The ‘workhorse’ digital wrapping films, especially those with an opaque, high gloss property, are ideal for creating custom designs using digital print technology for vehicle graphics.
Vehicle wraps were adopted on the commercial side long before the consumer market emerged, so the commercial segment is much larger in terms of revenue and more mature in terms of future growth. It is also much more concentrated on the provider side—particularly at the heavy-duty vehicle level—compared to the fragmented personal vehicle segment. This is due to the longevity of the largest fleet graphics suppliers and the need for larger facilities, more sophisticated equipment, and more trained installers.
On the consumer side, straightforward colour change was the primary attraction when automobile vehicle wraps first appeared on the scene. It was not long before people started to realize it did not have to be a one-time thing—one could change the look of their car every couple of years, just because they felt like it.
Then, as film manufacturers introduced more dramatic products, and installers began to emphasize creativity over functionality, vehicle wrapping became about making a personal statement—not only for the vehicle owner, but also for the wrapper. It was also during this time when wrapping really took off at the high end of the market.
Growth opportunities
Today, there are growth opportunities in the vehicle graphics industry across the market spectrum. Although the commercial market is more mature and more concentrated, it continues to grow at a high single-digit rate. That said, smaller car wrap shops continue to expand into the van and box truck sub-sector, and new fleet customers are starting to see the value of well-executed rolling billboards.
On the personal vehicle side, the high end of the market has plenty of runway to grow, which can be attributed to social media, as the industry is just now starting to tap into the mainstream. While there are not too many everyday Ford Explorers or Toyota Camrys sporting a head-turning vinyl wrap, this is changing as the general public’s awareness of vehicle wraps continues to expand and existing customers move up to premium films.
Brand Graphic Solutions, a full-service print solutions company, helped their client, Mericle Commercial Real Estate Services, brand its fleet of company vans using digital wrapping film.
This author’s bullish view is echoed in the “Automotive Wrap Films Market Size, Share & Trends Analysis Report” by Grand View Research Inc., published in February 2020. It projects the global automotive wrap films market will expand at a compound annual growth rate of 22.5 per cent over the forecast period of 2020-22 to US$17.6 billion by 2027. The report cites the growing sign and graphics industry, low cost, and increasing demand for mobile advertising, combined with increasing trend of people wanting to personalize their cars. It notes the market has witnessed major advancements, both in terms of technology and material, to facilitate low cost and mass production of automotive wrap films. This leads to flexibility in design and ease of manufacturing for a range of applications involving all types of vehicles.
Keeping up with demand is a challenge in some regional markets. Shops report periodically having more business than they can handle. Fortunately, people work with each other in this industry. A shop may win a good-sized project, which might be more than they can handle in a short timeframe, and they will typically reach out to their network and say, “Hey, is anybody available? I need some help getting some installs done.” And people respond.
In the long-term, however, the industry needs to develop a steady stream of new wrapping talent if it is to keep up with this projected demand. In response to this, many vinyl-wrapping film manufacturers offer and support training programs, school partnerships, and other initiatives designed to attract new employees into the business; however, more needs to be done. Many smaller shops do not have the capacity to train potential wrappers on their own.
