Consumables distributor Daisytek has added K-Mart to the impressive list of mass merchant retailers to which it is supplying inkjet cartridges and printer paper. The addition of K-Mart's 145 stores means Daisytek now has the full house of Coles-Myer companies on its client list.
According to Tim Ingham, Daisytek's retail channel manager, the organisation has seen its retail division grow to account for 30 per cent of total revenue since its launch just 12 months ago.
Ingham said research shows computer consumables are one of the fastest growing commodity items in retail at the moment. "The category is going berserk," he said. "In the US, dollar for dollar, inkjet cartridges are out-selling camera film and light bulbs and that is a situation the mass merchants cannot ignore."
He said K-Mart has massive traffic going through its stores and that due to the impressive market penetration of inkjet printers, a good ratio of those are in need of the consumables that accompany them.
"The computer consumables category is growing at the rate of about 120 per cent per year for Coles-Myer," Ingham said before he explained how Daisytek have managed to reduce the amount of stock that needs to be kept by individual stores.
"We are providing K-Mart with a just-in-time inventory on these products," he said. "We have set up an electronic ordering system with them, so basically every time a cartridge passes a register it sparks off an order to us and we replenish each of the 145 stores on a weekly basis."
All K-Mart stores are now stocking the most popular Epson, HP and Lexmark inkjet printer cartridges as well as a range of printer paper including the specialist photo paper used for reproducing digital images.
Having successfully dabbled in post offices and service stations and having now conquered the mass merchant retailers, Daisytek is now setting its sights on newsagents, supermarkets and camera shops.