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Chasing Cash with Consumables at HP, Canon, Epson, and Lexmark
The four major printer OEMs (HP, Canon, Epson, and Lexmark) rely on supplies revenue to sustain their revenue and profitability over the long term. OEMs sell many printing products, particularly entry-level models, at a loss and then expect to recoup the lost revenue through supplies sales. In this report, Lyra leverages its deep understanding of ink jet and laser printing market dynamics to provide industry executives and financial analysts with a complete view of OEM supplies revenue and an understanding of the trends that impact OEM profitability.In 2005, both HP and Lexmark derived similar shares of their supplies revenue from sales of desktop ink jet cartridge (53 percent each) and laser cartridges (40 percent and 43 percent respectively). The picture is quite different for Canon and Epson. Laser cartridge sales drove much of Canon’s supplies revenue in 2005. Although Canon has a strong presence in the laser printer market, ink jet cartridges accounted for less than one-quarter of Canon’s supplies sales in 2005. Epson is second only to HP in worldwide ink jet printer installations and worldwide desktop ink jet cartridge sales but has less of a presence in the laser market.
Supplying the Profits: Chasing Cash with Consumables at HP, Canon, Epson, and Lexmark examines each company’s 2005 revenue in detail. With over 50 figures and five chapters, the report provides an understanding of the trends that impact OEM profitability. Purchase this report today to find out which vendors have been most affected by the sale of aftermarket cartridges, how much revenue was generated from the sale of color laser versus monochrome laser cartridges, and how much branded media has contributed to each company’s supplies revenue.
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