CBI MARKET SURVEY: THE STATIONERY, OFFICE AND SCHOOL SUPPLIES MARKET IN THE EU

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2.1

Production
Size of production

In 2007, EU production totalled € 27.5 billion, an overall increase of 8% since 2003. Italy was the country with largest production in the EU, accounting for 24,9% of EU production, followed by Germany, the United Kingdom, France and Spain. Compared to 2003, Italy, Germany, France and Spain have seen a growth in production. Only the UK has seen a total decrease, of 1.8%, between 2003 and 2007. Table 2.1 Production of stationery, office and school supplies sector in the European Union 2003-2007, € million
Average annual % change (20032007)
1,9% 1,8% 1,2% -0,5% 0,3% 3,3% 0,5% 9,0% 20,0% -0,9% 5,8% 0,3% -5,3% 25,8% 2,0% 7,9% -2,8% 4,8% 21,4% 41,2% 67,7% 10,3% 4,7% 2,4% 7,6%

2003 EU-total* Italy Germany United Kingdom France Spain Netherlands Belgium Poland Denmark Portugal Finland Sweden Czech Republic Austria Hungary Ireland Greece Romania Lithuania Bulgaria Estonia Slovakia Latvia
25,536 6,397 5,042 4,195 3,477 2,012 984 529 296 514 299 323 379 121 260 141 188 127 57 28 12 43 48 35

2004
25,330 6,481 4,950 3,726 3,713 2,035 982 504 310 522 318 321 315 105 246 161 156 141 82 59 56 41 32 29

2005
24,784 6,388 4,841 4,183 2,763 2,102 1,013 506 328 491 335 304 308 124 295 148 150 131 98 71 67 38 37 43

2006
26,665 6,788 4,986 4,126 3,499 2,246 1,045 640 558 485 329 309 319 118 322 125 178 140 119 78 84 71 33 34

2007
27,584 6,875 5,292 4,118 3,520 2,293 1,002 746 613 495 374 327 305 303 282 191 168 153 125 112 92 64 58 38

Share from total EU (2007)
100% 24,9% 19,2% 14,9% 12,8% 8,3% 3,6% 2,7% 2,2% 1,8% 1,4% 1,2% 1,1% 1,1% 1,0% 0,7% 0,6% 0,6% 0,5% 0,4% 0,3% 0,2% 0,2% 0,1% 0,1%

Slovenia 27 43 20 35 37 Source: Eurostat (2009) * Data for Luxemburg, Malta and Cyprus are not available.

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0% 0.272 39. The production figures for paper-based items.0% 0. Table 2.097 946 277 253 1. office furniture.768 8.eu • www.099 964 286 252 -0. off-shoring. However.828 2006 10.514 7. Looking forward.3% 2.cbi.9% 89 95 92 82 84 -1. and fixed costs such as land.780 3. Lithuania. Production statistics are discussed in more detail in the CBI sector surveys covering the market in individual EU countries.0% 3.5% 1. materials. in order to drive growth in the mature stationery market.eu/disclaimer Page 2 of 4 . Romania.014 912 328 259 1.2% 2. office and desk accessories. followed by office furniture (30%) and office and desk accessories (16%).9% Share of total EU 2007 2003 Paper-based items Office furniture Office and desk accessories Writing and drawing instruments Filing products Greeting cards Storage products Cases and satchels Presentation and planning materials Source: Eurostat (2009) 9.980 2004 10. The cost of wages. and direct investment in manufacturing in lower-cost countries.048 891 285 306 1. production in most of these countries is increasing. Ireland.390 4.120 7.410 3.eu • Contact: marketinfo@cbi. Eastern Europe and other lower-cost EU members such as Poland are to expect increase in the manufactured levels. Western European producers will have difficulty competing with the lower unit costs of their rivals in the Far East and Eastern Europe.2% 4. Estonia. Product and design innovations are important means for manufacturers to extend Source: CBI Market Information Database • URL: www. there is a clear trend to outsourcing to lower-cost countries.463 1. rent.448 1.3% 1. Greece.0% 1. Austria. Hungary. Bulgaria.135 7.cbi. Slovakia.0% 3.315 1.7% 0.0% -4.288 998 933 263 257 1.CBI MARKET SURVEY: THE STATIONERY.006 4. OFFICE AND SCHOOL SUPPLIES MARKET IN THE EU European production of stationery is expected to remain stagnant overall in the coming future. and facilities are much higher in Western Europe than in developing countries.2 Total EU production of stationery. whereas the other product groups saw a decline or remained static. € million Average annual % change (20032007) 2.882 2005 9. Production by product group Paper-based items (39%) accounted for the largest share of production by value in the EU in 2007. manufacturers are searching for ways to differentiate their products from their competitors’.392 4. Latvia and Slovenia together accounted for less than 5% of the EU’s total production in 2007.808 2007 10. with the largest fall in production in this period occurring in the cases and satchels product group.9% 16.4% 0. office and school supplies sector by product group 2003-2007.297 1.694 7. utilities.0% 30. filing products and greeting cards grew marginally during 2003-2007. Nevertheless. As a result.7% 5.2 • Trends Because of increasing competition.

and also closer to home. Increasing competitiveness in other links of the supply chain has also affected the position of the stationery manufacturers. Still. but may also be a threat to them if they are not creative enough. As a result.cbi. In pursuit of greater efficiency.eu • Contact: marketinfo@cbi. which is specialized in private-label products. As a result. specialty markets and the opportunity to exploit economies of scale.3 + ± ± + - ± - Source: CBI Market Information Database • URL: www. the quality of products made in these countries has increased. buying groups and large retailers puts them in a position to bargain for more competitive pricing. as every link in the supply chain tries to avoid holding stock. innovation is vital because they do not benefit from the same economies-of-scale. at the same time. Many Western European manufacturers are seeking to establish or buy manufacturing bases in low-cost countries. please.eu/disclaimer Page 3 of 4 . cheaper products will further challenge DC exporters. Note that many European manufacturers also produce private-label products. there are no clear signs of demarcation in the distribution chain. unless the improving living conditions and subsequent inflation in 2. Outsourcing was/is also a popular means for Western European manufacturers to remain competitive. BIC started its own operations in China for cost reasons. they can maintain an efficient. in Eastern Europe. Besides. in order to minimise their inventory risk and costs. The increasing amount of production in Eastern European countries can be seen as a threat to developing countries. which will give exporters more opportunity to supply such products. This migration of European manufacturers to low-cost countries has allowed local manufacturers to pick up new (production) technologies and systems. The increasing power of wholesalers. Despite the increasing competition. refer to the CBI sector surveys covering the market in individual EU countries.cbi.CBI MARKET SURVEY: THE STATIONERY. For more information. often in China. An example is the Dutch Manufacturer Lutkie Cranenburg. when a certain niche becomes lucrative in a market. The demand for better quality and. high-quality production system but at low cost. In November 2005. Manufacturers today sometimes take on the role of wholesaler. This development is considered as a threat because consolidation leads to fewer players and more power on the buying side (higher volumes and more pressure on prices). companies in other developing countries with strengths in efficiency and low cost production can take advantage of the continuing demand for low cost products. Innovation also offers chances for manufacturers in developing countries to tap into the market with new creative designs. many manufacturers moved their facilities out of Europe. There is also a trend of consolidation in the European market.eu • www. Developing countries are a destination favoured by many Western European manufacturers for partial or complete outsourcing of their production. there are countries where this niche is not saturated yet. In low-cost countries. especially when the entry requirements are low. The increasing popularity of private and white-label products. but also will threaten them with local competition. In other words. often imported from low-cost countries. new-comers are easily attracted. DC exporters will have to compete with more robust EU manufacturers. For smaller manufacturers. producers can combine their state-of-the-art technology with a low cost-base. On the other hand the consolidation trend can be an opportunity for those exporters who dare to take risks and focus on niches. has undermined the position of the manufacturers. OFFICE AND SCHOOL SUPPLIES MARKET IN THE EU • • their market. In this way. the manufacturers are more or less forced to hold stock and take on the role of a wholesaler. Opportunities and threats Like Chinese companies. The result is higher competition and saturated market in the long run. Non-labelled and non-branded products have now a bigger share of the total market. Outsourcing a part of their production to cheap(er) contract producers offers the European manufacturers the chance to focus their attention on marketing their products. Taiwan and Thailand. when they complement their own ranges of products with additional lines to widen their product ranges. European manufacturers who manage to find cheaper land and labour by off-shoring their production facilities will be more competitive.

org/ EUROPE European Writing Instruments Manufacturers Association (EWIMA) http://www. & Office Products Association (SHOPA) .http://www.org/front_content.http://www.cbi.eu/disclaimer Page 4 of 4 .CBI MARKET SURVEY: THE STATIONERY.ewima.shopa. OFFICE AND SCHOOL SUPPLIES MARKET IN THE EU those countries undermines their competitiveness. Home. The developing countries’ exporters can defend their competitiveness by retaining lower prices and comparable quality.eu • Contact: marketinfo@cbi.php European envelope manufacturers association . 2.org/ Websites of interesting players are given in the individual country surveys Source: CBI Market Information Database • URL: www.fepe.4 • • • • Useful sources School.eu • www.cbi.