Some Converting Curmudgeon takeaways:
“What is real in digital print for packaging” by Dr. Sean Smith, consultant for Smithers Pira:
- drupa 2016 developments: 50 HP Indigo 20000 flexible-packaging digital presses sold, speeds to 124 fpm; HP Indigo Pack Ready thermal lamination system for flexible packaging on-demand via Karlville Development; CS Flexible Pouches (Birmingham, UK) is largest Xeikon site in Europe; KBA sold five HP 1100S presses for digital corrugated linerboard and post-print.
- Global digital packaging by print volume (A4 equivalents) to climb from 125 billion this year to 225 billion in 2021; 90% of total in labeling; 4% in flexible packaging.
- Why digital hasn’t taken over yet? Complete eco-system is necessary; regulatory concerns; print is a small part of the total conversion process; selling process is different than analog; customers need to understand how to benefit from new capabilities; can be risky.
“How Mondelez incorporates innovation in packaging” by Patrick Poitevin, senior associate
principal scientist, Mondelez International:
- Corporate mantra: “Our dream: Create delicious moments of joy.”
- 2015 revenue of approximately $30 billion; a global snacks powerhouse; products marketed in
- Making continued investments to fuel growth, since 2012, $1.5 billion for new or existing manufacturing sites; North America – one greenfield site, 12 packaging lines; Europe – three brownfields, 15 lines; Eastern Europe/Middle East/Africa – two brownfields, one greenfield, 4 lines; Latin America – one brownfield, five lines; Asia-Pacific – two brownfields, one greenfield, seven lines.
- Oreo® Colorfilled digital packaging promotion drew 11.5 million impressions on Instagram, 25 million on Twitter, 50.6 million on Facebook; 3:54 mins average session duration.
“Customer engagement starts with purpose” by Fran Biderman Gross, president/CEO, Advantages:
- Rather than use a typical wave pattern of customer engagement which drives their interaction with your brand only temporarily, then declines to an original level; brand owners need to use a continuous stream of manipulation to keep the brand constantly in mind.
- The Law of Diffusion of Innovation shows the market for anything is 2.5% Innovators, 13.5% Early Adopters, 34% Early Majority, 34% Late Majority, and 16% Laggards.
“Consumer engagement through smart(er) packaging” by Ryan McManus, senior vp-EVRYTHNG:
- Digital transformation train is a-coming; 22% of the world’s economy was digital in 2015.
- Digital leaders outperform their sector: 26% higher profitability, 12% higher market valuation, and 9% higher revenue creation.
- Coca-Cola & EVRYTHNG cracked the code of consumer engagement for the Euro Cup promotion: 3 billion products in 30 countries and six programs in 2015; higher engagement than other digital media, 10% of total site traffic from product scans of Coke cans with team jerseys on them.
- While there may be 200+ billion tweets per year, there are typically 730 billion product interactions with consumers per year.
“Moving a brand from 80 SKUs to One with In-Line Digital Printing” by Chuck Pemble,
vp-business development-Americas, DataLase:
- Global printed label market (A4 equivalents) to rise from 1 trillion units last year to 1.2 trillion by 2019; $30 billion of market value in 2015 to $42 billion in 2019.
- Broken down by type, the 2019 global label field will be 25% wet-glued labels, 66% pressure-sensitive, 5% sleeves and 3% in-mold labels.
- In 2017, worldwide label printing processes will be 7% digital, up from 1% in 2007. Gravure will decline from 16% in 2007 to 15% next year; letterpress, offset and unprinted categories will remain largely unchanged over the 10-year period.
- In-line digital printing best serves high-technology suitability for 48-hr turnaround to meet 0-2 weeks of market response; hybrid digital printing (preprint & digital) best fits with 2-14 weeks of market response.
- How system works: DataLase-based coatings are applied to substrates using traditional processes; a laser installed in-line at the point of packaging generates a color-change reaction by exposing pigments in the preprinted patch to a laser beam.
- Typical bottled-water brand across Europe: The problem = 12 languages, 12 SKUs; three flavors each,
36 SKUs; 36 QR codes promotion, 72 SKUs; 12 changes of ingredients, 84 SKUs.
- Key benefits of in-line digital printing by laser: uses existing supply-chain assets; has unrivaled
speed-to-market; is inkless at the point of printing.