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2007 “Year of the Channel” for Australia’s Printing and Imaging Market

  • 16 May, 2007 13:57

<p>NORTH SYDNEY, May 16th, 2007 – The printing and imaging industry in Australia has been witnessing alarmingly high levels of activity in the entry-level space since the beginning of 2006, following a continuous sharp drop in the average selling price of hardcopy output devices.</p>
<p>A testimony to the ongoing hyperactive price competition was the emergence of as many as four new entry-level categories in 2006: sub-A$100 single-function mono laser, sub-A$500 single-function colour laser, sub-A$200 multifunction mono laser and sub-A$1000 multifunction colour laser segments.</p>
<p>While the trend is understandably worrisome for most vendors as they struggle to protect their revenues, on the positive side it offers more options to not only price-sensitive customers, but also the channel.</p>
<p>"Until recently, only a handful of printing and imaging vendors operated in the lower end of the market. This end of the market had a relatively easier access to the channel. However, with an increasing number of strong vendors that are now looking to target the Small Office and Home Office (SOHO) and small business segments, the competition for securing share of the channel is set to become more intense in coming months."</p>
<p>"Consequently, the channel stands to benefit from increased negotiating power as vendors vie more aggressively for access to the entry-level segment," said, Rishi Ghai, senior analyst for IDCs Hardcopy Peripheral Research.</p>
<p>IDC believes the printing and imaging channel will assume greater importance as some of the smaller vendors burnt by price competition venture into the midrange and high end of the market, looking for partnership opportunities.</p>
<p>"The channel’s role as a ‘box-mover’ largely underutilises its full potential. As resellers progressively build capabilities to offer value-added services to customers, beyond pure selling, it would not only help them to diversify their revenue stream, but also mitigate the negative impact of ever-declining margins on hardware," added Rishi Ghai.</p>
<p>IDC’s views form part of its latest report titled "Australia Hardcopy Peripheral 2007–2011 Forecast: A 360-Degree Analysis of Technology and Market Strategy in the Printing and Imaging Battles," This report, includes a detailed forecast and covers several qualitative aspects of the changing market microcosm in relation to technology and product offerings, vendors' strategies, pricing issues, and channel trends.</p>
<p>IDC research:</p>
<p>If you would like further information or to purchase IDC research, please contact Gary Clarke, IDC Associate VP of Sales via email or phone 02 9925 2226.</p>
<p>For press enquiries please contact:
Rishi Ghai
Senior Analyst, Hardcopy Peripherals
Phone: 61 2 9925 2203
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