Online partnership drives growth

By positioning itself as an internet-based business, Taiwan printing company JH Printing has seen fast growth driven by a boom in online orders.

Taiwan Jianhua Printing was established in 1997 and is a mid-sized printing company with 50-plus employees and six million USD annual turnover.

‘In the beginning, our business was mainly producing audio and video tapes and discs, which had nothing to do with label printing,’ says Jacky Cai, president of JH Printing. ‘However, we came into contact with a Labelmen press by chance and felt label printing technology could open up fresh opportunities, and that way we entered the label printing field in 2002.’

Online business

The real difference between JH Printing and its competitors is a partnership with Gain-How, one of Taiwan’s leading internet-based printing enterprises. Gain-How processes around 20,000 online orders a day, and all the company’s purchase orders relating to labels are fulfilled by JH Printing. Supported by this huge flow of POs sourced by Gain-How, J online orders today account for 80 percent of JH Printing’s total business.

‘Since we started co-operating with Gain-How in the last year and focused on servicing online orders, our online business has boomed,’ confirms Jacky Cai.

‘The main difference is that online orders are less complex and do not need to be color-matched. However, the biggest problem – which is also our biggest challenge – is how to deliver the products to our customers at the fastest speed.’

Because of customers’ requirements for fast turnaround, JH Printing has a professional service team specialized in online orders on duty for 24 hours a day. ‘We can assure delivery within three days after customers place the POs,’ says Cai.

There is a price list for label products on the Gain-How’s website (www.gainhow.tw), with different prices corresponding to different sizes, specifications and materials. Customers just need to upload their artwork and put the PO online. JH Printing optimizes the process using a high degree of automation which helps lower costs to the minimum.

In terms of printing and converting technology, JH Printing now has two Labelmen full rotary CID letterpress and several of the company’s flatbed label presses. Digital printing capacity now includes one Epson SurePress L-4033A, one Screen Truepress Jet520 inkjet label press, an HP Indigo WS6800 press and a Trojan digital label press.

In terms of finishing equipment, JH Printing has one Labelmen high-speed die-cutting machine, several flatbed die-cutting machines and one Hans-Gronhi laser die-cutting machine, plus some mid-and small-sized equipment for varnishing, hot stamping and creasing.

Jacky Cai says the internet brings not only new customers, but also an increase in quantity of business per customer. Many customers start off with small online orders, then as their business develops, gradually increase the quantity of POs. What’s more, online printing requires prepayment, which is highly beneficial to JH Printing’s cash flow.

The company is continually optimizing its production resources to improve delivery speed and reduce warehouse costs, while paying close attention to production safety issues.

Beyond labels

JH Printing’s current business is not limited to self-adhesive labels, but also includes printed paper bags, cartons, and even posters, books and personalized photo albums. In order to meet the demands from the online album and book market, JH Printing has also built its own website to constantly explore these new business fields.

For the future, Cai states frankly that JH Printing will keep enlarging its production facilities and try to be among the largest label converters in Taiwan. As to print technologies, Cai says they will not be limited to letterpress and digital printing: flexo printing is also in the company’s future plans.