Top five markets for mold manufacturersTop five markets for mold manufacturers

You may be surprised where the money is . . . or will be.

1. Packaging. No matter what it is used for, packaging is ubiquitous. Whether for food and beverage, consumer goods, toys, pharmaceuticals, or cosmetics and personal care, almost everything comes in a package and many of those packages or components of the package are injection molded. However, be aware that packaging is being designed or redesigned for thinner walls and for technologies such as inmold labeling, by which the label becomes part of the wall section for added strength. Creative design is a critical criterion here as a differentiator on the shelf, so mold manufacturers need to work with their packaging customers to help them get the design they need to attract consumers. The next time you go into any store—grocery, hardware, etc.—take a look at the packaging and see what’s happening in this market and where you can fit in with your capabilities, or where you’d like to fit in as you think about new business development this year.

2. Medical. This is where it’s at, according to many people. There are a variety of opportunities in this market, from packaging to disposable products and devices, to durable goods such as hospital equipment (beds, trays, tables, and so on) and diagnostic equipment components (think MRI machines, X-ray, CT scanners). While it’s also true that everyone seems to be trying to jump into this market (because it’s seen as a market that will always have consumers of its products), there appears to be plenty of opportunity for those willing to explore how this market will evolve. You need to be aware that while the demographics point to an increasingly aging population (where the most medical care dollars are spent), other factors such as new healthcare legislation that taxes medical devices will negatively impact the medical market. So do your homework before you put too many eggs in this basket.

3. Industrial. This market segment is often overlooked for many reasons: The molded components are mostly invisible, and the parts aren’t as glamorous as some other industries. Yet there are a slew of plastic components used in industrial products. Take a look at the sizable fluid management and filtration industries, which use a lot of highly engineered thermoplastic parts that need to be chemical resistant, UV resistant, and precision-toleranced. Think irrigation, water management, chemical plant pumps, the pool and spa market, sewer management pumps, filters, housings, and so forth. Gauges and measurement devices for industrial equipment also use plastics. Not pretty stuff, but necessary.

4. Recreation and sporting goods. Let’s face it: No matter how bad things get with the economy, people like to play. In fact, various surveys have noted that when the economy is down, people actually spend more time playing or attending sporting events to take their minds off the negative happenings. Walk through your local sporting goods store and explore the opportunities in this market. You might be surprised at all the items that involve injection molding, from golf balls to golf tees, from bicycle parts to helmets, shin guards, and motorbike fenders. Some of these products require sophisticated molds and have applications for IML molds, inmold assembly, and more. So don’t hesitate to play around in this market. You just might be surprised.

5. Automotive. Yes, automotive. No matter what you say about this market, it’s still one of the biggest and the best, and provides excellent opportunities for mold manufacturers. This market will continue to create new car models that will require new molds. The new hybrid models and the smaller, energy-efficient cars require new components to fit the smaller footprint. Resin makers are coming out with new materials to replace many metal underhood components because the smaller, more efficient engines are requiring molded parts that can withstand the higher temperatures and tougher lifetime requirements that these tight spaces are creating for components. And, I hear that the era of Tier One bankruptcies is causing the big OEMs to have second thoughts about their purchasing and payment practices, so you might even make a few bucks in this industry in the near future. Maybe we’re seeing a kinder, gentler automotive industry. —Clare Goldsberry