There are “three drivers impacting” the global market, which is expected to see growth through to 2020.
Market analysts Technavio analysed the global printhead market, and forecast that it is expected to grow at a compound annual growth rate (CAGR) of nearly four percent between 2016 and 2020, with the “present scenario and growth prospects” studied while the market size was calculated by looking “the shipment of inkjet heads worldwide” to OEMs.
The analysts began by noting that companies are “coming up with new technologies to reduce paper wastage”, including Toshiba’s “erasable printing technology”, with the OEM’s erasable printer helping “save paper” and set to “gain popularity in the market during the forecast period”. Technavio added that the “penetration of wireless printers” is also set to increase “with the growing number of smartphone and tablet users” globally.
In turn, OEMs are “focusing on providing secure and safe wireless printing solutions”, which is “leading to the demand for inkjet printheads for the wireless printers”, and the company identified three factors that are “contributing to the growth”, including: “demand for inkjet printers and wireless printers”; “growing adoption of printers by amateur photographers and entrepreneurs”; and an “increase in outdoor advertising and promotional activities”.
On the first point, Technavio notes that advances in inkjet technology, such as UV-curable machines, have “resulted in their increased demand”, and advanced machines “have a number of advantages” including “greater speed, low production costs, and a wider range of applications”. In turn, technological developments “have made them highly suitable for industrial scale production”, specifically because of improved areas such as cost, durability and quality.
As of last year, inkjet printers contributed “more than 55 percent” towards the printer market, and due to demand, “a subsequent demand for inkjet heads is also generated”. The company’s Sunil Kumar Singh, a lead embedded systems analyst, noted that “the increasing demand for PCs and laptops in offices and homes is complementing the demand for printers. However, today’s market has moved beyond just printing. Printer manufacturers have launched products that allow the sharing of printers on a network and also allow technological integration with cloud systems”.
On “growing adoption” by photographers and business owners, this “major factor” has seen the demand grow in particular for colour machines and colour inkjet cartridges, with social networks including Instagram and Facebook meaning “there are an increasing number of hobbyist photographers that are making business by uploading their work”, thereby “increasing the use of printer supplies”.
Singh’s perspective on businesses meanwhile is that “with increasing funding through venture capitalists and the support from government particularly in emerging countries such as India, there is an increase in entrepreneurial ventures across the globe. As a result of the increasing start-ups, the integration of printers in these firms will increase, leading to the demand for inkjet heads”.
Finally, with businesses spending “a significant amount” on adverts and promotions, billboards, pamphlets and brochures are being printed, while event management companies also “promoting a number of brands across the globe”. The report concluded by noting the “top vendors” included Fujifilm, Konica Minolta, Kyocera, Memjet, Toshiba TEC and Xaar.