The two major supplier organisations are exploring ‘models of working together, one of which is a possible merger.’ As first reported here at Print21, talks are underway that may result in a radically changed landscape for the graphic arts industry.
Following preliminary discussions, Mitchell Mulligan, President of GAMAA, and Mark Tailby, President of VISA, have officially announced that both associations are in the preliminary stages of exploring models of working together.
“It is early days, but GAMAA members have given their support for the two associations to enter into discussions around the possibility of merging,” said Mr. Mulligan. “This is one scenario that we are considering as there are many synergies between the two associations that point towards a closer relationship.”
Mr. Tailby said, “We also have the support of our members to progress the discussions with GAMAA around the notion of a merger. There are many steps to take before we reach the end point, and both associations are currently undertaking due diligence.” In a joint statement the Presidents agreed that working more closely together was a positive move for the industry.
“Associations need to reflect the changing face of the industry. GAMAA and VISA are both working towards a sustainable future vision for the print and sign communications sector and this vision may well be strengthened by a combined effort.”
The two organisations have grown from very different backgrounds. GAMAA (Graphic Arts Merchants Association of Australia) was formed in the 1970s as a loose gathering of merchants, almost a ‘luncheon club’ where mutual interests and the state of the industry could be addressed. Only later did the Association become engaged in the activity for which it is best known, organising and running trade shows such as PacPrint and PrintEx, in conjunction with the Printing industries.
VISA (Visual Impact Suppliers Association) is a younger organisation formed in the early 1990s with the specific aim of running trade shows and exhibitions for the signage industry. On its website it relates its origins as … Visual Impact Trade Shows began in the early 1990s after a group of supply companies became discontented with the trade show of the time, which was run by a profit making company. This company would dictate when and where our Trade Shows were to be held. Under the guidance of David Saunders and supported by the owners of three of the larger suppliers, the Sign Suppliers Association was formed, a not for profit organisation now known as the “Visual Industries Suppliers Association” (“VISA”). The association has grown from 6 members at its inception to over 100 in 2012, and has continued to run very successful trade shows all over Australia.
The move towards consolidation on the supply side is a reflection not only of the economic pressures facing the industry but also the convergence of technology. The advent of digital imaging has created a commonality between previous distinct sectors of the graphic arts. Unified workflows have made it easy for producers to output the same graphic file across many different formats.
Consolidation is a major force among printing companies as well, with continuing mergers and takeovers reducing the number of standalone firms dramatically. For instance there are now approximately 2000 offset-plate printing companies in Australia, down from over 7000 in at the start of the century.
Discussions and expressions of interest in getting together have also come from Printing Industries with the Packaging Council, although not much progress has been reported. This year GASAA (Graphic Arts Services Association of Australia) merged with Printing Industries. 2015 is likely to see further consolidation from all sectors of the industry.