Big Picture - March 2017 - 28

ink
sp

Why focusing on emerging market sectors and new
applications matters when purchasing ink in 2017.

Printer, media, and ink: The three main

LATEX VERSUS ECO-SOLVENT

components your shop needs to print graphics for a client.
Without them, those printed graphics, whether they're large or
small, on fabric or wood, wouldn't exist. But it's the application
you're offering to your client that determines what type of
printer is needed, which media it should be printed on, and
what ink to use. New trends and developments within the ink
market are now being aimed at enabling new applications and
creating new markets. And, International Data Corporation
(IDC), a global provider of market intelligence, advisory
services, and events for the information technology, telecommunications, and consumer technology markets, expects ink
revenue to grow from $1.33 billion in 2015 to $1.93 billion in
2020. So, will you choose latex or eco-solvent when offering a
banner print? What ink will you buy for your dye sublimation
and packaging projects? What UV and aqueous inks work
best for your wide-format machines? Where does your shop
stand as the ink market continues to change and grow?

$2,000

Within the large-format ink market there are several areas of
transformation, providing some excitement and upheaval. One
of the areas that seems to draw the most interest is the battle
between eco-solvent inkjet ink and latex inkjet ink. These two
technologies are going head-to-head around the world as print
service providers select the best technology for their present
set of applications and for the future of their business. While
latex has a lot of momentum since HP launched the technology in 2008, there is still a large installed base of eco-solvent
printers that serves the signage and graphics markets with
proven production capabilities. Based on the utility of the
technology and the improving speed and image quality
capabilities of every generation of eco-solvent equipment,
IDC does not see the huge installed base of eco-solvent inkjet
printers declining as some might suggest. In fact, IDC believes
that the applications that drive a lot of eco-solvent production
- banners, vehicles wraps, decals, etc. - will continue to drive
eco-solvent production based on the value of out-of-home
advertising. Revenue from large-format eco-solvent inkjet ink
in North America was valued at almost $200 million in 2016
and is expected to decline by less than 1 percent over our
present forecast period (2016-2021). Latex, on the other hand,
is in some cases replacing eco-solvent and other production
technologies, but is also finding new markets based on its
achievable quality, substrate variability, and eco-friendliness.
Latex inkjet ink is valued at $150 million in North America, and
IDC is projecting an 18 percent CAGR from 2016 through 2021.
From a revenue standpoint, latex inkjet ink, at least in North
America, is relatively unaffected by third-party ink suppliers,
whereas there are large companies involved in third-party inks
in the eco-solvent segment. By 2019, latex inkjet ink revenue is
expected to surpass eco-solvent inkjet ink revenue.

$1,000

DYE SUBLIMATION AND TEXTILE

Large-Format Hardware - Ink - Media
Hardware

MILLIONS OF DOLL ARS

BIG PICTURE

March 2017

$6,000

Ink

Media

$5,000
$4,000
$3,000

$0
2016

BY TIM GR E E NE

2017

2018

2019

2020

2021

Another interesting market segment from an ink perspective is
the dye sublimation and textile printing industry. This is related
to the eco-solvent and latex market, too, because there are a lot
of companies using their latex printer for soft signage, and there
are many companies that modify their eco-solvent inkjet

Table of Contents for the Digital Edition of Big Picture - March 2017