ISA Market Monitor Shows Industry Growth into 2015
New quarterly report assesses four market sectors and their impact on sign supply and manufacturing.
The International Sign Association’s initial ISA Sign Industry Market Monitor, sponsored by the National Association of Sign Supply Distributors (NASSD), shows anticipated growth in wide-format printers, dynamic digital signage, electronic signage, and wayfinding signage throughout 2014 and into 2015. The Market Monitor compiles data and assesses key drivers of change in the market, according to ISA.
Future reports will be released quarterly, showing how four sectors of the sign market – wide-format printers, dynamic digital signage, electric signage, and wayfinding signage – are changing over time. According to ISA, the report is based on an index value which determines whether anticipated growth will outpace or fall behind historical trends. Any factor higher than 0 indicates stronger-than-average growth; negative values indicate weaker-than-average growth.
ISA is pleased that the first Market Monitor report shows strong growth in four key market segments.“As we continue to provide these numbers, we expect to provide the industry – particularly those in the supplier/distributor and manufacturer sectors – with data they can use to anticipate orders and expansion opportunities and better manage their businesses,” says Lori Anderson, ISA president and CEO, in a press release.
According to the report, conducted by IHS and Vandiver and Associates, the ISA Sign Industry Market Monitor for the second quarter of 2014 shows:
• Large-format printers will have stronger-than-average growth in both 2014 (0.47) and 2015 (0.59) with an anticipated growth of 4 percent in 2014 and 5 percent in 2015.
• Dynamic digital signage will grow in 2014 (0.21) and 2015 (0.48), due to hardware and software revenue. Display mounts are forecast to increase gradually each year, averaging a 2.9-percent growth annually through 2017. All other cable and miscellaneous hardware revenue is expected to increase an average of 2.4 percent each year during the same time period. Installation (2.4 percent) and project management revenue (2 percent) also show growth.
• Electronic signage will experience a stronger year in 2014 (0.74), but 2015 reflects a less aggressive growth rate (0.48). Growth in this sector will largely come from increases in out-of-home advertising, which is expected to grow 18 percent in 2014 and 15 percent in 2015. Other key factors include retail output, with an expected increase of 3 percent in 2014 and 4 percent in 2015; manufacturing output (3 percent in 2014 and 5 percent in 2015); and professional services output (2 percent each year).
• Wayfinding signage (0.71 in 2014 and .45 in 2015) will grow through new construction of highways and streets, which increases by 3 percent in 2014 before flattening in 2015, as well as growth in manufacturing, retail, and professional services.
A free webinar for those interested in learning more about the ISA Market Monitor and its 2014-2015 findings will be hosted on July 17, 2014 at 1 p.m. EST.
The Market Monitor report is free for ISA and NASSD members, and can be accessed at www.signs.org/ISAmarketmonitor. Non-members may purchase it for $1000 per forecast or $3500 for all four quarterly forecasts.
INTERNATIONAL SIGN ASSOCIATION (ISA)