Recycling Times Magazine English Edition-Issue 39 (NEW LOOK)

Page 1




EDITORIAL

Tony Lee The future of inkjet printing has been expected to face its demise ever since laser printers continued to take up larger and larger proportions of the market, more so now when the cost of color laser printers has dropped to below US$150. Since 2007, the inkjet OEMs, including Epson, HP and Canon, have worked hard to win back their previous market share by targeting businesses with inkjet printers. On April 5, 2007, HP announced the Officejet series, true business inkjet printers, to keep up with laser printers at the same price point. Actually, HP invested US$1.4 billion on SPT (scalable printing technology) into the series. Hence, this series of printers has offered competitive speed, cost per page, processing capacity and output quality when compared with laser printers. In 2008, Epson introduced its reengineered micro piezo-electric print Publisher & Managing Director Tony Lee

Directors David Gibbons Sabrina Lo

Senior Consulting Editor Art Diamond

Editorial Team Doris Huang Doris.Huang@iRecyclingTimes.com Jane Yu, Violien Wu, Virginia Ruan, Wendy Lee

Graphic Designers Miracle Wei, Kevin Deng

Sales Team Anna Liang Anna.Liang@iRecyclingTimes.com Kevin Zhu,Victoria Zhao, Tobee Deng

Marketing Team Jessica Yin Jessica.Yin@iRecyclingTimes.com Tracy Zhang

Operations Team Charles Lee Charles.Lee@iRecyclingTimes.com Betty Lee, Candy Chen, Joy He

Regional Contributors Europe: José Bustamante Africa: Bevlen Sudhu Australasia: Maurice Aiken

Regional Offices 6B Xinhai Commercial Building, 104 Yuanlin Road, Jida, Zhuhai 519000, China Tel: +86 (0)756 3220716 / 3919266 Fax: +86 (0)756 3220717 24 Ardley Ave Kellyville, NSW, Australia 530 West Ojai Ave., Suite 108 Ojai, CA 93023-2471, USA Email: info@iRecyclingTimes.com Website: www.iRecyclingTimes.com

D290 Issue39|www.iRecyclingTimes.com

head, which applied BES (Bubbles Elimination System) to resolve the problem of clogged print heads. With the new longlife print head, business inkjet printers were able to surpass traditional desktop laser printers in terms of technology, reliability, environmental protection, and cost. In more recent times, HP has released the new generation business inkjet printers—the Officejet Pro X576dw series. With printing speeds up to 70ppm, they have become the fastest inkjet printers in the world, and been listed in the Guinness World Records. The first page prints out in just 9.5 seconds as well. The new fixed, page-wide array print head allows four pigment inks to spurt precisely onto the moving page, providing the high speeds. In just a few years, the business inkjet printers have matured and caught up with laser printers. Some even cry out, “The era of inkjet printing has returned!” According to BCC Research, the global industrial inkjet printing hardware and consumables market was valued at US$1.9 billion in 2012, and will approach US$7.4 billion by 2017. They say the Asia-Pacific region is the largest market for industrial inkjet technologies. Between 2012 and 2017, Asia-Pacific’s share is expected to grow from 47% to 53% of the world market. A recent InfoTrends study predicts 56% of all office printers will be inkjet by 2016, leaving lasers to account for the remaining 44%. In recent years, business inkjet and multifunctional printers have surpassed laser devices in the U.S. by unit shipment volume and become the leading technology. Results show 77% of those who chose an inkjet device, did so because it was cheaper to buy and operate. This is a significant insight. While many think customers want product performance such as speed, reliability, and output quality, it would appear that the crucial reason for finally selecting inkjet is the lower cost. Inkjet printers have returned! Are you ready?


CONTENTS

3

RECYCLING

TIMES No. 39 | 2013

05 | NEWS IN BRIEF Ninestar, Fuji Electric Seek Exemption from GEO

34 | OEM NEWS HP Conducts Disgraceful AntiCounterfeit Raids in India

06 | WORLD NEWS 4,000 Counterfeit Cartridges Seized in Russia

37 | DIGITAL PRINT NEWS 39 | REGIONAL NEWS

09 | LEGAL UPDATES Canon Moves Closer to Victory on Patent Infringement Complaint

45 | TECH ZONE Dell 5130 Series Toner Cartridge

11 | JUST A MINUTE Getting Better Connected

47 | MONEY FROM HOME Cash for Your Cache

11 | TRENDS Infotrends Predicts Inkjets to Dominate in the Office

49 | ACTIONABLE INSIGHTS Okay, Lexmark is Victorious in Court, So Where’s the ROI?

13 | NEW PRODUCTS 19 | AFTERMARKET NEWS RemaxAsia Listed as Government Preferred Expo 23 | ENVIRONMENT

14 | FRONT COVER STORY

More than 46,000 used printer cartridges have been collected in Mildura, Australia by the recycling program Cartridges 4 Planet Ark. What a shame they are being crushed for recycling and not being remananufactured! Source:www.sunraysiadaily.com (Picture: Luke Birch)

51 | KEEPING UP Complacency is a Killer 52 | THE LISTS

FEATURES

24 To Be or Not To Be: China’s Print Consumables Aftermarket Faces the Crossroads A heated debate is taking place within the Chinese print consumable industry regarding such existential issues as, price wars, product quality, profit margins, patent infringement and counterfeiting. 29

43 | PEOPLE Color Ink Dispersion Opportunities Sue Wright, Director of Diamond Dispersions

Paper Tutorial

Over the past 212 years, the paper industry has become more sophisticated in machine design, operating speeds and in the diversity of papers being produced. 40

OEMs Financial Reports

The first quarter of 2013 saw a continuing weakness in the global economy, signs of a slowdown in China and Europe, and severe price competition affecting the imaging industry as a whole. Nestor Saporiti, UniNet Photo Credit: UniNet

Recycling Times informs, educates, and nurtures the global printer consumables industry innovatively through an integrated broadcast, print, digital and social media strategy. As such, we honor and respect the intellectual property of all businesses and individuals. Consequently, we take a zero tolerance position to the manufacture, distribution and sale of patent infringing “cloned” and counterfeit printer cartridges and components. We continue to strive to avoid promoting such in our advertisements, articles and editorial content. All rights reserved. © June 2013 by Recycling Times Media Corporation. The contents are not be to copied or republished without official written consent. Editorial content may not necessarily represent the offical position or view of Recycling Times Corporation. Readers should apply due deligence when doing businesss with any advertiser or company listed in this publication.

www.iRecyclingTimes.com|Issue39


B130


NEWS IN BRIEF

5

HP Lifts Prices, Changes Access for Resellers

Ninestar, Fuji Electric Seek Exemption from GEO

Office Workers Ignorant about Laser Printer Supplies

HP announced another hike in its smallformat inkjet supplies and photo value packs, effective June 1, 2013. The increase is a part of HP’s normal portfolio management process. But according to some analysts, the action might be mostly motivated by shrinking print volumes in its consumer inkjet business and the declining revenue generated by its printer and consumables sales in recent quarters. The company also signaled a “fundamental change” in access to its supplies for resellers. According to HP, it will classify original HP inkjet cartridges (both smallformat and large-format) and LaserJet cartridges as “authorized products.” Hence, only authorized partners will be able to purchase HP supplies from HP distributors to sell to end users.

Ninestar/Seine and Fuji Electric have posted objections to the General Exclusion Order (GEO) that might be granted to Canon by America’s International Trade Commission (ITC). The GEO concerns the patents over twisted prism gear projection couplings held by Canon. Fuji Electric wants the GEO written so only the gears, drums, and toner cartridges in specific types are excluded. Products using a different non-infringing gear design could then be imported and avoid the harsh effects of a broad GEO. Ninestar notes that the ITC has limited GEOs with exemptions in the past by specifying that the GEO does not apply to products imported and manufactured abroad by various entities. It believes its products should be exempted in this way as they are using a workaround gear design.

A survey commissioned by Lexmark found many European office workers do not know the use, cost or quality of laser printer supplies. The survey questioned 664 office workers across Europe and found “knowledge to be very low” regarding laser printer supplies, noting that “common beliefs and misconceptions” were widely held by those surveyed. It reveals 75% of the participants don’t know how many pages their printer cartridge should print, and 28% believe they must pay to recycle an empty toner cartridge. 84% had no idea how many more pages they can print after a low toner warning appears; 50% believe that the more expensive the toner cartridge, the higher the print cost per page.

Read more: bit.ly/10sAukC ■

Read more: bit.ly/10dyhZg ■

InfoTrends Completes Study of India’s Print Industry

Printed Media Important to Businesses

Kodak-Brother Agreement Terminated

InfoTrends is offering a new study, Print on Demand: India, that analyzes the current use of printer hardware, connecting with digital applications, and future requirements and trends in India’s ondemand printing market. Based upon more than 20 first hand interviews with Indian print service providers (PSPs), dealers, OEM vendors and distributors, the study provides a greater understanding of India’s print on-demand market. Nakul Sharma, InfoTrends’ Indian Analyst, said, “The current print industry in India contains more than 250,000 print service providers with a total turnover of around $20 billion. As almost 75% of print service providers are family-own businesses, their market value is closely held.”

A groundbreaking study conducted by Canon Middle East reveals 97% of organizations in the United Arab Emirates (UAE) and Africa still consider printed media to be important to their business. The detailed survey was carried out through in-depth interviews with 210 users and commissioners of professional printing in the UAE, Saudi Arabia, Lebanon, Egypt, Morocco and Kenya. Results found 54% of the participants considered print to be more effective than any other type of media, while 90% stated they would include print in their multi-channel communications tools. The percentage is the highest amongst all the different types of media.

Brother announced Kodak has terminated the two party’s agreement on the selling of Kodak’s personalized imaging and document imaging businesses. Instead, Kodak will now sell those assets to its largest creditor, the U.K. Kodak Pension Plan, for $650 million. In mid-April, Kodak had agreed to sell certain assets of its document imaging business to Brother for about $210 million. They both stated that if no qualified competing bids were submitted in time, the acquisition will be completed. A Brother representative said, “We were acting on the assumption that something like this could happen, but it’s a shame.”

Read more: bit.ly/15wCqQD ■

Read more: bit.ly/14RzONk ■

Read more: bit.ly/14gNInN ■

Read more: bit.ly/16RnpIN ■

www.iRecyclingTimes.com|Issue39


6

WORLD NEWS

01

04

83% Prefer Canon Printers

Further Information on UK Ruling in Schütz v Werit

A recent study revealed that 83% of Canadian office workers consider Canon copiers easier to use than other brands. A total of 154 individuals from Vancouver, Calgary, Toronto and Montreal took part in the survey which included basic, hands-on evaluations of machine performance. Participants were given the task of completing everyday activities on various printers. Among the test results, Canon printers were described as “simple” and “common.”

Further information was given on the Schütz v Werit case by the UK’s Supreme Court. The case concerned the repair of a patented product by replacing a component part. It raises the question of whether this should count as patent infringement. The product involved was a bulk container, known as an IBC, consisting of two parts—a large plastic bottle to contain liquids and a strong metal cage in which the bottle is held. The patent, awarded to Schütz, relates to a product which includes both the bottle and the metal cage. Read more: bit.ly/11axSOJ ■

Read more: http://bit.ly/YSl764 ■

02 Memjet Names Canada’s LaserAge As Its New Reseller Memjet has recently named Canada’s LaserAge Inc. as its exclusive authorized reseller for the Memjet C6010 printer in South Western Ontario, Canada. LaserAge has provided MPS, document imaging and traditional transactional supplies, equipment and repairs to the region for over 20 years. The Memjet C6010 was released in Canada in April. It is a cost-effective MPS-ready inkjet printer and supports ink refill programs. Read more: bit.ly/145Tmck ■

03

05

01

Canon and Direct Billing Resolve Dispute

04

02

05

03

Canon announced the resolution of a patent infringement dispute involving Direct Billing International, Inc. of Carlsbad, California. On February 6, 2013, Canon filed a motion to seek an order holding Direct Billing International in contempt for violation of a consent judgment and permanent injunction stipulated previously in the case of Canon Inc. v. Ninestar. Canon claimed that Direct Billing International had continued to sell toner cartridges which the permanent injunction prohibits it from selling. Direct Billing International to pay to Canon its entire profits gained from these violations. Read more: bit.ly/10oS5Kg ■

InfoTrends Study Addresses Clone Cartridges InfoTrends has commenced a study focusing on the North American and European markets for cloned cartridges. This study investigates market penetration, route to market and channel awareness for laser and inkjet clones. It provides insights and tools to educate channel players and government agencies on the potential risks and damages associated with these clones. Many cloned cartridges tend to be of very low manufacturing cost and are frequently offered for sale to the end user at prices remarkably below both OEM and remanufactured cartridges. Read more: bit.ly/18p4Hrk ■ Issue39|www.iRecyclingTimes.com

06 Epson Opens First Office in Saudi Arabia Epson announced the opening of its first office in the Kingdom of Saudi Arabia. The new office is part of Epson’s growth and expansion plans for markets in the Middle East. Hiromi Taba, President of Epson Europe B.V., declared, "The Saudi Arabian market is vital to Epson's ambitious expansion goals in the Middle East, and being the biggest market in the region it was imperative that we have a strong presence in the Kingdom.” This new office in Riyadh will be equipped with the latest products from all categories. It will also provide strong sales and marketing support to customers and the channel. Read more: bit.ly/ZnecmQ ■


7

WORLD NEWS

07

09

ETIRA Launches New Website

4,000 Counterfeit Cartridges Seized in Russia

The European Toner and Inkjet Remanufacturers Association (ETIRA) has launched a new website for the printer and copier aftermarket consumables industry providing the latest news, information and important issues. The association focuses mainly on fair competition, environmental concerns, legal matters and waste transport. The website also offers information about cartridge remanufacturing.More details can be found at www.etira.org.

According to Russian radio website Radiovesti, the largest raid against counterfeiters in Russia ended with the seizure of more than 4,000 counterfeit HP cartridges. During the raid, three truckloads of fake products were seized at the production and storage facilities in a closed research institute. According to Forrester Consulting, Russia had one of the lowest levels of counterfeit HP cartridges in the EMEA region. An estimated 11% of organizations indicated that they had encountered counterfeit cartridges compared to 23% of organizations in the UAE, 31% in Algeria and 50% in Nigeria.

Read more: bit.ly/15yEIOj ■

Read more: bit.ly/11GBUtb ■

09

HP & Canon Laser Printers Get Top Ranking Zol Data Center has released its report analyzing the China laser printer market. Hewlett-Packard was selected as the most popular laser brand base with a 54.7% share of those polled. Canon ranked second with 12.4%, followed by Lenovo, Fuji Xerox and Samsung.

07 10 06

10

According to the report, 30.5% of those interviewed favor color printers over monochrome and 28.5% use printers with a print-via-internet function, a 1.8% increase when compared with January. But printers lacking the capability of print-via-internet are still the mainstream products with a proportion of 59.7%. That share is declining gradually. All-in-one cartridges, with a 70.1% vote, are more popular than toner and cartridge separated products, with only 29.9%.

08

11

08 Printer, Copier and MFP Shipments in India Increased According to Gartner, Inc., the combined serial inkjet and page printer, copier and multifunction product (MFP) market in India totaled 676,263 units in the fourth quarter of 2012. This represents a 5.4% increase, year-over-year (YOY) compared to 4Q2011. Total end user spending grew by 27% in the same period, totaling USD $219.8 million. Amrita Choudhury, a Research Analyst at Gartner said, “In the fourth quarter of 2012, vendors focused on strengthening their channel partners and engaged them in more channel program initiatives,” adding that “most vendors worked closely with the education and public sector units to win deals in both products and services.” Read more: bit.ly/14isc5M ■

Read more: bit.ly/13Y3IuJ ■

12

11

12 Fuji Xerox Australia Upgrades Printer Partner Program

Counterfeit HP Cartridges Confiscated HP claims that more than 2,000 counterfeit toner cartridges were confiscated by Malaysian law enforcement officials. The value of these counterfeits totaled RM540, 000 (US$181,300). No arrests have been made at the time of publication. An investigation is underway to identify the entity's downstream customers, upstream suppliers and any related facilities. A counterfeit product is defined as one that looks identical to the genuine or original product and often contains refilled cartridges with low-quality inks and toners.

Fuji Xerox Printers has come up with a new partner program in Australia, called, Ready for Real Business. The program is an update of Fuji Xerox’s channel strategy to make it easier for resellers to market and sell to new and existing customers. The company introduced an improved rewards scheme and training program that features stronger marketing, sales support and lead generation. The updated partner program helps the vendor listen to partners to find the best customer database matching their intent, so the reseller can then take the next step, such as funding a telemarketing program.

Read more: bit.ly/15M6hEY ■

Read more: bit.ly/ZMNAcw ■ www.iRecyclingTimes.com|Issue39



LEGAL UPDATES Ricoh Files Patent Infringement Complaint against Kodak Read more: bit.ly/ZOHdoN ■

Blue Trading Sues Lexmark, Seeks Declaratory Judgment on First Sale Issue Read more: bit.ly/ZBocK0 ■

Three Defendants Settle with Brother Read more: bit.ly/161HfB6 ■

9

Ricoh filed a complaint against Kodak alleging that since filing for protection under Chapter 11, Kodak has infringed several Ricoh-owned U.S. patents. The named products are Kodak’s range of all-in-one desktop inkjet printers, their software, print heads, inks and inkjet cartridges. Ricoh says Kodak also infringed U.S. patent 7,169,522 by selling various Kodak NexPress production printers and supplies. Ricoh is seeking a declaratory judgment of infringement, a permanent injunction that would bar Kodak from further

infringement, damages, treble damages because of the “willful nature” of the infringement, interest, and costs. In another court document, Ricoh estimates its damages are at least $14.5 million.

Cartridge core broker Blue Trading filed a complaint against Lexmark, seeking a declaratory judgment of non-infringement. Blue Trading alleges Lexmark’s patent rights have been “exhausted by Lexmark’s authorized first sale whether its first sale occurred domestically or internationally.” In filing for declaratory judgment, Blue Trading is pursuing a path suggested by patent attorney Edward F. O’Connor, Esq. If the judge rules in favor of Blue Trading, the Jazz Photo case ruling of patent exhaustion upon first sale in the

United States will now extend to first sale in any country. This could have a favorable impact on the entire cartridge reman industry.

Three defendants, Sophia Global, My Supply Buy, and Chi Kin Wong agreed to settle with Brother in a lawsuit which accuses them of selling compatible tape cassettes for P-Touch label printers that infringe Brother patents. Although they are waiting for the judge to sign off on the agreement, these defendants will be permanently prohibited from making, using, selling, offering for sale in the United States, or importing into the United States any of the

accused products, as well as other label cassettes that infringe Brother’s 6,116,796, 5,964,539, and 5,563,542 patents.

IN BRIEF Canon Moves Closer to Victory on Patent Infringement Complaint The U.S. International Trade Commission (ITC) issued a notice in response to Canon’s patent infringement complaint—the “twisted prism” gear lawsuit. The ITC advised it would not review Judge Shaw’s initial determination, which recommended a general exclusion order (GEO) as remedy, because no party petitioned for it. It

might issue a limited exclusion order and/or cease-and-desist orders as the remedy. Prior to doing so, it is asking for written submissions addressing the form of remedy it should order by the close of business on May 1. Acting in the public interest, the ITC is mostly concerned with how any remedy it may order will affect the public. The target date for the ITC to issue a final determination is June 28. Read more: bit.ly/11Ew3pO ■

www.iRecyclingTimes.com|Issue39


C501


TRENDS

11

JUST A MINUTE DAVID GIBBONS

Infotrends Predicts Inkjets to Dominate in the Office A recent InfoTrends study predicts business inkjet will comprise 56% of all office printers by 2016, leaving lasers to account for the remaining 44%. The study identifies critical customer insight and recommends appropriate sales and marketing strategies for business inkjet providers. Moreover, it quantifies the placement opportunity for business inkjet technology in the US office environment. InfoTrends has believed for some time that inkjet technology can play a greater role in office printing. Its research results show that 77% choose an inkjet device for reasons including cost, price and running cost. Read more: bit.ly/17HFhC4 ■

IDC Reports LFP Sales Slipped in CEMA Region IDC’s recent research reveals there was a slight decline in the large format peripherals (LFPs) market in Central and Eastern Europe, the Middle East, and Africa (CEMA). Shipment volumes slipped -0.91% to 37,184 units valued at over $333 million. IDC expects the overall CEMA LFP market to grow by around 4% in 2013, driven by increased demand for technical printing in the construction sector, while the graphics printing market is expected to remain flat. In 2012, aqueous ink devices accounted for more than 80% of the LFP

market volume in the CEMA region. They will retain their dominance in the coming years. However, advanced ink type devices are expected to increase their market share. Read more: bit.ly/16bmiE3 ■

Worldwide Industrial Inkjet Printing to Approach $7.4 Billion by 2017 According to a report by BCC Research LLC (Wellesley, MA), the global market for industrial inkjet printing hardware and

consumables was valued at $1.9 billion in 2012, and will approach $7.4 billion by 2017. The report shows that inks and other functional fluids accounted for about 70% of the market in 2011 and 2012, and will increase to more than 74% in 2017. BCC Research finds that the Asia-Pacific region is the largest market for industrial inkjet technologies. Between 2012 and 2017, Asia-Pacific’s share is expected to grow from 47% to 53% of the world market. By 2017, Europe’s share is likely to decline from 20% to 16%, while the North American share will drop to 15%. Read more: bit.ly/15bnSWP ■ www.iRecyclingTimes.com|Issue39

Getting Better Connected During your lunch time (or was it mine?), a revolution took place. Emails died, and social media— Facebook, LinkedIn, Twitter, WeChat, Weibo, and YouTube— took over. Well it may not be that dramatic, because you need an email account to register with most social media networks. However, I’m amazed at just how quickly remanufacturers have jumped onto this bandwagon. I shouldn't be, because consumer demand always drives the market. Marketing professionals are using social media to cultivate customer loyalty, raising awareness about their products and services, and reaching out to new customers. A teenager can now log onto Facebook and quickly source any product, including the purchase of an OEM or remanufactured printer cartridge (see Berto for a laugh on page 52). Social media—from blogging, to video, to photo-sharing—are technological tools that enable people to communicate. They replace formal flyers or presentations. Mostly, they’re casual, and constantly changing, conversations. So how will you respond to this phenomenon? As a fad? Or, as a business opportunity? Here are 7 basic rules for creating your successful social media campaign: 1. Keep it brief: sometimes you will only be given 140 characters to get your message across; 2. Keep it fresh: stand out by posting timely, frequent, eye-catching content with images and videos—where possible; 3. Keep it personal: it’s your voice—adopt a casual and friendly tone; 4. Keep it interactive: don’t talk only about yourself but post content you think your viewers will find interesting; 5. Keep it responsive: ask for feedback, listen, and reply to messages and comments, including critiques; 6. Keep it purposeful: familiarize yourself with the rules of each social media platform before diving in; 7. Keep it strategic: Which social networks are most popular with your target customers? Does a network provide access to an audience you had not considered before? Are you focusing on the best opportunities for growth?


A110


NEW PRODUCTS

13

OCP Announces Inks for HP Officejet Pro X Series Printers

One of the world’s leading ink jet ink makers, OCP, (Bochum, Germany) has developed brand new pigment inks for the HP 970 and 971 cartridges used in the HP Officejet Pro X Series Printers. HP PageWide cartridges No. 970 and 971 are single ink cartridges and contain

all-pigment inks that are said to be vibrant, water-resistant, and will last for decades. HP has just released two single function (Officejet Pro x451dn, x551dw) and two multifunction printers (Officejet Pro x476dn, x576dw), using HP’s PageWide Technology, enabling single pass prints with speed of up to 70 ppm in General Office quality mode. It delivers high quality prints at up to two times

the speed and half the printing cost of laser. It can print of up to 9,200 pages with the XL black ink cartridge and up to 6,000 pages with the extended-life color cartridge. Read more: bit.ly/15vDp3W

Ninestar Launches Patented Cartridges for New Canon Inkjet Printers

Faroudja Offers Toner for HP 9500 Printers

Ninestar has released aftermarket cartridges which they claim are patented and can be used to replace ink cartridges for Canon 550/551/451/351/251/651/ and 751 printers. Ninestar boasts it is the first aftermarket company to launch such patented cartridges (with chips). Canon released this series of allin-one printers in September 2012. The Canon 550/551printers are an upgrade of the Canon 525/526 Series. An estimated 700,000 printers have been sold since their release, mainly in EMEA, North America, Oceania, Japan and Asian markets.

San Carlos, California-based toner and components maker, Faroudja Toner, now offers color toner for HP 9500 printer cartridges. The product is bulk packed in 10 Kg (22 pound) bags of cyan, magenta, yellow and black toner. “We have been working for years on the HP 9500 cartridge, which is very unique. We finally have a toner that delivers the quality our customers demand” explained Marketing Director Tim Farrell. “This is a dedicated toner that works only for the HP 9500.”

Read more: bit.ly/126EkDa

Read More: bit.ly/17NkE9t

UniNet Launches Absolute Color™ Toner, Components for OKI Data C530DN UniNet has rolled out Absolute Color toner and components for the Okidata C530dn color printer. The Okidata C530dn is designed for small workgroups requiring quality and speed. This new color printer features printing speeds of 31 ppm for black, and 27 ppm for color printing. UniNet’s new toner cartridges have an OEM standard yield of 3,500 pages for black, and 3,000 pages for color

printing. High yield cartridges are rated at 5,000 pages for all four colors. The drum has a new design with all four drums in a single replaceable assembly. Read more: bit.ly/YtJ2tW

New Toner for Brother Printers Released Static Control Components (Sanford, NC) has released a universal, high-density toner for Brother printers. Static control claims the new toner provides solid print performance and avoids extreme toner starvation or doctor blade build-up and backgrounding. By ordering this new toner in bulk, remanufacturers can also reduce their cost and space.The high density toner is offered in four different weights and product codes are TRBUNIVHD100B (100g), TRBUNIVHD-200B (200g), TRBUNIVHD-1KG (1KG) and TRBUNIVHD-1KG (10KG). Read more: bit.ly/YeGeh1 www.iRecyclingTimes.com|Issue39


14 FRONT COVER STORY

THE

UNINET STORY Nestor Saporiti Listens, Customers Prosper Art Diamond, Consulting Editor

Among his many talents and managerial skills, Nestor Saporiti, President of UniNet Imaging Inc. is a careful listener. He listens to every customer, recharger and distributor in UniNet’s vast, worldwide network. His listening skills ensure that each message, each request, every suggestion, is carried back to UniNet’s R&D Lab. There, they are transformed into new and better products and to customized specialties. Ultimately, they add another notch of growth to this rapidly expanding enterprise.

Born in Argentina, Nestor Saporiti graduated from the University of Buenos Aires with a degree in architecture and urban planning after relocating to California, his post-graduate studies were in business and marketing at UCLA. Saporiti is a hands-on CEO who manages custom solutions to keep his customers happy. With a proficiency in four languages (English, Spanish, Portuguese and Italian), he is an expert communicator, listening and learning from his customers. By attending almost every major trade show and exposition, by listening carefully to his customers and tracking trends in the marketplace, he has been able to participate in the development of new products and in the customization of existing ones for UniNet’s accounts. There is no bureaucracy at UniNet, no long chain of command to misinterpret goals or complicate solutions.

Issue38|www.iRecyclingTimes.com


FRONT COVER STORY

15

Where the Strength Is Origins Technical Director, Neil Robinson believes, It all started back in 1989 when Nestor “Our strongest feature is our growth, even in Saporiti began selling remanufactured these dismal economic times—a dynamic that cartridges in Argentina and Japan; he became creates energy and excitement throughout a the first American recharger to engage in company. Some of our competitors have passed international sales of these products. As the growth period and appear to be stalled, or business grew, he entered emerging markets in flat lined. With earnings down and a negative Europe and Latin America before establishing outlook, they have closed offices overseas. But, operations in the United States. UniNet was UniNet continues to expand globally by adding very big in Latin America, and still maintains a products, adding distributors and adding commanding position in that region. customers. In those early days, UniNet specialized in “Of course,” Robinson continues, “Product Hewlett-Packard’s monochrome products. But quality is another powerful factor contributing as profit margins narrowed, the company turned to UniNet’s growth. We do both backward to hard to find products, remanufacturing and forward compatible testing, to ensure our components in 1990 and color cartridges in toners are totally compatible with those of the 1998. OEMs.” In 2007, UniNet acquired the assets “Our quality control program is based of Summit Technologies, a company upon the confidence we have in our OEM headquartered in Bohemia, NY, with offices manufacturing partners. We establish in Ventura, CA and chip manufacturing test procedures to meet our standards and operations in Las Vegas, NV. In September specifications and implement these standards in 2004, Summit Technologies was the outcome all of our plants. of a merger between Summit Laser Products “Actually,” he continued, “most of our and Graphic Technologies of Camarillo, CA. testing is devoted to “We acquired Summit,” bringing new products on explains Saporiti, Our strongest feature stream. But, if we find that “because we could not deliver products fast is our growth, even in a certain incoming product varies more from lot-toenough to the East Coast these dismal economic lot than QC limits would customers.” Keeping his customers times—a dynamic that allow, we immediately test it more frequently in mind, Saporiti realized creates energy and to cull out any rejects early on that they lacked excitement throughout a and then scrutinize the the technical skills they manufacturing operation needed to compete in company. to reduce the variations.” the complex market. In the last analysis, Consequently, he brought Nestor Saporiti is probably the strongest Mike Josiah on board to provide technical marketing/technical weapon in UniNet’s support and hands on training. He later named arsenal. “It’s the interaction he has with his Neil Robinson as Technical Director to oversee customers,” Robinson explains. “I truly believe operations. Soon afterwards, Joe Cachia joined his heart is in R&D. He lights up when he UniNet with the mission of building up the enters my laboratory all flushed with an idea firm’s smart chip production facilities. for a new product, or a request to modify an “We are not a bureaucracy,” declares existing one for a preferred customer.” Saporiti. “I spend most of my time speaking MICR toners are a top specialty, a high with customers, at their offices, at trade shows margin product line in demand for banking and on the telephone. I’m a great listener and applications and secure document printing. they know I will carry their words back to the “Finally,” Robinson concluded, “let’s not individual responsible.” forget another important element. UniNet In a way, Nestor’s endless talks with UniNet does a lot of OEM business. It’s steady work. customers reveal an eternal quest for customer It’s high volume. And, prompt payment is a interaction and feedback. His college training certainty.” as an architect leaves him with the curiosity of a scientist and the discipline of an engineer. In United They Stand the words of Saporiti, “We customize products Saporiti named his company UniNet, a and have years of experience in tweaking toner contraction of the two words, Universal for higher density, higher page yield, or both.” www.iRecyclingTimes.com|Issue39


E110


FRONT COVER STORY

17

Mike Josiah, UniNet's Technical Director and Production Manager

Joe Dovi, COO and Executive Vice President of UniNet Ms. Marcela Gasanz, UniNet's Marketing Manager, is the wife of Nestor Saporiti

Neil Robinson stands among the hundreds of toner and inkjet copiers and printers used to test UniNet machine components, chips and consumables.

Mike Josiah’s clear, photo-illustrated and Network. Saporiti has given his Cartridges: The Tougher the Better reman directions are recognized UniNet’s extensive experience in toner loyal distributors a vested interest in formulation, additive blending, classifying worldwide. To date, Josiah has published their distributorship—a piece of the more than 360 instructions. These and other operations, enables it to adjust action. Having skin in the game, these are constantly edited and updated to density, page yield, charge acceptance, entrepreneurs are faithful and highly incorporate feedback from readers and and other properties. motivated to build their respective viewers around the globe. UniNet offers Jumbo (high volume) fiefdoms. Competitors have even They appear in 11 hard copy and online cartridges and either X Generation® high approached some of these “partners” periodicals. yield toners, or high, Absolute Black® with attractive offers, tempting them to Joe Dovi, UniNet's COO and Executive high density toners, or both. Indian and abandon UniNet and join the competition. Vice President, points out, "UniNet is Russian buyers prefer the highest density It hasn’t worked. Their loyalty and very supportive of the smaller rechargers toners. MPS customers prefer the high dedication has won out, down through and the stiff competition they face on HP yield toners. the years, and they continue to stand with monochrome cartridges, so we UniNet. have focused on helping them Today, UniNet has a workforce We have a low distribution cost improve their bottom line by of roughly 450 employees because we have our own global educating them on new product worldwide. They occupy some lines. Our R&D team has spent 300,000 square feet of floor network. We hire local people considerable time developing space at distribution centers in 11 because they better understand several niche cartridges that are locations, strategically located in not only easy to remanufacture, 10 countries on 4 continents. their domestic customers but provide the highest profit Says Nestor, “We have a margins, namely, Oki Data, low distribution cost because Xerox, Dell, Kyocera, and other non-HP “As the demand for color toner grows we have our own global network. We models. Although spent cores are harder we see more two-component color toners hire local people because they better especially at the high end,” notes Saporiti, to find in large volume, they provide a understand their domestic customers. unique growth and profit opportunity for adding “These two component cartridges We have our own network in New York the ‘walk-in’ type rechargers who have are typically harder-to-remanufacture. and California with 6 in Latin America access to these cores.” That’s a turn-on for UniNet as we (Argentina, Brazil, Colombia, Peru, The bottom line is UniNet proactively specialize in these hard-to-remanufacture Mexico, and Venezuela) and others in listens and learns from its customers. cartridges. With our tight quality control Africa, Canada, Europe, Japan and the Decisions can be made quickly, R&D program, we can guarantee our color Middle East. In 2012, we added to these efforts advance smoothly and UniNet toners. With Mike Josiah and his team by starting up operations in Indonesia and delivers improved products, driven by a providing stepwise instructions, our the Philippines.” It’s a global network, highly active CEO, a tough competitor, at customers are in good hands to prosper in cleverly crafted and strategically located home in a high technology industry. ■ this high margin market.” to yield a strong presence in all markets. www.iRecyclingTimes.com|Issue39



AFTERMARKET NEWS GEO: A Double-Edged Sword Aftermarket supplies companies have keenly followed the Canon ITC investigation on the twisted prism gear patent infringement lawsuit. As matters draw to a close, many analysts predict a general exclusion order (GEO) will be issued which will prohibit the unlicensed entry of infringing products into the United States. Luke Goldberg, SVP MSE Global at Micro Solutions Enterprises, thinks the GEO should be a positive thing for the remanufacturing industry in the United States. However, it may be detrimental

RemaxAsia Listed as Government's Preferred Expo

for other parts of the world, because manufacturers of infringing products will no longer be able to ship their products to the United States. He predicts these products could be dumped in other countries where patents are not protected. Watch more about what Luke Goldberg says on bit.ly/12imyNl ■

Most Expensive Liquid BBC TV’s Watchdog show champions consumer rights and helps expose bad business. It has aired a segment on the rising prices of inkjet cartridges, in comparison to their shrinking size. Sarah Dyckhoff at Cartridge World Aylesbury was interviewed about this issue. She told the Watchdog show HP’s cartridge containing 5 millilitres of ink costs £12 (about US$18). That means consumers have to pay £2,400 (or US$3,735), for just

19

one litre of ink. In other words, one litre of ink costs the same as 1,800 litres of gasoline, or 68 bottles of premium whisky. Watch more on: bit.ly/10yjAWC ■

The Ministry of Commerce of the People’s Republic of China has announced its recommended list of significant and influential Chinese expos for 2013. RemaxAsia Expo ranks 11th out of 115 events and is the only office products expo in China to be published in the list.The Ministry says it supports the influential industrial events to ensure they sustain the healthy development of their respective industries. The list went through a strict and complicated approval process by government and industry associations. Both RemaxAsia and iPrint(China) expos will be held October 16 to 19 in the Zhuhai Airshow Center. More than 80% of exhibition booths are booked. Read more: bit.ly/10oUdl7 ■

C620

www.iRecyclingTimes.com|Issue39


A210


AFTERMARKET NEWS Diamond Dispersions Sees Stunning Growth Global ink specialist, Diamond Dispersions, reported 47% sales growth during the first quarter of 2013, compared to the same period in 2012. The company has delivered 32% year-on-year sales growth in the first half of fiscal 2013, ending on

August 31, 2012. March 2012 was a record month for sales, the highest in company history. According to Diamond Dispersion, demand for its dye sublimation dispersions continues to increase with new and existing customers across the world placing orders. (See 5 QUESTIONS on p43.) Read more: bit.ly/ZoXwbQ ■

Static Control Selects Exclusive Distributor in Indonesia Static Control Components named Adiwarna Gemilang as the exclusive distributor of its industry-leading line of imaging products in the Indonesian market. Ed Swartz, Founder and CEO of Static Control, said, “With our newest distributor Adiwarna Gemilang, we look forward to supporting the growing imaging aftermarket in Indonesia. It will better serve the remanufacturers of Indonesia by offering local inventory, technical support

and unique products that only Static Control has.” Read more: bit.ly/11CUS2t ■

21

Quocirca Completes Study of MPS Landscape: 2013 Quocirca, an information technology (IT) and business analysis company, recently released a report titled, Managed Print Services Landscape: 2013, that analyzes the growing MPS market and its continuing development. According to the report, the focus of MPS has shifted from the core services of device consolidation and optimization to long-term business improvement. Further, as companies move to next generation MPS contracts, they seek to lower operating costs and improve overall productivity. The report states the trend of MPS contracts is to offer a variety of business process optimization capabilities, including business process and IT services. Read more: bit.ly/10JLtLs ■

B360

www.iRecyclingTimes.com|Issue39


C110


ENVIRONMENT

23

New Cartriges Made from Recycled Waste and Empty Inkjets Blend HP has partnered with Lavergne Group to develop a method to use old plastic inkjet cartridges in molding new ones. Lavergne discovered that the plastic from water bottles, along with a secret mix of additives, would combine with plastic from many of HP's empty inkjet cartridges to create a material close to virgin plastic. This material is being used in the existing manufacturing equipment designed for use with new raw materials. No expensive refitting is required. Research began in 2000 and the first cartridge was produced in 2005. Since then, more than 1 billion inkjet cartridges have been manufactured with material

from the closed-loop process. Now the company has turned to the development of processes for recycling the polypropylene plastic used in some HP business printers' ink reservoirs. Read more: bit.ly/11HtIKx ■

Empty Cartridges Collected for Remanufacturing Goodwill Industries, a model in the recycling and re-use of clothing, appliances and household goods, has partnered with a division of The Turbon Group—Recycle Your Empties—to recycle used printer cartridges in the US. All Goodwill donation centers will collect used ink cartridges donated and ship them to The Turbon Group’s

remanufacturing facility in York, Pennsylvania to make them suitable for re-use. The company will also provide free, prepaid mailers and boxes to ship the cartridges so that customers need not pay to recycle their cartridges. Read more: bit.ly/13wIaWz ■

Recycling Awareness Remains Low in UK BusinessWaste.co.uk, one of UK’s leading waste and recycling experts, found 80% of companies have no recycling policy in this region. These firms fill landfill sites and resort to illegal activities to get rid of

their waste. The most common things in business without recycling include printer cartridges, paper and cardboard plastics, electrical waste and old computers, etc. In addition, some firms plan to break the law for reducing their costs of rubbish. The government is promoting green policies and recycling through tax breaks for energy efficiency. Moreover, the landfill tax, at £72 per ton, will penalize those organizations that do no recycle their wastes. Read more: bit.ly/108ghnh ■

www.iRecyclingTimes.com|Issue39


24 ENVIRONMENT

To Be or Not To Be

China’s Print Consumables Aftermarket Faces the Crossroads

Issue38|www.iRecyclingTimes.com


SPOTLIGHT ON CHINA

25

Will price wars result in a substantial decline in quality? How can Chinese consumable manufacturers win customers and markets without acceptable quality? Must China’s printing aftermarket compete only by reducing quality and price? Is the Chinese aftermarket making “suicidal mistakes”?

fray. We are busy from the beginning to A heated debate is taking place within the end of the year with more and more the Chinese print consumable industry shipments. However, our profits are regarding such existential issues such steadily declining. We face increasingly as price wars, product quality, profit higher risks. None of us favor this. But margins, patent infringement and counterfeiting. Some, but not all, Chinese none of us has a solution.” manufacturers favor rapid growth and Quality Issues often try every means to compete for Ms. Mary Ouyang, General Manager of market share. Some push themselves Mito Color Imaging Co., Ltd., is deeply in an almost concerned over this suicidal manner situation, claiming, A heated debate is by lowering price “The price war without thinking will finally ‘kill’ taking place within about the bottom the recharger. In the Chinese print line. Others offer Europe, customers products without consumable industry are already consistent quality returning to OEM regarding such or standards, consumables due existential issues such openly producing to the poor quality counterfeit of the aftermarket as price wars, product consumables, and ” quality, profit margins, products. handing out loans Customers irresponsibly to patent infringement and become prejudiced their customers. against Chinese counterfeiting. Consequently, the products due to whole industry quality issues. is risking extinction by operating in an As an effective alternative to the OEM unhealthy and abnormal environment. consumables, aftermarket consumables Suicidal Tendencies Price Wars During recent interviews, some industry players complained, “We don’t dare accept more orders, because we will lose more money if we take them.” Guobin Cao, General Manager of Zhuhai Benma Printmax Imaging Co., Ltd, told a Recycling Times reporter that a severe price war has become the major means of competition. As a result, profit margins have substantially declined. For many manufacturers their heartfelt thinking is: “The high-end manufacturers are also hit badly by this. They never thought of joining the price war, but eventually had no choice but to enter the

have been at risk of patent infringement ever since they were first introduced. Luckily, a growing number of manufacturers in the industry are being awarded patents, Still, product quality— the most critical factor supporting the continued existence of rechargers—has been neglected during the price wars. David Gibbons, Director of Recycling Times Media Corporation, commented that the global industry has a jaundiced view of printer cartridges remanufactured in China. Because cloned cartridge remanufacturers disrespect intellectual property as well as the environment, their cartridges are usually poor in quality. This prejudice has spread to the quality of every printer cartridge shipped from China. www.iRecyclingTimes.com|Issue39


26 SPOTLIGHT ON CHINA

Survival or Self-Destruction? The threshold for entering the print consumables market is low. Some jokingly say, “With two screwdrivers in hand, anyone can be part of this industry!” In the face of an abnormal market Poor Patent Awareness environment, many companies Poor patent awareness is another hope the market will obey the cause of tragedy. More and more Luckily, a growing number of theory of evolution: Survival of OEMs are using patent laws to the fittest. Thus, the small and attack third party print consumable manufacturers in the industry weak enterprises will be squeezed manufacturers. These court actions are being awarded patents,still, out and only those focused on have already had a substantial product quality—the most critical research and development will impact on the industry. According to Ms. Helen Duan, factor supporting the continued survive. Arnald Ho, Chairman of Printa leading attorney with INNOPAT existence of rechargers—has Rite, said the past year was full Intellectual Property Co., Ltd., the of worries and challenges in overall patent status of the Chinese been neglected during the price the industry and it will persist aftermarket, led by Print-Rite wars. this year. “If this continues, it and Ninestar, is improving. But will not be surprising that many overseas, some small and medium manufacturers will be squeezed size manufacturers have been hurt by Selling on Credit out, or acquired by other manufacturers.” Selling on credit is quite normal patent infringement lawsuits. One of Massive consolidation for the industry between Chinese Buyers and Sellers, but the main reasons these complaints have will be painful and may be destabilizing. it’s a bizarre way to win market share. impacted the industry is that rechargers What should companies do? Wait to “die” Most important, this kind of trading is lack patent awareness. or find a solution? dangerous because Sellers are at high Ms. Duan explains, “Take Canon’s Here are some possible solutions: risk of loss. Section 337 complaint, for example, “To make things worse,” notes Gibbons, “some industry associations, which openly welcome remanufacturers from different countries and regions in the world, now reject players simply because they are Chinese.”

US market will be squeezed out of other markets as well. In addition to poor patent awareness, a shortage of funds to employ skilled scientists and engineers also leaves players vulnerable and unable to innovate in their product development activities.

which alleges infringement of Canon’s patented twisted prism gear coupling (U.S.Patent Nos. 5,903,803 and 6,128,454). Once an ITC General Exclusion Order (GEO) is issued, everyone becomes a suspect.” The impact of the GEO will be substantial. Some analysts claim that those who choose to retreat from the

This “Sell on Credit” strategy can stimulate the market in the short term but may cripple the manufacturer over the long term. The closure of First Ink (HK) Limited is a good example. Moreover, the poor awareness of environmental protection, quality standards and existing legislation, and counterfeiting, hinders the growth of the entire industry.

Issue39|www.iRecyclingTimes.com

A. Take the Initiative on Price According to Tony Lee, Publisher of Recycling Times, OEMs increased prices on their consumables (continued on p27) several times last year, which is just contrary to the price-slashing war in the Chinese aftermarket. He explained that without intellectual property and core patents, Chinese manufacturers


LIFTOUT DIRECTORY

1

DYES, PIGMENTS & DISPERSION PRODUCERS ASIA EVERLIGHT CHEMICAL INDUSTRIAL CORPORATION Ray-An Tsai, Vice President Everlight produces a wide range of high quality 6F, No.77, Sec 2, DunHua S. Rd., Taipei 106, Taiwan dyes, colorants and dispersions through stringent Tel: +886.2.2706.6006 monitoring and control of production processes. Email: sales-ccbu@ecic.com.tw There are also offices in USA(p4).

LIAONING FINE CHEMICAL TECH CO., LTD. Liaoning Fine Chemical is a high technology enterprise engaged in research and production chemical products. It produces textile dyes, dye intermediates, ink jet printer inks and other high quality products.

MODERN DYESTUFFS & PIGMENTS CO., LTD. MDP is a reputable manufacturer and exporter of dyestuffs for leather, textiles, paper, ink aluminium dyes and other dyestuffs. It sells products directly or through agents to more than 80 countries worldwide.

Mr. Xiangjun Wang, Sales Technical Director 58#Anyang West Styreet, Qianyang, Dandong, Liaoning,China Tel: +86.415.6677.227 Email: bulkink@pro100.cn Website: www.pro100.cn

Ms. Ying Zhu, Vice President Assistant No.48, lane 198 Fanjiang an Road, Jiangbei District, Ningbo, China Tel: +86.574.8650.2800 Email: cindy@cnmdp.com Website: www.moderndyestuffs.com

SHANGHAI CELLUDYE CORLORANTS CO., LTD Mr. Wenjun Zheng, Managing Director Celludye is dedicated to providing innovative, 315 Chugong Road, Shanghai Chemical Industrial cost-effective quality dyes, colorants and specialty Zone, Shanghai, China pigments to a broad range of customers. It produces Tel: +86.21.3758.5399 water based inkjet dyes, reactive dyes for digital Email: wj.zheng@celludye.com textile printing, acid dyes and cold transfer printing Website: www.celludye.com dyes.

SHANGHAI SHINECOL DYESTUFF TECHNOLOGY CO., LTD Mr. Foto Gao, Business Manager Shanghai Shinecol is specialized in various kinds of Rm 101, No 3 Dalangwandao, No 958 Xinsong Rd., acid/direct/reactive dyes for making desk-top printer Minhang District,Shanghai, China ink, wide-format printer ink and textile printing ink. Tel: +86.21.6493.7562 Meanwhile, it manufactures textile digital printing Email: wzshinecol@qq.com reactive dye ink suitable for Epson/Seiko/Konica Website: wzshinecol.cn.alibaba.com printer head.

UA CHEMICALS UA Chemicals, founded in 1990s, aims at integrating research and development activities for the most advanced chemical products worldwide. The company's products include dyes, inks, dispersions and other related chemicals.

Mr. Kegui Ji, Marketing Manager Room 1-1313, Ascent Estates Commercial Center, No.10, Lixiang Road, Huangpu District,GZ, China Tel: +86.20.8227.7513 Email: ua@uachemicals.com Website: www.uachemicals.com

WU HAN PRATT INFORMATION MATERIAL CO., LTD Mr. Lifeng Xiong, General Manager Wu Han Pratt Information Material Co., Ltd., Ta Er Tou Jinghe Wujiashan, Wuhan Economic and is focused on inks, ink pigments, dyes, and Technological Development Zone, Wuhan, China the research, development and production of Tel: +86.27.8753.7730 digital printing products. Email: xlf98998@hotmail.com

Peter Callahan Director, Diamond Dispersions

A dispersion consists of pigment or dye particles scattered in a liquid and kept in stable suspension for an extended time period. Dyes, with the exception of disperse or sublimation dyes, are water soluble and immediately dissolve; pigments do not dissolve and therefore require milling and the use of chemical dispersing agents. Nearly anyone with a mill and a knowledge of basic chemistry can disperse pigments. Many companies attempt it with varying degrees of success but others simply do it as a cost saving exercise. Their goal is to make a product cheaper, rather than to improve the quality of their ink. A great dispersion is a combination of great chemistry, great milling capability and the finest inkjet grade pigments or dyes available. The end result shows in the quality of the finished ink these three elements can produce and, most important, in the image quality of the resultant print. Pigments should be milled properly with a narrow particle size distribution curve. Too many large particles can render an ink dispersion unstable. Too many small particles can result in a loss of color density where good color saturation is essential. Therefore, balance is everything in a good dispersion. The suspended particles should be well dispersed which means using the proper dispersant chemistry to maintain pigment particles separate and discrete, without agglomerating (clumping) or settling out, for up to two years. The dispersion should also be highly resistant to any additive chemicals an ink chemist might employ. Indeed, some strange things have been tried! Once all of the above requirements have been met, the dispersion can be called stable. And, clearly, stability is a most prized quality.

www.iRecyclingTimes.com|Issue39



LIFTOUT DIRECTORY

3

EUROPE DIAMOND DISPERSIONS LTD. Diamond Dispersions is the authority on ultrafine pigmented dispersions for inkjet applications and is dedicated to the perfection of ink. As a team of ink specialists, they consider ink production to be a craft, not a process, and are driven by the next break-through in ink technology.

FLINT GROUP Flint Group offers a broad portfolio of dry and flush pigments, dispersions, varnishes, additives, chips and resins for producing printing inks, plastics, coatings, fertiliser, clothing, balloons, pencils, markers, or other highly specialised products. FUJIFILM IMAGING COLORANTS LIMITED Fujifilm Imaging Colorants (FFIC) is a global leader in the development and supply of innovative, high performance colorants that are enabling new possibilities in the field of digital print and a range of new applications.

MIFAR SPA MIFAR is a leading European manufacturer of high quality pigment preparations offering a simple solution for the production of a wide range of inks and coatings. Part of TENNANTS Group, MIFAR is supplier of major inks manufacturers worldwide.

Mr. Peter Callahan, Director Prince of Wales Road, Darnall, Sheffield, S9 4DZ, United Kingdom Tel: +44.114.263.5380 Email: peter.callahan@diamonddispersions.com Website: www.diamonddispersions.com

26b, Boulevard Royal, L-2449 Luxembourg, Luxembourg Tel: +44.161.776.6810 Email: info@flintgrp.com Website: www.cdrpigments.com

Dr. Tom Annable, Director P.O. Box 42, Hexagon Tower, Blackley Manchester, M9 8ZS United Kingdom Tel: +44.161.721.2100 Email: projet@fujifilmic.com Website: www.fujifilm.com

Via Valtellina, 18/20 - 20027, Rescaldina (MI), Italy Tel. +39.331.515.037 Email: info@mifar.com Website: www.mifar.com

NORTH AMERICA BASF (BADISCHE ANILINE SODA FABRIQUE) CORPORATION BASF is the world’s leading chemical company with more than 110,000 employees, and an estimated total of 386 production sites worldwide. BASF produces organic dyes and colorants as well as inorganic pigments that serve customers and partners in almost all countries of the world.

CABOT CORPORATION Over its 130-year history, Cabot has delivered performance solutions that solve challenges in a broad range of products and solutions to customers in every corner of the globe. Among the specialty products offered by Cabot are inkjet ink colorants, and extremely fine particle carbon blacks for electrostatic and electrophotographic toners.

CLARIANT CORPORATION Clariant is a world leader in specialty chemicals, pigments and colorants. It produce colorants for the full range of printing technologies, including products for non-impact printing applications such as, laser and ink jet printers. Clariant’s Masterbatch BusinessUnit is one of the leading providers of color and additive concentrates for the plastics industry.

Ms. Pamela Kay, Technical Sales 11501 Steele Creek Road, Charlotte, NC 28273 Tel: +1.704.587.8280 Email: colorseffectscustomercare@basf.com Website: www.basf.com

Dr. Robert J. Nick, Senior Scientist 157 Concord Road, Billerica, MA 01821 Tel: +1.978.670.6978 Email: Robert_nick@cabot-corp.com Website: www.cabotcorp.com

Mr. Will Dowden, Technical Sales Manager 400 Monroe Road, Charlotte, NC 28205 Tel: +1.401.338.5133 Email: will.dowden@clariant.com Website: www.clariant.com

DUPONT CORPORATION

For more than 200 years, DuPont has brought world-class science and engineering to the global marketplace through innovative products, materials and services. Its market-driven innovation introduces thousands of new products and patent applications every year.

ESPRIX TECHNOLOGIES Esprix Technologies is a provider of high performance chemistries such as pigments, dye fixatives, and other specialty materials for imaging systems, and advanced chemistries for sophisticated electronic applications. Through its overseas operations in India, China and Japan it has increased efficiencies in supply chain logistics.

Mr. Gus Gusafson 14 T. W. Alexander Drive, Research Triangle Park, NC 27709 Tel: +1.800.243.2143 Email: gus.gustafson@usa.dupont.com Website: www2.dupont.com/home/en-us/index.html

Ms. Tonya Pless, Vice President Electrostatic Imaging Materials, 7680 Matoaka Road, Sarasota, FL 34243 Tel: +1.941.355.5100 Email: tpless@esprixtech.com Website: www.esprixech.com

www.iRecyclingTimes.com|Issue39


4

LIFTOUT DIRECTORY

EVERLIGHT USA, INC. The US subsidiary of Everlight Chemical Industrial Corporation in Taiwan, China, a high-tech chemical company producing a wide range, of high quality dyes, colorants and dispersions.

KEYSTONE ANILINE CORPORATION Keystone Aniline Corporation is a leading supplier to the global industrial colorant marketplace. They provide comprehensive technically based application and business solutions to turn the challenges of utilizing color into opportunities and revenue for their customers.

LANXESS CORORATION Spun off from the Bayer Group’s chemicals and polymers division, Lanxess went public as an independent company on January 31, 2005. The company is currently represented at 48 production sites worldwide. Besides a great variety of color pigments and technical grades, Lanxess offers a full range of products developed specifically for the toner industry. Among these are inorganic pigments for inks and toners. ORIENT CORPORATION OF AMERICA Orient Corporation of America was established in Port Newark, New Jersey in 1979 as the leading manufacturer of nigrosine dye in the Western Hemisphere. The parent company, Orient Chemical Industries, Ltd., is located in Osaka, Japan and was founded in 1917. Orient’s line of colorants include water-soluble dyes, and fine pigment dispersions.

PENN COLOR Founded in 1964, Penn Color develops and manufactures the most diverse product line of color concentrates, masterbatches, and pigment dispersions of any colorant company in the world. It has expanded and diversified to develop innovative solutions for industries using colorant and additive functional materials.

SENSIENT IMAGING TECHNOLOGIES Sensient Technologies is the world's leading supplier of flavors, fragrances and colors used to make a diverse variety of foods and beverages, pharmaceuticals, cosmetics, home and personal care products, specialty printing and imaging products, computer imaging and industrial colors.

UNITED COLOR MANUFACTURING, INC. United Color Manufacturing is a global leader in the design and production of dyes, additives and covert marking systems for peteroleum, plastic, ink and various specialty applications.

Mr. Mike Yang, President 10507 Southern Loop Blvd. Pineville, NC 28134 Tel: +1.919.423.4257. Email: myang@everlightusa.com Website: www.ecic.com

Mr. Rich Stover,Technical Sales 2501 W. Fulton Street, Chicago, IL 60612 Tel: +1.719.539.7434 Email: info@dyes.com Website: www.dyes.com

Mr. Charles Freeman, Technical Sales 8 Morgan Road, Burgettstown, PA 15021 Tel: +1.412.809.4713 Email: bayoxide@lanxess.com Website: www.lanxess.com

Mr. Tony DeRose, Assistant Vice President 1902 Wright Place, Suite 200, Carlsbad, CA 92008 Tel: +1.760.918.5787 Email: tony@orient-usa.com Website: www.orient-usa.com

400 Old Dublin Pike, Doylestown, PA 18901 Tel: +1.215.345.6550 Email: info@penncolor.com Website: www.penncolor.com

Product Development Manager 2724 Loker Avenue, Carlsbad, CA 92010 Tel: +1.760.930.1600 Email: info@sensient-tech.com Website: www.sensient-tech.com

Mr. Robert Cwik, National Sales Manager P.O. Box 480, Newtown, PA 18940 Tel: +1.215.860.2165 Ext. 104 Email: rec@unitedcolor.com Website: www.unitedcolor.com

Directory Publishing Plan Jul 2013 Aug 2013 Sep 2013 Oct 2013 Nov 2013 Dec 2013

Trade Associations Print Testing Labs Manufacturers of Monochrome Toners Manufacturers of Photoreceptors Manufacturers of Color Toners Manufacturers of Blades

Jan 2014 Feb 2014 Mar 2014 Apr 2014 May 2014 Jun 2014

Manufacturers of Smart Chips Manufacturers of Ink Jet Inks Empty Cartridges Collectors and Brokers Manufacturers of Primary Charge Rollers Manufacturers of Developer Materials Manufacturers of Dye & Pigment Dispersions

We’ll publish the directory of Trade Associations in next month’s edition of Recycling Times magazine. If you want to be in the list, please send your company profile details to Ms. Violien Wu at violien.wu@irecyclingtimes.com. The inclusion of companies in this and each directory is not an endorsement of the companies listed. Readers should exercise all due diligence in business and financial dealings.

Issue39|www.iRecyclingTimes.com

NEXT ISSUE


SPOTLIGHT ON CHINA

27

pool” to facilitate innovation issues such are still too weak to control price. “The as, talents and finances and thus make ongoing price war might bring an end good preparation for Zhuhai players to to the remanufacturers themselves,” change and upgrade. he said, adding, “The golden days of Hua Wang, Beijing Dingxin View high-profit have gone, but it is still Technology Co., Ltd. sums it up by possible to sustain a satisfying profit stating that Chinese manufacturers must margin if fair competition is undertaken. collaborate to survive the “cold winter”. Without a reasonable profit margin, how can rechargers achieve independent D. Innovate the Business Model innovation and improve their core The marketboundaries and industry competency?” structure are not fixed in stone and According to a market analysis by can be reconstructed or extended. For Tao Zhang, example, Zhuhai Secretary-General Seine Technology of Zhuhai Printing previously In the face of an Consumable started as a print abnormal market Industry consumable Association, environment, many supplier, but now industry players it is developing companies hope the should invest more printers based market will obey the in independent upon its own, innovation and independent theory of evolution: speed development intellectual Survival of the fittest. of new products property. so as to gain the According to initiative in pricing. Such an approach is Zhixiang Zhao, General Manager of being taken by an increasing number of Ourway Image Co., Ltd., “The future market players. development of our industry relies B. Respect Intellectual Property Rights Consumable manufacturers in Zhuhai—capital of the world’s printing consumables industry—have obtained over 4,000 patents, which accounts for more than 60% of all patents covering Chinese aftermarket consumables. The importance of intellectual property and innovation just can’t be neglected. Mary Ouyang noted, “The lawsuit filed by Cannon decreases our industry sales in the US market, meanwhile, it teaches us the importance of innovation and respect for intellectual property.” C. Collaborate A consolidation called the Technology Innovation Alliance for Guangdong Printing Supplies has been formed to promote industry upgrading and fast development in China. The alliance was initiated by Zhuhai Printing Consumable Industry Association, and coordinated with 13 leading Chinese supplies manufacturers as well as the town of Nanping. According to Tao Zhang, the alliance is the first technology alliance for the Chinese printing supplies industry. It will take advantage of each member’s strength to build a “patent

on a more innovative, or outside-thebox, business model. MPS might be a good opportunity for industry players. It can be a way to extend their efforts, by reaching higher up on the industry chain, and by cooperating with the OEMs.” E-commerce might be another alternative for companies to brand and market their products. In the words of Tony Lee, “Industry players should adjust their business strategy in branding and sales channels, as well as discovering those unique features that differentiate them from the competition.” The impact of the GEO will be substantial. Of course, the success of the industry cannot be achieved without the support of government agencies to create and maintain a fair and competitive environment. Conclusion How can China’s printing consumables aftermarket survive the “cold winter”? A practical solution might be to collaborate in creating a healthy and normal market, whereby the industry players win their market shares by high quality products and honest business practices. ■

See views on China's consumables industry on p40 & p41 www.iRecyclingTimes.com|Issue39

C250



PAPER TUTORIAL

Art Diamond, Senior Consulting Editor

29



PAPER TUTORIAL

31

• Translucent papers Two brothers in England, Sealy and Since the dawn of history, mankind • Vellums Henry Fourdrinier, financed an advanced has sought out surfaces to portray life’s • Writing papers design of Ts’ai Lun’s machine from a experiences, record transactions or • and hundreds of other grades, coated prototype built by John Gamble. Gamble express artistic talents. From the painted and uncoated, glossy and matte, in a was granted British patent No. 2487 on cave walls of Chauvet and Lascaux in variety of basis weights, colors and October 20, 1801 for the device now Southern France—estimated to have surface features. known as a Fourdrinier papermaking been decorated 30,000 or more years machine. ago—to the Dead Sea Scrolls, roughly Paper Properties 1,700 years old, the medium of Here is a Glossary of terms choice has varied from rock walls frequently used to describe key to animal skins, to plant and Over the past 212 years, the paper properties: vegetable fibers. paper industry has become Basis Weight: The weight in The word paper is derived from more sophisticated in machine pounds of a ream (500 sheets) of the Latin papyrus, and from the paper, where the dimensions of Greek word papuros. Both apply design, operating speeds and each sheet is based upon the grade to a woody plant that grows in the diversity of papers being of ream specified, e.g., bond (17” x along the Nile delta. Egyptians 22”), book (25” x 38”), cover (20” made paper from the stems of produced. x 26”), etc. the papyrus plant beginning Bond Paper: Originally, the some 3,000 or more years ago. Paper Grades term “bond” was used to describe paper Chemically, papyrus is composed of containing cotton fibers usually collected Over the past 212 years, the paper 57% cellulose, 27% lignin, 9% minerals from bleached rags and textiles. These industry has become more sophisticated and 7% water. In addition to using it to ‘rag content” papers were typically in machine design, operating speeds and produce a writing surface, the Egyptians used for fine writing grades or legal in the diversity of papers being produced. formed it into rope, sandals, baskets, etc. documents requiring strength and The list includes: But, it was the Chinese inventor, permanence. • Bond papers Ts’ai Lun, who in 105 AD, gave the • Cigarette papers Brightness: The percentage of world a mass production process for light, of a given wavelength, reflected • Condenser papers papermaking. He first prepared a 1% from a paper surface when viewed at • Offset printing papers slurry (by weight) of cooked wooden a prescribed angle. Today’s brightest • Kraft papers fibers which he then poured onto a office imaging papers have brightness • Newsprint woven cloth screen. After water drained values ranging from 92 to 100. • Photographic papers through the screen, the fibers formed a The thickness of a sheet of • Printing papers Caliper: caked layer which was pressed and then paper, in .001 inches. • Sand papers lifted as a sheet and passed between • Security papers Curl: The arching, bowing or buckling heated rollers for drying. www.iRecyclingTimes.com|Issue39


G212


PAPER TUTORIAL

of a flat sheet of paper, usually as a result of differential moisture absorption or release between one side of the sheet and the other. Formation: The degree of clumping of fibers and fillers (e.g., clay, calcium carbonate) observed in a sheet held up to a strong light. These clumps appear as “clouds” within the body of the sheet. The more uniform the fibers and fillers are distributed, the better the formation. The best formation is seen in cigarette, photographic, and fine writing papers. Gloss: A shine or luster seen on the surface of paper when viewed at a low angle. Size, Metric System: • A0 – 841mm x 1,189mm • A1 – 594 mm x 841mm • A2 – 420 mm x 594 mm • A3 – 297 mm x 420 mm • A4 – 210 mm x 297 mm • A5 –148 mm x 210 mm • Size, North American: • Monarch – 7.25 x 10.5-inch • Letter – 8.50 x 11-inch • Legal – 8.50 x 14-inch • abloid – 11.00 x 17-inch GSM: Under the metric system, basis weight is measured in grams per square meter (GSM). A writing/copier/printer/ bond paper rated at 90 GSM (or 24 U.S. pounds) is heavier than 75 GSM (or 20 U.S. pounds) and is preferred for its high feed reliability. Opacity: A measure of the percentage of light incident on a sheet that passes through it. This property is of value especially where duplexing (printing on both sides) is required to prevent show through of printing on the other side. A number of factors, including composition, fillers,

formation, coatings, etc., determine sheet opacity. Smoothness: The relative smoothness or roughness of the surface of a sheet as measured on the Sheffield scale. The higher the value, the rougher the sheet. An extra smooth sheet will have a Sheffield value of 20 to 30 as compared with 200 to 250 for an uncoated, rough surfaced bond paper.

Paper owes its flexibility to the moisture it contains since water acts as a plasticizer for the cellulose molecule. Stiffness: The stiffness of sheet of paper is an indication of its feed reliability through a copier or printer. It is measured in Taber stiffness units which indicate, on a scale from 1 to 10, how much force is required to bend a narrow strip of paper fixed at one end. Paper Composition Office imaging papers can contain some or all of the following ingredients: cellulosic pulp, cotton fibers, postconsumer waste paper, broke (mill waste), calcium carbonate filler, titanium dioxide pigment, high brightness clays, dyes, colorants, optical brighteners, sizing, and wet strength resin. Calcium carbonate increases the brightness and opacity of paper and as an acid buffer, it helps maintain a high (alkaline) pH value to keep the sheet acidfree and thereby extend its archival life. The bright, kaolin clays are typically used as fillers in paper. Among other

33

pigments, inorganic fillers, such as titanium dioxide and talcum, are used to boost paper brightness and opacity. Lignin is a complex organic substance that binds together cells and fibers in trees and woody plants. Owing to its oxidation, lignin is responsible for the yellowing of paper as it ages. After cellulose, lignin is the most abundant renewable carbon source on Earth. Between 40 and 50 million tons per year are produced worldwide, mostly as waste products. The finished, wide rolls of paper can be coated on either one (C1S) or both sides (C2S), either on or off the papermaking machine. The coated surface can be given a matte, engraved, or glossy surface by a final pass through a calendar stack. Back in the days of roll film photography, specialty paper surfaces and tints created an entire catalog of sensitized printing and enlarging papers for artists, studios and commercial photographers. Paper Permanence Acid-free papers are today’s norm for extended life and archival keeping qualities. They are resistant to chemical deterioration, over time, in an acid environment. Hydrogen bonding is an important feature of the cellulose molecule that enables it to attract and hold onto water. Paper owes its flexibility to the moisture it contains since water acts as a plasticizer for the cellulose molecule. As paper ages, it loses its ability to hold water and becomes increasingly brittle. For more information, please refer to the “Paper Basics” guide published by Mohawk Paper: www.mohawkmakeready.com/topic/ paper-basics ■ www.iRecyclingTimes.com|Issue39


34 OEM NEWS Brother’s MEA Regional Workshop Unveils Business Plan, New Printers During its annual business planning workshop held in Dubai, Brother International (GULF) unveiled its plan for more development and growth in Middle East and African (MEA) markets. The company expressed confidence in maintaining a strong presence across the region's printing segment with the launch of new products for 2013 and attractive initiatives for channel partners, distributors and end users.

Brother has released latest monochrome laser printers and multi-function centers (MFCs) at the event. These new products offer 40 ppm print speed and cover a range of network and wireless devices. Brother also showcased its latest multifunction inkjet device with InkBenefit, and its existing range of labeling systems, scanning devices and mobile printers. Read more: bit.ly/101ytdV ■

Epson to Increase Inkjet Printer Production Seiko Epson Corp. plans to improve the production capacity of its plant in Batangas, the Philippines, to meet a growing demand for its flagship inkjet printers. At the 20th anniversary celebration of Epson’s Micro Piezo technology, Toshimitsu Tanaka, Country Manager at Epson Philippines Corp. said, “I believe EPPI (Epson Precision Philippines,

Inc., a manufacturing unit of Seiko Epson) will have a 1020% capacity increase. At this moment, annual production capacity of our plant in Batangas is 4.25 million for printers.” In excess of 90% of Epson’s locally produced L-series models are exported to Japan and Europe. Read more: bit.ly/XFP4r8 ■

Lexmark Introduces MPS Program According to a report by Computing Research News (CRN), Lexmark recently introduced its Page Plus Business (PPB) program for encouraging IT resellers with little experience in MPS to enter the MPS market This program provides an easy way to switch from a transactional hardware to contractual sales approach and will not require consumers to use the extended auditing or management of more advanced MPS programs. CRN’s report states that fewer than 20% of SMBs currently purchase or lease printers as part of an MPS contract. However, 40% of these companies are planning to use some form of MPS in the next few years. Read more: bit.ly/11CL4XQ ■

G003

Issue39|www.iRecyclingTimes.com

G005


OEM NEWS Epson Wins TIPA Award for Best Multifunction Photo Printer Editors and journalists from photography magazines around the world have presented the prestigious TIPA award for 'Best Multifunction Photo Printer' 2013 to the Epson Expression Photo XP850 and XP-750. TIPA - the Technical Image Press Association - judges the innovation, technology, design, ease-of-use and price-to-

performance ratio of products launched in a 12-month period to develop a shortlist and winner for each award category. Winning the 2013 'Best Multifunction Photo Printer' Award means that Epson has now received a total of 32 awards from TIPA for technologies and imaging products, including inkjet printers, inks, scanners and projectors, since 1997. Read more: bit.ly/ZZuIuo ■

HP Conducts Disgraceful Anti-Counterfeit Raids in India HP reportedly conducted anticounterfeit raids in an arbitrary manner with no procedure whatsoever followed by the raiding team. The enforcement team raided Ranjit Nagar commercial complex, Bhikaji Cama Place, Trans Yamuna, and the Nehru Place IT complex. Puneet Singhal, President of Computer Media Dealers Association (CMDA-

Delhi), informed that during the raids, the team never properly identified itself and relied solely upon their own witnesses rather than neutral observers. Each search was finished within minutes. The association is exploring all possible remedies to strongly protest this issue of harassment caused to its consumable channel community.

35

Pantum Names Merlion Official Distributor According to a Channel EMEA report, Merlion will be responsible for distributing the full range of Pantum printers in Eastern Europe and the Middle East. Channel EMEA is a brand new content portal for channel professionals working within the Europe, Middle East, Africa (EMEA) ICT, and consumer electronics (CE) channels. Merlion claims it is Russia’s largest distributor. Ms. Victoria Tarantino, Merlion’s Director of Business Development in Central Asia and the Caucasus, added: “Becoming the official distributor of Pantum in Kazakhstan gives us a great responsibility to promote its products in this region.” Read more: bit.ly/159C2q8 ■

Read more: bit.ly/XVYmzm ■

www.iRecyclingTimes.com|Issue39



DIGITAL PRINT NEWS

37

EFI Reports 7% Growth Electronics For Imaging (EFI) reported its financial results for the first quarter of 2013 showing a 7% growth in revenue at $171 million. During a conference call discussing the results, Guy Gechi added, “The US market looks good. Europe is still a struggle. As

consumers don’t have the same confidence and spend less on the equipment, we think that with the ink volume, the growth is not as good as that of the US market. In addition, we feel good about Asia and particularly in China. Brazil was good and we are very pleased with emerging markets. ” Read more: bit.ly/Yn9ssX ■

HP Indigo Sees Bright Future for Digital Printing in Africa HP Indigo partnered with its South African associate, Kemtek Print Solutions, to host two special customer presentations, in Johannesburg and Cape Town, on digital printing. A full update on worldwide digital printing trends and HP Indigo’s latest printing technologies was given during these briefings. South African printers are said to be conservative in the past 2 years as they are cautious with new equipment investments. HP encourages more interaction between local South African printing customers and their international counterparts who have already made positive changes to their businesses.

HP claims, “The utilization of existing HP Indigo machines in South Africa is very good and several converters have established lucrative projects.” Read more: bit.ly/10EwZYA ■

IDC: Production Printing Increased in 2012 According to a Survey of Semper International, profits of US printers fell from nearly 79% in the previous quarter to only 50.8% in 1Q2013, but sales revenues gained a modest rise. The Survey covered some 300 printers of all sizes across America. Dave Regan, CEO of Semper, said, “I am concerned about the drop in the number of companies reporting profits. It was a big drop which has never happened before.” However, more than 25% of the responding companies said that revenues of the Q1

rose in the last quarter of 2012. Also, almost 47% of those surveyed expect sales in 2Q2013 will be better than the early part of the year. Read more: bit.ly/10fMgDv ■

www.iRecyclingTimes.com|Issue39


38 REGIONAL NEWS

Issue39|www.iRecyclingTimes.com


REGIONAL NEWS

39

Europe

Australasia • Office product suppliers in Australia and New Zealand want a piece of the AU$7 billion dollar print industry. With the ever growing managed print services (MPS) print market gaining momentum, large office products distributor OfficeMax has acquired Complete Print Solutions and Foxprint Solutions who focus on marketing services print management to enter this market. • Cartridge collection programmes in Australia are facing tough economic times. Consequently, a few large collection programmes have closed down. The main reasons are the high cost of retrieval which includes freight and labour, the high Australian dollar for exporting empty cartridges and the large quantities of MPS toner bottles that have little or no economic value.

• Ecoservei Digital, a Spanish remanufacturer based in Barcelona, has start up an environmental project called ECOLANDbcn. This initiative joins cartridge collection with oil disposal, recycling seminars, environmental awareness classes and other activities related to the preservation of nature.

Multimedia (see photo) to find opportunities from the alliance between imaging and digital printing. With the drop in volume in commercial printing, "print everything on anything" is taking off by plugging in to the emotions of the end user.

• Many are starting to find business potential in customised printed images on any substrate or surface. So 20,000 global visitors travelled to Barcelona to the joint staging of graphispag. digital and Sonimagfoto &

Asia • According to Narinder Kumar, Assistant Manager at InfoTech, the India printer market will continue its growth trajectory in 2013 because of the increased demand for printing from the home, SOHO and SMB segments. OEMs are

focusing on entering into special service agreements with large enterprises. He believes the remanufactured consumables market will benefit by increased customer awareness and the growing need for quality prints. However, he warns the increasing adoption of electronic means of communication, government regulations to reduce paper wastage and railways and airlines accepting ticket soft copies is a threat the print industry in India.

South America • 600 families and 900 office printer users in Brazil, Mexico and Argentina completed a survey on consumer preferences for printer supplies. More than half of all consumers say they chose OEM brands because the refilling and remanufacturing of cartridges are done by small shops which are very scattered and hard to find. Most office consumers preferred to buy consumables from

the store where they bought the printer. But those who do use aftermarket supplies go to a variety of channels

including independent dealers, pharmacies, supermarkets, and online.

North America • Jeffrey Rosenzweig, 51, left the textile industry 8 years ago, and went on record this month saying his cartridge remanufacturing business will not face the same fate. He says the textile industry died as more and more work was outsourced overseas in the early 2000s. His Cartridge World shop in Boynton Beach, Florida continues to grow: “Despite the poor economy, businesses are still printing invoices, files and contracts. 70%, is business-to-business, or B2B, where we deliver to our customers and they never even see the store. This is a convenience that helps keep us competitive.”

Africa • No records of waste management have been kept for landfills prior to 2006 in South Africa. Now, the Department of Environmental Affairs expects reports on the monthly tonnages of all waste that is landfilled, treated, and reprocessed. In 2011, approximately 108 million tonnes of waste was generated with 97 million tonnes being disposed as landfill. About 10% of all waste is being recycled but South Africa is still heavily reliant on landfilling as a waste management strategy. www.iRecyclingTimes.com|Issue39


40

OEM NEWS

IN

MY VIEW

CHINA'S PRINT CONSUMABLE INDUSTRY

Luke Goldberg SVP MSE Global Micro Solutions Enterprises

I’ve visited over 100 companies in China over a 7 year span and met many people whom I remain in contact with today. I would never generalize and make statements that paint the entire China print consumable market with the same broad brushstroke. I will say China has not been subjected to the normal consolidation that has taken place in all other markets and therefore is plagued by supply and demand issues. There are simply too many Chinese manufacturers and far too many of them lack the marketing acumen or the quality differentiators to sell on anything other than price, hence the downward spiral of prices we have seen over the last 5-7 years. For this situation to change consolidation must take place. It isn’t sustainable to have the number of manufacturers today. If consolidation takes place and the larger, more established companies roll up some of the smaller ones, then we should a normalization of prices and increase in quality levels.

Eugene Oshima General Director NS Technology (H.K.) Ltd.

I believe the Chinese central government should do more to help remanufacturing businesses in China, which are actively pervasive in many developed countries in America and Europe. The businesses need to follow an environmentally friendly, sustainable and worthwhile business model. The price competition in China is very severe. It’s very difficult for those quality-oriented companies to penetrate. Industry trade associations should also assume more responsibility to get businesses to consider quality and compliance more seriously to comply with laws and ordinances under fair competition. Comments on China's Print Consumables Industry Read feature on p24

Issue39|www.iRecyclingTimes.com

OEMs Financial Re The first quarter of 2013 (1Q2012), saw a continuing weakness in the global economy, signs of a slowdown in China and Europe, and severe price competition affecting the imaging industry as a whole. Some original equipment manufacturers (OEMs) have released their financial results for either 1Q2013 or the fiscal year 2012.

Epson Sees Overall Decline in Printer Business

Canon Reports 33.5% Net Income Decline

For its Q1 financial report, Canon reported ¥816.7 billion (US$8.7 billion) net sales, 1.5% less compared with the same period last year (YoY). Net income decreased 33.5% to ¥40.9 billion (US$435.2 million) Sales for the Office Business Unit totaled ¥464.2 billion (US$4.9 billion), an increase of 6.0% YoY. The products in this unit include laser and multifunction devices (MFDs). According to Canon, “Laser printers recorded a slight increase in sales volume, year on year, owing to sales expansion efforts centered on new products introduced last year offering exceptional environmental performance through such features as energysaving functions and quiet operation.” Inkjet printers classified in the Imaging System Business Unit, which reported ¥298.1 billion (US$3.2 billion) sales, declined by 1.8%. In 1Q2013, new inkjet printers featuring improved designs and operability, in addition to enhanced print quality and other basic functionality, were recognized by the market. Hence, a significant increase in sales volume from the year-ago period was reported. In 2Q2013, Canon expects the demand for MFDs to grow moderately mainly with color models, while demands in the laser printer market are also expected to increase slightly over last year. Overall demand for inkjet printers is expected to remain around the same level as for 2012.

Seiko Epson announced its financial results for the fourth quarter of its fiscal year 2012. Net sales for the full fiscal year were ¥851.3 billion (US$9.1billion), down 3.0% from the prior year. And the net loss was ¥10 billion (US$107.3 million), compared to net income of ¥5 billion (US$53.6 million) in the previous year. Epson’s Information-Related Equipment segment, which consists of printers, visuals and other businesses saw a 0.5% decline in net sales compared with its fiscal 2011. The printer business as a whole reported a decline in net sales (including both printer units and consumables). In the inkjet printer business, the average selling price of inkjet models rose, but hardware unit shipments decreased, causing net sales in that category to decline. On the whole, net sales in inkjet printer hardware grew thanks to unit shipment growth in high-capacity ink tank models. Net sales of consumables for inkjet printers, however, declined. Large-format printer (LFP) unit shipments declined in the face of an ongoing slump in hardware demand, but new high-end products bumped up average selling prices and, as a result, net sales. Even though shipments of LFP consumables shrank in response to declining print volume in the printing industry, consumables net sales increased thanks largely to the new LFPs in the high price zone, which helped increase average selling prices. To improve its inkjet business, Epson will: ·Reduce low-end consumer and office models ·Heighten Epson's presence in the premium zone for consumer inkjets ·Expand and upgrade the lineup of office inkjets featuring new print heads


41

OEM NEWS

eports ·Expand high-capacity ink tank models ·Roll out LFPs for signage in North America and enter the sublimation transfer textile printer market By fiscal 2013, Epson expects 50% of its inkjet shipments to the Asia Pacific and Latin America will be high-capacity ink tank models. Lexmark Reports Weaker Hardware, Supplies Revenue

Rick Ethridge VP Sales and Marketing RemanResource.com

declined YoY in both laser and inkjet. Supplies channel inventories declined less than expected in 1Q2013, favorably impacting our performance versus our January guidance. On a year-to-year basis, however, as supplies inventories grew in 1Q2012, the impact of supplies channel inventory on YoY supplies growth was negative.”

The Chinese print consumable market is very significant to us. Imagine what would happen if all of the cartridge factories in China closed today? I think an ambitious company with the right sales and marketing strategy could offer an extremely competitive alternative to what the Big 5 OEMs are pushing into the market today. But there are concerns: it’s as always with Asian manufacturers eroding price points and profit margins.

Xerox Had Pressure on the Sales of Document Systems and Supplies

Tony Lee Publisher of Recycling Times

Lexmark reported its first quarter financial results showing revenue was US$886 million, down 11% YoY, but up roughly US$11M from forecasts. Net earnings fell from US$60.8 million in 1Q2012 to US$34.8 million in the first quarter of 2013, a 42.8% decline. Lexmark indicates that US$181 million of its revenue came from hardware, down 9% from previous year. Another US$609 million came from supplies, a 16% decline compared with the year-ago period. Perceptive Software revenue (US$44 million) grew by 54% and Managed Print Services increased by 10% in 1Q2013. The company continues to deal with sales declines caused by its decision to stop selling inkjet printers. Inkjet Exit revenue declined 34% YoY. John W. Gamble, Lexmark’s Chief Financial Officer of Lexmark, said: “Large workgroup laser hardware revenue, which now represents 83% of total hardware revenue, declined 2% YoY. MFP units were strong as we saw unit growth in both monochrome and color MFPs. Color units overall were strong, growing over 10% in the quarter. Small workgroup laser hardware revenue, which now represents 16% of total hardware revenue, declined 19% , driven by declining units. Although units declined 18%, we saw strong growth in color MFPs— up over 20%.” Gamble also noted “Supplies revenue

In its 1Q2013 financial report, Xerox reported US$5.4 billion revenue, down 3% YoY. Services (55%) have become a larger part of its total revenue. Revenue in Document Technology (representing 40% of total revenue) was US$2.1 billion, down 9% YoY. Equipment sales reported a 12% decline. Xerox say market conditions and the timing of a recent product platform launch put pressure on the sale of document systems, supplies and related services. In February, Xerox announced ConnectKeyTM, a software system embedded in 16 of its new Xerox multifunction printers, many of which began shipping in the second quarter. They are said to be the profitable growth drivers to help offset uncertainty related to macro conditions. The company believes sales will improve going forward. Ursula Burns, Chairman of Xerox said, “Lower than expected performance from Europe and some spot weakness in developing markets resulted in lower postsale revenue. We continue to have our eyes wide open to the macro trends. That is why we are scaling investments in higher growth areas, not only in outsourcing services, but also in color printing and expanding distribution to small and midsize businesses. Install rates are good indicators of our progress in these areas -- A4 Color MFDs up 16% and high-end color up 44%. ” ■

OEMs increased prices on their consumables several times last year, which is just contrary to the price-slashing war in the Chinese aftermarket. Without intellectual property and core patents, Chinese manufacturers are still too weak to control price. The ongoing price war might bring an end to the remanufacturers themselves. The golden days of highprofit have gone, but it is still possible to sustain a satisfying profit margin if fair competition is undertaken. Without a reasonable profit margin, how can rechargers achieve independent innovation and improve their core competency?

Tao Zhang Secretary General Zhuhai Printing Consumable Industry Association

The industry players in China should invest more in innovation and speed up developing new products so as to get the initiative in pricing. We’ve founded the Technology Innovation Alliance for Guangdong Printing Supplies to promote the industry upgrading in Zhuhai. The alliance is the first technology innovation alliance for Chinese printing supplies, and it will take advantage of every member’s R&D strengths to build a “patent pool” to facilitate innovation issues such as talents and funds and thus make good preparation for local players to change and upgrade. Comments on China's Print Consumables Industry Read feature on p24

www.iRecyclingTimes.com|Issue39



PEOPLE

PEOPLE

5 QUESTIONS

on the move, obituaries,

Color Ink Dispersion Opportunities How long have you been involved with ink dispersions, and how can you tell what is a good dispersion? I’ve been involved with dispersion inks for nine years, so I have a good idea of what works and what doesn’t work. A good dispersion is stable and has good color strength. Milled pigments are measured in nanometers. What’s that? If you took a millimeter on your ruler, one thousandth of a millimeter is a micron, and one thousandth of a micron is a nanometer. At Diamond Dispersions we mill our pigments down to as small as 100 nanometers. Then we use or own unique chemistry to keep it separated and floating for up to two years. It will not separate, it will not settle, but stay exactly as it is for two years. You can never get all the particles to be consistent in size. What we look for is to keep the size distribution curve very small. Then you’ll have a good color gamut, good shelf life, standard pigment dispersion for two years. And it should be easy to work with. Whoever formulates ink with that dispersion can do so every easily. Do your quality control procedures guarantee your product will always meet that standard? We take quality control very seriously and have a very strict policy. We guarantee every single batch of product that leaves the factory to be the same as the one that went before, and the one that will come after it. Any complaint is

43

special achievements

extremely well investigated. We have a written Diamond Standard so all our employees can see exactly what it includes. No product is allowed to leave the factory without meeting the standard. We publish all our facts and figures, including our specifications. We stand by those specifications. Our customers buy products based on those specifications. Is it difficult to keep the balance between globalization and localization? We’ve found it hard to establish reputation in Asia. A lot of people can do what we do, but their color is not as vivid as ours. We spend a lot of money on our plant to make sure our quality is consistent and good. In Asia, price is such an important factor, but we’ll not sell on price. It has been difficult, but we are there because there will always be a quality end market. South Korea, for example, is our biggest individual market worldwide. They are buying quality products. Their own industry is producing the cheapest dye and ink anywhere in the world, but we are selling huge amount into the South Korea. What about China? Are there growth opportunities in China? The textile market in China is booming. The UV market is much slower, but it will follow. I see a lot of opportunities here. Diamond Dispersions is investing in China. How significant is the Chinese market for your company? Extremely significant! It’s one of the biggest markets in the world, for inkjet. Its economy is growing 7% year on year. You just can’t ignore the huge market potential. We spend a lot of time and effort on China. All our literature has been translated into Chinese. Our website is now in Chinese. And I’m learning Chinese. China is nearly 1/3 of our market. Sue Wright, Director of Diamond Dispersions www.diamonddispersions.com

Moving from Miami Leonel Jose Da Costa—who has worked at Lexmark for 16 years mainly in Latin America—is the new vice president and general manager for Lexmark Asia Pacific in Singapore. He will focus on managed print services and assisting small and mediumsized business to be more innovative.

Pantum Leader Rewarded Alex Li—who worked at Lenovo for 14 years—has just been appointed CEO of Pantum Europe following his leadership to make Pantum one of the fastest growing global printer brands. He will be responsible for sales, marketing, operations, finance and HR.

Shock Departure after 20 Years Toshiba President & CEO Mark Mathews shocked the industry with his departure after 20 years with the company. He says he “will not show up as a competitor or open up a dealership”, but it was for personal and family reasons.

Master Franchisor to Discover More José Luis Oliveira—who has managed and supported 50 cartridge remanufacturing shops in Iberia for 8 years—has joined Discover Imaging Products as Sales Manager of inkjet and laser cartridge products for remanufacturing companies in Spain, Portugal, Andorra, Gibraltar and part of France.

Channel Expert Grabbed Xerox expects the appointment of Toni Clayton-Hine—from CA Technologies—will strengthen its channel partner operations by giving them more competitive and profitable business opportunities with the company’s products and services. Xerox already has business and document management sales approaching $23 billion. www.iRecyclingTimes.com|Issue39



45

TECH ZONE

Mike Josiah Dell 5130 Series Toner Cartridge TECH ZONE

NOTE: The black cartridge is physically larger than the colors.

This is a continuation in a series on easy to do color and monochrome cartridges you may be passing up but shouldn’t be. They represent some of the best profit

Dell 5130 Series Toner Cartridge

1

3

Remove the fill hole seal and place aside.

step >

step >

The Dell 5130 Series cartridges are rated for 18000 pages black and 12,000 pages color. The OEM numbers are 310-8092 Black, 3108094 Cyan, 310-8096 Magenta, and 310-8098 Yellow. There is a chip that must be replaced every cycle. NOTE: The black cartridge is physically larger than the colors.

step >

6

cartridge.

Align the two marks on the end cap and tube. Install the end cap on the

Pry up on the colored end cap by lifting up all four tabs.

4

2

Remove the colored end cap.

5

Fill the cartridge with toner for use in the Dell 5130. Replace the fill hole seal. If the seal is damaged or is leaking the seal for the Samsung CLP-300 can be used.

7

Using a small Jeweler’s type screwdriver, pry up the chip through the small slots underneath and slide it out. Replace the chip. step >

step >

Open the toner port and clean out any remaining toner. Close the toner port.

step >

opportunities currently in our industry. These cartridges are all very simple, and with a good majority of them there is nothing to test! Training is minimal and in all cases the time needed to do them is very small. For the purposes of these articles, we will not be going in depth but to be honest there really is no need. Some use chips while some do not. Some have waste chambers and others are purely a supply hopper. All of this will be covered.

step >

The Dell 5130 Series cartridges are rated for 18,000 pages black and 12,000 pages color. The OEM numbers are 310-8092 Black, 3108094 Cyan, 310-8096 Magenta, and 310-8098 Yellow. There is a chip that must be replaced every cycle.

1

Mike Josiah

www.iRecyclingTimes.com|Issue39

Read More: bit.ly/18KCdbE ■

LOOKING FOR STEP-BY-STEP GUIDES FOR CARTRIDGES? Mike Josiah's popular toner cartridge procedures will be available online later in 2013 as a library of more than 400 cartridge models. This service will be provided exclusively to Recycling Times Media readers by UniNet Imaging: www.uninetimaging.com

QUALITY TIP Pierre at Toner Works (see www.tonerworks. ca) in Burnaby, British Columbia Canada guarantees his customers will receive good density from his remanufactured cartridges. He has published photos of his staff using a densitometer to measure the toner density on the test prints. Many remanufacturers are turning to tools like this to ensure their quality control on the test prints before the cartridge is delivered to the customer. A densitometer, which can be picked up inexpensively online, is an instrument that measures density by reading the amount of light that passes through film or is reflected from the image. Remanufacturers will want a reflection densitometer to measure the amount of light reflected from the surface of the test print page. It produces a measurement of how much light is absorbed by the image on the paper compared with how much is reflected from the surface. A solid dark area should absorb almost all of the light it receives (up to 99%) and give a reading of 2.0. Remanufacturers should not rely only on visual eye tests of the post production print outs. They should be investing in tools such as densitometers to give them more accurate information about the performance of the cartridge. Please send your QUALITY TIP OF THE MONTH to us too: doris.huang@irecycingtimes.com www.iRecyclingTimes.com|Issue39



MONEY FROM HOME

47

Art Diamond Cash for Your Cache Don't be a curator in a museum of rusting relics. Sell them and recapture all of that valuable warehouse space they now occupy!

The past 20 years have witnessed a running battle between the OEMs and the rechargers to capture sales of replacement toner and ink jet ink cartridges. While aftermarket suppliers of cartridge components have honed their skills in matching or even exceeding the performance of the OEM products, OEMs have focused on bringing to market an endless stream of new printer and copier machine models. This strategy has worked as the period from introduction to the availability of competitive products gives the OEM a clear, however temporary, monopoly on aftermarket cartridge sales. Each new device, we are told, gives the OEM an estimated 6 to 9 months of uncontested cartridge sales. The aftermarket players scramble to collect the empty cartridges, using their R&D skills to rebuild the newly-introduced OEM products. These R&D efforts necessitate the purchase of one or more of the new model machines in order to run practical print tests with the compatible

cartridges, or components, under development. Over the years, many toner and ink makers, as well as cartridge rechargers and component suppliers, accumulated a warehouse full of printers and copiers that gradually fall into disuse. They become obsolete as the installed base of these “dinosaurs” dwindle in 1st world markets. Some installations simply discard the machines, typically sending them to an e-waste recycler. Those who take no action awake one day to discover an adhoc museum of relics in a remote corner of their warehouse where these idle assets gather dust and usurp valuable floor space. In the meantime, as markets emerge in 3rd world regions, such as Latin America, the Middle East, Asia and South Africa, there is a growing demand for copiers and printers. Unlike U.S. and European markets, many 3rd world home and office customers prefer to buy secondhand equipment. What’s more, copier and printer refurbishers actively seek these end users. They represent a constant demand for used and discarded equipment which they refresh, repair and resell. Patent violation, in most cases, is not an issue. For machines over 20 years

old, all patents have expired. In addition, for machines first sold in the United States, the first sale doctrine applies so that all patent holder rights have been extinguished If you are the unintentional caretaker of a machine museum, it’s time to consider redeeming these relics. Each may be worth somewhere between $25 and $1,000, depending mostly upon condition, speed and demand. Further, you can add to that savings, the value of the floor space to be recaptured by having these machines removed from the premises. Many cartridge remanufacturers depend heavily on an OEM printer or copier to test each make and model cartridge they “reman” before it leaves their plant. Over time, however machines change and every cartridge eventually becomes unpopular, leaving the remanufacturer with a growing collection of "dinosaurs." These relics may have zero value domestically, but in most third world countries, there is a strong demand for secondhand copiers and printers. Several firms have made a business out of salvaging these machines and re-selling them overseas. It's a lucrative venture and you can become a part of it by monetizing the collection that you—like so many others—have inadvertently assembled! Don't be a curator in a museum of rusting relics. Sell them and recapture all of that valuable warehouse space they now occupy! ■ Art Diamond is a 56 year veteran of the imaging industry. He is a known globally as a chemist (Kodak), patent holder, author, researcher and consultant, publisher and event manager. <drc@west.net> www.iRecyclingTimes.com|Issue39


48 ACTIONABLE INSIGHTS

Charles Brewer

Issue39|www.iRecyclingTimes.com


ACTIONABLE INSIGHTS

49

Charles Brewer Okay, Lexmark is Victorious in Court, So Where’s the ROI?

At the end of April, Lexmark added dozens of so-called John Doe* defendants to its ongoing patent infringement case, which began back in 2010. Since Lexmark filed its original suit, a number of companies have opted to settle with the OEM including 36 U.S.-based firms that have since signed consent judgments. While Lexmark has done a good job settling cases with aftermarket companies, these legal victories have done little to improve the firm’s revenue and profitability. Sales have been off for the past few years— including supplies sales—and remain depressed in 2013. Adding more remanufacturers, supplies vendors, and empties brokers to its original suit, Lexmark filed an amended complaint in U.S. District Court on April 22. The OEM alleges the firms violated one or more of some 21 patents on a range of monochrome toner cartridges used in over 100 machines marketed by Lexmark or its OEM customers such as Dell, IBM, Lenovo, Okidata, Ricoh, Toshiba, and others. The day after filing the amended complaint, Lexmark released its financial results for the first quarter of 2013 and the news was not good—revenue, operating income, and

net earnings were all down. Even Lexmark’s laser cartridge revenue was down 11 percent compared to Q1 2012 despite the settlements noted earlier. It has been a while since Lexmark’s financial performance has been strong, and supplies sales have declined annually since 2010. Totaling just over $5.3 billion, 2004 was Lexmark’s best year in terms of sales and since then revenue has fallen every year but one—2010. And the growth in 2010 only reflected a short-lived recovery after sales plunged during the recession. Last year, Lexmark’s total annual revenue was slightly less than $3.8 billion, a drop of almost 40 percent since the high-water mark the firm achieved in 2004. The firm has struggled in Europe, where it has lost market share to various competitors including Brother and Samsung. Lexmark’s annual net earnings have performed even more poorly then its annual revenues. Nets earnings have withered from a high of $568.7 million in 2004 to just $106.3 million last year, a dizzying drop of over 81%. Lexmark appears to be particularly inept at deploying compelling new technologies capable of gaining back lost market share and revenue. Until the release of its Vizix and OfficeEdge business-class inkjets, for example, the firm did little to refresh its inkjet

technology. Lexmark wrung all the profits it could out of its inkjets and simply redeployed the same fundamental technology time and again as it continued to lose market share. Finally, in 2012, the firm pulled the plug on its long-suffering inkjet business and exited the market. Until just recently, Lexmark did pretty much the same with its electrophotographic portfolio. Prior to the launch of new hardware at the end of 2012, it had been years since the firm had upgraded its toner technologies. Only time will tell how well the machines based on Lexmark’s newly formulated Unison Toners will do in the market. Lexmark has focused a lot of time and treasure on limiting U.S. market share for third-party supplies vendors. As a result, many firms have cut back on the amount of non-Lexmark supplies they offer. But the availability of fewer third-party Lexmark supplies has added nothing to the OEM’s top or bottom lines—or to its overall market share for that matter. Lexmark’s legal successes may amount to little more than a Pyrrhic Victory if it wins the battle against the third-party supplies industry in the courtroom only to loses the war for the larger market. ■ * An unnamed defendant is sometimes referred to a "John Doe defendant." In this case, Lexmark chose not identify certain defendants when it filed its lawsuit. As the case progressed, the plaintiff revealed the names of defendants as it did additional investigations during the discovery phase of the case.

Charles Brewer has covered imaging technology for 20 years as editor for Inc. Magazine, ComputerWorld, The Lyra Hard Copy Supplies Journal and numerous white papers and reports. He is a popular speaker in China, Europe, and North America. His intelligence briefings can be read online at action-intell.com <cbrewer@action-intell.com> www.iRecyclingTimes.com|Issue39



KEEPING UP

51

Steve Weedon Complacency is a Killer What a fantastic opportunity for our industry! In other words, the demand is growing, the customers are there, and they are not going away. Now we have to be smart to win more business. Talking to a mid-sized remanufacturer recently who said, “This industry isn’t exciting any more”. “Why?” I asked. “Because the future belongs to color, we expected the same 30% market share we saw in monochrome but at better margins. That’s never going to happen,” he answered, dejectedly. I spent the next hour explaining why I have never been more excited about this industry’s future, if we are all smart enough to seize the opportunity. After our chat, over a glass of pinot noir, that owner was more enthusiastic and has since invited me in to consult for him to help fire up his team. No one denies that it is a difficult market, but no one said it was going to be easy either. Here are some sound facts. End Users, those people who actually put the cartridge into the printer, pay for it and use it. Will they ever stop wanting a choice between an expensive OEM original and a cheaper remanufactured cartridge? No, providing they have a good experience using the remanufactured cartridge and save

money they will never go back to OEM originals. Our job is to keep them satisfied with defect-free prints from their remanufactured cartridges. By 2015, the analysts predict a worldwide demand of about 445 million laser cartridges a year, up from about 375 million in 2011. The increase is due to growth in color printer use. That means 4 cartridges instead of 1. What a fantastic opportunity for our industry! In other words, the demand is growing the customers are there, and they are not going away. Now we have to be smart to win more business. The problem for the owner I was talking to is he had become disillusioned, even complacent, with his company’s inability to win and keep color cartridge customers. Cartridge performance was simply not good enough to win over discerning customers. His technical people always tell him that they make the best color cartridges and have almost zero returns. His sales manager says he cannot win every color cartridge opportunity because the customer won’t approve the quality. It’s not the price it’s the quality.

Color aftermarket share is not increasing at any significant rate. Today, the annual growth rate it may be only 8 to10%, which means we are satisfying that relatively small group who say “it’s ok for me.” Of course every remanufacturer thinks he makes the best color cartridge, but, if he did, he would win and keep every color customer he ever found, and that is just not the case. The reality is more like the owner I was talking to. Color cartridges only perform as good as the toner that is used. Other replacement parts—PCR, OPC, Chip, doctor blade, wiper blade, toner supply roller, developer roller—all of course, have to perform. Few can afford or will want to replace all these components and even if they did change everything there are no guarantees, in fact some argue it increases the risk of more cartridge issues. Remanufacturing is about recycling for reuse, not about replacing everything, so those who try to recycle 75% or more of the original cartridge to keep your accreditation need another solution. What you need is a toner that gives perfect color matching the OEM, has transfer efficiency just like OEM, has less waste to worry about, lower fill weights to make OEM yield, better densities, greater universality, glossy like the OEM, no TAB (toner additive buildup on rollers) and gives outstanding performance when used with virgin OEM wiper blade, Doctor blade, PCR, toner supply roller and developer roller. Oh! And is cheaper than the polymerized toner you use today. Well, this toner already exists, but you will never find it if your team are complacent and have a closed mind. ■

For 40 years, Steve Weedon has been a senior manager at Nashua, Katun Corp, Kalle Infotec, Gestetner and Static Control. He started the Recycler Trade Magazine in 1992. He is a Brit, living in America, with a parts supply business based in Hong Kong. <steve@discoverimaging.com> www.iRecyclingTimes.com|Issue39


52 THE LISTS Next Month’s Poll Question

Top 10 Photo Printers According to Nancy Young

Should remanufacturers be doing more to combat counterfeiting? Go online to vote:irecyclingtimes.com

Research How Serious Is Printer Security an Issue?

1. HP Photosmart C310A Excellent colour resolution, quick prints dry, 20 sheets of photo paper store, and ePrint function 2. Polaroid PoGo Instant Mobile Printer Bluetooth, low cost, but the prints are limited to one size of 2×3 inches 3. Kodak ESP 310 High photo print quality, green values and 38 seconds print times 4. Epson PictureMate Charm PM 225

A. Extremely, millions are at risk of personal identity theft. 33.33% B. Highly: millions of printers are wide open to attack. 5.56% C. Moderately, but proper protection methods must be applied. 44.44% D. Not so serious: tracking and monitoring software is available. 11.11% E. I am not aware of the problem. 5.56% Top 5 Creative Inkjets for Home According to PrinterComparison Editor, Sarah Meyer

1. Epson Expression Premium XP-800 2. HP Photosmart 7520 3. Brother MFC-J4510dw 4. Kodak Hero 9.1 5. Canon PIXMA MG4220 (www.printercomparison.com)

Letters and blogs from readers

RECYCLING TIMES STATEMENT ON CLONES (see Content Page on p3) • This is a good statement, but of course the result will depend on how the OEMs take their actions in the future, and how the distributors react. Anyway, for your magazine, this should be a positive direction Arnald Ho, Chairman Print-Rite

Great photo printing capabilities, producing quality, smudge free prints, and 7.9 lbs in weight

• This is a very strong statement that leaves no room for equivocation. Certainly a bold step.

5. Canon Pixma iP100

Charles Brewer, President Actionable Intelligence

A light weight, easily portable device, and auto Fix capabilities 6. Canon Selphy cp780 Compactness and capability and 2.45 inch pop up screen 7. Epson PictureMate Show Photo Printer High photo quality and 7 inch screen 8. Brother MFC- J6510W High quality, a scan to PDF features and free app 9. Epson Expression Photo XP-750 Prints on paper, onto CD and DVD, Wi Fi capability, as well as a six colour printing system that utilises two extra colours 10. Canon Pixma Pro 100 Professional quality prints, an eight colour printing system, and print a range of paper sizes all the way up to A3 (http://photodoto.com/photo-printer-reviews-2013/)

BERTO

InBox

• I don't understand why your statement would be limited to only patent infringing clones. The cartridge recycling industry and those that support it should have a zero tolerance for ALL new built clones. Bill Swartz, Static Control

LETTER OF THE MONTH Let me respond to your May edition of the magazine I used the Empty Cartridges Collector and Broker Directory published in Recycling Times magazine (Issue 36). Most of the entries were very helpful. But one company, [name withheld], has a very bad credit rating and many people have been cheated by them. I think it’s good to publish directories like this, but it’s better to make sure everyone on the list, is reputable. Ms. X, Shenzhen Editor: We appreciate readers’ feedback (such as Ms. X) on the monthly directories, which are the best way to improve their quality. We will publish improved versions of each directory each year.

DID YOU KNOW?

See Just A Minute comment on p11

Issue39|www.iRecyclingTimes.com

One square metre of print contains over 20 billion droplets of ink.




Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.