DM printers report unseasonal upswing after dire 12 months

  Direct mail printers have reported an unseasonal upturn in business that could mark the first tentative signs of the sector's emergence from the recession.

  After a torrid year, in which a number of firms have closed, including John Blackburns, Colin Clapp and LDH Mailing, the DM sector could be on the verge of recovery.

  Despite the summer months traditionally signalling a quiet period for UK mailing houses, a number of companies have reported an upturn over the last quarter.

  Lance Hill, managing director of print services at 4DM Group, said: "We've seen a marked increase in activity over the last month or so following a sustained period of declining sales in the first quarter."

  4DM's comments were echoed by Leicester-based rival GI Direct, which reported an increase in business from as far back as May.

  GI sales director Patrick Headley said: "We made a healthy profit in July and we're getting busier in September as well, especially on the lasering."

  Lucy Edwards, assistant managing director at Dartford-based Howard Hunt, which noticed a pick-up in business last month, added that companies that had more or less stopped marketing when the recession hit were now beginning to return.

  She said: "There was a bit of a freeze that went on in the early-to-middle part of this year, but companies are realising that in order for them to keep their turnovers up they're going to have to get back into [DM], so we're hoping that will continue into January as well."

  Hill agreed: "The absolute key is going to be the start of 2010 to see if these signs are genuine or if it's just a blip. We are cauitously optimistic. Hopefully these are real green shoots and hopefully they will carry on into next year."

  However, while a mood of "cautious optimism" now pervades the sector, Hill warned that there would be more casualties going into the last quarter.

  He said: "I think unfortunately some of the smaller operators who don't have the cash reserves will struggle and I think we'll see more casualties."

  This was echoed by Eclipse Colour Print managing director Simon Moore, who added that despite a number of big name casualties, overcapacity was still rife in the sector.

  "Although capacity has come out, we're still facing the same issues in terms of price competition, and I think most manufacturers would agree that while volumes are up, the revenue for that is down," he said. 

[时间:2009-08-18  作者:佚名  来源:互联网|#]

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