Adopting new technology is often essential for growth and remaining competitive in the label printing sector, yet each investment comes with a degree of uncertainty. Is this the right investment to take my business forward for the next 5, 10, 15 years? Will the technology become obsolete before it delivers a return on investment? What if interest rate rises increase my cost of borrowing? Can my business afford it?
Advanced machinery, such as digital inkjet printing presses, are not throwaway purchases, so it’s sensible to weigh the risks before making any investment. In this article, we explore some of the common concerns associated with investing in new print technology and suggest a practical counterargument for each.
The Risk Of High Investment
One of the most obvious barriers to adopting new printing technology is the upfront cost. A cutting-edge digital inkjet printing press, or a system incorporating hybrid printing technology, can be a considerable financial commitment. It’s reasonable to worry that the capital investment would strain your cash flow, especially if the ROI isn’t immediate. The financial pressure can make even the most forward-thinking of business leaders hesitant to proceed.
The Counterargument: Long-Term Efficiency And Cost Savings
The initial outlay for print technology can be significant. However, printing technology is fairly evergreen and holds its value well, making it sensible to view your expenditure as a long-term investment in efficiency. Many modern printing technologies are actively designed to reduce operational costs, such as the way the digital printing eliminates the need for printing plates, lowering setup times and material waste. These innovations allow short print runs at increased profit margins, while also opening up new market opportunities. Over time, these operational savings, combined with increased production and reduced waste, usually deliver a strong ROI that outweighs the initial cost.
The Risk Of A Steep Learning Curve
When you’ve implemented a new technology on your production line, it will inevitably take your team some time to get to grips with it. You always need to factor training into your budget when you introduce new equipment into your workflow. This creates a risk that the transition period could lead to a temporary dip in productivity, as well as increasing the risk of human error. The complexities of hybrid printing technology and other innovative solutions also complicate your training strategy, especially for teams schooled in flexographic printing processes and traditional equipment. The potential disruption to your established processes is a valid concern for any busy print business.
The Counterargument: Upskilling And Increased Capabilities
If approached correctly, training is not a cost, but an investment in your team and future productivity. Most reputable machinery suppliers now provide training and ongoing after sales care to ensure a smooth transition. Meanwhile, up skilling your team empowers them with new capabilities, boosts their morale, encourages retention, and has the potential to make your business more versatile. Mastering a new digital inkjet printing press or hybrid system allows you to offer a wider range of services to your customers, such as variable data printing and multi-layered labels. This expanded skill set can become a powerful advantage in a competitive market.
The Risk Of Technology Becoming Obsolete
Digital technology evolves at a rapid pace, so a common fear is that of investing heavily in the newest system, only for it to be superseded by something better in a few years, diminishing its value. What is cutting edge today could, reasonably, be standard or even outdated tomorrow, making it difficult to decide the best time to invest in a new technology.
The Counterargument: Modular And Future Proof Designs
Many modern developers are fully aware of this conundrum, and so presses are built with the future in mind. For example, some presses are designed with modular components that allow easy upgrades and integrations as new advancements become available. Investing in a platform that can evolve in step with your business mitigates the risk of obsolescence. Many hybrid printing technology setups can be adapted over time, allowing you to add modules for finishing or different printing techniques.
What Next
Any investment in new technology is a calculated risk. However, by focusing on the long-term gains in productivity and efficiency, you’ll be able to make better decisions as you steer your business towards a more profitable and innovative future. To find out more and to discuss how advanced printing technology can support your business, please contact Focus Label today by clicking here.
Image source - Canva
