KODAK LOWERS INK CARTRIDGE PRICES

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KODAK LOWERS INK CARTRIDGE PRICES

 user 2007-09-20 at 1:31:00 pm Views: 39
  • #18784

    Kodak attempting to ‘disrupt the market’ with cheaper ink cartridges
    Kodak
    has announced a shift in its inkjet printing strategy, lowering the
    price of inkjet cartridges while bumping up the price of printers — a
    move expected to ‘disrupt the market,’ according to one analyst.The
    company announced on Wednesday a new line of printers that will be
    priced at between $130 and $330, while their cartridges will be priced
    at between $12 and $18. The strategy is a departure from conventional
    printer pricing, in which consumers pay less — sometimes as low as $40
    — for printers and upwards of $60 for cartridges.

    Kodak’s swing
    toward cheaper ink is a bold, competitive move, said Michelle Warren, a
    senior analyst with the market research group Info-Tech.”Because what
    Kodak is essentially trying to do is disrupt the market and [encourage]
    individuals to print more versus storing on an electronic device — they
    actually want us to print more — their message is going to have to be
    transferred to the retail sales team,” she said.”I think they’re not
    priming themselves to compete against the $40 printer, they’re priming
    themselves to compete in a specific segment,” Warren said, noting she
    expected the company to also tout its paper products in conjunction
    with the printers.Rival inkjet manufacturers, including Hewlett-Packard
    and Epson, will be monitoring Kodak’s strategy carefully, Warren said,
    but she qualified that Kodak won’t overturn the market immediately.”I
    think a vendor such as an HP or an Epson is really going to evaluate
    how Kodak is received before they decide to lower their prices on the
    supply,” she said.