Brave New World… Again.

In hindsight, it's easy to recognize the sea changes that redefined the stationery industry: when Inscribe created a system that could “write out” calligraphy; when imprintables were introduced, allowing in-house personalization; when Envelopments debuted die-cut mailers and endless layers; when colored wedding invitations engraved in white ink arrived on the scene. Buckle your seatbelts, folks, because the tides are shifting again.

Customers who were once astonished by a store's ability to print 25 color invitations on the spot are now raising 12-year-olds who need only a PC, an Internet connection and a $100 printer to render similar results. The quest for an invitation no longer requires a trip to the stationer; it begins with a Google search — which frequently points away from the neighborhood retailer.

The solution for retailers lies in creativity, technology and a willingness to reinvent their business.

Five years ago, a stationer was well-equipped if they had a couple of good color printers and a visible print ad campaign. Today, it takes a lot more technology to stay profitable. But what defines “technology” these days?

Depending on the store, the definition varies. For some, it means making the leap from an electric cash register to an inventory tracking POS system. For others, it's converting an informational website to an online store. Most stationery and invitation retailers fall somewhere in the middle, where high tech entails creating exclusive, high quality, resalable products that can't be purchased elsewhere. From four-color photo cards to custom invitations, technology can be a retail life raft.

“Five years ago, we only offered imprintable set-ups on a lettering bed, and had a part time employee to meet customers' demands,” notes Susan Foxworth of Write Selection in Dallas. “Now we have two full time print employees, five printers, two scanners and a German-made commercial cutting machine. Our business has grown so much we had to move our printing department to a different location.”

These days, the best profits for stationery retailers come from product created almost entirely in-house, right down to concepts and graphics. “We print far more blank stock than stock with designs,” reports Edie Frere, of Landis General Store in Los Angeles. “We order much less of the imprintable stock.”

Buyers are equally aware of the photo card market share that's moved off their shelves and into the hands of photo processors. “Stationery retailers need to embrace and explore technology,” says Ravid Butz of Cameo Style, provider of an in-store system capable of producing everything from high caliber, hardcover photo albums to traditional, folded photo greeting cards. “It's important for them to look at where tech can be bundled with physical product to find the benefit for the customer and better profit margins for themselves.”

Independent retailers aren't alone in their quest to protect their segment of the market. Smart vendors are wrestling with their own concerns, aware that in-store production has grown by leaps and bounds. “Our job,” says Leslie Reed, brand manager for Crane & Company's personalized division, “Is to come up with unique offerings that can't be produced in-house — things like metallics, gilding, bevels and the like.”

Asked about the ever-increasing number of blank stock SKUs added to the printer-compatible side of the Crane's line, Reed tells Gifts & Decorative Accessories: “Our customer is there for the quality of the paper, first and foremost. Beautiful papers in beautiful colors that can be mixed and matched to create a broader appeal to more customers.”

To a significant degree, the definition of “imprintable” has shifted in the past few years, as more stores added graphics rather than relying solely on pre-packaged designs. A number of forward-thinking vendors have embraced the change, and expanded their lines to accommodate it.

“Mara Mi was among the very first companies to offer imprintables,” says Jeanette Raufeisen, senior director of sales and marketing at DG Inventive, makers of Mara Mi and Paper Prince products. “One of the keys to staying viable is to recognize the different trends from one geographic region to another. The second key,” she continues, “Is to always be innovative. We need to be constantly evolving, providing elements that stores can't produce on their own.”

The end result? The capacity to combine high-grade materials with customer-specific graphics, resulting in exclusive product that can't be purchased anywhere else. And that's every retailer's dream.

But big boxes and those 12-year-olds with computers aren't the only competition stationers find themselves up against. The tech-savvy scrapbooking industry is also in the chase, and has begun to eye the invitation market as its next conquest.

At January's Craft and Hobby Association (CHA) Show in Los Angeles, a number of vendors, including Envelopments, introduced invitation design as an area of expansion. “These customers already have the skill sets to do their own work on a custom piece. Now their list of needs is growing from a scrapbooking page or a custom card to invitations,” says Deborah Hefter, who led a workshop entitled Cash in on Bridezilla. “You'll see more craft stores bringing in related products for invitation design,” she added.

What makes this market segment particularly threatening to the stationery retailer is its comfort level with technology and access to unique materials. Craft stores incorporate high-end printers and scanners into their business models and learn their way around graphic design and photo software, then surround all the electronic bells and whistles with an endless selection of add-ons, layers, die cut machines and tools to rivet, anchor or embellish anything imaginable.

So how does a low-tech retailer begin on the path to a “better tech” business?

If updating an in-house printing operation is the goal, there's a lot of latitude when determining the amount of investment. For many retailers, basic upgrades of a desktop color printer for $100–$300 (plus ink cartridge refills) may be all it takes to turn the corner. If they're comfortable living with the limitations of pre-packaged printing set-ups from companies like Inscribe or Colors By Design, that may be all they need to increase sales.

Mountaincow offers a more design-forward approach with fewer limitations, which may be a better fit for some retailers. The caveat is that the vendor offers the same program for sale to consumers. For stationers with a strong creative vision, or those who cater to the DIY market, that shouldn't pose a problem; however, someone who needs to follow the pre-sets more closely might find this “shared access” a bit too close for comfort.

For retailers who want the freedom to import type styles, graphics and other design elements, the investment can skyrocket quickly. High-end printers can cost anywhere from $500–$2,500 —and that's just the first piece of the puzzle. Add expanded staff, space for equipment and production, graphic design software, and a willingness to learn the ins and outs of operating all that new stuff, and you have an entirely different kind of business model.

If recapturing the photo card market is the prize, the price tag increases even more. You'll have to add a good scanner to the higher end printers, then become adept at using imaging software like Photoshop.

For retailers looking to expand with die-cut machines, embellishment tools and the like, a trip to the January CHA market is a must. Annual membership in the CHA organization is required (at a staggered rate, based on annual sales) to avoid paying nearly $100 per buyer badge. However, for a storeowner looking to push that side of their business, the investment is a good one (especially if you're taking advantage of the educational seminars offered.) CHA offers a mother load of information and vendors for that particular segment of products and equipment.

But it's not cheap. And it's not easy. However, in-house, custom printing is the wave of the future, and the viability of independent stationery stores rests heavily on their ability to embrace it.

So grab your paddles and put on your life vests, folks, because the boat is rocking and the tide is shifting once again.