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Konica Minolta - The Next IKON

Know thy self-

Today, Konica sells boxes, and they do it very well... yet their portfolio of EDM is growing and the phrase, "Konica Managed Print Services" is starting to hit the streets.

Konica/Synnex/PrintSolve -

One company, a copier company, can offer clients total print management. Konica reps can first place copiers, gaining credibility and determining their client's internal decision processes. Once this is done, in addition to gaining more "share of wallet" by adding new machines, the Managed Print Services angle can increase profits, account control and establish Konica as a partner intent on helping the client reduce costs.

From the Konica Minolta website, " Konica Minolta, together with SYNNEX Corporation, offers your business a way to enjoy precise control of printing costs, the latest in printing technology, better workplace efficiences, and improved total cost of ownership."

The Managed Print Services selling process may go like this:

1. Establish relationship with Purchasing/Facilities by selling Konica copiers.
2. Build upon the initial relationship by offering up a "free" print analysis.
3. Run PrintSolve's USB audit tool to obtain monthly average volumes.
4. Send inventory report to Synnex
5. Synnex determines which devices to support, the number of toner cartridges, maintenance kits, etc. required for the total volume of the MPS agreement, generating a total cost.
6. Synnex gives Konica the cost per copy, who in turn adds a margin and proposes to client.

The client signs agreement with Konica Minolta. The program is a cost per copy which includes all supplies and service for the life of the agreement. The customer calls Konica- or may even call Synnex directly for service and supplies - dependent on how Konica works with Synnex.

Now the above scenario may not result in a Managed Print Services Agreement as I define it, but in a Managed Print Supplies Services Agreement - I am not sure who would provide the actual service or maintenance work.

But wait - there's more.

If we look at Konica's EDM portfolio you will see companies like Captaris, E-Copy, Planet Press, and Digital Storefront. Now look at IKON's portfolio and you will find, Captaris, E-Copy, EFI, Westbrook, EMC, etc. IKON's portfolio is more robust. But Konica Minolta is growing and adding staff - IKON is not.

The bottom line here is K/M is growing into the services space at a controlled and managed rate - with what appears to be a plan. True, "full blown" Managed Print Services should include Electronic Document Management Solutions as well and the company that can articulate the value and support a multi-faceted, longterm, combined MPS/EDM strategy will elevate beyond the box and truly help clients save money.

If we apply the Photizo Group's "Three Stages of MPS Adaption" EDM is within the 3rd stage of the three stage process and if correctly marketed and implemented, Konica Minolta could position itself as the "Go To" MPS/Copier provider.

Watch Konica Minolta.

SideBar:

Synnex and Kyocera, Konica Minolta, Edgeline: Konica is not the first to position Managed Print Services through distribution -

Kyocera - October, 2007

"The Fairfield, N.J.-based vendor said it was teaming up with Synnex, Fremont, Calif., to combine its EcoPro lineup of printers with Synnex' Printsolv managed services offering -- an offering that provides assessment, tracking and management functions that solution providers can deploy in print MSP deployments.

In jumping into the space, Kyocera Mita executives are hoping the company can broadly expand its channel footprint beyond its direct sales, office products channel and retail, as well as change its business model to cost-per-page from hardware and supply sales."

70 Years of Xerography -

I caught this article from The Sunday Times by Benjamin G. Defensor

- "A few weeks back, the Xerox process celebrated its 70th anniversary at the Drupa 2008..."

The author summarizes Xerox copier history fairly well.