In fiscal 2016, we increased our in-house printing department market share and continued to expand our presence in the commercial printing business domain. Strategic acquisitions and alliances began to bear fruit. We thus had in place a structure to provide business support for customers through total printing solutions encompassing everything from marketing consulting through shipping. We will continue pursuing new challenges to generate steady growth.
Corporate Vice President, Production Printing, Deputy General Manager,
Business Solutions Group, Ricoh Co., Ltd.
As of November 30, 2016
Sales in the Production Printing business
Picking up on changing needs in the printing market, Ricoh made a full-scale entry into production printing (PP) in 2007, and has enriched its lineup of products and services to meet diverse market needs, with a focus on central reprographics department printing and transaction printing as well as on-demand printing for commercial applications.
In-house printing is an area where we are seeing demand for printing processes with greater flexibility, including the shifting of in-house production of media previously outsourced to print service providers and variable data printing for such applications as one-to-one marketing.
We are expanding our commercial printing business, where our customer base centers on print providers for advertising, publicity, publishing, and other fields. Needs are diverse in the global offset printing market, which is worth ¥40–50 trillion and has massive growth potential. Another consideration is that customers are seeking more than just conventional offset printing. Particular focuses are on high-value-added variable and on-demand printing, with the latter featuring short, small runs.
In fiscal 2016, Ricoh drew on acquisitions and alliances to establish a one-stop structure that can support everything from sales promotion planning through advertising media and promotional tools production. Thereby we were able to secure new work, including commemorative campaigns for hotels and promotional tools for retailers. This enabled us to expand our non-hardware revenues and earnings and steadily grow our business.
Growth potential of Production Printing business
Domain expansion in production printing
Since 2011, Ricoh has maintained a strategic alliance with Heidelberg Printing Machines AG covering more than 30 countries. This partnership has enabled us to boost recognition for our equipment in print markets while allowing us to harness Heidelberg's global sales channels.
We fully entered the direct marketing business by drawing on the expertise of InterConnect, Inc., with which we concluded a capital partnership in April 2015. We set up two direct marketing teams to provide customer support that ranges from strategic proposals through implementation to resolve their issues, thus reinforcing our ties with these customers.
Total solutions to help print service providers expand operations
The RICOH Pro C7100 color production printer can use white and clear toners, and is used extensively for publications requiring higher-value-added design.
In 2015, we launched continuous feed inkjet models that can print on coated stock. One such offering is the RICOH Pro VC60000, which delivers fast, high-quality results for a wide range of paper. This system provides new value to print firms as an alternative to offset setups that necessitate large runs.