September,
2007
Primary Research
Web-to-Print
Opportunity in Western Europe
Authors
Adam Peck
Ralf Schlozer
Alex Sumarta
Published by
Production Workflow Solutions Consulting
Services Europe
Prepared for
Canon Europe
© 2007 InfoTrends, Inc.
www.infotrends.com
Abstract
This document provides an overview of
the Web-to-print market opportunity in Western Europe. The data presented
in this report is based on a survey of print service providers across
thirteen Western European countries that was conducted in July 2007.
The survey conducted by InfoTrends and was prepared for Canon Europe.
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Table of Contents
List
of Figures
List
of Tables
Key Findings
About half of all
print service providers expect to have a Web-to-print solution by 2012
which represents a growth of 68%.
This research suggests
that the Web-to-print volumes will grow 264% by 2010 and be worth in
excess of €10.5 billion.
Despite recent increases
in the adoption rate of Web-to-print, the sophistication level remains
low.
Although Web-to-print
is a popular topic in the trade press and on trade show floors, 25%
of respondents indicated that they do not know what Web-to-print means.
Differences in adoption
rates and approaches towards Web-to-print are more significant by company
size classes than by the type of print service provider. The biggest
influence however is the country, confirming the view that e-business
adoption rates depend very much on the country and its
business climate.
In general the Scandinavian
countries and the Netherlands are ahead in the adoption of Web-to-print,
while adoption plans in Germany, Austria and Belgium lag behind.
Print service providers
that have deployed or are planning to deploy Web-to-print reported that
the cost of introduction and the required IT skills are the two most
challenging factors involved in implementing these systems. The third
biggest challenge is customer acceptance.
The majority (60%)
of print service providers view Web-to-print as a method of print job
submission and tracking. Too few see the potential benefits Web-to-print
can bring to their businesses.
Half of the Web-to-print
solutions deployed today were internally developed or customised. The
other half were purchased solely from vendors as licensed software or
hosted solutions. About 8% of the solutions were purchased from vendors
as hosted or ASP solutions.
About half (44.4%)
of today’s Web-to-print solutions do not integrate with any other
internal production or financial management systems.
More than three
quarters (79.6%) of print providers agree that Web-to-print helps expand
their geographical reach – an important factor in a rapidly internationalising
market.
A huge education
gap remains between what print service providers know about Web-to-print
and currently use it for and how they can deploy it to improve efficiency
and customer service.
More
than three quarters (79.9%) of print service providers agree that offering
a Web-to-print solution is an important part of meeting customer requirements.
Those are not planning
to implement a Web-to-print solution cite using alternate job submission
methods, such as e-mail, FTP sites, and digital media as their main
reasons for avoiding
the technology.
Introduction
This following report and research
was commissioned by Canon Europe in the summer of 2007. The rationale
behind the research was to provide both Canon Europe and the industry
with an accurate picture of the current Web-to-print market in Europe
and likely future developments and directions. It’s the first pan-European
study of its kind.
The concept of Web-to-print
really started during the dot-com boom in the late 1990s. During that
time, many e-commerce start-ups with patent-pending technologies and
venture capital backing explained their visions and business models
of e-procurement to the printing industry. The concept of e-procurement
primarily focuses on automating the print procurement process, from
job submission all the way to production, distribution, and billing
with the use of the Internet. This concept represents a major paradigm
shift for the printing industry, as it proposes a new method of streamlining
the often cumbersome communication and ordering processes used by document
owners/print buyers and their print
service providers.
Unfortunately, when the dot-com
bubble burst and venture capitalist funding dried up in 2000 and 2001,
many of these e-commerce start-ups had to close their doors or sell
their technologies to surviving companies. Despite this set-back the
development of Web-to-print has continued. Web-to-print has come a long
way since 2001. InfoTrends estimated the Web-to-print software solution
market in Western Europe at €52 million in 2006, with growth to €99
million by 2010, marking a compound annual growth rate of 17%. We estimated
that at least €4 billion of print services revenues are submitted
through these Web-to-print systems today. These print volumes are expected
to surpass €10.5 billion by 2010.
Web-to-print is a key enabler
of the fundamental business transformation in the printing industry,
as it significantly alters how service providers communicate and deliver
their services. The solution enables providers to conduct business more
efficiently and opens a floodgate of value-added services concerning
e-commerce, collaboration, sales management, and/or customer service.
InfoTrends believes that e-procurement will be more common in the very
near future, and that it will become applicable to the entire print
supply chain as print runs become shorter and just-in-time (JIT) requirements
increase.
Objective
and Methodology
The main objective of this
research was to gain a better understanding of emerging trends and the
adoption of Web-to-print solutions among print service providers in
Western Europe. InfoTrends uses the term “Web-to-print” solution
to refer to an Internet-based application that facilitates commerce,
collaboration, and/or customer service interaction between those who
buy print products and those who sell them.
To achieve this objective,
InfoTrends surveyed print service providers across thirteen Western
European countries via telephone in July 2007. We contacted print service
providers that operate within the following countries: Austria, Belgium,
Denmark, Finland, France, Germany, Italy, the Netherlands, Norway, Spain,
Sweden, Switzerland, and the United Kingdom. A total of 652 respondents
participated, and there were about 50 respondents from each country.
Each respondent was asked a set of standardised questions to ensure
statistical validity and comparability of the results.
Profile of Respondents
When asked to describe their
operation, most respondents identified themselves as general commercial
printers, but a significant number of respondents stated that they were
digital print specialists and quick printers, franchise printers, or
copy shops. The relatively high percentage of digital print specialists
was not surprising. With the growing adoption of digital printing technology,
more and more print service providers are considering themselves to
be digital print specialists, rather than general commercial printers.
While these establishments may have some offset lithographic presses,
most of their revenues are generated from their digital printing and
related services.
Figure
1: Operation Types
In addition, the majority of
respondents (74%) have litho print processes in-house. About 62% of
respondents have colour digital print or copying, and 56% have black
& white digital print or copying capabilities. It is also interesting
to note that about 37% of respondents have both offset lithographic
and digital print/copying devices (colour and black & white).
About 88% of respondents have
less than 100 employees and 52% have less than 20 employees. This mix
is a good indication of the fragmented nature of the Western European
printing industry. Compared to the average size distribution of commercial
printers in Europe, large companies are actually overrepresented in
the survey as 87% of all European printers have less than 20 employees
and only 1.6% of all companies have more than 100 employees. However,
given that larger companies produce a larger
share of all print the size distribution within the survey gives a good
representation of the European printing industry.
Defining Web-to-Print Solutions
As discussed earlier, InfoTrends
uses the term “Web-to-print” solution to refer to an Internet-based
application that facilitates commerce, collaboration, and/or customer
service interaction between those who buy print products and those who
sell them.
The survey responses confirmed
the accuracy of this definition. We asked the survey participants to
indicate what the term “Web-to-print” meant to them. The majority
of respondents (63.5%) agreed that the term primarily refers to the
submission or tracking of a print job over the Internet.
Figure
2: Definitions of Web-to-Print
Nevertheless, about 40% of
the respondents indicated that the term “Web-to-print” has multiple
meanings. Out of the 63.5% of respondents that chose job submission/tracking,
35% also selected e-catalogue print ordering system, 34% also selected
templates for versioning or variable data jobs, 30% also selected remote
soft proofing, and 32% also selected marketing tool. In general respondents
in the Scandinavian countries had the broadest view on Web-to-print
with most respondents choosing several aspects.
It is also interesting to note
that a quarter of respondents indicated that they were unsure of what
Web-to-print meant. This is not surprising, considering the fact that
“Web-to-print” is still a relatively new term in the printing industry.
This is indicative of the need for solution vendors to continue their
efforts toward educating consumers in this area. The share of respondents
not being sure what Web-to-print meant was very high in France, Belgium
and the U.K.
Adoption of Web-to-Print
Considering its relatively
short history and the set-back that occurred in early 2000-2001, Web-to-print
is still in the early adopter phase1. Overall, only one third of all respondents
reported that they had deployed a Web-to-print solution, and another
20% were considering deploying a solution within the next few years,
which would result in a 68% increase in the installation over the next
5 years. The rest of the respondents (50%) unfortunately indicated no
plans to deploy a Web-to-print solution.
Figure
3: Adoption of Web-to-Print in Western
Europe
If we look at the adoption
rates by company size, the larger companies seem to be leading in the
adoption of Web-to-print solutions. About 45% of respondents with 50+
employees have deployed a Web-to-print solution, while another 16% reported
plans to deploy one within the next few years. In contrast, only 25%
of respondents with less than 50 employees have deployed a Web-to-print
solution, and only 21% reported plans to deploy one within the next
few years.
When adoption rates are examined
by company type, digital print specialists and respondents from prepress
service bureaus/marketing communication services have higher adoption
rates than the rest of the respondents, as 39% and 45% of each respective
company type stated that they had deployed a Web-to-print solution.
But even 29% of all commercial printers indicated that they already
have a Web-to-print solution. Much more significant were the differences
in adoption rates by company size. Very small companies with fewer than
5 employees had an adoption rate of less than 7%, while more than 40%
of all companies with 50 employees or more already have a Web-to-print
solution.
When adoption rates are broken
out by country, the Nordic countries and the Netherlands exhibit particularly
high adoption rates, as 50% or more of all respondents from these countries
claimed that they are already using Web-to-print. Germany, Austria,
and Belgium lagged behind, as 68% to 70% of these countries’ respondents
indicated that they do not plan to invest in this technology. In addition,
the adoption rate in the U.K. is lower than expected, as only 20% stated
that they currently have a Web-to-print solution, and another 20% indicated
plans to invest in one. Spain had the lowest adoption rate, as only
10% of respondents reported that they already have Web-to-print, but
34% of the country’s respondents indicated that they have plans to
invest in this technology, one of the highest rates in the survey.
Why
Not Invest?
Respondents without plans to
deploy a Web-to-print solution have been asked a list of reason why
they were not planning to invest in Web-to-print. Most cited alternate
job submission means such as e-mail and FTP or CDs and USB drives as
their reason for avoiding the technology investment. This indicates
that a significant number of print service providers view Web-to-print
technology as just another submission method and may not understand
any benefits beyond job submission, such as increased automation and
efficiency or better service to the customer. About 38% of these non-adopter
respondents indicated that they do not see any benefits of implementing
Web-to-print solutions. The cost of implementation and a lack of IT
skills were cited only as secondary reasons that print providers were
not planning to implement a solution. A higher proportion of small companies
cited cost as a barrier. Customer centric reason rank relatively low
in the list as well with an expected lack of customer acceptance only
being cited by about 20% of all respondents and 24.7% claim to lack
suitable
print applications.
Figure
4: Reasons for Not Investing in Web-to-Print
Implementation of Web-to-Print
Many of the Web-to-print systems
deployed today are home-grown or customised solutions. Of those respondents
that have a Web-to-print solution, 30% stated that their systems were
developed internally, 35% reported that they purchased them from vendors
as licensed software, and 27% indicated that their systems were a combination
of internal and vendor solutions. Interestingly, only 8% stated that
their systems were purchased from vendors as Application Services Providers
(ASP) or hosted solutions. Hosted solutions, or “Software as a Service,”
require the Web-to-print software provider to manage the hardware, software,
and related IT support. Hence, print service providers will pay a modest
up-front set-up fee and monthly subscription fees, as opposed to investing
in full-version licensed software. There seem to be some national differences
in the adoption patterns. Internally developed are quite popular in
Italy and the U.K. with more than half of respondents developing their
own solutions, while in Belgium, Germany and Sweden less than 20% follow
this path. Buying external solutions ranks high in Belgium, France and
the Netherlands, while in Germany 27% of respondents use ASP/hosted
solutions, a much higher rate than the European average. Internally
developed solutions are most popular with quick printers and copy shops,
while digital print specialists and commercial printers mainly buy licensed
software. Combination of internally developed and vendor solutions is
also popular with digital printers.
Regardless of whether a solution
is licensed or hosted, there is an opportunity for Web-to-print software
vendors to convert these home-grown solutions to commercially developed
ones. As requirements for more advanced features/functions evolve, it
will be a challenge for home-grown systems to keep up with those that
are commercially developed. In addition, we expect hosted or ASP solutions
to grow as a method of implementation. Many print service providers
that are considering investing in Web-to-print will find that employing
a hosted solution is a less costly way to start. They can scale according
to the growing customer demand, without requiring a large investment
up-front.
Figure
5: Sources of Web-to-Print Solution
In addition, we asked the survey
respondents to identify the name of the vendor that provided their Web-to-print
solutions. Only 18% of these respondents selected a vendor from the
list we provided, 30% selected “other,” and the remaining 52% could
not identify the name of the vendor. No vendor from our list was named
by more than 4% of all European respondents. These results speak to
a quickly developing but regionalized and fragmented market. Many solutions
exist today, but there is no clear market leader. Regionalisation is
so strong that in some countries no respondent selected a vendor from
the list. It seems that commercial printers stick slightly more to the
main vendors while especially quick printers and copy shops do not know
or are not willing to name the provider of their Web-to-print solution.
Benefits
of Web-to-Print
Today’s document owners and
print buyers expect to have the option to conduct business using Internet-related
tools. This expectation will continue to drive adoption of Web-to-print
solutions by print service providers. The majority of respondents that
have deployed a Web-to-print solution agree that offering Web-to-print
services is an important part of meeting their print customer requirements,
improving customer service, expanding geographic reach, and enabling
revenue growth. Most of them also agree that Web-to-print has helped
them streamline their operations with the use of features such as automated
estimating, job templates, automated file generation, and e-commerce
options.
Interestingly, today’s print
buyers are much more comfortable using Internet tools and accepting
online proofs. Two thirds of the respondents that have deployed a Web-to-print
system indicated that online proofing is an accepted form of proofing
for many of their customers.
Figure
6: Benefits of Web-to-Print
Challenges of Web-to-Print
Respondents that had already
implemented or planned to introduce a Web-to-print service had a slightly
different view than the non-adopters. For these respondents, the two
biggest challenges associated
with implementing a Web-to-print solution were the cost of introduction
and the IT skills related
to implementation.
Over half of the print service
providers indicated that IT skills related to the Internet presented
a challenge when implementing a Web-to-print system. Of those that already
had or planned to implement a system, 55.3% had trained or hired dedicated
IT staff to support digital print and Internet-related activities. Although
printers might not realise it at first, IT support is an important component
in implementing Web-to-print.
In addition, over half (53%)
of the print service providers viewed the cost of implementation as
a road block to employing Web-to-print. As discussed earlier, most vendors
either had an internally developed system, licensed software, or a combination
of the two. A much cheaper and easier alternative to licensed software
or internal development is an ASP solution, yet only 8% of respondents
opted for this type of system. The value propositions for ASP offerings
are lower initial costs, little or no responsibility for maintaining
and supporting the infrastructure, and a usage-based fee. There is a
significant opportunity for growth in ASP implementations in Western
Europe.
Not surprisingly, costs are
the major factor for companies with less than 20 employees, while larger
companies struggle more with linking external and internal workflow
and sales & marketing skills.
Figure
7: Challenges in Implementing Web-to-Print
Another challenge in Web-to-print
lies in lack of integration with other systems. 44.4% of respondents
indicated that their Web-to-print solutions do not integrate with any
other production or financial management system (see Figure 8.) Workflow
software products were most often integrated with Web-to-print solutions,
as 41% of respondents indicated that this was the case. Just under a
third (31.2%) of respondents stated that their Web-to-print solutions
were integrated with accounting systems, 25.9% reported that their solutions
were integrated with management information systems (MIS), and 23.5%
stated that they were integrated with stock control systems. The responses
indicate that there is still a lot of potential to increase automation
and ultimately effectiveness, speed, and quality of service. Again we
could see huge differences in the integration rates within the countries
with Italy and Austria having very high shares of respondents not being
integrated. While respondents in Belgium, Spain and especially in the
U.K. do integrate not only with one, but with several internal systems.
In general, the larger the company, the more frequently the Web-to-print
solution is linked to other systems.
We additionally asked the respondents
whose Web-to-print solutions did not integrate with other internal systems
if they have any integration plans by 2010. Many reported plans to make
the move toward integration nevertheless, with workflow again topping
the list. However a sizeable share (nearly 40%) stated that they have
no plans for attaining any further integration by 2010. Again, more
education is necessary to help print providers realize that Web-to-print
can provide significant benefits in customer service and efficiency.
Figure
8: Web-to-Print Integration with Production or Financial Management
Systems
Volume of Web-to-Print
For the respondents that have
deployed a Web-to-print system, about 14% of their print volume is submitted
through that system today. According to our estimation, this volume
represents at least €4 billion in print services revenues. Based on
the projected growth rate of Web-to-print solutions and the increased
usage of these solutions the total revenue should easily pass €10.5
billion by 2010. Out of this volume, marketing collateral, office stationery,
catalogues, manuals and technical documentation, and direct mail were
the top applications submitted through the system. Almost all users
receive a variety of print applications via their Web-to-print solution.
Figure
9: Application Types Submitted through
Web-to-Print
It is interesting to note that
about 17% of this Web-to-print volume is considered personalised variable
data work. This is higher than the typical share of variable print jobs
at print providers using digital devices, which is in the range of 5-10%.
Nevertheless the volume still leaves some potential to increase that
share.
Print providers were very optimistic
in regard to their future use of Web-to-print services. On average,
respondents expected that 37% of their print volume will come through
the Web-to-print system by 2010. This is more than double the average
volume that is coming through the system today. A sizeable number of
print service providers even reported plans to make Web-to-print their
primary submission tool. More than a quarter of the respondents (27.5%)
that owned a Web-to-print system anticipated that more than half of
their print volume will be submitted through a Web-to-print system by
2010.
Figure
10: Average Print Volume Received over Web-to-Print
Pricing
Model for Web-to-Print Services
It takes time for most print
providers to establish a pricing model for new services. There are a
variety of ways to price Web-to-print services. One third of print providers
reported using order-based fees to charge customers for the use of their
Web-to-print system. Just under one third of respondents stated that
they do not charge their customers to use Web-to-print, but build the
cost of the solution into general overhead. 17.6% of respondents stated
that they administer regular maintenance fees, and 16.4% indicated that
they charge one-time setup fees.
Figure
11: Charging for Web-to-Print Services
Country
Profile: Austria
The adoption of Internet-based
services among printing companies is very much based on the adoption
rate of the Internet and e-commerce in a given country. Europe is a
heterogeneous entity, and the pace of adoption varies accordingly.
Austria’s introduction into
the Internet era was mixed. Rates of broadband penetration were relatively
high in 2003, but recent growth has been slow, and Austria currently
ranks 8th among the countries included in the survey. The
uptake of the Web as a business tool in enterprises is growing, and
reportedly half of the enterprises used the Web to order goods in 2006.
The share of individuals that order products over the Internet has mushroomed
by 187% since 2003, but Austria remains in 8th place regardless.
Table
1: Country Statistics: Austria
Indicator
Value
Rank*
Population
(2005 in millions)
8.2
Broadband
penetration (total population)
16%
8
Enterprises
that have access to the Internet
98%
2
Enterprises
that have ordered over the Internet in the last calendar year
51%
7
Individuals
who ordered goods or services over the Internet in the last 3 months
23%
8
Source: Eurostat – all values
are 2006 except where indicated
* Specifies the rank of Austria
within the group of European countries researched during this study
(Austria, Belgium, Denmark, Finland, France, Germany, Italy, Netherlands,
Norway, Spain, Sweden, U.K.)
The types of companies surveyed
in Austria closely mirrored those that were surveyed in the other European
countries. The adoption rate of Web-to-print in Austria, however, was
somewhat lower than the rank of Austria’s Internet penetration rates
would suggest. Tied with Germany, Austria has the second lowest share
of companies that have invested in Web-to-print, and Austria is tied
with Belgium for having the second highest number of respondents that
are not planning to invest in Web-to-print. Those that do have investment
plans intend to initiate those investments in the more distant future
rather than within the next few months.
Figure
12: Web-to-Print Adoption in Austria
Web-to-print has several meanings
to users. In Austria, like in so many other countries, job submission
is the primary connotation, while 26% of all respondents stated that
they were unsure what Web-to-print meant, which is about the average
rate in Europe. Figure 13 indicates which activities are already provided
or are planned to be provided over the Internet in Austria compared
with the average of all Western European respondents. Users in Austria
feel confident using Web-to-print for basic functions like quotes and
job submission; however, Austrian printers show a much lower interest
in value added features than their European peers.
Figure
13: Activities Conducted over the Internet
– Austria
Given the small portion of
Web-to-print users, this group’s share of jobs submitted via Web-to-print
is relatively high at 15%, due mainly to a few heavy users that responded
to the survey. Growth expectations are high, as printers expected 35%
of all jobs to be conducted via Web-to-print in 2010, which is close
to the percentage of the European mainstream. Today, 35% of all Web-to-print
jobs contain variable data, which points to some heavy variable data
users among the few installations. Internally developed Web-to-print
solutions are most popular, followed closely by purchased software licenses.
ASP/hosted solutions and combinations of purchased and internally developed
software are rare. Few solutions are connected to internal production
systems, and even as far out as 2010, many Austrian printers do not
expect to have their Web-to-print solutions linked up with internal
systems.
Respondents cited numerous
reasons for not planning to invest in Web-to-print technology. They
ranged from viewing Web-to-print solely as a job submission tool (receiving
print jobs via traditional format as e-mail/FTP-sites or via physical
storage media for submission) to a lack of applications and failure
to see any benefits. Cost of implementation also ranked relatively high
in Austria.
Table
2: Top 5 Reasons for Not Investing in Web-to-Print in
Austria
Reason for not planning to invest
% answers
We use
e-mail or an FTP site for print job submission and have no plans to
use a Web interface
50%
Cost of
implementing a Web-to-print solution
32%
We understand
Web-to-print, but do not feel that it would benefit us
29%
Lack of
suitable print applications
26%
We usually
use digital media such as CDs or USB drives for print job submission
24%
Austria has few users of Web-to-print;
however, those that have a solution tend to use it heavily. The actual
adoption rate and future plans for deployment fall far short when compared
to the rest of Europe. It seems that Austrian printers have a very narrow
view of Web-to-print’s capabilities, which is reflected by the reasons
they provided for not planning to invest in this area. Austria is one
of the most cost sensitive countries in the survey, and the cost of
implementation stood out as a significant roadblock to investing in
Web-to-Print. In addition, 75% of printers that have already implemented
Web-to-print view cost as a major challenge. The only factor that presented
more of a challenge than cost was a lack of IT skills. To increase acceptance
and adoption of Web-to-print, Austrian Web-to-print vendors must educate
print service providers about the benefits and applications of Web-to-print
solutions, establish appropriate pricing models for the solutions, and
provide support during the implementation process.
Country Profile: Belgium
The adoption of Internet-based
services among printing companies is very much based on the speed of
adoption of the Internet and e-commerce in a country. Europe is a heterogeneous
entity, and the pace of adoption varies accordingly.
Belgium embraced the Internet
more quickly than other countries when it was first introduced, but
recently, this country’s growth rate has fallen somewhat behind the
growth rates of other countries. Since 2003, this country’s growth
of broadband penetration has been the lowest in Europe, despite the
fact that Belgium had the second highest penetration rate in this area
in 2003. In addition, the uptake of the Internet by individuals for
ordering goods and services has been relatively slow. Despite this hindered
growth, the Internet is widely used in Belgium, as evidenced by the
large share of companies that have access to the Internet.
Table 3: Country Statistics:
Belgium
Indicator
Value
Rank*
Population
(2005, in millions)
10.5
Broadband
penetration (all population)
21%
5
Enterprises
that have access to the Internet
95%
6
Enterprises
that have ordered over the Internet in the last calendar year
44%
8
Individuals
who have ordered goods or services over the Internet in the last 3 months
14%
10
Source: Eurostat – all values
are 2006 except where indicated
* Specifies the rank of Belgium
within the group of European countries researched during this study
(Austria, Belgium, Denmark, Finland, France, Germany, Italy, Netherlands,
Norway, Spain, Sweden, U.K.)
The profiles of companies surveyed
in Belgium closely mirrored that of the average European company. The
share of smaller companies in Belgium, however, is much higher than
the share of small companies in all of Europe, as 64% of the Belgian
respondents had less than 10 employees compared to an average of 31%
for the whole survey population. The high share of smaller companies
impacts the adoption of Web-to-print negatively, and the share of companies
that are not planning to invest is among the highest in Europe. Based
on the answers given by the larger Belgian printers included in the
survey, the total market uptake would be somewhat higher if it were
not for their smaller counterparts; however, the adoption rate remains
somewhat lower than the European average.
Figure 14: Web-to-Print Adoption in
Belgium
Web-to-print has many meanings
to different users. In Belgium, like in so many other countries, job
submission is the primary connotation, while 48% of all respondents
stated that they were unsure what Web-to-print means. This was the highest
rate of any country in the survey. Certain aspects of Web-to-print are
more important than others. Figure 13 indicates which activities are
already provided or planned to be provided over the Internet in the
Belgium compared with the average of all Western European respondents.
Users in Belgium use this technology for quotes and job submission,
while value added aspects regarding databases, personalisation, and
marketing were cited less frequently. The share of companies that actually
offer these services today versus those that plan to in the future is
notably low.
Figure 15: Activities Provided over the Internet
– Belgium
Interestingly, the companies
using Web-to-print are relatively heavy users, and respondents claim
that 21% of all jobs are received via Web-to-print solutions today,
which is among the highest rate in Europe. That share is expected to
increase to 39% by 2010. About 20% of that volume consists of variable
print jobs, which is also above the European average. 50% of Belgian
printers reported that they leverage purchased software. Internally
developed solutions are far less popular, with only 12% indicating use
of this technology. The high level of sophistication of current users
is highlighted by the fact that a relatively high share of printers
in Belgium have linked their Web-to-print solutions to internal production
and management systems.
Reasons cited
for not having plans to invest in Web-to-print technology were numerous.
The most prominent reason in Belgium was not seeing any benefit in using
Web-to-print solutions, closely followed by not believing in the concept
of Web-to-print. Both of these responses garnered much higher shares
among the Belgian respondents than they did for the European average
(see Figure 4 for the European average). A lack of IT skills and suitable
print applications was also cited quite frequently, while acceptance
by customers did not seem to be a problem in Belgium.
Table
4: Top 5 Reasons for Not Investing in Web-to-Print in
Belgium
Reason for no plans to invest
% answers
We understand
Web-to-print, but do not see any benefits for us
59%
We usually
use digital media, such as CD's or USB drives, for print job submission
53%
We do not
believe in the concept of Web-to-print
47%
Lack of
IT skills
47%
Lack of
suitable print applications
44%
The adoption of Web-to-print
in Belgium seems to be split between some advanced users that leverage
Web-to-print to handle a sizable share of jobs and a large group of
print service providers that simply do not see any benefit in employing
Web-to-print. The high share of respondents that are unsure what Web-to-print
means as well as the high number of respondents that see it simply as
a job transmission explains the lower than average adoption rates. Very
few respondents in Belgium realised that Web-to-print encompasses features
for variable data print, remote proofing, and keeping in touch with
the customer. We believe that with more education regarding the benefits
of using Web-to-print, this technology could have a much bigger impact
on the Belgian market.
Country Profile: Denmark
The adoption of Internet-based
services among printing companies is very much based on the adoption
rate of the Internet and e-commerce in a given country. Europe is a
heterogeneous entity, and the pace of adoption varies accordingly.
In relation to Internet penetration
and the uptake of the Web as a business tool, Denmark is among the leading
countries. Denmark also has the highest broadband penetration rate.
In addition, the share of companies and individuals in Denmark that
orders goods via the Internet is high, and the majority of businesses
are already doing this.
Table
5: Country Statistics: Denmark
Indicator
Value
Rank*
Population
(2005 in millions)
5.4
Broadband
penetration (total population)
30%
1
Enterprises
that have access to the Internet
98%
8
Enterprises
that have ordered over the Internet in the last calendar year
59%
2
Individuals
who have ordered goods or services over the Internet in the last 3 months
31%
6
Source: Eurostat – all values
are 2006 except where indicated
* Specifies the rank of Denmark
within the group of European countries researched during this study
(Austria, Belgium, Denmark, Finland, France, Germany, Italy, the Netherlands,
Norway, Spain, Sweden, U.K.)
The companies surveyed in Denmark
closely mirrored the average profile of companies surveyed in the other
European countries, with the exception of the fact that the share of
larger companies (>50 employees) in Denmark was slightly higher.
As expected, the adoption of Internet-based services in the printing
industry in Denmark paralleled the country’s high Internet adoption
rate. Denmark has the highest current penetration of Web-to-print in
Europe according to this survey, although this share might be slightly
overstated due to the higher share of larger companies among the Danish
respondents.
Figure
16: Web-to-Print Adoption in Denmark
Web-to-print has many meanings
to different users. In Denmark, as in so many other countries, job submission
is the primary connotation, although most respondents mentioned at least
one additional feature. Only 12% of all respondents stated that they
were unsure what Web-to-print means. Figure 13 indicates which activities
are already provided or are planned to be provided over the Internet
in Denmark compared with the average of all Western European respondents.
The activities of the Danish users follow the European average quite
closely, but there is more emphasis on value added activities such as
remote proofing, offering templated jobs, and marketing campaigns. There
is also a remarkably high interest in downloading mailing lists.
Figure
17: Activities Provided over the Internet
– Denmark
Danish respondents reported
that an average of 20% of their jobs are submitted through Web-to-print
systems. According to the respondents, that share is expected to double
by 2010; however, the research indicated that only 7% of the current
Web-to-print volume consists of variable print jobs, which is noticeably
below the European average of 17%. The source of the Web-to-print software
is fairly evenly split between purchased, internally developed, or a
combination of purchased and internally developed solutions. ASP/hosted
solutions are used by about 10% of respondents. Typically, printers
in Denmark link their Web-to-print solution with their internal technical
workflow. Integration with accounting, MIS, and stock control systems
is far less widespread, and 34% of all respondents stated that their
Web-to-print solutions do not integrate with any other internal systems.
Companies that are not planning
to invest in Web-to-print make up the minority, but they site numerous
reasons for refraining from investing in this area. The most popular
reason is that they can receive print jobs via traditional format as
e-mail, FTP-sites, or physical storage media for submission instead.
Cost is a factor that also ranks high in Denmark, particularly when
compared to the European average (see Figure 4 for the European average).
There is also a perceived lack of technical workflow skills and the
belief that customers are not interested in Web-based services.
Table
6: Top 5 Reasons for Not Investing in Web-to-Print in
Denmark
Reason for not having plans to invest
% answers
We use
e-mail or an FTP site for print job submission and have no plans to
use a Web interface
75%
Cost of
implementing a Web-to-print solution
58%
We usually
use digital media, such as CD's or USB drives, for print job submission
50%
Lack of
technical workflow skills
33%
Customers
do not accept Web-based services
33%
Denmark has seen a strong uptake
in Web-to-print solutions, and the usage level is above average, although
the volume of variable print submitted using Web-to-print could be increased.
Danish users are quite progressive in using Web-to-print for a variety
of services, as evidenced by the high share of respondents that are
offering or planning to offer value added services via Web-to-print.
The main area where more improvement would be desirable is integrating
the Web-to-print solution with internal systems to exploit the full
efficiency potential. Because the Internet is such an important tool
in the economy, most printers will have a Web-to-print system in the
coming years. Although Web-to-print already has a prominent place in
the Danish printing industry, there is still significant potential for
growth.
Country Profile: Finland
The adoption of Internet-based
services among printing companies is very much based on the speed of
the adoption of the Internet and e-commerce in a country. Europe is
a heterogeneous entity, and the pace of adoption varies accordingly.
Finland is among the leading
countries in regard to Internet penetration and the uptake of the Web
as a business tool. Finland has a high incidence of broadband penetration;
therefore, many businesses have access to the Internet. According to
Eurostat, the share of businesses that ordered goods over the Internet
was lower in 2006 than in 2004 and 2005, although this might be a statistical
artefact. In any case, the acceptance of the Internet as a business
tool in Finland is very high.
Table
7: Country Statistics: Finland
Indicator
Value
Rank*
Population
(2005, in millions)
5.2
Broadband
penetration (all population)
25%
3
Enterprises
that have access to the Internet
99%
1
Enterprises
that have placed orders over the Internet in the last calendar year
56%
5
Individuals
who ordered goods or services over the Internet in the last 3 months
29%
7
Source: Eurostat – all values
are 2006 except where indicated
* Specifies the rank of Finland
within the group of European countries researched during this study
(Austria, Belgium, Denmark, Finland, France, Germany, Italy, the Netherlands,
Norway, Spain, Sweden, U.K.)
The companies that were surveyed
in Finland closely mirrored the average profile of companies surveyed
in the other European countries, with the exception of the fact that
the share of larger companies (>50 employees) was slightly higher.
As is the case in Sweden, the current level of adoption of Internet-based
services in the printing industry in Finland is somewhat lower than
the penetration of the Internet in Finland would lead one to expect.
Nevertheless, Finland has the highest share of companies that are planning
to invest in Web-to-print of any country surveyed.
Figure
18: Web-to-Print Adoption in Finland
Web-to-print has many meanings
to different users. In Finland, like in so many other countries, job
submission is the primary connotation, although most respondents mentioned
at least one other feature in addition. Only 10% of the Finnish respondents
stated that they were unsure what Web-to-print means, which was the
lowest rate in Europe. Figure 13 indicates which activities are already
provided or planned to be provided over the Internet in Finland compared
with the average of all Western European respondents. Finish respondents
show more activity than the European average in all areas. Most notable
is the country’s focus on value added activities like remote proofing,
offering templated jobs, mailing lists, and marketing campaigns.
Figure
19: Activities Provided over the Internet
– Finland
Finish respondents stated that
on average 12% of their jobs are submitted through Web-to-print systems.
This number is expected to triple by 2010; this is evidence of the current
rapid rise in adoption. Reportedly, 13% of the current Web-to-print
volume consists of variable print jobs. Internally developed solutions
are most popular in Finland, follow by purchased software. ASP/hosted
solutions hold a relatively high share of about 18% of respondents.
The degree to which countries are linking Web-to-print to internal production
or management systems is influenced by the high share of companies that
are planning to invest in this technology. Nearly all printers in Finland
expect to have a link to workflow as well as accounting and MIS by 2010.
Companies that are not planning
to invest in Web-to-print are in the minority, but this group presented
numerous reasons not to invest. A very prominent reason in Finland,
and also in other countries (see Figure 4 the European average), was
failure to see any benefit from using Web-to-print solutions or receiving
print jobs via traditional formats via e-mail or FTP-sites, or using
physical storage media for submission instead. The fact that so many
respondents offered this reason illustrates the problem that Web-to-print
is viewed solely as a job submission tool by many. The cost of implementing
a solution also ranks high in Finland when compared to the European
average.
Table
8: Top 5 Reasons for Not Investing in Web-to-Print in
Finland
Reason for not having plans to invest
% answers
We use
e-mail or an FTP site for print job submission and have no plans to
use a Web interface
78%
We understand
Web-to-print, but do not see any benefits for us
56%
We usually
use digital media, such as CD's or USB drives, for print job submission
44%
Cost of
implementing a Web-to-print solution
33%
We accept
all print jobs in analogue format (as films or plates)
28%
Finland has the highest share
of companies that plan to invest in Web-to-print; therefore, in a few
years, it will be one of the leading countries in Europe in terms of
adoption. Finnish users are very progressive in using Web-to-print for
a variety of services, as evidenced by the high share of respondents
that currently offer or plan to offer value added services via Web-to-print.
The integration of Web-to-print solutions with internal systems is not
widespread at this time, but the share of respondents that plan to implement
that linkage is quite high. Linking Web-to-print and internal workflow,
however, was mentioned as one of the top challenges faced by Finnish
printers that have already implemented Web-to-print. Acceptance by the
customer was also very frequently named as a challenge among those that
have implemented Web-to-print. Because the market for Web-to-print in
Finland seems to be in full swing, it will be interesting to see how
Finnish printers meet the challenges that they are sure to face on the
way to successful implementation.
Country Profile: France
The adoption of Internet-based
services among printing companies is very much based on the speed of
adoption of the Internet and e-commerce in a country. Europe is a heterogeneous
entity, and the pace of adoption varies accordingly.
Due to the widespread use of
the minitel system in the 90’s, France had a delayed entrance into
the Internet era, but has been rushing to catch up since then. Since
2003, broadband penetration in France has experienced one of the highest
growth rates in Europe. The Internet market seems to be split. While
the general uptake of the Internet by the majority of individuals and
businesses is quite slow, a sizeable group of intense users exists:
an EITO survey revealed that the average Internet user in France spends
more time online than users in other European countries.
Table
9: Country Statistics: France
Indicator
Value
Rank*
Population
(2005, in millions)
62.7
Broadband
penetration (all population)
18%
7
Enterprises
that have access to the Internet
94%
8
Enterprises
that have placed orders over the Internet in the last calendar year
26%
11
Individuals
who ordered goods or services over the Internet in the last 3 months
19%
9
Source: Eurostat – all values
are 2006 except where indicated
* Specifies the rank of France
within the group of European countries researched during this study
(Austria, Belgium, Denmark, Finland, France, Germany, Italy, the Netherlands,
Norway, Spain, Sweden, U.K.)
There was a higher share of
companies in France that described themselves as “other printer,”
but otherwise the type of companies surveyed in France closely mirrored
those that were surveyed in the other European countries. The adoption
rate of Web-to-print seems to parallel the two approaches to the use
of the Internet in France, as a high share of companies have already
adopted Web-to-print, but half of the respondents indicated that they
have no plans to invest in Web-to-print.
Figure
20: Web-to-Print Adoption in France
Web-to-print has many meanings
to users, but in France there is a sizable group of printers that are
not sure what the term means, as 46% of respondents reported a lack
of clarity in this area. The remainder stated that they view Web-to-print
mainly as a job submission tool, but very few respondents realised that
Web-to-print can refer to more than one feature at the same time. Figure
13 indicates which activities are already provided or are intended to
be provided over the Internet in France compared with the average for
all Western European respondents. France’s profile reflects low levels
of interest and understanding associated with Web-to-print. Users in
France are focused on quotes and job submission, while value added aspects
involving databases, personalisation, and marketing were mentioned less
frequently. Only remote proofing seems to have garnered some interest
in France.
Figure
21: Activities Provided over the Internet
– France
Internet usage in France might
have a low uptake overall, but those that have a Web-to-print solution
are the heaviest users in Europe, as the French respondents claimed
that 39% of all jobs are received via Web-to-print solutions today.
About 26% of that volume consisted of variable print jobs, which is
above the European average of 17%. 52% of French printers indicated
that they use purchased software. French printers lag a bit behind in
integrating their Web-to-print solution with internal production and
managements systems, and only 12% have a direct link to their internal
workflow.
Reasons cited for not planning
to invest in Web-to-print technology were numerous. A very prominent
reason given by respondents from France and other countries (see Figure
4 for the European average) was a failure to see any benefit in using
Web-to-print solutions, driven by a large group of businesses that are
sceptical of Internet services. This reasoning is complemented by the
high shares of respondents that indicated that they use e-mail, FTP-sites,
analogue formats, or physical storage media for submission instead.
Security concerns rank higher in France than in most other countries,
but this is still a
secondary issue.
Table
10: Top 5 Reasons for Not Investing in Web-to-Print in
France
Reason for not having plans to invest
% answers
We usually
use digital media, such as CD's or USB drives, for print job submission
48%
We accept
all print jobs in analogue format (as films or plates)
32%
We use
e-mail or an FTP site for print job submission and have no plans to
use a Web interface
32%
We understand
Web-to-print, but do not see any benefits for us
24%
Security
concerns for Web-based services
16%
The adoption of Web-to-print
in France seems to be split between some quite advanced users with a
high share of jobs handled via Web-to-print and a large group of printers
that simply do not see any benefit in leveraging the technology. Considering
the high share of respondents that are unsure of what Web-to-print means
or that view it simply as a job transmission tool, it seems that the
additional benefits of Web-to-print need to be publicized more. Very
few respondents in France realised that Web-to-print can encompass features
useful for variable data print, remote proofing, and keeping in touch
with the customer. With the levels of growth that are project for the
Internet and Web business tools in the French market, Web-to-print has
the potential to attain substantial growth.
Country Profile: Germany
The adoption of Internet-based
services among printing companies is very much based on the speed of
adoption of the Internet and e-commerce in a country. Europe is a heterogeneous
entity, and the pace of adoption varies accordingly.
Early on, adoption of the Internet
in Germany was mixed. While some areas showed fast growth, there was
notably slower adoption in others. Widespread broadband penetration
only took off recently, as it has grown by 218% since 2003, but Germany
still only ranks 9th among the countries in the survey. Uptake
of the Web as a business tool in enterprises has occurred at a faster
rate, and Germany ranks in the middle in this area. Usage among individuals,
however, has grown relatively quickly, and 38% of all German respondents
reported that they had ordered products via the Internet in the last
3 months.
Table
11: Country Statistics: Germany
Indicator
Value
Rank*
Population
(2005, in millions)
82.5
Broadband
penetration (all population)
15%
9
Enterprises
that have access to the Internet
95%
6
Enterprises
that have ordered over the Internet in the last calendar year
54%
6
Individuals
who have ordered goods or services over the Internet in the last 3 months
38%
3
Source: Eurostat – all values
are 2006 except where indicated
* Specifies the rank of Germany
within the group of European countries researched during this study
(Austria, Belgium, Denmark, Finland, France, Germany, Italy, Netherlands,
Norway, Spain, Sweden, U.K.)
The companies that were surveyed
in Germany closely mirrored the average profile of other European countries
included in the survey. The share of smaller companies in Germany, however,
was higher than that of the average country, as 56% of the German respondents
had less than 10 employees, compared to an average of 31% for all countries
surveyed. The high share of smaller companies impacts the adoption of
Web-to-print negatively, and the share of companies that do not plan
to invest in this area is the highest in Europe. Based on the answers
of the larger German printers in the survey, the total market success
among this group would be somewhat higher, although Germany would still
remain among the slowest countries to adopt Web-to-print in Europe.
Figure
22: Web-to-Print Adoption in Germany
Web-to-print has many meanings
to different users. In Germany, as is the case in so many other countries,
job submission is the primary connotation, however variable data was
cited nearly as often. 22% of all respondents stated that they are unsure
what Web-to-print means; this is about even with the average rate in
Europe. Figure 13 indicates which activities are already provided or
are intended to be provided over the Internet in the Germany compared
with the average of all Western European respondents. Users in Germany
are mainly focused on basic quotes and job submission, but they also
venture into variable
data jobs. German printers show a much lower interest in almost all
value added features than their European peers.
Figure
23: Activities Provided over the Internet
– Germany
German Web-to-print users reported
the lowest rate of jobs (5%) submitted via Web-to-print of any country
surveyed. Even when considering the fact that only a small number of
companies have already implemented a Web-to-print solution, the number
remains very modest. Nevertheless, growth expectations are optimistic,
as printers expect 35% of all jobs to be handled by Web-to-print in
2010, which is close to the European mainstream. Today, 32% of all Web-to-print
jobs contain variable data, which indicates that there are some heavy
variable data users among the few installations. Interestingly, Germany
is the only country in which hosted solutions hold a decent market share,
although purchasing a software licence remains the most popular choice
for German printers.
Numerous reasons were cited
by respondents that do not plan to invest in Web-to-print. The most
prominent reason provided by German respondents was that they receive
print jobs via traditional format as e-mail/FTP-sites, in analogue format,
or through physical storage media for submission instead. This is an
indication that too many printers view Web-to-print solely as a job
submission tool. Other reasons mentioned, such as not seeing any benefit
in using Web-to-print solutions or lacking suitable applications, basically
point in the same direction.
Table
12: Top 5 Reasons for Not Investing in Web-to-Print in
Germany
Reason for no plans to invest
% answers
We use
e-mail or an FTP site for print job submission and have no plans to
use a Web interface
63%
We usually
use digital media, such as CD's or USB drives, for print job submission
51%
We accept
all print jobs in analogue format (as films or plates)
37%
Lack of
suitable print applications
31%
We understand
Web-to-print, but do not see any benefits for us
29%
Currently, there are few users
of Web-to-print in Germany, but knowledge of variable data capabilities
seems to be quite widespread. Nevertheless, the actual adoption rate
and future plans for adoption fall far short of what should be expected.
Few German printers claim not to understand what Web-to-print is, and
the features used and the reasons provided for not investing in Web-to-print
reveal a very narrow view of Web-to-print’s capabilities among this
group. The cost of introduction was cited as the main challenge for
printers that have already implemented Web-to-print. This could be mitigated
by ASP/hosted solutions, which are reasonably popular in Germany. Users
and prospective users, however, project significant growth potential
for Web-to-print. This growth rate will undoubtedly be positively impacted
by the fact that the Web is quickly becoming a widely accepted business
tool in Germany, although many printers might not have realised this.
Country Profile: Italy
The adoption of Internet-based
services among printing companies is very much based on the speed of
adoption of the Internet and e-commerce in a country. Europe is a heterogeneous
entity, and the pace of adoption varies accordingly.
The Internet-based economy
in Italy had a late start, and according to main statistical indicators,
it lags behind other countries in Europe. In particular, private demand
falls short of that of other countries. Nevertheless, Italy is catching
up fast, and its growth rates are among the highest in Europe. The percentage
of enterprises ordering goods over the Internet has increased by 93%
in the last 3 years, and broadband penetration has risen 370% in the
same timeframe.
Table
13: Country Statistics: Italy
Indicator
Value
Rank*
Population
(2005, in millions)
58.6
Broadband
penetration (all population)
13.1%
12
Enterprises
that have access to the Internet
93%
10
Enterprises
that have placed orders over the Internet in the last calendar year
27%
10
Individuals
who ordered goods or services over the Internet in the last 3 months
5%
12
Source: Eurostat – all v