Starting this summer the Eastman Kodak Co. will face off with hardened home printer makers such as Hewlett-Packard, Canon, Epson and Lexmark.
After years of having a modest strategy largely based on 4×6 digital printers, the pioneering American firm — which has more than a century of colour printing science technology — will be coming out with three Easyshare all-in-one printers with what it says is break-though image pricing.
Initially targeted at the consumer market, the printers will offer lab-quality photos using pigment-based ink formula that the company claims will save users 50 per cent on everything they print.
With Kodak ink cartridge and paper replacement packs, a user can spend between 10 and 15 cents per print, depending on whether the print quality is set for everyday use or premium photo quality output.
By comparison online photo printing services such as Easy Pics from Shoppers Drug Mart charge 29 cents per print.
But Bradley Hughes, a research analyst for IDC, believes the “cheap ink” strategy will be a tough sell because consumers are still fixated on acquisition costs.
The Kodak line up will consist of the Easyshare 5100 at US$149.99, the 5300 at US$199.99 the 5500 at US$299.99. Kodak’s pigment-based ink replacement package is priced at US$9.99 for black ink and US$14.99 for a five-ink colour cartridge.
All units print, scan and copy.
“They do not have a revolutionary price beyond ink. They are beating the competition on ink, but not by that much,” Hughes said.
“HP dominates inkjets and it is nice to see a competitor with some old school clout in there. We will see if they can compete in this digital world.”
One of the keys to the printer is a permanent print head, which never needs to be changed and instant dry paper technology, which means you never have to wave the print in your hand anymore, the company said.
Kodak has an exclusive arrangement for the Easyshare line with Best Buy in the U.S. starting next month. Canadian availability will be this summer.
Hughes said Kodak is pretty late to market, but its brand name is still well known.
The best move Kodak made in Hughes’ opinion is the partnership with Best Buy. He believes this will give Kodak some instant market share against HP, Canon, Epson and Lexmark.
“By just having shelf space it gives them some clout because when people walk into the store they do not know what they want to buy,” he said.
The next step, Hughes said, is for Kodak to bundle the printers with its digital cameras.
Hughes, however, remains skeptical on Kodak’s long-term printer success. He believes Kodak has a good message for the educated consumer, but that same consumer already has a home printing solution.
On the bright side, its a growing market. More than 1.6 million MFPs shipped last year at a growth rate between four and five per cent, Hughes said.
He added that photography, a traditional Kodak strength, could still drive that market upward.
