In 2002, we nervously
awaited the results of the State of the Sign Industry Report, and we wondered
how much the sign market had developed. In fact, compared to other industrial
areas, the sign industry is still sluggish. However, we are very pleased that
the most results showed growth, and many people were feeling positive toward our
sign industry.
For our premiere
survey, we culled 968 respondents living in six big cities throughout Korea,
including Seoul. We delivered and collected our survey from them. After all,
this would be the second survey. In 1998, we made a survey for a special feature
on our third anniversary. These survey statistics enable us to compare the
results from 1998 and make inference by analyzing commonalities between the
questionnaires.
Here are a few of
the survey's major findings: - Most of sign shops have less than three
employees. - 67.4% of respondents earns less than $83,333.00 annually. -
Flex sign is the type of sign which was the most produced in 2002. - Neon
sign is the most preferred type of sign. - Sign-manufacturing methods has
greatly changed in the 2000's - Digital printing is the most profitable
area. - 70.7% of respondents owns a cutting system. - Around half of
sign-makers uses more than 20 times digital printer for their jobs. -
Resolution is the most critical consideration for digital printing - 46.6% of
respondents leans toward buying a new digital printer in the immediate
future.
Each
questionnaire we deliberately selected identifies the number of employees,
annual sales-volume and the size of its business. Sign shops with less than
three employees (67.0%) revealed that our sign industry was still a
family-oriented business. We concluded that expensive and increasing labor costs
did not allow sign shops to employ highly qualified workers. The lasting
economic recession also dealt the sign industry a heavy blow. When it comes to
annual sales volume, most sign shops (67.4%) reported earning less than $
83,333.00 annually. Also, the majority of businesses are less than 80 sq., yds.
This survey indicates the
kinds of signs that were manufactured the most in 2002. 66.1% of respondents
pointed out that flex signs were the most produced type of sign, followed by
banners(14.0%) and neon signs(9.6%). This figure for flex signs is an increase
of approximately 3% from the 1998 survey. In fact, flex material will likely
continue to hold its market share. However, dimensional signs like channel
increased 40% from 1998(4.7%) to 2002(8.1%). The result showed that many people
became sick and tired of the static signage, and more accustomed to high-impact
and multi-dimensional graphics. Interestingly, until the middle of 80's before
flex materials were introduced, signs incorporating acrylic were considered the
preferred type of sign. Yet, the percent of acrylic signs dropped dramatically
from 10.8% to 2.9% in 2002. According to this survey, a majority of respondents
tended to avoid the application of acrylic material on signs. Other types of
signs are as follows : electric signs, interior signs, digitally printed signs
and billboards.
In terms of the
type of sign which sign makers want to produce in the immediate future,
approximately one-third of respondents(32.6%) reported that neon signs were the
most preferred type of sign, followed by flex signs(24.3%) and channel
letters(18.9%). According to our last survey, flex signs(41.6%) were described
as the most preferred type of sign. These results showed that sign makers were
more likely to produce a greater variety of signs this year. Others choices
included electric signs and LED signs. As people become more accustomed to
hi-impact, multi-dimensional graphics, we expect moving screen signs will have
demonstrated a greater popularity than static signs. Also a slight number of
signmakers want to make signages, using digital printing, interior signs,
molding art and special signs(EL, optical fiber)
As for manufacturing
methods, 67.5% of respondents reported manufacturing methods has greatly changed
in the 2000's while one third(30.7%) said there was no significant change in
manufacturing methods. However, considering that flex sign and neon sign, which
have been the most manufactured since the 1980's, have still been popular, a
majority of respondents seemed to show a subjective point-of -view on this
question.
78% of respondents
indicated that they applied unique materials on less than 30% of their whole
job. 40.4% reported less than 10%. It means that a majority of sign makers try
to use common materials for making signs. We can concluded that most sign makers
are unwilling to try new sign-making methods.
We asked sign
makers which sign area was going to be more profitable. The results are as
follow: digital printing(45.1%), sign design(12.4%), interior sign(9.8%),
computer engraving(8.0%). As sign-making industry become more competitive, areas
that are not traditionally related to sign manufacturing, such as maintenance
and repair and sign design, will become more popular among sign
makers.
Of all respondents,
70.7% reported having a cutting system. The figure eclipsed 1998's result,
increasing 24.1% over the last four years. More than two thirds of sign makers
is said to own their own cutting system.
When it comes to
the number of times a company uses a digital printer while making signs, 43.7%
of respondents claimed to have used more than 20 times digital printer. This is
a increase of 27.4% over 1998's numbers. Since many sign makers describe digital
printing as the future in the sign industry, we expect the popularity of digital
printing to dramatically increase.
Over half of all
respondents (61.6%) reported that resolution was the most critical consideration
for digital printing, followed by durability and color fidelity. Surprisingly,
in 1998, about half of all respondents considered the cost of production as the
most important key for digital printing.
On whether to plan
purchasing a digital printer or not, 46.6% of respondents leaned towards buying
a new digital printer in the future. They are proved to be the potential
consumers for a digital system. The results are more than double 21.7% of 1998.
Among them, 14.9% have already owned digital printers. For companies owning a
cutting system, 51.6% of respondents have a plan for purchasing a digital
printer. Companies having a cutter system are more likely to need a digital
printer than shops not possessing a cutting system.
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