If getting back into offset...

[Keith]

...what would you do? Or, how would you go about it? What kind of press would you buy? DI? Used Heidelberg? New Ryobi? I'm lightly entertaining the idea as I used to run an offset press but have been all digital for the past twelve years. I got the space and the three phase power. Currently running a Xerox C75 and they really, really, want me to upgrade to a V180P. But I thought, if I'm gonna spend that kind of money and not do any VDP other than addressing (which means I would need to buy an inkjet addresser) why not consider offset? I know I'll need a plate maker unless I go DI but after some of the threads I've read on here about DI, that may not be as good of an idea as it sounds. I also know I need an operator. As well as the fact that these machines, any machine really, needs to be fed, meaning, it's got to make you a profit. I have talked to Presstek and looked over their cost analysis spreadsheet. I think my biggest problem is the fact I still do a lot of really small quantities- 100, 250, etc. Heck, I have one customer that just increased their order size from 50 envelopes to 75! Lol! The other big problem is it would be me in more direct competition with the online companies that run half a dozen 40" Heidelbergs. and do so much volume that they give everything away for free (isn't that how the scale of manufacturing works? Lol!).

There is a 99% chance I'll stick with what I got but I've been thinking about this for the past year and need to know some other thoughts.

 

[gordo]

You’re in a service industry. Equipment is purchased/leased based on your market’s needs, competition, and business opportunities. Based on those criteria your business plan will determine what direction you should consider taking.

 

[AP90]

...what would you do? Or, how would you go about it? What kind of press would you buy? DI? Used Heidelberg? New Ryobi? I'm lightly entertaining the idea as I used to run an offset press but have been all digital for the past twelve years. I got the space and the three phase power. Currently running a Xerox C75 and they really, really, want me to upgrade to a V180P. But I thought, if I'm gonna spend that kind of money and not do any VDP other than addressing (which means I would need to buy an inkjet addresser) why not consider offset? I know I'll need a plate maker unless I go DI but after some of the threads I've read on here about DI, that may not be as good of an idea as it sounds. I also know I need an operator. As well as the fact that these machines, any machine really, needs to be fed, meaning, it's got to make you a profit. I have talked to Presstek and looked over their cost analysis spreadsheet. I think my biggest problem is the fact I still do a lot of really small quantities- 100, 250, etc. Heck, I have one customer that just increased their order size from 50 envelopes to 75! Lol! The other big problem is it would be me in more direct competition with the online companies that run half a dozen 40" Heidelbergs. and do so much volume that they give everything away for free (isn't that how the scale of manufacturing works? Lol!).

There is a 99% chance I'll stick with what I got but I've been thinking about this for the past year and need to know some other thoughts.

One thing I have been considering is buying a shop for sale if one ever comes up around me that already has offset. We already outsource about $9k/month worth of offset, so if we can find a shop that already is profitable in offset work, add ours to it and be able to take on more, then that might be beneficial for us. But I doubt any operation like that comes up for sale within an hour or so of us. So until then, were riding out the digital train.

 

[dallasprinting]

We recently made the switch to all digital (in the last six months) and we'll never look back. Digital is just so much more profitable than offset - less waste, no setup, no chemicals, etc. Especially with the trent towards smaller and smaller runs, its going to get harder and harder to find customer who want runs of enough length to offset. We run jobs between 10,000 - 20,000 impressions all the time on our digital equipment and make a good margin. Additionally, another benefit (if you have the right equipment) is the ability to let a job run overnight - no labor! Something that you just can't do with offset. Also, if you were to purchase a Xerox V180P or V3100 (we have a V3100), it also gives you the ability to run envelopes in full color at high-speeds and great quality. And if you were to purchase a V3100, you can print oversized sheets (13" x 26") at any quantity.

Now, with that being said, we do still do offset work. We work closely with some good vendors in our area that still do offset work. We still have several customers that we haven't transitioned to digital, so it works for us.