The seminal
science fiction series Star Trek generated many catch-lines, like “The Prime Directive”
and “Live long and prosper”. One of its most parodied lines, however, is Doctor
Bones McCoy’s words to Captain Kirk on encountering an alien species: “It’s life,
Jim, but not as we know it.”
That’s
exactly the way one could describe the printer industry today. Every time an
HP, Epson or Konica Minolta releases a new machine for this sector, one can sense
the puzzled frowns of people taken by surprise that it still exists.
The
difference is that it has evolved from a focus on paper to an emphasis on
document management.
One of the
first companies to spot that shift in the market, Japanese-headquartered
Konica-Minolta, pioneered the concept of a dedicated printer company
introducing its own software development division.
“We’ve
always believed our role is solving problems for the customer, and not just to
provide print, copy and scan solutions,” says Marc Pillay, CEO of the company’s
South African division. “Our primary focus is multi-functional devices, but we
always look at adding value to clients. Our real job is to assist in achieving
a better return on investment.”
The proof
of the pudding is that the local division is one of the biggest Konica-Minolta
distributors in the world. The reason is simple: unlike most other countries,
the South African operation has both a direct and indirect channel. That means
it is able to supply companies through its reseller network, while also having
a presence on the ground in the form of a dealer network across the country.
That, in turn, has given it access to municipalities and other organs of state.
“Our value
proposition is based on quality products, service and an unparalleled supply
chain,” says Pillay. “When everyone was afraid to do business with government,
we thrived on it. It comes from being located in areas where it’s easy to do
business with us.”
One could
call that the secret of success for existing demand. The coming era, however,
will require an appreciation of the next big shifts in printing, says Pillay.
“We’ve seen
the big shifts from analog to digital, from monochrome to colour, and from decentralisation
to centralisation of printing. The next shift is unbundling printing into a hybrid
approach, using both cloud and managed solutions. It’s all going to become
subscription-based, and it will be print-on-demand. The high-end customers go
into that very quickly, but we still have to cater for people who just do copying.”
Pillay
believes that the opening of Microsoft’s Azure data centres in South Africa in
March has already made a difference.
“Now you
can scan from a device into Microsoft’s SharePoint online or Google Drive. It’s
not about screen size anymore, but what you can do to make an impact.”
Where
people don’t print, says Pillay, they’re absorbing documents digitally.
“We have to
make sure that, where we lose the print, we are gaining the management of the
scan, digitisation of the document or management of the workflow. Our income
will come out of the workflow.
“Clearly,
we’re not just focused on selling a piece of hardware anymore.”
- Arthur Goldstuck is founder of World Wide Worx and editor-in-chief
of Gadget.co.za. Follow him on Twitter and Instagram on @art2gee
