17 Mar Print & Paper Costs – What’s Going On?
Print & Paper Costs – What’s Going On?
Last year’s paper price increases are now compounding with increased energy costs resulting in an unheard-of situation in the print world.
What’s the problem?
The price of paper just keeps on creeping up and is showing no signs of stopping. The shortages of paper seen last year, driven by a widespread production switch from paper to packaging following on from the ecommerce boom, has led to a lack of mill capacity for printing paper. This in turn has led to the regular paper price increases we’re becoming increasingly used to seeing.
Now, with the surging energy prices, print and paper are both set to increase in cost considerably, but there’s some steps we can take to help mitigate these increases.
Why are prices increasing so quickly?
Paper has seen huge increases for a variety of reasons. From the drop in production seen during the pandemic and then a huge uptake as we began the transition out of the other side, the print and paper world has felt the shortage ‘pinch’.
The HGV drivers and worker shortage has also created a key impact on the paper industry. Now, with months and months’ worth of strikes at UPM – a key paper mill in Europe – the knock-on effect of all these factors has been felt across the board.
How to manage these increases in costs:
Whilst changing prices are unavoidable, our team are well placed to help mitigate these costs in a variety of ways.
- Look at amending the spec
Our team can advise if there are opportunities to change the specifications in a way that reduces wastage and ensure you’re using the optimum amount of paper.
- Be flexible on stock
It might be a case that the grammage you are looking for isn’t available or is in high demand. Being open to alternative stocks might see some decent cost savings.
- Allow lots of time for big projects
The more planning that goes into a project, the better positioned your Webmarteer is to secure the paper needed for your project in advance. This avoids any difficulties down the line and might help avoid some of the cost increases.
- Widen your supply chain
Working with marketing procurement agencies like Webmart, with our own dedicated category management team looking after a pool of different suppliers, opens up the opportunity to secure the press space and paper for your project. And should something change, they can help find a swift resolution.
The current circumstances are far from ideal, so if you want to speak to our team about what the current uncertainty might mean for your projects, please get in touch.