Print.IT Reseller - issue 56

01732 759725 50 VOX POP Continued... Acquisitions are undoubtedly one route to business growth, and with Samsung and now Apogee, HP Inc. has completed two of the most high-profile deals to date This month’s panel discusses the current state of play... Continued consolidation: the state of play PrintIT Reseller: Are there too many vendors (both OEM and dealerships) operating in a declining office print market? John Gifford, Founder & Managing Director , Fiducia Strategic Consultancy : “I am not sure it is a question of if there are too many, more a question of how many will survive and how many will not. The last five to ten years have already seen a decline in OEMs in particular, either by way of acquisition, exiting markets or complete closure, and I expect this trend to continue in the coming years. “Those vendors that do not adapt enough to the changing digital landscape, declining office print market and technology advancements, may find themselves suffering more than others. I think most people in the channel are aware of the fact that some are much further ahead than others, and only those that truly embrace a services- led proposition are likely to survive. When you add in increasing customer knowledge alongside increasing customer demands for stronger service- led solutions and integration with IT rather than print as a standalone, it’s a challenging scenario. Uncertainty around the UK economy and the potential impacts of Brexit are potentially the cherry on the top of that challenge too.” Mark Smyth, Chief Operating Officer, Vision : “If you compare our market to other sectors, for example mobile phones, there are four to five brands and two dominant market leading brands. In the personal computer sector, there are also four to five with three leading brands – generally far less than the printer hardware market in comparison. “I last counted over 12 brands in our market, whilst some are re-branded from other OEMs, I personally feel this is too many and unnecessary in a B2B market, when you consider printing volumes in some categories are in continued decline. There are also challenges for resellers managing so many brand manufacturers from supply chain, logistics to technical and skill levels, this potentially adds costs to businesses and is another strong justification for consolidation.” Phil Madders, Managing Director, Print Audit Europe : “I don’t think so. At PAE we work closely with all the vendors and the success and resilience of the market to date is down to the innovation and creativity of the OEMs and the channel that represents them. “It is also fair to say we have been here before – the paperless office was imminent when I was a trainee at Canon UK in 1985 and the death of the fax was announced at a conference I attended in the early 90s. ”I only have to look at our office to know that paper is still popular, and the fax market evolved to efax, scanning and email, and the engine of change was the MFP. If we agree that the channel is essentially about improving communications for our end- user customers then we can continue to evolve and provide our services and expertise to the business community. The method of delivery may change, but the objective will be the same.” John Gifford Mark Smyth