Business Printing Technologies Report
April 2001


TABLE OF CONTENTS
"The Right Tool For the Job" Part II

Myths, Realities, Progress & Forecasts For the Average Printer

How to Use The BPTR Discussion Bulletin Board



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©Copyright 2001 by DMIA. All rights reserved. Published in the United States of America. This publication may not be reproduced, stored in a retrieval system, or transmitted in whole, or in part, in any form or by any means, electronic, mechanical, photocopied, recorded, or otherwise, without the prior permission of DMIA, 433 E. Monroe Ave., Alexandria, VA 22301-1693.
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"The Right Tool for the Job" Part II

Last Year, Appleton Papers and DMIA worked together to create "The Right Tool for the Job" a sales tool that concisely explains the benefits of using dot-matrix printers over laser printers for specific applications. All DMIA members were sent this kit. In May, 2001, Appleton Papers will introduce an "Impact Printer & Software Compatibility Assistance" pamphlet which is a companion piece for the "Right Tool" kit. The pamphlets will be available to all distributors and manufacturers in May 2001.

For most distributors and manufacturers, it is no secret that laser printers and dot matrix printers can reside together on a computer network. However, the perception out in the business world is often quite the opposite. According to Appleton, here is a typical scenerio that many distributors encounter……

THE PROBLEM
Some customers may want to continue using their current impact printers with multi-part forms, but they think their current impact printer is no longer compatible with a new or changing computer system…
You could lose a multi-part forms customer if this kind of thinking goes unchecked.

THE SUGGESTED RESPONSE
With few exceptions, any given impact printer can be made to work with any given operating system…
All you need is a little technical assistance.

THE SOLUTION
Leading impact printer manufacturers have agreed to partner with Appleton and NCR PAPER* forms manufacturers, to provide the technical assistance you need to resolve your customers’ impact printer and operating system compatibility issues…
Now, YOU can help your customer AND maintain your multi-part form sales and margins!

TECHNICAL ASSISTANCE
How you can resolve impact printer and operating system
compatibility issues for your customers…

The Procedure
1. Collect the following information from your customer:

  • Impact printer brand name and model number.
  • Operating system name and version (e.g., Windows ’95
    or Windows ’98).
  • Is this printer being used on a network? Yes___ No___
  • If the printer is NOT being used on a network, is the printer connected to the PC with a parallel, serial or USB connection? Specify one_______________

2. Call the appropriate technical assistance number (as listed here).

3. Follow the necessary telephone prompts to speak with a Technical Service Representative.

4. Give the Technical Service Representative the following information:

  • You are a business forms salesperson calling on behalf of your customer.

  • Your customer has a ______________ (brand name), ______________ (model number) impact printer.

  • Your customer has a ___________ (name/version) operating system.

  • Is this printer being used on a network? Yes___ No___

  • If the printer is NOT being used on a network, is the printer connected to the PC with a parallel, serial or USB connection?
    Specify one_______________

  • Your customer has been told that their impact printer will not work with their operating system.

5. Ask the Technical Service Representative to provide the specific steps you need to take with your customer to achieve printer-operating system compatibility.

Printer- to- PC "connector type" descriptions:
Parallel is always 25- pin and is always female; Serial is always male and is either 9- pin or 25- pin; USB is "slide- in" and does not have two screws to hold it in place.

Epson ®
Dot Matrix Printers
Technical Assistance: (562) 276-4322
M- F 6:00 AM to 8:00 PM, PST
SAT. 7:00 AM to 4:00 PM, PST
Parts & Service: (800) 922-8911
www.epson.com

GENICOM ®
Line Matrix Printers
Serial Printers
8:00 AM to 6:00 PM, EST
Technical Assistance: (540) 949-1031
Parts: (800) 436-4266
Option 2, then Option 3
Onsite Service: (877) 547-7250
Depot Service: (800) 436-4266
Option 3
www.genicom.com

OkiData America, Inc.
Dot Matrix Printers
7- Day, 24- Hour
Technical Assistance: (800) 654-3282
Parts & Service: (800) 654-3282
www.okidata.com

Printronix ®
Line Matrix Printers
7:30 AM to 5:00 PM, PST
Technical Assistance: (714) 368-2647
Ask to speak with a "Sales Support
Specialist."
Parts & Service: (714) 368-2684
www.printronix.com

Hewlett-Packard ®
Line Matrix Printers
NOTE: Service by Printronix ®
7:30 AM to 5:00 PM, PST
Technical Assistance: (714) 368-2647
Ask to speak with a "Sales Support Specialist."
Parts & Service: (714) 368-2684

IBM ®
Line Matrix Printers
Serial Matrix Printers
NOTE: Service by Printronix ®
7:30 AM to 5:00 PM, PST
Technical Assistance: (714) 368-2647
Parts & Service: (714) 368-2684
www.ibm.com

Lexmark ®
Dot Matrix Printers
M-F 7:30 AM to 6:00 PM, EST
S-S 12:00 PM to 6:00 PM, EST
Technical Assistance: (800) 539-6275
Parts & Service: (800) 553-9727
www.lexmark.com

Tally ®
Line Impact Dot Matrix Printers
Serial Impact Dot Matrix Printers
7:00 AM to 4:30 PM, PST
Technical Assistance: (425) 251-5532
Parts & Service: (425) 251-5532
www.tally.com

NOTE: If you are unable to satisfactorily resolve your compatibility issue after speaking with the appropriate printer company’s Technical Service Representative, please call Bill Powers, Marketing Manager, Appleton Papers, (920) 991-8450, or email at
bpowers@appletonpapers.com


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Myths, Realities, Progress & Forecasts For the Average Printer

By Terry A. Nagi

The On-Demand Exposition and Conference, held annually in New York, is the primary venue focusing exclusively on digital printing and on-demand opportunities for printers of all sizes and types. This report concentrates on a realistic forecast for the future of on-demand and digital printing as well as key announcements/information from On-Demand 2001. The objective is to assist readers in making a better judgment as to if and when digital printing/on-demand will part of their service offerings for the future.

Ten years of past history of digital printing/on-demand printing has resulted in slow growth and minimum expectations for the average printer. Quick printers, who have always been into on-demand have added digital color to their service arsenal, but in almost all cases, not high speed. In-plants, especially those dealing with significant volumes of personalized materials (such as bills and statements) have moved strongly towards digital, on-demand and variable printing. These two groups are currently the major users of on-demand/digital printing, and will most likely be for the next few years. Commercial printers, at least for today, have shown and will continue to show little interest in digital printing, at least through the end of the year 2002. The reasons are multiple and make sense.

  • Most current clients aren’t asking their printer to provide a digital product, personalized printing, variable printing for one-to-one marketing, etc. And what the client doesn’t ask for, printers normally don’t attempt to sell.
  • Many printers simply do not have the well-developed digital workflow systems required for on-demand/digital printing. And they are not planning on adding these because of lack of talent, and the desire to use the monies required for this for investments in traditional offset equipment.
  • Their sales people don’t want to sell short run digital printing. Why sell a $3,000 digital print job when a $10,000 sheetfed job is more familiar and more rewarding?
  • Their competitors are not moving to digital printing.
  • The rumors that digital printing/on-demand printing requires a new marketing and sales approach scares the average printer, and it should.


And Then There is The Year 2003
Or it may take until 2004. What ‘s happening then? Heidelberg, one of the most trusted names in print equipment technology will prove to the commercial print marketplace, via NexPress installations (over 500 by 2003) that an on-demand/ toner-based variable printing digital press is a profitable addition to a commercial printer’s total production capabilities. This was further reinforced by Xerox and its FuturePress (over 300 installations by 2003) that toner-based/on-demand/variable printing/digital printing is a profitable venture for the commercial printer.

In addition, any commercial printer expecting to be in business by the year 2005/2006, must have installed workflow enhancements to successfully handle client origination, most likely preflighted by the client, sent in a PDF format, via data links, with collaboration and remote proofing tools to successfully manage the digital print process.

By 2003, the Internet will be the primary transportation method (versus FedEx or the sales representative) of distributing all but final proofs. By that year, remote proofing of a final proof occurs in 30% to 40% of all commercial jobs.

Most importantly, the only way a commercial printer can satisfy the time demands of clients, which have been decreasing at a rate of 20% per year, will be to successfully handle a complete digital process. Of course, at the same time maintaining the traditional offset process (printers hardly ever sell old equipment anyhow…even if it is outdated).

There have been many recent forecasts by well-respected technology consultants on the future of on-demand & digital printing. In 2000, CAP indicated print on-demand would increase from $13.3 billion in the year 1998 to $35.1 billion in the year 2003. During the same period, they also forecast commercial printing would grow from $105.5 billion in 1998 to $130.9 billion in 2003. This indicates the majority of growth in the commercial marketplace will be from print on-demand.

Table 1
PRINT ON-DEMAND GROWTH




An update on the retail value of print on-demand was estimated to grow at 18% compound annual growth rate. At the same time, the overall US print marketplace is expected to grow at a 4% compound annual growth rate. In addition, forecasts have also indicated that printing with ink, which amounted to approximately 75% of all printing in the year 2000, would be reduced to 57% by 2007 and 50% by 2012. Toner, which amounted to 22% in the year 2000, would be at 35% by 2006 and 41% by 2012. Finally, inkjet, which was approximately 2% in the year 2000, would be approximately 7% in the year 2007 and7% in 2012.

Table 2
REPRODUCTION BY PROCESS




Finally, of the 41,145 printing plants in the year 2000, approximately 4500 had a digital print capability. By the year 2006, this is forecast to go to 31,000 plants with digital printing capabilities.

Table 3
PLANTS WITH DIGITAL PRINTING 2006
Source: Digital Print Council




Does this author believe these numbers? No! New technologies always take longer to gain acceptance than what is forecast. In addition, the printing industry is very conservative and traditional. Yet the magnitude of change is evident and important to consider by all printers.

The Reality of On-Demand
On-demand is really what one gets from a personal laser or inkjet printer, linked to one’s own computer. Quick printers made their business in the past by providing on-demand to walk-in customers. Copiers, both monochrome and color, provide on-demand services within corporations. Commercial printers generally do not provide on-demand --- yet! They are being lured into considering this service, by major introduction from Heidelberg, Xerox, and others.

For the commercial printer, the On-Demand Exhibition should really be titled the Digital Print Exhibition. The reason is:

  • Within the current basic structure of a commercial print operation, on-demand will be difficult if not impossible.

  • Digital printing, while requiring some organization and responsibility changes, plus enhanced digital workflows, may take some changes, but will not be impossible.

  • Variable printing, one of the darlings of on-demand has never realized its promises in growth and popularity. Variable printing is a very niched arena and true one-on-one marketing as a major area for printing will not occur soon.

  • On-demand printing is primarily of interest to in-plants, printers who specialize in facilities management for corporations, central reprographic departments, book manufacturers, and franchise quick printers. On-demand offers considerable challenges to the commercial printer. Digital printing does not.

  • The market for digital printing continues to grow by the restructure of the printing industry changes. Buyers simply want everything faster, to fit a digital workflow from electronic origination provided by the buyer, with higher impact color in smaller quantities, with less and less regard to whether the printing is absolutely faithful to the original graphics.

  • Buyers are also realizing the benefits of inventory reduction, and reduction of obsolescence of unused print, which is simply a waste of money.

  • Printers have always served the short run needs of buyers, hoping for longer runs and bigger dollar volumes of sales. In the future, efficiently handling the smaller runs may be the life savior of many printers. The market is simply going that way.


Because of these and other reasons, On-Demand is ahead of the game for most commercial printers. Only the innovative, those willing to take a chance, those wishing to chart new ways of doing business, gain key results from viewing the offerings at the exhibition.

Look for Part Two of this story in the near future.

Terry A. Nagy is a noted industry consultant. He is a frequent speaker at many industry events. You can reach Mr. Nagi at tanagi@aol.com


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