Digital darkrooms: Technology and competition combine to constrict revenue

The dominance of digital cameras, ubiquity of online photo sharing and rising external competition have combined to gut the Photofinishing industry's revenue. Such technological trends have caused consumers to demand fewer photofinishing services because, through these devices and platforms, they can share, display and manipulate pictures faster and cheaper than sending them to a photofinishing lab. In the next five years, companies will continue differentiating themselves by combining digital and film to produce high-end products...read more.

Industry Statistics & Market Size
Revenue
$2bn
Annual Growth 12-17
0.6%
Forecast Growth 17-22
Profit
Employment
22,650
Businesses
16,829
Market Share of Companies
There are no companies with a dominant market share in this industry
What Our Customers Say

Industry Threats & Opportunities

  • Digital cameras, online photo sharing and external competition have gutted revenue
  • In addition to technology, competition from discount and drug stores has been increasing
  • Revenue will continue dropping as technology and online services dampen demand
  • Industry Report - Industry Products Chapter

    Digital photo printsDigital image processing and printing in standard photo sizes (like 4x6 or 5x7 sizes) makes up about 55.9% of industry revenue in 2017. Consumers have been quick to shift to digital photography because it is less costly than film photography, with no film-processing costs and optional printing costs. Furthermore, cameras are now integrated into mobile devices like smartphones and tablets, which has made it easier to capture a digital photograph. According to the 2011 Photo Marketing Association analysis (latest data available), consumers are increasingly ordering prints online to pick up at brick-and-mortar locations. As a result, photofinishing companies are increasingly taking orders through online or software-based programs. Dur...purchase to read more.

    Additional Insights for the Photofinishing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Photofinishing Industry are

  • Ability to quickly adopt new technology
  • Production of goods currently favored by the market
  • Effective quality control
  • IBISWorld analysts also discuss how external factors such as International trips by US residents and Number of adults aged 50 and older in the Photofinishing industry impact industry performance..

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    What is the Photofinishing Industry?

    The Photofinishing industry primarily develops digital images to produce customized prints, albums and other merchandise like playing cards or mugs. Traditional photofinishing involves film processing and printing. Companies may also transfer physical copies of photographs to digital files. The industry excludes companies that offer their services exclusively online or stores that offer printing services in addition to their primary means of earning revenue.

    Industry Products
  • Film processing
  • Digital standard prints
  • Other services
  • Industry Activities
  • Film processing and development
  • Producing photographic prints
  • Producing photographic slides
  • Producing photographic enlargements
  • Digital image processing and printing
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • International trips by US residents
  • Number of adults aged 50 and older
  • Number of mobile internet connections
  • Marriage rate
  • Per capita disposable income
  • Price of paper

  • Current Performance
  • Technology changing the frame
  • Competition escalating
  • Chart: Revenue Growth

  • Industry Outlook
  • Substitution continues
  • Smartphone takeover
  • Table: Photofinishing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Photofinishing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Photography

  • Key Selling Industries
  • Camera & Film Wholesaling
  • Copier & Optical Machinery Manufacturing

  • Products & Services
  • Digital standard prints
  • Other services
  • Film processing
  • Chart: Photofinishing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Households
  • Other clients
  • Professional photographers
  • Chart: Major Market Segmentation for the Photofinishing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitWagesPurchasesRent and utilitiesOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Photofinishing

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Photofinishing Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Photofinishing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Photofinishing Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Number of adults aged 50 and over (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Development
  • The process by which a negative from an analog camera is turned into a traditional print via darkrooms and specialized chemicals.
  • Image Processing
  • Digital printing on paper from an image's original form.
  • Postproduction
  • The period in which pictures are readied for presentation via digital or other means.
  • Why buy this report?

    IBISWorld’s Industry Market Report on Photofinishing is a comprehensive guide to market size and growth prospects. Ensure due diligence in your research with our strategic analysis of the factors influencing companies, including new product developments; economic, lifestyle and demographic influences; distribution and supply chain factors; and pricing issues.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Photofinishing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Photofinishing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Photofinishing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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