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US printing industry declining at an annualised rate of 5.5%

Industry Sector

Publishing and Printing

Published

13 August 2012

Author

Matt Bodimeade

Type of News

Market

Over the past five years revenue within the US printing industry has been declining at an annualised rate of 5.5%, and as a whole the industry is set to continue to suffer.

The US printing industry has been forecast to continue this decline over the next five years, al be it at a slower pace, shrinking at an average rate of 1.8% annually to total $72.7 billion in 2017.

One bright note however is that the industry is expected to see a moderate rebound in economic conditions in 2012, leading to a short term revenue boost, gaining 0.5% during 2012 to an estimated $79.6 billion.

The US printing industry is suffering from this decline due to a number of harmful obstacles. Factors such as, consumers increasingly favouring digital alternatives over printed materials, and the printed word proving to be too slow to produce and too costly to distribute, are contributing to the industry's downfall.

Over the past five years, declining sales volumes and downward pressure on unit selling prices have hampered profit margins within the US printing market. Further crippling the industry, printing requires substantial capital investments in new technology to remain competitive, even at times of excess capacity.

Throughout the five years to 2012, the number of firms operating in the industry was expected to fall at an average annual rate of 2.2% to 26,176. The closing down of businesses have caused industry employment to fall at an annual rate of 4.5%, to reach 463,904 employees in 2012.

For more information on the US printing industry, see the latest research: US Printing Industry Report

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