ESPN local, Digital Newspapers

Ride Growth Waves


Encumbered by Our History

» Printing› Woodblock printing in 200, Printing

press in 1454

» Printing is a process for producing text and images often carried out as a manufacturing process and an essential part of publishing

» Publishing› Dates to 1580

» Publishing is the business or profession of the commercial production and issuance of literature, information, music, etc.

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Practices that worked!


Economic Models and Digital Conversion

Economic Model SponsoredHybrid

Sponsored/ Subscriber

Subscriber PaidHybrid

Subscriber/ Advertiser

Advertiser Paid

Representative Products

Reports Journal Books Traditional Newspapers Free Newspapers

Manuals Reprints Magazine

Research

Economic Driver Cost Cost Revenue Revenue Revenue

Cost to Deliver Low Low High Very High High

Reliance on Physical Distribution Low Medium High Very High High

Conversion to View Only Fast Medium Slow Slow Medium


» How do we monetize our efforts?» What do buyers value?» What is within our control?

Economic Models

iPad App price $17.29/month

iPad App price Free


» Publishing to multiple platforms without new revenue, only reduces economic viability› The clear lesson of Electronic Bill Presentment› 1/3 of US Households lack broadband Internet Access› 17% of Mobile Device owners have a Smartphone

» Applying known models to new opportunities has a higher chance of success› Why does the Boston Globe on-line monetize only subscriptions?

Lessons Learned


» Annual productivity improvements of about 5%› A task that takes an hour today

would take 49 minutes in five years and 38 minutes in 10 years

Pursue “Super Efficiency” with a Vengeance

Business Processes

Suppliers Customers

Production Processes

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» Customized Planners for Schools in UK

» Extended geographically to Germany

» Extended product line to include Yearbooks, Rewards and Praise Systems and Prospectuses

» Purchased by CLE, a digital PSP


Mimeo

TECHNOLOGYMimeo.com

PAAS*

TECHNOLOGYMimeo.com

PAAS*

QUALITYAll content printed as intended

99.7% Flawless Delivery

QUALITYAll content printed as intended

99.7% Flawless Delivery

EASE OF USEEasy enough for

self serve Powerful enough

for Enterprise Inaugural & 2010

Web2Awards Winner

EASE OF USEEasy enough for

self serve Powerful enough

for Enterprise Inaugural & 2010

Web2Awards Winner

CUSTOMER DELIGHT

NPS Score in the 70’s

75% Retention

CUSTOMER DELIGHT

NPS Score in the 70’s

75% Retention

AUTOMATIONWeb Favors Centralized Production In by 10pm

Delivered as early as 8am

AUTOMATIONWeb Favors Centralized Production In by 10pm

Delivered as early as 8am

* PAAS – Printing as a Service


» An Amazon-like Web site to distribute/publish print and related material tied to Mimeo.com document creation and fulfillment

MarketPlace Success


» Jonathan Bartlett, The Founder and Product Manager of MarketPlace

MarketPlace


» Publishing is Down

» Printing is Flat

» Fewer Players Managing More Customers

» The Pace is Quickening

= BIG CHALLENGES

What We’ve Discussed…


Where Have the Magazines Gone?


You, You, You.


D.I.Y.


The Right Tools


Better…

Faster…

Stronger Cheaper…

Self-Publishing =


The right tools for self-administration


Simple. Fast. Easy.


Accessible and Easily Understandable


No Print Discussion with Order Placers


Print = Revenue Generator


Scribd.


Cloud Platform Printing


Strategies for Achieving MegaGrowth

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Strategies for Creating Sustainable Value

» Borrow Brilliance› Emulate top performers› Closely & quickly follow your

main competitor› Pay close attention to the market› Execute flawlessly

» Innovate› Typically a top down strategy› A willingness to fail› Perseverance› Understanding value

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» Put together the best team› Cost no more than 25% of average › Top performers exceed the performance of average workers by 300%, if not higher, it

can be 10 times › Focus on hiring and retaining top performers and quickly get rid of the rest› Invest in recruiting, mentoring and keeping talent

Winning Strategies to Create Value


» Highest payroll» Highest valuation of any baseball team» 27 World Series championships (26%) and 40 American League Pennants

Winning Strategies to Create Value

Only one team has won a higher percentage of championships


“There's plenty of money out there. They print more every day.”

- George from Charlie and the Chocolate Factory

Good Ideas Will be Funded

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» What is your unique value proposition?» What is your consolidation play?

› Eat or be eaten» What is your web/cloud strategy?» Geographic expansion?» How do you reduce costs?» How do you expand product & services?

› What waves do you ride?» What are your technology investments?

Charting Your Course


» Email: [email protected] [email protected]» Tweet: @CharlesCorr

Recommended Reading: THE PURITAN GIFT, RECLAIMING THE AMERICAN DREAM AMIDST GLOBAL FINANCIAL CHAOS, by Kenneth Hopper and William Hopper

THE STRATEGY AND TACTICS OF PRICING, by T. Nagle, J. Hogan and J. Zale

THANK YOU!

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