Simply as Etsy’s community connects craftspeople with customers, 99designs connects designers with small companies that need artwork for logos, enterprise playing cards, banners, and the like. Vistaprint, in the meantime, makes a speciality of printing these merchandise for small companies; Vistaprint added personalised face masks to its lineup this 12 months.
Sean Quinn, chief monetary officer for Vistaprint and Cimpress, mentioned buying 99designs will fill a void in Vistaprint’s choices. The corporate has some in-house design workers, he mentioned, however not almost sufficient to satisfy the wants of its small-business clientele.
“We would like Vistaprint to be the advertising companion [of choice] to small companies,” Quinn mentioned. “The capabilities round design are actually essential to that. This actually brings up the capabilities to serve the design wants for print and digital merchandise in a manner we may by no means have achieved on our personal.”
Quinn mentioned 99designs will proceed to maintain its identify, a minimum of for now, whereas being run as a part of Vistaprint; 99designs‘ chief government, Patrick Lewellyn, will report on to Robert Keane, the CEO of Cimpress and Vistaprint.
Cimpress is headquartered in Eire, however most of Vistaprint’s senior administration staff, together with Quinn, are primarily based in Waltham. (Keane relies in France.) The 2 companies make use of about 800 individuals in Larger Boston: 750 or so usually work out of the Waltham workplace, whereas 50 are in downtown Boston. Practically all the native staff work remotely now.
Quinn mentioned proudly owning a platform that may join patrons and sellers world wide has grow to be extra necessary than ever in the course of the COVID-19 pandemic.
However the pandemic has clouded the general income image for Cimpress and Vistaprint. Gross sales plummeted in late March and early April, Quinn mentioned. “For therefore many small companies, in a single day, the lights have been turned off,” Quinn mentioned.
Complete income at Cimpress fell 36 percent within the fourth quarter that led to June, and annual income dropped from almost $2.8 billion within the earlier 12 months to just about $2.5 billion in the newest 12-month interval. (The Vistaprint phase represents about half of the corporate’s income, $1.3 billion within the final fiscal 12 months.) That mentioned, gross sales continued to enhance as economies across the globe rebounded, and in July they have been solely down by 5 p.c at Cimpress, 12 months over 12 months.
“We took fairly swift motion to chop prices and likewise to lift capital . . . to permit our companies to stay versatile,” Quinn mentioned. “We additionally proceed to spend money on our future, in what’s going to be the motive force of progress past the pandemic. We expect this acquisition is an effective instance of that.”