Three Key Takeaways from NAPCO Research’s Who Buys Wide-Format Printed Display Graphics

NAPCO Research’s 2023 study Who Buys Wide-format Display Graphics: How, from Whom, and Why offers positive news for providers of sign and display graphics, as buyers of these print applications expect spending increases in most product categories. The research study surveyed sign and display graphic buyers and providers to understand investment, purchasing, and demand trends. (Click here to download the report.)

Additional positive signs from the study include:

• Nine in 10 providers of sign and display graphics surveyed expect sales to grow in the next 12 months, and close to half expect the growth to be double-digit.
• Providers of sign and display graphics described nearly all sign and display graphic applications as profitable.

A principal aim of the research study was to determine how well sign and display graphic providers' business strategies align with their customers' buying preferences. The research also addressed buyers' criteria for selecting providers, technology trends (including ordering through online portals), sustainability, and general market trends. Here are three key takeaways from the study:

Takeaway 1: Sign and Display Graphics are Effective Communications

Buyers of sign and display graphics gave these print applications high marks for communicating with audiences, brand building, creating awareness, and supporting marketing (Figure 1). This finding indicates that sign and display graphic products are highly regarded by their purchasers as they effectively meet their diverse needs.

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Takeaway 2: Labor, Profitability, and Costs are Top Challenges

Sign and display graphic providers were presented with various business challenges and asked to rate their influence on their operations (Figure 2). At the top of the list of critical challenges reported are production staff hiring, the rising cost of labor, maintaining profitability, increasing shipping costs, and finding new sources of sales and revenue. Lower down the list of concerns (but still significant) are the availability and cost of materials. Providers seem reasonably confident of meeting customer demands for price and quality — fewer than one quarter (22%) called it a critical challenge. Staying current with technology and operating sustainably are other areas where providers do not believe they are falling short of the mark.

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Takeaway 3: Customers Seek Providers that are Easy to Work With

Purchasers of sign and display graphics have clear criteria in mind for the providers they want to work with. According to buyers, quality stands out as the most essential attribute. Ease of working with the provider and excellence in customer service follow, and all three come ahead of price as critical considerations for selecting providers. In fact, the purchasers attached some degree of importance to every factor they considered. These criteria add to a customer-satisfaction checklist that every provider should fulfill with clients (Figure 3).

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In a different survey question, 97% of buyer respondents report that their sign and display graphic providers understand and deliver what they expected regarding quality — their top requirement for vendor selection. Buyers also indicate that online ordering (75%) and sustainable production (68%) are essential qualifications for providers.

Other Notable Findings

Among other notable findings of the research are the following:

• Sign and display graphics providers report that demand for faster turnaround is increasing the most, with nearly two-thirds of respondents (64%) indicating that the requirement for rapid delivery will increase.
• Better than half (57%) of providers think their customers will expect them to be sources of products and services beyond their core offerings.
• There was also a clear consensus around the demand for more frequent orders, shorter order quantities, and ordering via web-to-print.

The research was based on two surveys: one sent to providers of sign and display graphics and the other to those who either purchase or influence the purchase of sign and display graphics. The full report summarizes the market intelligence gathered by both surveys and includes the following:

• An overview of primary applications purchased and produced, along with wide-format equipment operated.
• Evaluation of sign and display graphics providers’ pivotal business challenges and opportunities.
• A deep dive into buyers’ purchasing and usage trends.

Download the complete research study for a comprehensive understanding of investment, purchasing, and demand trends in the wide-format printing of sign and display graphics.