Why drupa still matters

Drupa 2024 is only days away. I will attend for seven days. This will be my eighth drupa, after starting in 1990 still as a printing technology student. Attending a drupa has always been a highlight, first in my job in R&D and especially as an analyst and industry expert for digital print technologies.

Me explaining the DICOweb at drupa 2000

There has been some talk about the relevance of trade shows lately. Especially, after the pandemic-induced break and the rise of virtual fairs or presentations. Also, budgets are getting tighter and the audience for print shows, printing companies, is dwindling.

Still, I find that trade shows are important, and even if participants should always question the value of attending, I believe the industry needs a flagship tradeshow like drupa. Here are a couple of reasons why drupa still matters:

  • Print is technology driven. Granted, the business model needs to come first but using technology is still required and does make a difference in capabilities and costs.
  • Online events are not an adequate substitute. Too little chance to ask questions (especially the ones not asked in front of a big audience), limited views on what is presented, and little detail in general. Moreover, virtual presentations are not always that efficient considering the info you get and the time you spend. I covered the virtual drupa in 2021 (here, here, here and here) and while it was entertaining in parts, the content was not that helpful.
  • Print is tactile; hence I want to hold the output of a press/embellishment/finishing device in my hand. Also, a close look at the build of a piece of equipment is telling.
  • Trade shows are networking places. The best information still stems from personal conversations, based on the trust created between persons meeting physically.
  • Open houses are great but they are not as efficient as trade shows. In seven days, I will probably talk to 50 different companies. At an open house (including travel), I spend two days to speak to one company.
  • Traditionally drupa is the one place where suppliers not only share their technology roadmap, they also show prototypes and technology demos. Suppliers get feedback on technologies, customers the insurance that suppliers are investing in new, competitive technologies. Everybody gets an idea of future possibilities and how to build ecosystems around it.
  • The serendipity of trade shows should not be underestimated. We tend to be well informed about the technology areas directly affecting us and vendors will make sure that we get those news. However, print is versatile, full of niches, and changing constantly, so it makes a lot of sense to get inspired and what might be a market to enter in the future or how to use new tech to become more efficient.

The big question is, do exhibitors achieve an ROI? Usually, equipment is not sold anymore directly on the trade show floor. Smaller companies certainly do benefit most, as a trade show is their best platform to showcase their products and services. Bigger companies still benefit from a close customer contact by presenting new tech and their complete portfolio, personal contacts to customers and prospects, and by showing their solutions as part of a partner workflow (or find these partners). If a company is strictly cost driven and doesn’t have new technologies to present, it should not exhibit as the expenses are substantial. At the same customers and potentials should deduct that the company is not investing in new technologies, which will be a concern in the future

For me, there are many reasons why drupa still matters. I believe it is also good for the industry to have that one focal point where everything and everybody converges.  

Booktok – influencing the book market

You might have heard of Booktok, even not being a regular (or at all) on Tiktok. Booktok is influencing the book market and the contributors are the modern book bloggers who reach millions of users with their short videos. The Booktok hashtag is now closing in on 200 billion views. Of course, it is unclear what portion of views ended up in real sales. The general consensus is that Booktok contributed to an uptick in book sales since 2021. Nielsen in the UK did some consumer research and found that the share of Booktok among all sales accounted for 3% of all book revenues in 2022.

Who and how Booktok is used is a bit better researched. According to one study in the UK, 38% of young people rely on Booktok for recommendations ahead of family and friends. At the same time, 68% said Booktok inspired them to read books they wouldn’t have considered otherwise.

Printed flyers remain contested topic

The future of the printed flyer remains a contested topic – definitely in Germany but I am sure in other places as well. Some high-profile retailers recently ditched their printed flyers and supplements, or announced plans to do so. The claim is to be more environmentally friendly and better serve the changing interest of their customers. Proof is missing for both claims. At least on customers usage and preferences some new market research has been completed by the German research institute IFH. The first part has just been published.

Small publishers and traditional media benefitting in 2022

2022 has not been the year many hoped for in the beginning. War in the Ukraine, supply chain issues, and energy price rises did throw a spanner into many plans. The ad market is surely no exception and the high growth expected had to be downgraded in the year-end reviews coming out now. There were some notable exceptions however as small publishers and traditional media were benefitting in the 2022 ad market climate.

Magna, the central planning unit of global advertising behemoth IPG Mediabrands published its year-end outlook a few days ago. It had some surprising findings. According to Magna’s analysis, the top 15 media suppliers’ share of the global ad marketplace actually contracted two percentage points in 2022 to 58% (and this is not just down to Elon Musk wrecking Twitter). Both, the share for the 3 largest advertising media channels as well as the share of the following 12 largest providers declined, although it does not show all in the chart due to rounding. In any case, it is remarkable as it is the first time that the concentration in the ad market paused!

Time to ditch flyers?

In the media and advertising world in Germany the decisions of major supermarket chain Rewe and home improvement store chain Obi that it is time to ditch their flyers made headlines recently. Both are a staple in the post boxes or are distributed as inserts in newspapers or free magazines. Instead, both companies announced that they will be focussing on digital channels in the future.

Both companies cited as main arguments for ditching the flyer environmental concerns. This might be true, although none cared to make a calculation of the environmental impact of replacing print with digital media – nor mentioning that they considered making their print products more environmentally friendly.

The true reasons are likely cutting costs (possibly tied in with the high paper prices) and the belief that customers are better served by digital. It might as well be the perennial urge in retail/marketing to jump on the latest bandwagon.

The catch might be whether customers will follow. The Austrian Post made an interesting end user survey in 2019 on, among other factors, which advertising channels are consulted before making a purchase and which advertising channels are the most amiable (in lack of a better translation of the German word “sympatisch”). Displayed are selected results for the category of groceries.

Effectiveness of advertising
Purchase drive and Likeability of advertising

Flyers, or small catalogues, tick both boxes in being consulted most often and being the most amiable/likable/pleasant – by a wide margin. Digital channels rank much lower, especially on the likeability scale. This is certainly down to the more mundane nature of groceries as most people do not consult the web before buying a pack a bottle of milk. Both companies are not selling high-tech products, rather products of daily living. Flyers are still the easiest and best inspiration in this category, even for younger buyers.  It might be a premature time to ditch flyers.