*NEWS*DO OEM NAME BRANDS STILL DOMINATE ?

[Anonymous]

Do Oem Name brands still dominate ?
Original
equipment manufacturers of cartridges now have about 80 percent of the
market, said Jim Forrest, an analyst with Lyra. Worldwide, inkjet sales
last year were $26.6 billion, with $5.6 billion sold by the
after-market companies. By 2009, after-market companies should sell
$10.1 billion out of total sales of $38.5 billion, Lyra predicts.
The
situation is less dramatic for laser-toner sales. In that segment,
after-market sales last year were $4.7 billion in a total market of
$22.2 billion. By 2009, after-market sales should rise to $7.5 billion
out of a total market of $33.3 billion.
One major reason for the
advance of the after-market industry is that more people are becoming
aware that it exists, Forrest said. “Five years ago, a lot of people
weren’t even aware that they had an alternative.”
Once people know
about the aftermarket, they often become customers because the price is
lower and quality has improved “significantly” over the past several
years, he said. Franchises are also opening up in part because less
expensive machines to refill cartridges have become available.
Tim
Fitzpatrick, a spokesman for Lexmark International, headquartered in
Lexington, Ky., disputes Forrest’s assessment about the improved
quality of after-market products.
“There is a significant difference
between new and used in terms of quality – that’s a fact,” Fitzpatrick
said. Consumer Reports , Wilhelm Image Research, PC World  and PC
Magazine  have all studied name brands and the knockoff products and
concluded that the name brands are better, he said. “With laser
printers, the difference is even more pronounced.”
People in the after-market industry vigorously disputed that assessment.

[Author]

October 20, 2005 at 11:20 AM