Variable Message Signage Procurement Category Market Research Report from IBISWorld Has Been Updated - KXXV-TV News Channel 25 - Central Texas News and Weather for Waco, Temple, Killeen |

Variable Message Signage Procurement Category Market Research Report from IBISWorld Has Been Updated

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Funding for road and highway infrastructure at the federal level has slowly begun to rebound and trade growth is spurring activity at airports and seaports, together boosting demand for variable message signing from. For these reasons and to help procurement professionals make better buying decisions faster, business intelligence firm IBISWorld has updated a report on the procurement of Variable Message Signage in its growing collection of procurement category market research reports.

Los Angeles, CA (PRWEB) July 10, 2014

Variable message signage has a buyer power score of 3.8 out of 5, reflecting favorable market conditions for buyers. Factors that increase buyer power include slow recent price growth, low market share concentration, a wide variety of substitutes, little product specialization, low switching costs and very little price volatility. Says IBISWorld research analyst Michelle Hovanetz, Thanks to these factors, the market is in great condition for buyers looking to negotiate low prices.

Competition within the variable message signage market is high due to low market share concentration among suppliers. Buyers can purchase variable message signs directly from manufacturers, wholesalers, distributors or a variety of online resellers. Products are fairly standardized, according to Michelle Hovanetz, which further increases competition because products across most brands are comparable, and switching costs to move between suppliers are low. Also contributing to the high degree of competition is the wide variety of substitutes available to buyers, such as static signs, which have historically served the same purpose as variable message signs. Buyers also have the option of renting variable message signs for temporary use, limiting the large capital expenditure of a purchase. These additional options boost buyer negotiating power.

In the three years to 2014, the market's prices have risen very slightly. Slow growth is largely due to low demand from reduced government funding for highway infrastructure. These factors, along with falling input costs for electronic components, have benefited buyer power. Price volatility has also been low, helping buyers to accurately budget for purchases.

The only significant detractor from buyer power is the moderate supply chain risk in the market. This risk primarily stems from the small number of upstream light-emitting diode (LED) suppliers. To produce their products, manufacturers of variable message signage must rely on LED providers; therefore, the loss of a supplier could translate to large supplier costs, which would be passed on to buyers. Current major signage vendors include Daktronics, EBSCO Industries Inc. and Swarco AG. For more information, visit IBISWorlds Variable Message Signage procurement category market research report page.

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IBISWorld Procurement Report Key Topics

This report is intended to assist buyers of variable message signage products for use in the transportation sector. These products include a wide range of LED-based displays for road management, parking and aviation applications. Variable message signs are most commonly used to direct traffic and provide information to motorists. They can be permanent or portable. Variable message signs can be purchased direct from manufacturers or from a variety of resellers.

Executive Summary
Pricing Environment
Price Fundamentals
Benchmark Price
Pricing Model
Price Drivers
Recent Price Trend
Price Forecast
Product Characteristics
Product Life Cycle
Total Cost of Ownership
Product Specialization
Substitute Goods
Regulation
Quality Control
Supply Chain & Vendors
Supply Chain Dynamics
Supply Chain Risk
Imports
Competitive Environment
Market Share Concentration
Market Profitability
Switching Costs
Purchasing Process
Buying Basics
Buying Lead Time
Selection Process
Key RFP Elements
Negotiation Questions
Buyer Power Factors
Key Statistics

About IBISWorld Inc.
IBISWorld is one of the world's leading publishers of business intelligence, specializing in Industry research and Procurement research. Since 1971, IBISWorld has provided thoroughly researched, accurate and current business information. With an extensive online portfolio, valued for its depth and scope, IBISWorlds procurement research reports equip clients with the insight necessary to make better purchasing decisions, faster. Headquartered in Los Angeles, IBISWorld Procurement serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.

For the original version on PRWeb visit: http://www.prweb.com/releases/2014/07/prweb12011249.htm

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