Competing with

HP and Lexmark

OverviewOverview

In today’s marketplace, knowledge of your product is justnot enough. With all the competition today, you need to knowyour competition’s strengths and weaknesses are as well. Being able to quote page speeds, accessories, and potentialsolutions is good, but knowing how your competition is going to attempt to steal your prospect, and how to combat their sales strategy is just as important.

Within the Printer marketplace you will see two major competitors, Hewlett Packard (HP) and Lexmark. HP andLexmark effectively own approximately 90% of the Printer marketshare today, which means that 9 out of 10 times you approach an account, you will come across one or both of these competitors. HP and Lexmark are two distinct companies, each with their own sales, service, and support structure. These two competitors each have strengths andweaknesses that, once learned, can be used to your advantagewhen attempting to place Kyocera Mita Printers.

Over the next few slides, we will go over the many different strengths and weaknesses of both HP and Lexmark. Each slidewill contain information on the sales strategies of the manufacturer, along with information on how Kyocera Mita provides a superior service when compared to the competition.

It is in your best interest to become as familiar as possible with your competition. By understanding how your competition operates, as well as what sort of product they offer, you willbe able to demonstrate the superiority of Kyocera Mita while punching holes in the sales strategy of your competition.The quality of your products can only carry you so far, while your knowledge of the competition can help push you over thetop.

Competing with

HP and Lexmark

HP’s Weaknesses·         All Laser Printer engines are OEM’d (Canon)·         Consumables are offered by 3rd party organizations, causing increased consumable prices·         Depot service requires “drop-off/pick-up” of product·         Each Printer requires its own unique Print Driver·         All-in-One consumables container creates higher CPP

·         Known as a “Printer Company” with no real knowledge of MFP products

Kyocera Mita Advantage Kyocera Mita products use a Universal Driver, removing the need for excess training & maintenance. The Ecosys concept of Printers provides customers with a low Printer Total Cost of Ownership (TCO) due to their high-yield non “all- in-one” toner and drum. Kyocera Mita Printers are sold and serviced by the same organization, giving customers one source for answering questions. Kyocera Mita parts and consumables are manufactured only by Kyocera Corporation. This means that 3 rd party vendors cannot force the price of consumables to change by flooding the market with “knock-off” consumables With continuing pressure on companies to save money, people are beginning to look for more cost effective solutions. This means that people will consider alternative vendors to HP when considering their next purchase Kyocera Mita is a company that has strong roots in both MFP and Printer products. With several years in both markets, Kyocera Mita has the benefit of being seen as both a Printer and MFP company.

Vs. Hewlett PackardVs. Hewlett PackardHP’s Strengths·         Brand name recognition·         Multitude of resellers & service depots·         Entrenched in MIS/IT community as leading Printer provider·         Distribution in Retail, Online, Direct, and VAR channels·         Own 80+% of market share of Monochrome Printers·         Overall market mentality is “If it’s not HP, I won’t consider it”

Points to Stress

Low Total Cost of Ownership (TCO) Universal Driver for easier product maintenance and training Sales and Service support all from one location Long-life, High-yield consumables Multiple awards won from BLI, BERTL, Better Buys for Business, and PC Magazine Utilities/Software for MIS/IT, geared toward simplifying administration 3rd party software solutions

Direct Competition

Kyocera Mita / HP

FS-1010 LJ 1200

FS-1800+/FS-1900 LJ 2200

FS-3800 LJ 4100

FS-9100DN LJ 8150DN

FS-9500DN LJ 9000DN

Competing with

HP and Lexmark

Vs. Vs. LexmarkLexmarkLexmark’s Strengths

·         Strong product name recognition throughout MIS/IT·         Large VAR/Online/Retail reseller base, along with Direct Sales via Lexmark’s Website·         2nd largest market share (15%) within Printer Industry ·         Multiple manufacturers OEM Lexmark to compliment their own product line·         Seen as the 1st alternate choice to HP·         PREBATE toner program seen as an environmentally friendly and cost- effective program Strong hold in select vertical markets

Lexmark’s Weaknesses·         Seen as a secondary player within marketplace·         PREBATE program is seen as a hassle to participate in, due to requirements from Lexmark·         Consumables are offered by 3rd party organizations, causing higher consumable prices·         Maintenance is offered through Depot service, or via On-site service at a premium·         Each Printer requires its own unique Print Driver·         All-in-One consumables container creates higher CPP·         Lower TCO is dependant upon participation in PREBATE program. Known as a “Printer Company” with no real knowledge of MFP products and support requirements Kyocera Mita Advantage

Kyocera Mita products use a Universal Driver, removing the need for excess training & maintenance The Ecosys concept of Printers provides customers with a low Printer Total Cost of Ownership (TCO) due to their high-yield non “all-in-one” toner and drum. Kyocera Mita Printers are sold and serviced by the same organization, giving customers one source for answering questions Kyocera Mita parts and consumables are manufactured only by Kyocera Corporation. This means that 3 rd party vendors cannot force the price of consumables to change by flooding the market with “knock-off” consumables With continuing pressure on companies to save money, people are beginning to look for more cost effective solutions. This means that people will consider alternative vendors to Lexmark when considering their next purchase Kyocera Mita is a company that has strong roots in both MFP and Printer products. With several years in both markets, Kyocera Mita has the benefit of being seen as both a Printer and MFP company

Points to Stress

Low Total Cost of Ownership (TCO) Universal Controller, and Universal Driver for easier product maintenance Sales and Service support all from one location Long-life, High-yield consumables Multiple awards won from BLI, BERTL, Better Buys for Business, and PC Magazine Utilities/Software for MIS/IT, geared toward simplifying administration 3rd party software solutions

Direct Competition

Kyocera Mita/Lexmark

FS-1010 E322

FS-1800+ W812

FS-1900 T520

FS-3800 T522

FS-9100DN W810DN

FS-9500DN W820DN

Competing with

HP and Lexmark

Additional Material to Support your Case Product Specific Item CodeResource GuidesFS-1010 87164024FS-1800+ 87164064FS-1900 87164027FS-9100/9500 87161583PrimersFS-1010 87164023FS-1900 87164025FS-9100/9500 87161582Counterpoints 9500 vs HP 9000 871640539500 vs Lexmark W810 871640699500 vs Xerox N/4525 87164120AwardsBERTLFS-9500DN 87164046FS-9100DN 87164045Best of Best 87164116FS-8000C 87164044BLIFS-3800N 87164068FS-9100DN *FS-9500DN *Better Buys for BusinessFS-9500DN * *- Electronic File Only

Market Specific Item CodeWorkgroup GuidesSmall Workgroup 87161098Printer Application Guide 87160891 

Online ResourcesAvailable from DealerNetCompetitive Pricing ChartsElectronic Copies of Resource Guides/PrimersElectronic Copies of Awards