The Inkjet Embellishment Market Turns the Corner, Poised for Growth

As commercial printers search for higher margins, embellishment has gained renewed interest as a value-add option for applications like book covers, direct mail, labels, and packaging.   Historically analog technologies were used to apply spot or flood coat varnish (often using a one or two color offset or flexo press), or specialist devices like Kluge presses that can be up to 50 years old and in perfect working order.  The set-up cost and time for these analog devices precluded their use for short-runs; enter inkjet embellishment printers.  

Commercial printers need sufficient and consistent embellishment job volumes to make the return-on-investment work.  Given the relatively high-cost of equipment, it can’t be bought for occasional use.   There have been some great use cases for inkjet embellishment equipment, but the high barrier to find consistent volume in turn has limited demand, and in turn created economies of scale challenges for the equipment vendors. 

But the market seems to have turned the corner and is now poised for growth.   Unit shipments are up more than double since the depths of the COVID pandemic, and up ~7% in 2024 from 2023. Revenues are up almost 18% from 2023 to 2024, mainly due to a shift to new higher productivity, more expensive printer models.   Awareness for embellishment has also grown as a result of coper/MFP manufacturers adding varnish embellishment capabilities using clear varnish toner.

Figure 1   Inkjet Embellishment Hardware Units, 2018-2030, WW

Source: IT Strategies, Inc.

Fluid revenue accounts for about 42% of vendor revenues in 2024, up from 24% in 2019, which indicates an early-mid-maturity stage market.  In mature digital printer markets, fluid/toner revenue typically accounts for over 2/3 of vendor revenue.  IT Strategies expects the inkjet embellishment market to reach just over $150M by 2030.  

All of this growth will have to come from customers/brands who are willing to spend the extra money to stand out.   Inkjet embellishment is a luxury, one that IT Strategies believes premium brands will be willing to pay for even in times of economic and geo-political uncertainty.