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IDC Believes the Marriage of Lofware and Gap Systems to be Part of the DX Economy

03-Apr-2018
IDC Believes the Marriage of Lofware and Gap Systems to be Part of the DX Economy
Loftware’s recent acquisition of Gap Systems, a leading provider of artwork management solutions, will provide customers with powerful tools to accelerate digital transformation. That’s the key finding in a recent analysis of the deal by IDC, entitled “Loftware Acquires Gap Systems to Transform the Label and Artwork Management Space” (March 2018).

The purchase, completed in March 2018, provides integrated Software as a Service (SaaS) solutions that bring together market leaders in enterprise labeling and artwork management. The deal also blends expertise in interrelated fields that will integrate two key packaging components: labels and artwork.

“IDC believes this marriage of Loftware and Gap Systems to be a part of the (digital transformation) economy,” the IDC Link states. “It has a huge business benefit in helping brands get their products to market faster and adapt package design quickly.”

Impact on Innovation
The purchase allows Loftware to leverage Gap Systems’ expertise to provide complete label and artwork solutions throughout the package life cycle, from concept to design to fulfillment. The new company provides a comprehensive suite of services available via either cloud or on-premises solutions. The combined company will help enterprises manage complex labeling and artwork processes with applications that scale across operations.

The need for more responsive and integrated packaging services is essential given the dynamic pace of digital transformation, according to the IDC. Customers face dramatic growth in the number of SKUs, mounting regulatory and content requirement, consumer demands for new or customized products, increased pressures for shorter time-to-market windows, and regional marketing campaigns.

The speed of change makes printing and warehousing large quantities of packaging that can quickly become outdated or unusable an untenable scenario.

"When you have software that allows for faster collaboration and you have print technologies that can ensure brand consistency and variable data at the same time, we can start to see true disruption."

IDC notes the purchase provides Loftware with an opportunity to grow digital print in packaging. With improved collaboration and the ease of integration of variable data, companies like Loftware can become a disruptive presence in the packaging space. By offering improved workflows, brand consistency, and accurate labeling solutions, Loftware will continue to play an influential role in the packaging industry.

Playing to Strengths
IDC lauds the complementary strengths of Loftware and Gap Systems.

New Hampshire-based Loftware has more than 5,000 customers in 100 countries. Its solutions, which integrate with SAP and Oracle applications, allow customers to integrate labeling with business processes.

Loftware’s applications provide vertical- and industry-specific solutions and can be configured to meet supply chain demands, including multi-language and multi-geography needs. Its customers include Johnson & Johnson, 3M, FedEx, and General Motors.

IDC notes Loftware’s expertise in project management, workflow and task management, phrase management, content management, and proofing and verification.

Gap Systems has more than 75,000 global users and operations in the United Kingdom and China. Its packaging artwork, artwork management, content management, and data/asset management solutions are used widely in retail, food and beverage, pharma and consumer products industries. Its customer base grew by 40 percent in 2017 and includes Peroni, Vertex, and AstraZeneca.

Gap Systems’ strengths complement Loftware, according to the IDC, and include template design, application design, data sources, integration, business rules configuration, process and business rule execution, device management, and printing and print management. Its emphasis on European and Asian markets means Loftware can grow the business among U.S. brand owners.

To download a copy of the IDC Link, Loftware Acquires Gap Systems to Transform the Label and Artwork Management Space, click here. For more information on Loftware and learn more about its products and services, contact us.

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