Los Angeles, CA (PRWEB) April 15, 2014
Binding and laminating machines have a buyer power score of 4.1 out of 5.0, reflecting favorable market conditions for buyers. “Factors increasing buyer power include very low price growth with low volatility, a high degree of substitutes, very little product specialization and low switching costs,” says IBISWorld procurement analyst Michelle Hovanetz. However, the market's medium degree of market share concentration and a moderate degree of risk among vendors and within the supply chain decrease buyer power.
Binding and laminating machines have a high degree of substitutes in the form of outsourced binding and lamination services. “These services offer a simple, convenient way to bind and laminate business documents on an as-needed basis without the expense, upkeep or training needed for in-office binding or laminating,” says Hovanetz. This market substitute keeps constant pressure on prices of binding and laminating machines. Nearly all binding or laminating machines of the same type offer similar features and end products. Binding and laminating accessories, such as spines and laminating film, are standardized, and they can be used across similar machine models from all manufacturers. This standardization contributes to very low switching costs among suppliers. Buyers that are unhappy with one supplier can move to another with little additional effort or cost beyond that of the new machine.
These factors, combined with declining demand, have kept downward pressure on market prices. In the three years to 2013, the price of binding and laminating machines is expected to grow very slowly, and it is expected to slow even more in the three years to 2016. This can primarily be attributed to the rising use of the internet to disseminate information, rather than the use of physical documents. Steadily declining price growth is positive for buyer power. Declining demand has also led to consolidation within the market. The number of market suppliers has decreased during the past decade. On average, vendor financial risk is moderate, and suppliers are exposed to a moderate degree of supply chain risk along with falling profit margins. All of these factors have had a slightly negative effect on buyer power. Furthermore, major vendors in this market include ACCO Brands Corporation, Fellowes and Spiral Binding Company.
For more information, visit IBISWorld’s Binding & Lamination Machines procurement category market research report page.
Follow IBISWorld on Twitter: https://twitter.com/#!/IBISWorld.
Like IBISWorld on Facebook: http://www.facebook.com/pages/IBISWorld/121347533189.
IBISWorld Procurement Report Key Topics
This report is intended to assist buyers of binding and laminating machines for business use. Binding machines include plastic comb, wire and thermal binders that bind individual sheets of paper together. Laminating machines include pouch and roll laminators that protect printed documents with a protective film coating. Binding and lamination machines are supplied by manufacturers, wholesalers and office retailers for use in business documentation preparation.
Recent Price Trend
Product Life Cycle
Total Cost of Ownership
Supply Chain & Vendors
Supply Chain Dynamics
Supply Chain Risk
Market Share Concentration
Buying Lead Time
Key RFP Elements
Buyer Power Factors
About IBISWorld Inc.
IBISWorld is one of the world's leading publishers of business intelligence, specializing in Industry research and Procurement research. Since 1971, IBISWorld has provided thoroughly researched, accurate and current business information. With an extensive online portfolio, valued for its depth and scope, IBISWorld’s procurement research reports equip clients with the insight necessary to make better purchasing decisions, faster. Headquartered in Los Angeles, IBISWorld Procurement serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.