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South-East Asia SMBs Set to Spend US$490M on Printers in 2006
Singapore — 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.
Author2006-09-21 at 9:42:00 am
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