21 May 2013

Printing industry facing tough times - consultant

7:18 am on 21 May 2013

A business consultant says the printing industry faces tough times as the 900 mostly small companies face increased competition from the dominant player, Bluestar.

Bluestar underwent a change of ownership and acquired the assets of Geon printing, which collapsed at the beginning of the year, making it the largest printing company in New Zealand.

PPB Advisory New Zealand managing partner David Webb says Bluestar's size and ability to offer lower pricing is hurting the hundreds of smaller printing firms.

Mr Webb predicts that as a result smaller printing companies will have to merge in order to compete, while some will simply close down.

He says he's heard of big customers choosing to print large orders in Asia, because it's cheaper than in New Zealand.

Mr Webb says there are opportunities for small and medium sized companies and Bluestar to work together to try to prevent that work going offshore.