TABLE OF CONTENTS
This Month’s SBI Trivia Question Stumper:
According to I.T. Strategies, what is the worldwide estimated retail value of digitally printed wide format graphics output reached in 2004?
For the answer, scroll to the bottom of the newsletter.
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Industry News
[[HOT TOPIC]] Franchise vs. Independent Sign Shops
In the October edition of SBI Update, we heard from FASTSIGNS President and CEO John Salomon about the relevance and future of franchise sign shops in the U.S. market. This month, a surprisingly contrite Butch “Superfrog” Anton provides
insight from the mind of an independent sign shop owner, and he makes a good point: even on the battlefield of Franchise vs. Independent, the bottom line is that good business (and the bottom line) transcends any rivalries.
“I find it rather funny that the Independent vs. Franchise argument is still out there. My immediate reaction is: What franchise?
There are many ways to look at signs shops. We
have the artist craftsman types, like Letterheads, who get together and teach each other the true craft and keep it going. Some are good business people and others, not so good. I know this one Letterhead person in California. All he does is whine about not making any money. He’s a great talent, but a lousy business person. Yet I know dozens of Letterhead types who are very successful at business. Average number of people employed: one to three.
Then we have the large electrical sign
shops that generate the majority of the money in the sign industry due to the large nature of the jobs they do. Most of them are companies that have been around for generations. It's true what Mr. Salomon said about NESA rejecting [franchises] in the beginning [SBI Update, Oct. 2005]; but NESA is long gone, and the new ISA is more open and progressive. On average, these electrical companies employee 10 to 25 people.
Franchises can be found in every aspect of our society, from
Mickey D's to sign franchises. Two unique things stand out about a franchise sign shop: One, these people are business people first and are out to make money; two, they belong to a good support group. As true with any successful business, it's about management. Any sign company can fail with lousy management, even sign franchises. The average sign franchise employs five to eight people.
Having been a guest educator at all the sign franchises’ national meetings over the years, I better
understand their workings and can respect and appreciate them. I have even incorporated some of their ideas into my sign shop. I’ve learned at shows over the years that people who own franchises are just as interested in doing a good job at making signs as many of my fellow Letterheads. Not all of them, but the majority. But that's true of every segment of our industry.
Of course, we do have people who got into the sign business because a good salesman sold them the equipment, and they
think they are sign people, and they crank out nothing but ugly. They have no layout or design skills, don't know pricing, and never attend a show, let alone read a trade magazine. A segment like this exists in every aspect of any business. There are lousy doctors, lousy auto mechanics, and lousy salesman. Likewise, there are lousy sign distributors and lousy sign makers. It's this segment of our industry that does us more harm than good.
Being good business is what it's all about. It
doesn't make any difference if you’re a franchise or independent."
As usual, we encourage our readers to send any comments or feedback to Associate Editor Chris Ytuarte at cytuarte@sbpub.com.
Stay tuned for next month’s brand new [[HOT TOPIC]] discussion, when SBI Update takes a look at Digital Printing vs. Paints: Can the ways of hand-painting survive the age of technology?
Lamar Adds Up $14 Million in Storm Damage to Billboards
Lamar Advertising Company figures it sustained some $14 million in damages to company billboards in Louisiana and Mississippi that lay in the path of hurricane
Katrina’s deadly dance across the U.S. Gulf Coast.
Looking on the bright side, Lamar CFO Keith Istre said that the destruction of some signs will allow the company to replace them with more advanced materials that can withstand winds of up to 150 mph. Most current signs (and most of those destroyed) could only handle maximum winds of 110 mph.
Newly designed and installed Lamar signs in the area will not have a solid face. Instead, they will consist of frames to which vinyl sheets
will be strapped, allowing for more flexibility in the face of strong storm winds.
Istre says all Lamar billboard will be repaired or replaced by early 2006.
Report: High-Brightness LED Worth $10.8 Billion by 2010
According to a new report published jointly by industry research firms NanoMarkets and CIR, the combined market for standard high-brightness LED (HB-LEDs) and the
new ultra-high brightness LEDs (UHB-LEDs) will grow from $5 billion in 2006, to $10.8 billion in 2010, and hit $17.4 billion by 2013.
The report, titled “The Global Market for HB-LEDs,” says that HB-LEDs (LEDs with an output greater than 250 lumens) will have a major effect on the display and signage industry.
Cited in the report: “Because of similar market and technical requirements, displays and signage represent a natural diversification for HB-LED manufacturers. Thanks to
HB-LEDs, displays will be bigger and use less power. OLEDs are a wild card, since OLED displays and signage will not require HB-LED backlighting. By 2010, displays and signage will account for approximately $2.2 billion in HB-LED sales.”
The report provides an analysis and eight-year forecast for all major application segments for HB-LEDs, including LCD displays, traffic signals, signage, and general illumination. The study can be found at www.nanomarkets.net or www.cir-inc.com.
Atlantic City Spectacular Signage Coming Soon
Atlantic Pier Associates, LLC, a development group currently working on the Pier at Caesars, recently announced a partnership with Clear Channel Spectacolor to build and
maintain high-tech outdoor signage for the luxury entertainment complex.
The two organizations will work together to create some 70,000 square feet of Spectaculars stretching from the Boardwalk to the beach. The exterior of the Pier’s structure will have 17 sign locations capable of supporting LED screens, customized neon, and back-lit graphics.
“This project will bring the excitement and energy that are hallmarks of Times Square to this region,” said Michael Forte, president and
CEO of Clear Channel Spectacolor. With this extraordinary volume of signage, the equivalent of three entire buildings in Times Square, this is a high-profile project that will allow us to embed clients into a truly unique marketing environment in a burgeoning marketplace.”
The Pier at Caesars is scheduled to open in 2006.
SGIA Digital Expo Announces Presenters
With the annual SGIA show in New Orleans having been cancelled following hurricane Katrina, the organization’s Digital Expo is scheduled to take place December 8 - 10 in Phoenix,
Arizona. To help attendees gain new ideas and approaches, two innovative programs have been announced.
On Thursday, December 8, from noon to 1:30 p.m., keynote speaker Michael Rogers will explore the connections between technology and people, and how they’ll affect the business of specialty imaging. Rogers has an extensive career in media, and commonly known as the Practical Futurist.
Following, on Friday, December 8, Darrian Young of Color Concepts will talk about digital color
management—in Spanish! There will be two free sessions. From 9:30 a.m. to 10:20 a.m., “Informacion Esencial Sobre la Adminstracion de Color” will explore the essentials of color management. “Adminstracion del Color: Como Esto Realmente Trabaja,” from 2:00 p.m. to 3:20 p.m., will show how to implement color management excellence on your production line.
Other free sessions at the SGIA Digital Expo will cover topic such as workflow, management tools, digital garment and textile printing,
trends in digital printing, and sublimation.
For more information, check out www.sgia.org.
OLED Technology Making Waves
Gartner Inc., a research and analysis organization focused on the global information technology industry, recently released its list of the top ten technologies to watch in 2006. Nestled in at
number five on the list is OLED.
The company’s list of the Top 10 Strategic Technologies to keep an eye on in 2006 includes grid computing, Linux, and service-oriented business applications. And at number five is OLED/LEP technologies.
According to the company’s list, “Organic Light Emitting Diode and light emitting polymer are set to revolutionize the display industry. They don’t require a backlight, and are more energy efficient and offer a higher contract than traditional LCD
displays.”
In related OLED news, construction is currently underway on China’s first OLED plant. According to a report in PC World, Beijing Visionox Technology and Tsinghua University have begun building a plant that will produce OLED displays in Kunshan, the first of its kind in that country.
Visionox said the plant will consist of two production lines, the first of which will be completed in 2006, and the second in 2008.
New Appointments
International Sign Assoociation (ISA) recently elected three new members to its 2006 Board of Directors. Roger Williams of Quality Sign Company in Jacksonville, Florida replaces Dan Kasper as the Past Chairmen's Division
representative. Andy Creager of 3M Commercial Graphics Division in Saint Paul, Minnesota, replaces Natalie Wright as Suppliers Division representative. Lana Frutiger or Deere & Company in Moline, Illinois, replaces Tab Sims as the Business Identity Division representative.
3M Commercial Graphics announced the appointment of Jon Lindekugal as business director, 3M Graphics Market Center.
W.A.C. Lighting recently announced the appointment of John Camp to national sales manager and member of the firm's Executive Committee. Camp was formerly the company's product manager.
Meetings and Events
NOVEMBER 2005
Nov. 30 – Dec. 1: Government Video and Technology Expo (GVExpo), featuring the Digital Signage Zone, hosted by GVExpo and ActiveLight. Washington D.C. Convention Center. For more information, call
800/294-7605, or check out www.gvexpo.com.
DECEMBER 2005
Dec. 1 - 3: The United States Sign Council’s Sign World 2005 will be held at the Atlantic City Convention Center in Atlantic City, New Jersey. For further information, call 215/785-1922 or browse www.ussc.org.
Dec. 8 - 10: The SGIA Digital Expo will be held at the Phoenix
Convention Center, in Phoenix, Arizona. For more information, browse www.sgia.org.
Sponsored Links
Adaptive Micro Systems LLC -- Milwaukee-based manufacturer of LED EMC on-premise advertising solutions. Click on the Adaptive Micro Systems company name above to go to
the Web site.
This Month's Trivia Answer:
$26 billion
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For in-depth coverage of these topics and other sign industry topics, check out
www.signshop.com
ATTENTION SUBSCRIBERS:
Coming up in the December 2005, USSC Sign World USA show issue of
Sign Builder Illustrated,
feature articles on:
Digital Printing Media
Dimensional Routers
LED Lighting
Neon Channel Letters
Service
Equipment
Design Software
Large Format Vinyl
ATTENTION ADVERTISERS and SUBSCRIBERS:
Coming up in the January 2005 issue of
Sign Builder Illustrated,
feature articles on:
Digital Printing on Banners
Sandblasting Dimensional Signage
LED Channnel Letters and Sign Cabinets
Panel Saws
Safety Products
Vinyl Cutters/Plotters
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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© 2005 Simmons-Boardman Publishing
345 Hudson St., 12th Floor • New York, NY 10014
212-620-7200
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Experience the Digital
Community Marketplace
Exciting digital technology, products, and innovators come together for a cutting-edge exposition and conference. Visit leading suppliers and compare flatbeds, inks, media, and more, side-by-side and face-to-face. Get first-hand insight only SGIA can provide. Visit our Web site by clicking on our logo above, or here: www.sgia.org/sde/.
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At Digital Media Warehouse, we know the wide format industry. Our customers range from production houses with multiple HP DesignJet 5500's to enterprising individuals with a vinyl cutter in their garage. Whatever your situation, contact us, and you'll be making great big prints and great big profits in no time. Click on the Digital Media Warehouse logo above to go to the Web
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Sign Builder Illustrated:
The How-to Book Vol. 1Learn secrets to fabricating neon, illuminating with LED, sandblasting signs, applying paints, cutting and printing vinyl and more in this 288-page, full-color reprinting of Sign Builder Illustrated’s how-to articles. To visit the How-to Book Web site, click on the image above.
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Lamar's Damage: $14
Million