The new millennium entered smoothly, its commencement unblemished by a bevy of predicted disasters. Though global disaster was averted, for the coatings industry, the continuing globalization of the market hangs heavy with impending issues and challenges. These challenges certainly won’t change life as we know it, but they will reshape the marketplace and strongly influence the direction of the industry.
Perhaps the greatest agent of change is the trend toward consolidation. During the last decade, the industry saw an unprecedented number of consolidations and acquisitions. By all accounts, this trend is expected to continue. Savvy formulators will need to anticipate the demands of the industry, and act progressively and strategically if they are to survive. Likewise, they will seek out suppliers who are able to anticipate performance challenges and develop cost-effective, proactive solutions.
Adopting such a philosophy is one of the many challenges for the industry. But signs of progress are present. Paint designed to meet the needs of a more sophisticated consumer is already on the shelves. Coatings that address anticipated consumer demands, such as more environmentally friendly products, are in development. Higher performing products are being formulated at a substantial cost savings. Low-odor paint is now commonplace, and no-VOC paints and other alternative coating technologies are quickly becoming a reality.
However, before the final product ever gets to market, formulators and marketers must carefully consider the technology related trends at play in this new marketplace. They must sift through their newly acquired technologies and capabilities, from the paint formulations themselves to their distribution capabilities, and closely examine the needs of their new markets. Top industry trends include identifying globally useful raw materials, leveraging purchasing power, a tightening global regulatory climate, and addressing global performance issues.