Keep Your Eye on the Gold
- Published: August 31, 2004, By Yolanda Simonsis, Associate Publisher/Editor
Lately, the Olympic theme song has run through my head several times a day and continuously into the night — although by the time everyone reads this, all the medals will have been counted and displayed.
The midwest summer is winding down; it's budget-planning season again; and I'm preparing to take my last child off to college while my older college graduate has returned home to live with us. Focusing takes real effort as my family readjusts, the demands of the publishing business increase, both converters and suppliers continue to contend with difficult manufacturing issues, and the world at large seems in flux.
Who is a stranger to multitasking these days? If you don't multitask, then certainly you must be retired. Along with this, stress is magnified when there are so many deadlines. Imagine a manager's stress when the P&L statement indicates still further budget cuts are necessary (due yesterday, of course) to make the bottom line look more attractive to owners and/or investors. “Imagine?” you say. “I've been there, done that too many times!”
While we deal with the realities of our personal and professional lives, perhaps there is some good news as I glean through the flurry of marketing reports sent my way from various sources. They may influence your budgeting plans for 2005.
Rapra Technology (polymer-books.com) evaluates worldwide film markets that represent 40 million tons of all plastics production worldwide. Its new “Plastic Films — Situation and Outlook” report provides an overview of this industry. Author FranŁois Pardos' snapshot view predicts present and future demand for films will continue, “fueled by…the rapidly developing market in the ‘rest of the world,’ the growing preference for flexible over rigid, and the constant innovation in materials and conversion.”
On another subject, this issue's special label report by AWA Alexander Watson Assoc. (awa-bv.com) examines product decoration and identification solutions, changing in-mold label markets, the challenges ahead for release liners, and brand protection. See pNW2 for the full report. Other AWA studies include “North American Sourcebook 2004” and “Labeling Markets: European Sourcebook 2004.” An Asian study, “Labeling Markets: Asian Sourcebook,” will be published later in fall 2004. To supplement this information or for comparison, you may wish to check out Freedonia (freedoniagroup.com) for a series of reports appealing to converters. One study, titled “Labels,” examines US label shipments, which Freedonia forecasts to increase 5.7%/yr to $15.2 billion in 2008. (Another report on an allied industry, titled “World Pressure Sensitive Tapes,” forecasts 5.3% growth through 2008, surpassing 27 billion sq m.)
For a complete picture of the label industry, my recommendation is to attend or get your hands on Dan O'Connell's (Raflatac) “State of the Label Industry” presentation at Labelexpo on September 14 at 8 A.M. at the Donald E. Stephens Convention Ctr. in Rosemont, IL, and draw your own conclusions. Supplementing his outlook will be Mike Fairley's presentation (September 16 at 8 A.M.) examining “The Future of Label Converting.”
In another direction, Freedonia examines US foodservice packaging demand, which the consultant predicts will reach $7.6 billion in 2008 or more than 4%/yr. Growth, says the market research firm, “will be fueled by rising disposable personal income and healthy expansion of consumer food expenditures, especially for food eaten away from home. Away-from-home food expenditure growth will stimulate foodservice revenue expansion and will reflect increased consumer willingness to pay for convenient, ready-to-eat offerings.” Additionally, the group predicts rigid foodservice packaging will trail in demand because of the popularity of flexible packaging that will replace traditional rigid applications.
Last, but not least, the Foodservice & Packaging Inst. (fpi.org) announces the availability of its 2004 “State of the Industry Report” for single-use packaging for foodservice applications. Respondents to its annual survey indicate 80% of converters expect sales volumes to be better this year than last, and more than half expect profits as well to be better than last year.
The victories and defeats of Olympic contenders may be only symbolic compared to weightier issues; however, the struggles we all wage require staying focused with our eyes on the gold. Under stress, all-around gold medal gymnast Paul Hamm teaches us never to give up.
For more information on the converting industry beyond this issue's contents, visit pffc-online.com. We offer content there you cannot find here, and it is updated weekly. Once there, be sure to e-mail your feedback to me, This email address is being protected from spambots. You need JavaScript enabled to view it..
