More expensive printers have lower ownership costs

Printer.com carried out a study into the top ten printers that will give the most economic benefit to small businesses. This study was conducted across the company’s database of printer vendors, and took into account product pricing from partner merchants in both the U.S. and Europe.

In the press release about the study it is mentioned that the spread in the Total Cost of Ownership (TCO) between similar small business printer models can exceed $10,000 over five years. Printer.com has published a list of the top 10 small business printers, based on TCO, so small business owners can see how the selection of a printer can impact their overall operational costs.

Here is the list:

Manufacturer and Type - Av. Price - Cartridge costs 5 Years - Total costs:

1. Xerox Phaser 8560 MFP N - $1,451 - $6,193 - $7,644
2. Konica-Minolta Magicolor 4690 MF - $1,000 - $6,894 - $7,894
3. Xerox Phaser 8860 MFP D - $3,653 - $4,384 - $8,037
4. Xerox Phaser 8560 MFP D - $1,858 - $6,193 - $8,051
5. Brother DCP 9040 CN - $516 - $8,147 - $8,663
6. Brother MFC 9440 CN - $577 - $8,147 - $8,724
7. Brother DCP 9045 CDN - $608 - $8,147 - $8,755
8. Brother MFC 9840 CDW - $645 - $8,147 - $8,792
9. Samsung CLX-6200 FN - $700 - $8,179 - $8,879
10. HP Color Laserjet 2820 - $623 - $8,309 - $8,932

It is interesting to note that, in general, the most expensive printers have the lowest overall ink and toner costs. This is a case where spending more for a printer initially can save money in the long run, based on the costs of ink and toner cartridges.

For example, the average price of $1451 for the Xerox Phaser 8560 MFP N printer is $828 more than the HP Color LaserJet 2820, yet the toner cartridge costs for the HP over five years exceeds that of the Xerox by $2116.

In addition to the costs of ink and toner replacement for both black-and-white and color printers for small businesses, Printer.com also accounted for costs of service and maintenance. For some models of printers, the service and maintenance costs alone can exceed the initial price of the printer itself.

Source: Printer.Com

Key words: printers, analysis, research, ownership costs

Ink sales may rescue HP

Hewlett Packard is scheduled to report its quarterly results this week. The following is a summary of key developments and analyst opinion and commentary related to the period.

HP, the biggest personal computer maker, is expected to post solid results in its fiscal first quarter despite a dismal PC market. HP's stock has taken a hit on fears that the company's exposure to the hardware sector, which has had a grim few months as companies curbed spending, will drag down its results.

The PC market in the October-December period was the worst in six years, according to market research firm IDC. Global PC shipments in the quarter fell for the first time since 2002, and a recovery isn't expected until 2010.

But HP has some protection from the economic turbulence. The company's printer and ink business, which contributes about half its operating profit, appears to be faring well. Companies are putting off buying new printers, but analysts say demand for HP-branded ink appears strong. One reason, analysts say, is generic ink-cartridge makers often need several months before they're able to make parts that work with HP's newest printers.

Source: Associated Press

Key words: HP, Q1 results, inks

What do people think about color printing?

Zogby Survey lead a survey about users' opinion on color printing. The stats come below:

-More than half of the 2,100 respondents (53%) said they think printing in color is a luxury.

-More than one third of respondents said the expense (35%) is the main reason they did not print more in color, and four out of five (82%) said they would be somewhat or very likely to print in color if it cost the same as black and white.

-Two in five respondents (39%) did not recognize the ROI value of printing in color – they strongly or somewhat disagreed that they spend time thinking about the places in their documents where color would give them more of a ROI.

-About one-quarter of respondents said they most frequently print presentations/ PowerPoint documents (28%) or those with graphs (25%) in color.

The Reality of Color’s ROI:

-Color helps sell up to 80 percent more. Collateral materials, sales brochures and other consumer communications can help generate more sales with the application of color. (Source: Green, Ronald E., "The Persuasive Properties of Color", Marketing Communications, and Modern Office Procedures, "Grasp Facts Fast with Color”)

-Color increases readers’ attention spans and recall by 82 percent. Safety notices, product guides and marketing collateral are more likely to be read and leave a lasting impression if they’re in color. (Source: White, Jan V., Color for Impact, Strathmoor Press, April, 1997)

Source: Xerox Corp

Key words: color printing, users