The Top 25 Magazine Printers
Has consolidation in the market (both among printers and publishers) affected pricing?
Grosman: Pricing has been an area of concern for some time. However, we have won—and continue to win—business where we are not the lowest-priced vendor. Value-added services are increasingly important, as is customer service. … While the cost structure is driving lower prices in the short run, in the long run it is innovation across the entire value chain that will restore the industry to health. We’re certainly in it for the long run, and the work we’ve done to strengthen our balance sheet will enable us to be an even more formidable player.
Do you have an expectation of shifting significant revenue to premedia or prepress? If so, how much can this make up for lost business on the printing side, and why do you consider yourself positioned to attract this money?
Grosman: As one of the industry’s first providers of digital production methods, technological solutions continue to be a primary focus at QW. As with our paper expertise, we surround the issue from all fronts. We have a full and growing menu that includes workflow solutions, advertising and editorial portals, digital asset management, process control, revenue-generating solutions and more. But our most important asset isn’t the technology—it’s the strategic thinking we provide on how to deploy it. There’s no such thing as one-size-fits-all when you’re applying digital solutions. Working closely with your customers to customize the project to their needs is critical.
This is such a difficult time for the printing industry as a whole. What is QW trying to do to improve the balance of supply and demand?
Grosman: Critical to the future health of the industry is the realignment of magazines as premium products. In order to achieve this, the end user has to be willing to pay more for the innovations and investments that the publishers and their suppliers put into that product. At the moment, we have a premium product, but it is priced and marketed as a commodity. We believe in the publishing industry, and we’re committed to leading the shift to this new business model. QW employees donate considerable time to leading the industry as chairs and serving on the steering committees of key industry initiatives. We continue to fund research and share that knowledge. As the new format of the industry emerges, we’ll be there to support it.