Are physical office supplies still considered necessary at present? For years, many people have been advocating for a shift to digital solutions and processes. Ditching paper and other traditional supplies used in the workplace has many advantages, but it appears they aren’t going away anytime soon.
Businesses continue to buy traditional office supplies, ranging from paper to fasteners, markers, and ink. It might surprise some to find out how physical supplies remain in demand considering the accelerated digitalisation of many companies. However, the reality is that it is difficult to do away with conventional workplace supplies, even with the ubiquity of digital tools. Executives at one office supplies company can attest to this, as they share their optimistic projections for their market.
Growth expected
A report by Research and Markets reveals a rosy outlook for the global office stationery and supplies industry. In a June 9 press release, the business intelligence firm projected a compounded annual growth rate (CAGR) of 3.2%. This translates to a growth of around $36.9 billion. Also, the study says that the computer and printer supplies sector is set to grow by more than 4%. This segment of the office supplies industry is expected to expand its market size to $69.3 billion.
The projection reported by Research and Markets is for the years 2021 to 2027. It is based on a review of historical data from the period 2012 through 2019. It covers markets worldwide for the reporting year 2020.
Effects of COVID-19
Just like other forecasts in the past, the estimated growth rate is set to approximate actual growth. However, it would be inexpedient not to take COVID-19 into account. This unprecedented pandemic has brought the global economy to a standstill, so it is bound to affect economic outcomes in the years to come. In light of the lingering health crisis, Research and Markets had to revise their forecasting.Â
Accordingly, the United States stationery and office supplies market will grow by 2.7% CAGR. The growth is still significant despite the rise of digitalisation in the country. Many companies continue to rely on paper-based documents or presentations, even with the popularity of various digital tools and virtualisation platforms.
For the European economic block, the firm sees a market size increase of around $3.4 billion over the next seven to eight years. Half of which will come from the German market. Similarly, the business research firm expects Japan’s office supplies industry to rise. The country’s computer and printer supplies segment, in particular, is set to grow into a $3.2 billion market by 2027. When it comes to China, Research and Markets predicts a 3.1% growth. This means an addition of around $5.8 billion addressable market opportunity.
Digitalisation is unlikely to put an end to the use of conventional office supplies in the foreseeable future. Even with a pandemic that compels businesses to go online and use digital tools, there’s enough reason for players in the office supplies market to be optimistic.
