TABLE OF CONTENTS
Industry News
Sign Builder Illustrated Launches e-Newsletter
Welcome to the first edition of Sign Builder Illustrated’s new monthly e-newsletter, SBI Update.
As an extension of Sign Builder Illustrated's monthly publication, SBI Update will provide readers with expanded
coverage of the sign industry and up-to-date news and information, including commentary from industry insiders on certain "Hot Topics."
Each month, SBI Update will present exclusive point/counterpoint discussion on some of the most hotly debated topics in the sign industry. In each edition of SBI Update, one prominent sign industry executive will voice an opinion on a given subject, with a counterpoint commentary to be heard in the following month’s newsletter from another
industry leader.
In addition, SBI Update will provide breaking, timely news items, reports on industry-related legislation, products, and contracts, and announcements of new job appointments. An updated meetings and events section will keep subscribers abreast of industry happenings.
Enjoy your Update!
[[HOT TOPIC]] Neon vs. LED: Is the War Over?
No one would deny that, in the battle between neon and LED, there will always be a few skirmishes that flare up from time to time. But some might say the two
technologies have backed away from the front lines to concentrate more energy on competition within their own industries, and that time has worn away some of the initial angst. Has a truce been reached?
SBI Update recently spoke with Ron Wallace, Director of Sales and Marketing at SloanLED of Ventura, California, who says that no one wants a war, just profits:
“A couple of years ago, one of the prime editorial efforts was ‘Alright, let’s get a little LED/neon war
going here. But it’s been quiet for a while, which is nice.
We’ve always said, for years, that there is lots of room for any light source. We just present our product, and let the sign manufacturers decide what’s best for them for a particular project.
We don’t see ourselves as the enemy, or as a replacement [for neon]. Naturally, we sell a lot of our products into applications that had been neon or could be neon. But we also see our product line in places that are brand new; or
better yet, creating new opportunities or new looks or new solutions to problems haven’t been solved before.
We don’t know a lot about neon, so we’re never going to get in there and try to compare [neon and LED]. It’s not our business to know and understand neon beyond what is necessary to recommend a replacement where it’s appropriate.
I’ve been with SloanLED going on three-and-a-half years. Admittedly, back then, much of what we were selling was centered around the notion of LED
vs. neon because often we were being asked to light something that was presently being lit by neon. So the questions were ‘Why LEDs?’ or ‘Explain to me how this is going to work.’ And three years ago, LEDs were not proven in all corners of the channel. Some distributors were well on their way to selling a lot of LEDs, some sign manufactures had started using a fair amount, but there were many, many sign companies that had not done their first job yet (say, in channel letters) with LED.
But in each of the last three years, we've seen, exponentially, more sign companies that now have experience with LED or are currently using LED. So, a lot of the consumer requests to justify LEDs are gone. It’s an accepted technology, and if anything, we’re now more often selling against another LED brand. Similarly, I would imagine digital printing companies have their sights on each other far more than they do other technologies.
The other part of it is, I think much of the
sign industry got tired of [the neon vs. LED concept]. You’d have the LED guys over here blabbing about LEDs; you have the neon guys cutting down LEDs because they have their existence to maintain. And no one wants to hear it: ‘They both work, they’re both good, don’t bother me with that stuff.’ Of course, other people love it because it’s kind of like gossip and everyone likes to see a fight. But I’ve talked to so many companies that say ‘I don’t want to hear that stuff. I know LEDs work, I’ve
sold thousands and thousands of feet. And I sell tons of neon. So just stop it already.’
I think there are still some points that can be discussed. But I think to position it as ‘LED vs. neon’ or ‘Is LED going to put neon out of business?’ is dated. The better topics might be, more specifically, ‘What are the best applications for each technology?’ ‘In reverse letters, where is LED really good and where is neon better?’ Or feedback from wholesale sign manufacturers as to what causes them
to choose LED versus neon. So, instead of LED guys talking about LED and neon guys talking about neon, you’ll find out ‘Why did Arby’s® choose an LED program nationwide?’ or ‘Why is Home Depot using LEDs?’ or ‘Why did so-and-so pass on LEDs after evaluating their project?’”
The undercurrent of a technology battle still does—and always will—exist between neon and LED; it’s only natural. However, the waters seem calm these days. But does this apparent low tide of direct competition exist on
both sides of the playing field?
Find out next month, when SBI Update talks to ISA Regional Director Tom Kerley, owner of Kerley Signs Inc. and author of The Neon Installation Guide.
ImagePoint Lands World-wide General Electric Account
ImagePoint, Inc., the largest sign company in America, has been selected by General Electric to update GE’s signs and images in 5,000 locations across
the world. The new work for ImagePoint means between $75 million and $100 million in revenue for the company.
As a result, ImagePoint has opened an office in London to help service the account. This international location for ImagePoint is in addition to its corporate headquarters in downtown Knoxville and three manufacturing plants in South Carolina, Kentucky and California.
“This is an extremely significant development for us,” said ImagePoint CEO James R. Martin. “We are
honored that a company with one of the best-known brands in the world has selected us for this important work.”
The GE sign locations that will be changed are in forty-six different countries. Signs are located in corporate offices, manufacturing plants, distribution centers, training facilities, retail locations, and warehouses. They include main identification signs, building letters, directional signs, and interior plaques and signs.
GE is making the change to reflect a “One
GE” approach, the company said. Although the GE monogram changes only slightly as a result of the re-branding initiative, the overall purpose and approach to the corporate identity project is simplicity and consistency. It comes at a time when GE is not only simplifying its image, but also its structure by streamlining eleven of its operating divisions into six: GE Infrastructure, GE Industrial, GE Commercial Finance, GE Healthcare, GE Consumer Finance, and NBC Universal.
ImagePoint
currently is in the process of engineering and prototyping, translating the design into signs that will be identical worldwide. Geoff Rosenbaum, national sales manager at ImagePoint, was instrumental in landing the new business, Martin said. Susan Brown, manager of international operations, will be assigned to oversee the project.
Founded in 1944, ImagePoint produces, installs, and maintains exterior and interior signs and other identity products for some of the largest and best-known
brands in the world including: General Motors, Ford, Chrysler, Honda, McDonald's, Bank of America, SunTrust, Chase, Wachovia, CVS, Dollar General, and many others. The company handles image-related work for more than 20,000 facilities annually for its various clients. It currently employs about 850 associates at its four locations in America.
Bright Future for OLEDs on Wall Street?
The up-and-coming wave of OLED advancements is certainly making its mark on the sign industry. Could this technology be ready to make a splash in the stock
market?
Commentary found on well-known financial advisory Website The Motley Fool (www.fool.com) recently touted Ewing, New Jersey-based OLED developer Universal Display Corporation as a potentially hot Wall Street investment idea, categorizing it as a “Rule Breaker” stock. These are described as “ultimate growth stocks that may be in their infancy…that are gearing up to blow the doors off old conventions and jumpstart brand new industries with mind-blowing
technologies.”
The article, written by Alyce Lomax, says that investors interested in Rule Breakers like Universal Display are looking for “trends and fads early on, identifying them before they become commonplace,” and likens them to someone who bought stock in the Apple iPod before it “graduated to supercool.”
“I’d never heard of Universal Display before it was an official Rule Breakers recommendation, but it is extremely interesting,” says Lomax. “It speaks to all of the
futuristic potential that could make a young Rule Breaker graduate to greatness.”
Lomax points to several aspects of Universal Display that intrigue her, including the “strength of its intellectual property” (625 patents worldwide) along with “ample cash on its balance sheet, with very little debt.”
The author also acknowledges risk associated with investing in a Rule Breaker like Universal Display. “For one thing, there are plenty of businesses trying to develop LCD and plasma
technologies that achieve some of the same benefits that OLEDs do,” says Lomax. “Another risk is the high-profile competition it faces,” such as DuPont, Eastman Kodak, and Cambridge Display Technologies. But overall, she feels Universal Display has strong potential for residence on the bright side of Wall Street.
“Like most Rule Breakers, Universal Display has its share of speculative elements,” Lomax points out. “It continues to shell out for research and developing, so it’s not yet
profitable. What makes Universal so exciting is the huge market opportunity in OLEDs as new applications for its technology—from the relatively mundane to the downright futuristic—emerge. These aspects offset some of the risks of a company that is still setting the stage for its foray into what it hopes will be exploding sales and profits.”
ISA Battles Proposed ADA Changes
The International Sign Association (ISA), working with its Architectural Signing and Graphics Division and the California Sign Association, plans to challenge a
proposed statute that would alter certain Americans with Disabilities Act (ADA) standards in the state of California.
Under the changes suggested by California’s Division of the State Architect, sign designers working on an ADA project would need to apply for a permit, which would include the submittal of drawings for review and inspection, similar to the process used for exterior signage.
“The proposed regulations will put an extra burden on sign manufacturers, “ said ISA Board
member Jody Bunting, who represents the association’s Architectural Signing Graphics Division. “It’s up to the manufacturers to meet the regulations and follow the rules, and these regulations are going to add more costs to sign makers and sign users.”
The ISA has approved a request for financial assistance to hire a lobbyist in California to investigate the proposed regulations. Bob Garcia, from the Golden State Advocacy, will work with the ISA to remove the new language from the
state’s ADA regulations.
U.S. Sign Industry Saw Huge Growth in 2004
According to a recent report from Boston-based digital printing and imaging consultancy Web Consulting Inc., the U.S. sign and graphics screen print industries topped
$13.7 billion in 2004, showing the strongest cumulative growth rate since 1999.
Web Consulting's 2005 U.S. Sign & Screen Print Market Report showed the U.S. sign market topped $9.6 billion in 2004, after recording 3.3% growth over 2003. The nation's graphics screen print market recorded 5.8% growth in 2004, its best peformance since 1996.
The two fastest-growing segments of the sign industry in 2004, as reported by Web Consulting, were the vinyl and franchise segments, growing
at 4.9% and 4.7% respectively. Also noteworthy, the North Central region of the U.S. captured the highest regional share of retail sales of both signage (27%) and screen print (32%) markets.
New Appointments
Iain Mackenzie has joined the International Sign Association as Manager of Meetings and Events. Mackenzie is a certified Meeting Professional, and before joining the ISA, he was the conference manager
for the Hill Group in Bethesda, Maryland.
Christinah Muthoni accepted the position of Coordinator of Education and Professional Development at ISA. Previously, Muthoni was an educational program coordinator with the National Association of Home Builders in Washington, D.C. At ISA, she is responsible for coordinating logistical
arrangements for educational activities and programs, and conducting ISA's educational outreach efforts.
Jeannie Curtin joins ISA as Marketing Manager. Curtin is extensively experienced in creating and executing marketing communications programs. At ISA, she employs her marketing skills to promote the association throughout the business, regulatory and consumer communities.
Jonathan Read has beeen appointed as Digital Imaging Specialist for InteliCoat Technologies of South Hadley, Massachusetts. Read will be responsible for working with customers, employees, and industry professionals as technical support in the areas of color management, printing, imaging, and graphic arts
software and hardware.
Meetings and Events
AUGUST 2005
August 19 — 21: Jill’s Jamboree, a Letterhead panel jam hosted by Jill Welsh and Steve Chartrand, will take place in Lisbon, Pennsylvania. For additional information, call 724/586-6923.
SEPTEMBER 2005
September 28 — October 1: SGIA 2005: The Specialty Printing & imaging Technology Show will take place in New Orleans, Louisiana. For more information, call 703/385-1335, or visit www.sgia.org/sgia05/.
Sponsored Links
Adaptive Micro Systems LLC -- Milwaukee-based manufacturer of LED EMC on-premise advertising solutions. www.adaptivedisplays.com
ATG Electronics -- We manufacture what we sell! High quality LED Signage Lighting Products. www.atgelectronics.com
For in-depth coverage of these topics and other sign industry topics, check out
www.signshop.com
ATTENTION SUBSCRIBERS:
Coming up in the September 2005 issue of
Sign Builder Illustrated,
feature articles on:
Architectual Signage
Digital Printing for Vehicle Graphics
Sandblasted Dimensionals
Extrusions
LED Message
Centers
Incandescent Lighting
ATTENTION ADVERTISERS and SUBSCRIBERS:
Coming up in the October 2005 SGIA Show Issue of
Sign Builder Illustrated,
feature articles on:
Banners
Digital Printing Inks
Paints
Screenprinting
Unusual Signage
Vehicle Graphics
Vinyl P-O-P
Contact your ad sales representative to reserve your space today!
As we shape SBI Update into the premeire
e-newsletter for the sign
industry, we encourage our readers to send us feedback on what you like, what you'd like to see, and any other comments you might have. To do so, send an e-mail to Associate Editor Chris Ytuarte at cytuarte@sbpub.com.
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[[HOT TOPIC]] Neon vs. LED
