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packaging market
Challenge
In terms of packaging, Potts sees itself as the new kid on the block. The printer of bespoke packaging work had until five years or so ago operated predominantly in the commercial print sector. Now 25% of the company¡¯s business is in the short-run bespoke packaging market and it is looking to expand its presence in the sector with the installation of a new B1-format Manroland press.
 
The investment follows the company¡¯s renewal of two public sector commercial contracts with the NHS and local government, which has guaranteed work for the next five years. In light of this it was in a position to invest and expand its growing presence in the packaging sector, too. We also wanted to offer further flexibility and capacity overall to our growing client base, says Potts business development director John Conway.
 
Strategy
In February this year, the company began to think about purchasing a new press and in May it ordered a five-colour B1 Roland 705 with coater, which runs IPA-free and benefits from a faster change over than its previous machine.
 
The investment followed the installation of a brand new six-colour B1 from Manroland in 2006, which meant Potts already had experience of its machinery and service. We went for the five-colour this time as we already have two six-colour B1 and B2 presses on site, says Conway. We are also developing specialist coatings with our ink and varnish suppliers, which this new press and our other machines can support.
 
Potts already had three Heidelberg presses and considered KBA¡¯s offering. We considered their options, but the Roland just ticked all the boxes and it complemented the six-colour that we already had, says Conway. He points out that in the recession many are not in the position to invest, adding: It¡¯s nice that we are bucking the trend. It¡¯s testament to our people.
 
Implementation
Manroland installed the press at the Cramlington, Northumberland-based factory in September this year. As Conway explains, the company had already planned its press hall to accommodate additional presses when it completed its move to the facility in 2006. As scheduled, production commenced on the machine at the beginning of November.
 
The company has been running its six-colour B1 press for six years, and the new machine will be used for both sheetfed commercial and packaging printing, which Conway says just opens up a lot of capacity, letting Potts chop and change between jobs and offer clients greater flexibility.
 
Results
In packaging not many people have heard of us, we are almost like the new kids on the block, says Conway. Now the press is installed, the firm says its goal is to target small runs in the packaging sector, which it views this as a growth market. 
 
Conway believes the fact the company has complementary facilities, such as die-cutting and CAD, will help it achieve this aim. Our press investments complement our supply to the sheetfed paper-based markets in the public and private sectors, and bespoke packaging with private label and the major retail clients in the healthcare, cosmetic and luxury gift packaging sectors, says Conway.
 

All of which will help the company in achieving its ¡®10 at 10¡¯ target, to move from a turnover of £9m this year to a turnover of £10m in 2010. Now we¡¯ve got the investment down, we¡¯ve got to make it sweat, says Conway, who does not rule out further investment. Next year there may be a need for it, but we will wait and see, he says. Digital, for one, is under review.

 
 
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