“Although market volumes have been affected by recent economic conditions, the segment has put in a strong performance, with pricing holding up well,” says Joanna Wright, Senior Market Analyst, Futuresource Consulting. “In value terms, the European photobook market is establishing itself as a significant contributor to industry revenues, with our projections showing a market value of nearly 400 million Euros by the end of this year.”
In line with the Futuresource US photobook study carried out earlier in the year, online continues to drive the bulk of European purchases, accounting for almost 90 percent of orders in 2008. However, retail volumes will grow as we move forward, encouraged by the introduction of customer-friendly solutions like the Kis Instant Photobook kiosk, Fuji’s duplex dry minilab and Kodak’s Apex. Future growth will be fuelled by greater availability of services and products, particularly at retail, where promotional activities are expected to increase predominantly through in-store displays and price promotions.
“We carry out in-depth primary research on an ongoing basis, obtaining inputs from a wide range of companies operating in the photobook business, including key manufacturers, vendors, online service providers and retailers,” says Wright. “This research is showing us that all Western European countries are displaying similar buying patterns, with a clear distinction between first-time users and repeat purchasers, the latter typically opting for larger formats and more pages.”
In terms of photobook production, the market remains fragmented, with a mix of photo brands such as CeWe Color, Photobox and Extrafilm, commercial print houses like SchmidKonz, Infowerk and E-Center, and specialist photobook companies such as Albumprinter and Hofmann, all vying for market share. Futuresource research indicates that there are more than 60 photobook manufacturers in Western Europe alone, with the leading six manufacturers taking more than 50 percent of the market.
Projections from Futuresource show that more than 23 million photobooks will be shipped in 2012, with online purchases continuing to dominate. Larger format and higher value books will also take a bigger share of the market, along with increased page runs, personalised photo covers, glossy paper stock and embossing all ensuring continued price buoyancy.