Toner News Mobile Forums Latest Industry News *NEWS*S.ASIA TO SPEND $490MIL ON PRINTERS

Date: Thursday September 21, 2006 09:43:00 am | Views: 121
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    South-East Asia SMBs Set to Spend US$490M on Printers in 2006
    — September, 2006 — Small and medium businesses (with 1-999 employees)
    across key countries in South-east Asia are on track to invest more
    than US$490 million on printers this year. South-east Asia includes
    Singapore, Malaysia, Thailand, Indonesia, Vietnam and Philippines.
    Emerging markets in this region, especially Indonesia and Thailand,
    will account for more than half of the spending, according to the
    latest study by Access Markets International (AMI) Partners, Inc.“To
    thrive in an increasingly competitive climate, SMBs need to choose
    systems that can deliver results efficiently at a low total cost of
    ownership (TCO),” says Cindy Tan, Singapore-based analyst at
    AMI-Partners. “With printer prices declining, the increase of color
    printer sales among SMBs is growing. Medium-sized businesses (100-999
    employees) are recording higher printer penetration han their small
    business (1-99 employees) counterparts.”Printers that SMBs buy include
    MFPs (multifunction printers), single-function laser printers, inkjet
    printers, and dot-matrix printers. Medium-sized businesses in
    South-east Asia are opting more for MFPs and document management
    systems. “More than 50% of medium-sized businesses in Singapore and
    Malaysia are using MFPs and document management systems that have
    networking, copier/printer with collating and stapling features,” Ms.
    Tan says. “In addition, more than 75% of medium-sized businesses in
    Singapore and Malaysia are using single-function color laser
    printers.”Of the total SMB printer spending, approximately 75% comes
    from small businesses. This is despite the fact that the average small
    business spending on printers is lower than that of medium or large
    businesses. Small businesses tend to purchase lower cost items such as
    inkjet printers or monochrome laser printers. “Many companies are also
    examining the feasibility of leasing options to manage capital costs,
    with a small percentage looking at managed print services,” Ms. Tan
    adds.As managing the costs of consumables is also a key concern for
    SMBs, it was surprising that more than 66% of the SMBs in South-east
    Asia use branded printer cartridges – as opposed to cheaper compatible
    printer cartridges. This can be attributed to the effectiveness of many
    vendors’ “buy original” campaigns, as well as the lack of awareness
    regarding compatibles among most SMBs in the region.Resellers and
    retailers continue to play a significant key role in sourcing for
    printers, with more than 50% of SMBs in South-east Asia purchasing
    printers through these channels. Strong partnerships with channels are
    definitely essential for vendors aiming to gain mind and market share

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