Mark Andy's growth in Latin America market

Mark Andy was a key exhibitor at the inaugural Labelexpo Mexico trade show, attracting many visitors from Latin America. The event provided an excellent platform for showcasing various Mark Andy technologies, including the company's toner-based Digital Pro 3 hybrid press, which drew significant attention and sparked numerous discussions with printers and converters from the region.

The Latin America market has been a successful business area for Mark Andy in recent times. Booth visitors showed a keen interest in new concepts among hybrid solutions, given the rising number of Mark Andy toner and inkjet-based presses installed in the South and Central America region. Along with Mark Andy representatives for Latin America, business partners were present at the booth to welcome visitors from Mexico, Brazil and other regional countries.

'Our sales success in the Latin America market shows a strong and continuous growth in this part of the world in recent years', said Tom Cavalco, executive vice president at Mark Andy. '2021 was a record year for us, and we finalized many significant contracts last year as well. These included the first hybrid presses delivered to various countries. The first Labelexpo Mexico highlighted the enormous potential of Latin America printers and converters and their increasing interest in modern, advanced technical solutions due to the need to upgrade or replace existing machines. As a press manufacturer offering different printing techniques, including conventional flexo and hybrid, both toner and inkjet-based, we have a lot to offer and are eager to participate in as many interesting business cases as possible.'

Rising demand for hybrid solutions

Mark Andy showcased a toner-based Digital Pro 3 at its booth, representing the entry-level segment in the company's hybrid range. Cavalco emphasized the increasing worldwide popularity of hybrid technology, with Latin America being no exception: 'A few years ago, we delivered our first 17-inch Digital Series HD in the region to one of our long-term flexo users. This was followed by other installations in the region, and we have witnessed a consistent year-on-year growth of hybrids delivered to the Latin America area.'

Labelexpo Mexico confirmed this market trend, with Mark Andy having many discussions with current and potential customers considering an investment in, and a switch to, a digital-based press equipped with additional finishing and embellishment options. 'We even signed a few agreements on the booth for both hybrid and flexo presses, so it was a successful event for Mark Andy in terms of sales,' he added.

Latin America benefits from geopolitical changes

The printing industry in Latin America is benefitting from key geopolitical changes that have occurred in recent years. 'Many brand owners have started so-called 'near-shoring', which means bringing their businesses and manufacturing plants closer to the target market and the end-users. The entire Latin America region, especially Mexico, is benefiting from this global change,' Cavalco continued. As a result, the demand for different printed products, including labels and packaging, especially sophisticated ones, has begun to grow significantly. Printers and converters are now receiving requests for more advanced products like shrink sleeves, IML, flexible packaging and RFID tags. So, they are being forced to modernize and upgrade their machines.

Cavalco suggested that the success of Labelexpo Mexico underscores the changes happening in Latin America and the tremendous potential capacity of the market: 'We have seen a growing importance of e-business in the entire region, followed by a growing demand for packaging and labels,' he said. According to official data, Mexican online sales grew by 23 percent in 2022 compared to 2021, and have tripled since 2019. The outlook for the label market is also very promising. Predictions are for a 5.5 percent growth between 2021 and 2026, and a doubling of the number of label printers and converters since 2013. 'This is excellent news for us as a manufacturer of narrow-web presses,' he added.

Local support in sales, service and finance

Cavalco underlined the importance of adopting an appropriate sales and support strategy for the region based on its local requirements and market specifics: 'We are building our structure in Latin America on the successful model we used in Europe, where we significantly increased market share after moving our activities closer to the customers.'

Like Europe, local background knowledge of both personnel and technology is very important to Latin American customers.  'We employ only those people who have rich experience and market knowledge of sales and technical support in the region.  Our trading activities are supported by a finance company that employs fluent Spanish speakers, which is crucial for direct contact with LATAM customers.'