All The News That's Fit To Print-In Color

Vendors are launching efforts to make color more affordable for many companies. For example, Xerox in September unveiled technology that it says makes color printing as affordable as black and white for the first time.

The product rollout included the Xerox Phaser 8860 color printer and Xerox Phaser 8860MFP color multifunction device--the first printers to feature the next generation of Xerox's solid-ink technology. The crayonlike ink sticks are designed to last longer than ever, and by increasing the total number of color pages the sticks produce, Xerox says it has "drastically reduced the price of color printing."

Selling color has been a challenge for many VARs, which have faced resistance from customers looking to curb printing costs. Will that change with the declining cost of color? Some experts say it will, and that color is clearly a growth market for resellers.

HERE'S WHAT VARs NEED TO KNOW:STUDY THE MARKET Things change fast in IT, and printers are no exception. Get educated about the latest developments in color print technology, performance gains and pricing trends. Be prepared to tell customers why it's in their best interest to adopt color print technology.

"Incorporating color into business materials is a necessity these days," says Scott Anderson, vice president of Imaging and Printing Channels, U.S., at Hewlett-Packard, Palo Alto, Calif. Anderson cites studies showing that using color communicates information up to 70 percent faster and 77 percent more effectively while raising readership retention an average of 65 percent.

SELL TO THE BUSINESS While IT often calls the shots when it comes to buying computers and peripherals, VARs shouldn't ignore line-of-business decision makers and end users. VARs need to address the business requirements of the organization when demonstrating the capabilities of color print technology.

Ask "how color can serve the business needs of the company," suggests Gary Gillam, vice president of channel operations, Xerox North America, North York, Ontario. If VARs can demonstrate how color can help the customer sell more products, better serve its customers or expand market share, the likelihood of a sale is much greater.

"VARs can sell color printers by simply understanding their customers' environments and requirements," adds Robin Henry, director of channel marketing in the Printing Solutions Division at Ricoh, West Caldwell, N.J.

VARs "should memorize the top five business benefits experienced from color use and leverage it in every customer interaction," says Jackie Paralis, senior marketing manager for channel development at Oki Data Americas, Mt. Laurel, N.J. Paralis cites a list from research firm IDC of the top five benefits from color use: improved communication with customers or partners/suppliers; cost savings from bringing color in-house; time savings from bringing color in-house; improved internal communication; and increased rate of customer retention.

EMPHASIZE LOWER COSTS In the past, color scared off many prospective buyers because they feared the high costs of color printers and supplies wouldn't justify their investment. But printer vendors say the technology is now affordable for many companies. It's important to show customers that the total cost of ownership can be lowered through reduced cost per page, which is what some of the new print technology enables.

VARs should also show customers how much it costs to use color compared with black and white. "Use a simple cost-per-page formula based on what the toner, printer and maintenance costs are divided by the number of pages printed for both," then show what the difference is, says Matt Koenig, director of sales and marketing at reseller PC Universe, Boca Raton, Fla.

Next: Take Advantage Of Online Collaboration Tools TAKE ADVANTAGE OF ONLINE COLLABORATION TOOLS Microsites for the print and imaging community are emerging, Gillam says, and VARs should take advantage of these sites to learn more about color technology and share best practices. This is part of the general trend toward Web 2.0 and social networking, which enable resellers to easily and inexpensively compare notes with others in the market. Resellers also can leverage online tools, such as blogs, wikis, podcasts and Webinars to help spread the word.

SELL TO ALL INDUSTRIES Historically, color has been most attractive to graphics-intensive industries, but all types of businesses can gain from the use of color content. Consider marketing color to financial services, manufacturing, legal, real estate and other types of companies. Regardless of the type of business, it's important to focus on the specific goals of the customer and determine how color printers can best meet its requirements. "Know the product line inside and out and which model/brand would work for that customer's needs," says Tony Camilleri, president of reseller Computerist, West Orange, N.J.

SELL TO SMBs With prices coming down, color print technology will likely be a lot more attractive to small and midsize businesses with limited budgets and the need to use color for content such as marketing brochures.

"This year, we've seen an extremely rapid acceleration of color adoption in small businesses," says Kevin Kern, vice president of product planning and marketing at Konica Minolta Business Solutions USA, Ramsey, N.J.

LEVERAGE VENDOR PROGRAMS AND TOOLS Road shows, seminars and podcasts--as well as promotional tools--help VARs learn more about color print capabilities and create their own promotional efforts, including e-mail blasts, direct mail, telemarketing and e-newsletters. Some programs also offer sales training.

ADDRESS CUSTOMER CONCERNS ABOUT COLOR Yes, prices are coming down, but companies are still concerned about how much their employees spend on color printing. Ricoh's Henry says VARs should ask customers if all users need to print in color, or if the company needs to control color output for some users. Ricoh and other companies offer devices that control color output. If the customer is concerned about cost per page, offer printers with low per-page costs. VARs can provide consultative services in which they use auditing tools to assess a customer's use of color and find ways to keep costs down, Kern says.

MAKE COLOR THE FOCUS "If you're going to sell color you have to lead with color," Kern says. "It's very hard to sell color if you're leading with monochrome. [VARs] who decide to make color the centerpiece of their processes are very successful. Those who sell color as if it's any other product are not as successful."

DON'T FORGET ABOUT POST-SALES Because color prices are falling, VARs that focus solely on printer sales will see their equipment revenue fall, Gillam says. That's why it makes sense to try to capture post-sales business. "Post-sale revenues on a color single-function printer are three times what they are when it's just the printer sale," Gillam says.

"Solution providers should take a more consultative approach and get imaginative to create opportunities for color in their customers' workplace, so they clearly see the value of in-house color," Paralis says. "History shows that the majority of businesses that try color like it, and expand their color operations to incorporate more devices."