Inkjet viz-a-viz laser printer - where lies the demand?

New Delhi: Be it an inkjet or a laser or even an MFD (Multi Functional
Device), printer vendors are coming up with a wide range of printers to suit the
needs and tastes of diverse customer segment. However, with lasers witnessing a
fall in price, the market for inkjet printers has been hit considerably. There
is no denying that even the home user segment that was earlier restricted to an
inkjet has developed a taste for better quality picture and willing to shell out
a little more for laser printers than buy an inkjet. Apparently, there are
several reasons behind it. The cost of running an inkjet is higher when compared
to lasers; owing to cartridge cost and number of pages an inkjet can print which
is less in number when compared with lasers. So while, vendors are investing
heavily in schemes, promotions and launches in order to push the printer models
in the market, dealers are divided in their opinion when laser is pitted against
an inkjet. On contacting the dealers, several points came to light.

Laser is the order of the day:

Chetan Vithlani of Merlin Multitech, Raipur, opined that the demand for laser
printer is more as opposed to inkjet. Citing several reasons behind the trend he
said, “The price of laser has come down and consumers are also looking for
print quality. This aside the operating cost of a laser printer when compared to
an inkjet is less making it more effective.”

Elucidating the same by example he stated that if one buys an inkjet at Rs
2200 then Rs 1500 is only the cartridge cost and it can print only 100-200 pages
but as opposed to that a laser which is now available at an affordable price of
Rs 4500 can print 3000 pages and it's cartridge can be refilled for a sum of
Rs 350. Once refilled, it can again print 3000 pages. Another problem with an
inkjet is that if one does not use it for a period of 3-4 months, then the
cartridge dries out which is not the case with lasers. Again from a dealer's
point of view, margins in an inkjet is less maybe Rs 50-100 while in lasers we
earn margins close to Rs 400-500 making it more attractive for us to stock.

He further added that while stocking a dealer always goes by the prevailing
price of the product, vendor's scheme and margin. At a time Vithlani maintains
50-200 units of laser printer and has completed phased out inkjet printers. “Printers
are fast moving products and when a customer approaches us to buy an inkjet we
educate them about the benefits of lasers and never encourage them to buy an
inkjet.”

Manoj Gupta of Delhi based Challenger Computer mentioned, “Both the
printers are having an equal demand in the market. However a consumer always
buys a printer depending upon his own requirements. Of late the market has
witnessed another kind of trend wherein the SOHO and the home users have started
opting for laser multifunction devices (MFD). One than can copy, print and scan
at the same time.”

However at a time he maintains 200-300 units of inkjet printers in stock and
roughly 100 units of lasers which again is a clear indication that printers are
always in demand and fast moving products as well.

Sharing the same view as Vithlani and Gupta, NK Aggarwal, Pulse Systems,
Delhi said that inkjet is definitely on the decline. “I am not keeping more
than

15-20 inkjet printers at the moment and laser are where the demand lies. The
home user segment is gradually drifting towards lasers as the cartridge cost is
low in them.”

A. Akhtar Hussain of Challenger Computer, Chennai, had already sensed that
the market will move towards laser so gradually he phased out the stock of
inkjet printers. “In the past six months we have sold more of lasers,” he
said. However, he also mentioned that in the inkjet category, it is the MFD that
is still in demand. Keeping the above in mind he maintains 95-100 units of
lasers in stock at any given point of time.

Dinesh Suhasaria of Kolkatta based Caltron said that the market is definitely
drifting towards lasers and there is a motivation among buyers to purchase
lasers, keeping both fall in price and quality in mind. However inkjet is one
printer that is affordable and hence the homebuyers are sticking to it.

Inkjet for SIs, assemblers and for bundling:

Chennai based dealer, Murali, CEO, Pelkin Office Automation opined that
lasers being push products and with cost coming down, are definitely more in
demand. However inkjet is mostly demanded by PC assemblers, system integrators
and for bundling purpose. Hence they are still in demand but the trend obviously
is in favor of Lasers. At a time Murali does not stock more than 15-20 inkjets
printers as he does not want his funds to get blocked.

Puneet Singhal, CEO of Delhi based Pioneer Enterprises and who deals in
consumables suggested that the demand for laser was certainly more when compared
to inkjet. “Most of the customers that come to us for getting the cartridges
refilled are using lasers. In such a scenario, the inkjets is mostly being used
for bundling purpose and those dealers who are no more interested in selling
inkjets are either selling their parts out to recover some cost or fazing them
out gradually.”

Inkjet will continue to exist:

Vinod Mulchandani of Mumbai based Aarvee computers differed in his opinion
and stated that the home users and the SOHO segment still rely on inkjet as
their printing requirements are not huge. “Infact now-a-days in the inkjet
printer category itself, vendors have come up with such features which not only
helps an end-customer to print fast but he can also avail the best of the color
options, making the inkjets equally useful and effective.”

He further elaborated that in the laser category it is the laser all in one
that is mostly in demand and hence at a time he maintains at least 1000 units of
such printers in stock. But stock for inkjets is comparatively on the higher
side and we maintain at least 2000 units for the same.”

Anil Mhaske, CEO, Data Care Corporation, Pune was of the view that both share
a 50-50 market when it comes to demand. “The home users and the SOHO segment
are still inclined more towards inkjets and the market for the same will never
diminish. However lasers are also being opted by SOHO's and SMBs.”

Agreeing to Mhaske was Anil Sachdeva of Kadam Marketing, Delhi. “The market
for inkjet will continue to exist. Infact it was 60:40 in favor of inkjets. In
this category, companies have come up with such products that at times produces
better color quality picture as opposed to lasers. Laser however is used more
for office purpose,” opined Sachdeva.