Consumer gift card and voucher sales up 4.6%
Consumer gift card and voucher sales in the first quarter of 2013 grew by 4.6% year-on-year, new figures from the UK Gift Card & Voucher Association (UKGCVA) reveal. “Over 4% growth across the industry is a very strong performance given the instability of the wider retail market,” said Andrew Johnson, director-general of the UKGCVA, the trade body that represents the £4.7bn gift voucher, cards and stored value solutions industry. “It’s encouraging to see evidence that consumer confidence in vouchers so far seems to be relatively unaffected by fall-out from high street administrations and issues around voucher redemption. Many consumers still turned to vouchers as a gift option in the run up to Easter.” The report, compiled independently by Ernst & Young, showed that strong growth was seen across a variety of consumer gift card sales. Traditional paper and e-vouchers enjoyed “staggering growth” of almost 20% whilst restricted loop gift cards showed the highest growth of 35%, according to the figures. Sherwood Press chief executive Jeremy Bacon said: “This is a growth market; there’s no doubt about it. It’s an important part of our business and we work with clients who supply most of the major retailers. “One of the drivers for retailers is the amount of gift cards that are not redeemed – it’s a very high-margin product for retailers. It’s surprising how few cards are redeemed. Retailers are giving them more space in store. Bacon said he believed the figures also reflected a huge amount of innovation. “Though online is a threat to all forms of print, if you are looking at traditional litho print on paper, there are so many value-added finishes such as foils and glitter, which make the product more attractive,” he explained. Windles Group senior manager Michelle Mills said: “Some of this increased growth will no doubt be on-line with e-vouchers. But gift cards are becoming more popular. Consumers have less to spend these days, so the concept of getting more for less through vouchers is huge. “We don’t foresee any decline in demand for printed gift cards and vouchers. On the contrary we’ve enjoyed manufacturing higher volumes. People like to touch and feel things, especially gifts. They enjoy receiving something physical and tactile. Mills said the company was using innovative finishing techniques such as foiling and deep textured varnish. She added: “This is an area we create more value on printed material at relatively low cost.” Johnson said the association did not currently collate data on digital sales but would be starting from the second quarter of this year. Members were reporting increases in digital, which was still very much in its infancy, he said. “Few high-street retailers have yet to incorporate digital into their gift card and voucher strategy. We expect to see a handful of digital launches for this Christmas with the pace increasing in 2014. “It is unlikely Christmas 2013 or 2014 will be a digital Christmas but 2015 could pan out to be an interesting mix of paper, plastic and digital. The long-term view is that plastic will dominate with paper dwindling and digital increasing,” he added....
read moreConsumer gift card and voucher sales up 4.6%
Consumer gift card and voucher sales in the first quarter of 2013 grew by 4.6% year-on-year, new figures from the UK Gift Card & Voucher Association (UKGCVA) reveal. “Over 4% growth across the industry is a very strong performance given the instability of the wider retail market,” said Andrew Johnson, director-general of the UKGCVA, the trade body that represents the £4.7bn gift voucher, cards and stored value solutions industry. “It’s encouraging to see evidence that consumer confidence in vouchers so far seems to be relatively unaffected by fall-out from high street administrations and issues around voucher redemption. Many consumers still turned to vouchers as a gift option in the run up to Easter.” The report, compiled independently by Ernst & Young, showed that strong growth was seen across a variety of consumer gift card sales. Traditional paper and e-vouchers enjoyed “staggering growth” of almost 20% whilst restricted loop gift cards showed the highest growth of 35%, according to the figures. Sherwood Press chief executive Jeremy Bacon said: “This is a growth market; there’s no doubt about it. It’s an important part of our business and we work with clients who supply most of the major retailers. “One of the drivers for retailers is the amount of gift cards that are not redeemed – it’s a very high-margin product for retailers. It’s surprising how few cards are redeemed. Retailers are giving them more space in store. Bacon said he believed the figures also reflected a huge amount of innovation. “Though online is a threat to all forms of print, if you are looking at traditional litho print on paper, there are so many value-added finishes such as foils and glitter, which make the product more attractive,” he explained. Windles Group senior manager Michelle Mills said: “Some of this increased growth will no doubt be on-line with e-vouchers. But gift cards are becoming more popular. Consumers have less to spend these days, so the concept of getting more for less through vouchers is huge. “We don’t foresee any decline in demand for printed gift cards and vouchers. On the contrary we’ve enjoyed manufacturing higher volumes. People like to touch and feel things, especially gifts. They enjoy receiving something physical and tactile. Mills said the company was using innovative finishing techniques such as foiling and deep textured varnish. She added: “This is an area we create more value on printed material at relatively low cost.” Johnson said the association did not currently collate data on digital sales but would be starting from the second quarter of this year. Members were reporting increases in digital, which was still very much in its infancy, he said. “Few high-street retailers have yet to incorporate digital into their gift card and voucher strategy. We expect to see a handful of digital launches for this Christmas with the pace increasing in 2014. “It is unlikely Christmas 2013 or 2014 will be a digital Christmas but 2015 could pan out to be an interesting mix of paper, plastic and digital. The long-term view is that plastic will dominate with paper dwindling and digital increasing,” he added....
read moreMesse Dusseldorf expands Drupa committee
New companies that will be represented on the committee for Drupa 2016 are EFI, HP, Technotrans, Manroland Web Systems, Bielomatic, Leonhard Kurz Stiftung and Baumann Maschinenbau bringing the total number of organisations on the committee to 26. The committee is made up of exhibitors from different print sectors, including equipment manufacturers, prepress developers and consumables suppliers, as well as a number of “media service providers’. In recent years Drupa organisers have come under increasing pressure from the industry to recognise the changing face of print and to include representatives from the digital arena as well as those from traditional platforms. Chief executive of Messe Dusseldorf Werner Matthias Dornscheidt said the decision reflected developments in the printing and media industry including “the growing significance of digital printing with the resulting demands on post-press operations, continually increasing automation across all process stages and the mega trends of value-added printing and packaging”. Worldwide marketing director for Hewlett-Packard Company Francois Martin, who will sit on the committee, said in 2008 it had become obvious to the Drupa committee that things needed to change and that digital had a significant place at the event. “2008 was the tipping point when they realised digital could not be ignored and its importance has been increased due to the economic crisis, which has pushed the decline of offset. But it took until 2012 for them to really accept digital as a member of the family.” Martin said that HP would work with the committee to look at approaching aspects of the event in new ways to enhance customer experience and make it more relevant. “We have a lot of ideas on the table, I don’t know what will come of them but I hope we will see things the same way,” he said. “We need to be asking who we should be targeting. Should it be print service providers only, as Drupa has always done, or should it be print buyers and brand owners as well? We also need to focus on what solutions to present and how to present them,” he added. Martin said that with the show attracting an increasingly international audience, another key discussion point needed to be how to build on that. “We need to decide how to work together to attract those from Latin America or Asia Pacific for example and we also need to keep our eye on the length of the show – we pushed hard for the reduction that was announced last year.” “People don’t have to come to Drupa. They can look at equipment online or go to manufacturers’ demo centres. So we really have to make it more relevant to the industry.” Meanwhile a spokesman for EFI, whose vice-president of corporate marketing Frank Tueckmantel, will also sit on the Drupa committee, said: “We appreciate the recognition of our leadership and innovation power from the world’s greatest trade show. “EFI remains the industry’s main driver of the shift from analogue to digital technology. We are proud to continue to invest in end-to-end solutions that help our customers grow their business profitably.” Drupa 2016 takes place from 31 May to 10 June....
read moreMesse Dusseldorf expands Drupa committee
New companies that will be represented on the committee for Drupa 2016 are EFI, HP, Technotrans, Manroland Web Systems, Bielomatic, Leonhard Kurz Stiftung and Baumann Maschinenbau bringing the total number of organisations on the committee to 26. The committee is made up of exhibitors from different print sectors, including equipment manufacturers, prepress developers and consumables suppliers, as well as a number of “media service providers’. In recent years Drupa organisers have come under increasing pressure from the industry to recognise the changing face of print and to include representatives from the digital arena as well as those from traditional platforms. Chief executive of Messe Dusseldorf Werner Matthias Dornscheidt said the decision reflected developments in the printing and media industry including “the growing significance of digital printing with the resulting demands on post-press operations, continually increasing automation across all process stages and the mega trends of value-added printing and packaging”. Worldwide marketing director for Hewlett-Packard Company Francois Martin, who will sit on the committee, said in 2008 it had become obvious to the Drupa committee that things needed to change and that digital had a significant place at the event. “2008 was the tipping point when they realised digital could not be ignored and its importance has been increased due to the economic crisis, which has pushed the decline of offset. But it took until 2012 for them to really accept digital as a member of the family.” Martin said that HP would work with the committee to look at approaching aspects of the event in new ways to enhance customer experience and make it more relevant. “We have a lot of ideas on the table, I don’t know what will come of them but I hope we will see things the same way,” he said. “We need to be asking who we should be targeting. Should it be print service providers only, as Drupa has always done, or should it be print buyers and brand owners as well? We also need to focus on what solutions to present and how to present them,” he added. Martin said that with the show attracting an increasingly international audience, another key discussion point needed to be how to build on that. “We need to decide how to work together to attract those from Latin America or Asia Pacific for example and we also need to keep our eye on the length of the show – we pushed hard for the reduction that was announced last year.” “People don’t have to come to Drupa. They can look at equipment online or go to manufacturers’ demo centres. So we really have to make it more relevant to the industry.” Meanwhile a spokesman for EFI, whose vice-president of corporate marketing Frank Tueckmantel, will also sit on the Drupa committee, said: “We appreciate the recognition of our leadership and innovation power from the world’s greatest trade show. “EFI remains the industry’s main driver of the shift from analogue to digital technology. We are proud to continue to invest in end-to-end solutions that help our customers grow their business profitably.” Drupa 2016 takes place from 31 May to 10 June....
read moreNustream Europe expands offer with IBF and Veramax additions
The Derby-based arm of US print supplier Nustream, is supporting its expansion with a new warehouse, opened in January, enabling it to stock both the portfolio of inks and plates and offer next-day delivery. Nustream is initially concentrating its efforts on supplying IBF’s Million DV plate, which is suitable for customers that require B2 and B3 violet CTP plates. The firm then intends to offer plates for the thermal laser sector later this year. The group has also added Veramax inkjet inks, designed for Epson Stylus Pro machines, to its supply base. These are available in either 220ml cartridges or in bulk formats and are claimed to offer “significant savings” over buying the original products. Nustream claim that the 220ml offers up to 40% savings while the bulk units are said to offer up to 70% savings. Nustream Europe business development manager Colin Taylor, said: “We believe these products offer unrivalled value for money without compromising on quality.” Canadian soft proofing developer and supplier Nustream Graphic made its inroads into the UK market with the formation of Nustream Europe in late 2010. Nustream Europe handles the distribution and development of its Proofstream products, as well as a number of digital presses, CTP, inks and workflows. The group is encouraging users to switch to IBF plates or Veramax inks by offering them 12 months free use of the Proofstream online collaborative proofing software, which it values at more than £1200....
read moreMPG situation still unresolved
It had been expected that administrators would be appointed at the business yesterday (28 May), but no-one had been appointed at the time of writing on Wednesday. Suppliers, employees and customers remain in the dark about what will happen next at the £19.4m turnover business, which employs more than 200 staff. One employee told PrintWeek: “No-one knows what’s going on. Unite the union have been in today, but they can’t do anything for us until an administrator is appointed.” A supplier to the group, who wished to remain anonymous, described the situation as “a great worry”. “We are trying to find out what’s happening. We’re owed a reasonable sum of money as are many people in the industry.” There is understood to be interest in the company’s well-invested King’s Lynn digital printing facility from possible third-party purchasers. Things came to a head at the company last week, apparently because of a cashflow crisis caused by overrunning costs at its new Cambridge facility, set up after MPG took over the former Cambridge University Press in-house print operation. The resulting hiatus has resulted in a huge outpouring of comments on the printweek.com forum, but no statement from the company itself....
read moreNustream Europe expands offer with IBF and Veramax additions
The Derby-based arm of US print supplier Nustream, is supporting its expansion with a new warehouse, opened in January, enabling it to stock both the portfolio of inks and plates and offer next-day delivery. Nustream is initially concentrating its efforts on supplying IBF’s Million DV plate, which is suitable for customers that require B2 and B3 violet CTP plates. The firm then intends to offer plates for the thermal laser sector later this year. The group has also added Veramax inkjet inks, designed for Epson Stylus Pro machines, to its supply base. These are available in either 220ml cartridges or in bulk formats and are claimed to offer “significant savings” over buying the original products. Nustream claim that the 220ml offers up to 40% savings while the bulk units are said to offer up to 70% savings. Nustream Europe business development manager Colin Taylor, said: “We believe these products offer unrivalled value for money without compromising on quality.” Canadian soft proofing developer and supplier Nustream Graphic made its inroads into the UK market with the formation of Nustream Europe in late 2010. Nustream Europe handles the distribution and development of its Proofstream products, as well as a number of digital presses, CTP, inks and workflows. The group is encouraging users to switch to IBF plates or Veramax inks by offering them 12 months free use of the Proofstream online collaborative proofing software, which it values at more than £1200....
read moreMPG situation still unresolved
It had been expected that administrators would be appointed at the business yesterday (28 May), but no-one had been appointed at the time of writing on Wednesday. Suppliers, employees and customers remain in the dark about what will happen next at the £19.4m turnover business, which employs more than 200 staff. One employee told PrintWeek: “No-one knows what’s going on. Unite the union have been in today, but they can’t do anything for us until an administrator is appointed.” A supplier to the group, who wished to remain anonymous, described the situation as “a great worry”. “We are trying to find out what’s happening. We’re owed a reasonable sum of money as are many people in the industry.” There is understood to be interest in the company’s well-invested King’s Lynn digital printing facility from possible third-party purchasers. Things came to a head at the company last week, apparently because of a cashflow crisis caused by overrunning costs at its new Cambridge facility, set up after MPG took over the former Cambridge University Press in-house print operation. The resulting hiatus has resulted in a huge outpouring of comments on the printweek.com forum, but no statement from the company itself....
read moreDe La Rue accelerates cost-cutting programme as revenues fall
The banknote printer pinpointed a decline in trading volumes within its currency business unit, which accounts for a major part of De La Rue’s sales, for the drop from £528.3m the previous year. Basingstoke-based De La Rue has also previously cited additional capacity from other manufacturers, such as Germany’s Giesecke & Devrient and Oberthur in France, for the tougher trading conditions. As a result, the group has accelerated the “improvement plan” it launched in 2011 by increasing its cost-savings target by £10m to £40m for 2013/2014. This plan includes cost reduction measures, such as the consolidation of De La Rue’s Stroudley Road and Dunstable factories into its Westhoughton and Gateshead facilities, which is now complete and generating annual savings of £6m. Tim Cobbold, chief executive of De La Rue said the group delivered an operating profit of £63m “despite a much more challenging banknote paper market”. While underlying pre-tax profits were up 2% during the 12 months to £59.1m, this excludes the £7.6m cost associated with implementing the on-going improvement plan. Cobbold added: “Overall order intake reflected the difficult market conditions and an historically low level of overspill volume available to the commercial producers. “It was also impacted by the previously announced delay to a number of important orders, some of which have since been received.” De La Rue’s latest results come as its contract to print the UK’s banknotes remains in the balance after the Bank of England (BoE) issued a tender notice asking up to five operators to bid for the £1bn contract late last year. The contract, which could potentially run for up to 14 years, will start in April 2015 and sees alternative suppliers bidding to print up to 12bn banknotes at BoE’s Debden, Essex facility. De La Rue also remains blighted by the paper production problems that impacted the group in 2010, resulting in the departure of then chief executive, James Hussey. The group was forced to temporarily suspend aspects of its paper production at its largest plant in Overton, Hampshire, following the discovery of “quality and production irregularities” at the facility. In its latest results, De La Rue said that provisions have been made in previous years for the costs associated with the investigation and production surrounding the issue. However, it said that no provisions had been made for the “potential cost of resolutions or for potential fines from regulatory authorities”. The group added: “The nature and extent of these resolutions will be the subject of ongoing discussions, the outcome of which cannot be estimated reliably at present. “The timing, response and outcome of the consideration by the authorities of the reported findings of the investigation is also uncertain and the financial consequences, if any, cannot be estimated reliably at present.”...
read moreDe La Rue accelerates cost-cutting programme as revenues fall
The banknote printer pinpointed a decline in trading volumes within its currency business unit, which accounts for a major part of De La Rue’s sales, for the drop from £528.3m the previous year. Basingstoke-based De La Rue has also previously cited additional capacity from other manufacturers, such as Germany’s Giesecke & Devrient and Oberthur in France, for the tougher trading conditions. As a result, the group has accelerated the “improvement plan” it launched in 2011 by increasing its cost-savings target by £10m to £40m for 2013/2014. This plan includes cost reduction measures, such as the consolidation of De La Rue’s Stroudley Road and Dunstable factories into its Westhoughton and Gateshead facilities, which is now complete and generating annual savings of £6m. Tim Cobbold, chief executive of De La Rue said the group delivered an operating profit of £63m “despite a much more challenging banknote paper market”. While underlying pre-tax profits were up 2% during the 12 months to £59.1m, this excludes the £7.6m cost associated with implementing the on-going improvement plan. Cobbold added: “Overall order intake reflected the difficult market conditions and an historically low level of overspill volume available to the commercial producers. “It was also impacted by the previously announced delay to a number of important orders, some of which have since been received.” De La Rue’s latest results come as its contract to print the UK’s banknotes remains in the balance after the Bank of England (BoE) issued a tender notice asking up to five operators to bid for the £1bn contract late last year. The contract, which could potentially run for up to 14 years, will start in April 2015 and sees alternative suppliers bidding to print up to 12bn banknotes at BoE’s Debden, Essex facility. De La Rue also remains blighted by the paper production problems that impacted the group in 2010, resulting in the departure of then chief executive, James Hussey. The group was forced to temporarily suspend aspects of its paper production at its largest plant in Overton, Hampshire, following the discovery of “quality and production irregularities” at the facility. In its latest results, De La Rue said that provisions have been made in previous years for the costs associated with the investigation and production surrounding the issue. However, it said that no provisions had been made for the “potential cost of resolutions or for potential fines from regulatory authorities”. The group added: “The nature and extent of these resolutions will be the subject of ongoing discussions, the outcome of which cannot be estimated reliably at present. “The timing, response and outcome of the consideration by the authorities of the reported findings of the investigation is also uncertain and the financial consequences, if any, cannot be estimated reliably at present.”...
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