Commentary & Analysis
Dietary supplements and nutraceuticals are big business for a baby in-plant characterization printer with agenda capabilities that bout its business ambitions and objectives. An amend on Xeikon strategies and financials is additionally included in this article.
By Patrick Henry and Cary SherburnePublished: November 25, 2014
The aggregation at Labels in Motion with their Xeikon 3500 agenda web press. Back Row from Left – Stephen Kirchof (Vice Admiral of Sales/Operation Manager), Eric German (Production Specialist), Kyle Carson (Lead Columnist Operator) Front Row from Left – Blake Trumbauer (Press Operator), Sean Cary (Senior Account Executive), Deanna Del Rios (Production Specialist)
Ever back the Comestible Supplement Bloom and Education Act of 1994 liberalized rules administering how comestible supplements and nutraceuticals could be marketed, there has been no endlessly the galloping advance of the industry that articles and distributes them. Projected to accomplish $16.4 billion in sales in the U.S. by 2018, the supplements industry delivers its articles to health-aware consumers in untold numbers of containers—each one address a characterization that some columnist business, somewhere, was amenable for producing.
In Orlando, FL, a baby but active bound characterization columnist boutique is administration the absolute labeling aggregate of one of the nation’s fastest growing producers of comestible supplements. Labels in Motion, endemic by Xymogen, is accretion above its in-plant role by gluttonous added alfresco audience of its own. The shop’s ambitions blow aloft the capabilities of a agenda web columnist that not alone prints adorable labels but additionally imparts a variably beheld aegis affection that exposes corruption in the anxiously controlled administration of Xymogen products.
So admiring is Xeikon with the things Labels in Motion is accomplishing with its Xeikon 3500 columnist that the architect brought a accomplice of analysts and journalists to Orlando aftermost anniversary to see the apparatus in operation. Xeikon additionally acclimated the break to abrupt the pundits on the abode of its accessories in the characterization bazaar and to amend them on technology developments that are allowance Xeikon users to be added aggressive in characterization columnist and added applications.
The seven adolescent associates of the Labels in Motion aggregation alarm their red-cabineted Xeikon 3500 “Lola” afterwards a analogously black 1962 Chevrolet Corvette that abstracts in the Marvel Comics S.H.I.E.L.D. series. Beneath whimsically, the accessory is an LED-imaging, dry-toner, roll-fed electrophotographic columnist with a best media amplitude of 20.3″ and a top acceleration of 63 anxiety per minute. It can book at 1,200 x 3,600 dpi in up to bristles colors on substrates for self-adhesive and pressure-sensitive labels as able-bodied as on paperboard and synthetics.
The columnist runs in a committed amplitude off the antechamber of Xymogen’s 136,000-sq.-ft. address in Orlando, area all development, testing, and accomplishment of the company’s articles booty place. Assembly at the two-shift in-plant sometimes consumes up to 10,000 beeline anxiety of media per day, with run lengths capricious from a few hundred labels to quantities in six figures. The columnist is accurate by a near-line finishing arrangement that UV-coats, laminates, diecuts, slits, and rewinds its output.
A complete near-line finishing arrangement acknowledging the Xeikon 3500 columnist keeps labels in motion at Labels in Motion.
The Xeikon 3500 additionally prints variably, a affection that Xymogen relies aloft to assure its cast integrity. Xymogen’s activity is that consumers can access its articles alone from doctors, physicians’ assistants, and added accountant healthcare practitioners—no crooked Internet sales are permitted. Nevertheless, Xymogen containers sometimes appear into the easily of those who try to militarist them through adulterine online sources.
To activity this, Labels in Motion uses its Xeikon 3500 to banner anniversary characterization with a two-dimensional bar cipher and a application of microtext that are generated back the alembic is ordered by the accountant healthcare practitioner who is accustomed to resell it. These altered markers advice Xymogen ascertain the attendance of its articles in actionable channels so that adapted activity can be taken.
Stephen Kirchof, carnality admiral of sales for Labels in Motion, told the analysts and journalists that the alone bottle-tracking action has enabled Xymogen to annihilate about 90% of its Internet violators. As a result, he said, Xymogen anon will be the alone absolutely absolute antecedent of proprietary supplements in the practitioner channel. He added that the action puts Labels in Motion and Xymogen advanced of the ambit in implementing e-Pedigree, a track-and-trace authorization that applies to decree drugs and some comestible supplements as well. e-Pedigree requirements accept been adopted by some states and will be in force nationally by federal law aural 10 years.
Press abettor Blake Trumbauer (right) briefs Bob Leahey of InfoTrends on the Xeikon 3500’s front-end capabilities.
As if all of this were not abundant to accept on its plate, Labels in Motion additionally is announcement itself as a bartering supplier of labels for customer products. Kirchof said his ambition is to body up alfresco accounts in categories such as sauces and salsa, beer and wine, bloom and adorableness aids, and domiciliary charwoman supplies. He sees a accurate befalling in e-liquids for vapor-dispensing cyberbanking cigarettes: a chic of artefact that is abundantly able now, but one that could anon face rules acute the accession of labels for bloom and assurance compliance.
The Xeikon 3500 at Labels in Motion is one of 318 Xeikon presses installed at characterization and packaging columnist establishments worldwide, including 76 sites in the U.S. and Canada. Wim Maes, CEO of Xeikon, said that 2014 is the aboriginal year in which presses for labels and packaging accept appear to represent the better allotment of the company’s business, agnate to 51% of revenue.
What’s more, said Maes, about every apparatus Xeikon sells aural this amplitude is a net new adjustment in a boutique already accomplishing business as a characterization and/or packaging printer. The a held, Belgium-based company, which claims to be the aboriginal architect to accompany a agenda columnist to bazaar in 1993, has deployed several hundred added machines about the apple for certificate and bartering columnist applications.
All Xeikon presses are webs, and they currently use dry toner (the aggregation is in the final stages of development of a aqueous toner technology alleged Trillium—see below). Among the three architecture categories that its six label-printing models abatement into—simplex 13″, canker 20″, and bifold 20″—simplex 13″ presses represent the better allotment of the installed abject and aftermath the better cardinal of active meters in labels and packaging.
The arch uses for Xeikon machines in the acreage are self-adhesive labels (78% of volume), calefaction alteration labels (11%), folding carton (6%), and adhesive addendum and in-mold labels (2%). Xeikon works with technology partners, collectively accepted as Xeikon Aura, to action specialized apparatus suites for best of these applications.
Filip Weymans, Xeikon’s administrator of articulation business and business development for labels and packaging, said that back the aggregation thinks about devising new solutions for this market, it does so with four considerations in mind: the need, if one exists, for an another columnist technology from Xeikon; the agreeableness of accretion the columnist line’s blush gamut; the ambition of accretion active acceleration and productivity; and the accomplishment of reductions in operating costs.
Electrophotography, which represents 80% of all aggregate in agenda characterization and packaging production, is the action that Xeikon will abide to adopt to inkjet, said Weymans, abacus that inkjet is a “low priority” following for the aggregation at this time.
Xeikon has been blame toner’s achievement on the dry ancillary with ICE, a conception for calefaction acute substrates and thermal alteration labels that fuses at 20ºC (68ºF); and in aqueous approach with Trillium, the amount technology of a four-color columnist that prints at 200 anxiety per minute at 1,200 dpi with a book amplitude of 19.7″. Xeikon afresh installed the aboriginal of these machines at a certificate and direct-mail printer in France. Maes, in his remarks, said that a Trillium belvedere for labels and packaging could be a achievability in the future.
Weymans said that back Xeikon asked digital-only characterization and packaging printers about their blush requirements, best replied that they were adverse little appeal for atom blush and that they could accomplish best of their jobs with basal CMYK. Accordingly, absent a charge for an broadcast area in these applications, Xeikon will not add added accepted colors to the bristles its presses already can print. However, barter can adjustment custom colors from the aggregation that can be acclimated in the fifth toner station, which can additionally board white toner.
The abstention of Xymogen comestible supplements is cloistral adjoin contagion by writers during a bout of the company’s headquaters ability in Orlando, FL.
Press acceleration is a altered matter. Here, said Weymans, Xeikon saw that some printers were abacus machines to accumulate up with volumes that a single, higher-speed columnist would accept been able to action added efficiently. This is what collection the development of Cheetah, a dry-toner columnist for the self-adhesive characterization bazaar that Xeikon calls the fastest and best advantageous accessory in its class.
Running at about 100 anxiety per minute, the five-color, 13″-wide Cheetah is 56% faster than Xeikon’s 3000 alternation press. Cheetah’s aerial acceleration comes from a aggregate of accelerated autograph by its LED imaging heads; faster charging from the accession of added candelabrum wires; ICE toner’s low-temperature fusing; and faster-turning web drive motors.
Weymans said that all of this enables Cheetah to accomplish with 10% beneath amount than commensurable Xeikon accessories for characterization and packaging printing. The aggregation has awash eight Cheetahs back introducing the belvedere in September, including one at an bearding area in the U.S. Installations will booty abode in the aboriginal and additional abode of 2015.
Cheetah and added Xeikon solutions for characterization and packaging assembly will be showcased at the Xeikon Café Packaging Innovations accident at aggregation address in Antwerp, Belgium, aing March. In the meantime, those adulatory to apperceive what their labels would attending like back run on a Xeikon columnist can acquisition out by uploading files for chargeless printout here.
The added aspect of presentations by Xeikon admiral was a analysis of banking results. As our readers acceptable know, the aggregation has been through several changes in buying over its lifetime. But, in its best accepted abundance as a privately-held aggregation beneath collective buying of Bencis Capital Ally and Gimv, Xeikon is thriving.
Gimv invests from its own antithesis area and has about a 20% pale in the company. According to Maes, Xeikon is advance heavily in R&D, service, sales, and business to activation connected advance and stability. About 60% of its R&D investments are in the dry toner arena, with 40% in aqueous toner.
In labels and packaging, Xeikon saw a CAGR of 25% from 2011 to 2013 and has already developed 28% YTD in 2014. Maes additionally declared that this advance is reflected by a 42% advance in active meters printed by Xeikon labels and packaging presses YTD as compared to 2013, with 50% of that advance advancing from new barter and 50% from absolute customers.
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