SPECIALFEATURES> MINILABS The people behind the machines Who are your key people for minilab distribution and servicing, and what do they offer? We get the lowdown from those working for you in this competitive business. When you make as big an investment as a digital minilab, you want to make sure you are aligned with the right supplier for your "In terms of selling brand new after-sales and training needs. And as the lab environment changes, there is a variety machines the market's smaller, you can choose from. The culture is changing, with some smaller players so the bigger investment is forming alliances with larger entities and some choosing to stay small and in software." . differentiate in the market. We took a look Ji:€{~~; lIlj'il.:), !:qiI'J~t,) iG]qoj ~ at three companies going places - Photo Direct, Kodak/ Noritsu and Independent Photographic Supplies. For her the biggest investment you can Lints believes photo retailers are make is time. "There's new stuff they can currently very fortunate due to the recent A profitable partnership do [but] you have to keep up-to-date with drop in price of paper and chemistry. "It Tracy Lints, formerly of AgfaPhoto, is sales software. Regarding minilabs, there's no came down 40 to 50 per cent last October. director of Photo Direct, which recently need for hundreds of thousands in If retailers are not under contract they're in took over the distribution of KIS minilabs investment anymore - unless you were one a good position," she explains. "The end of from elab digital. The former distributor of the ones who got in early and need to Agfa kicked it off - no-one was under now concentrates just on the installation, upgrade. Most of the investment is time, contract. Other contractors were left to training and service of labs. and marketing." scramble to pick up that business. When "We are responsible for delivery of that Lints views the teen market as a major Konica Minolta exited there was another service but outsource that to them. They growth area, with most enjoying the feeding frenzy for distributors and are technicians, so it's a good partnership," novelty of taking pictures of each other on wholesalers. Contracts are really not a says Lints. their camera phones. "They need to know happening thing. You don't need a "We can offer the e-station kiosk with a that when they are walking past a retailer contract. So wholesalers and distributors' choice of software [KIS, Lucidiom, Axiom they can go in and get their pictures printed emphasis has been on price." or d-scope]. Agfa had to offer Agfa or stick them onto things." Now, she says, you have the flexibility to hardware so now it's good to be able to She says most of the industry should have choose who you want to go with, and the offer lots of other options." gone digital already, but for those with five- margins are actually better in terms of retail Lints s~s the partnership works well as year-old machines an upgrade might be prices per print. Up till now, Australian Photo Direct is able to offer elab digital's timely due to the need for greater capacity. paper and chemistry prices have been high post-installation help. "In terms of selling brand new machines compared to the rest of the world. "It's no good putting in a machine if the market's smaller, so the bigger "It was a neat and tidy market - now it's there's no-one there after that to help you," investment is in software. You've got to go not," Lints continues. "We might see more she says. "elab comes in, sets up and digital - film is not dead but there's less to downward pressure as people jockey for a follows up - that's what they do. Because go round. It's about kiosks, online printing position.Now that Konicaand Agfa are out we don't have our own stores it's up to us and software solutions that will be the bulk - as key paper and chemistry suppliers - to make sure stores are successful." of the investment required." there is an evening up of demand and supply. She can see so many opportunities for The best advice is to make hay while the sun retailers in the current environment. "The r-- shines if you're not locked in a contract. Ex- industry has heaps more legs and there are Agfa people are lucky in that sense." so many more people expecting to do more with their images. That's why we need to KoCiak and Noritsu keep educating customers [on their Kodak has helped enhance the Noritsu options]. Now we can do things like put minilab range while launching the new images onto calendars and postcards, G4 kiosks. jewellery and magnets - anything. These Kodak's consumer output business features are not necessarily found in development manager Shane Kealley says minilab equipment but in peripheral gear the company has nearly 75,000 of the that can hang off it. You can get images kiosks at retail locations worldwide, linked from mobile phones and put them on up to the Noritsu labs. coffee cups - consumers just need to "We have shown that repeat printing become aware." from digital images rises by over 70 per She says retailers need to focus on adding cent when consumers see how easy it is to to the 6x4. "There's no point only using 10 Ian McEliister is the IPS Queensland get digital photos at retail," he says. per cent of the market's potential." representative. Kodak and Noritsu together offer the PHOTO & IMAGING NEWS IMAY 2006 >MINILABS QSS32, 33 and 34 Series of digital "[This] has been our platform since our minilabs, with output options such as large beginning and has proved to be a winning format prints, add-on services and the formula for us," said IPS managing possibility of instant prints via connectivity director Stuart Holmes. to Kodak Picture Kiosks G4. "These closures have shown the market Kodak has more than 1200 installed that exclusive supply contracts and service :11 ' Noritsu machines throughout its retail C~' ,~ agreements with large multinationals can , . - - ..=.--;::--" -;:; network in Australia and New Zealand. The be worthless. 1 . .- " company acts as the agent for Noritsu Koki "The backbone of Australian " ml',- .J.- ~-_: -.-; .. - Pty. Ltd in Australia and New Zealand. photographic industry is the 'mum and "Digital picture printing at retail is the dad' indep~ndent businesses. It is our view fastest growing printing solution in the that major suppliers have turned their " industry," says Kealley. " " ' backs on these people and used the profits Connectivity between Kodak Picture made from them over the years to fund Kiosks and digital minilabs means their push into the photo channel with the Kodak consumers can preview and place their consumer electronic companies today." order at the station, then print to the Establishing itself as the independent retailer's onsite digital lab system. minilab support specialist, IPS has three All these Noritsu labs provide a technical sales agents in NSW with networking option, including the additional representation in every state. Print@Kodak web service. Rob Voysey is the sales and technical "It's pointless having a great lab at the director, Mark Sotheran, David Dubois back of the store it you have no presence to and Doug Plant work on NSW operations, convey the services on offer," he continues. Ian McEllister covers Queensland, David "The key to driving profitable digital print Tracy on Victoria, James Tovo - South growth is creating a comprehensive front- Australia, John Mullavey - Tasmania and of-store customer digital environment. You John Hayes - Western Australia. need the opportunity to showcase your Voysey said many labs had converted to digital services." Tura paper and CPAC chemistry, and IPS had worked on demonstrating vast quality The independent era improvements and passing on cost savings as Minilab paper and chemistry supplier a result of optimising chemical performance Independent Photographic Supplies Pty Ltd in customers' labs. One of Kodak's latest kiosks. (IPS)is currently celebrating its fourth year In addition to the field support team, IPS of trading. The company has experienced has two technicians working on a daily basis significant growth in recent months, which to provide technical QC help. "Our Holmes added that it was possible to has seen the closure of Agfafoto and the customers' control strips are professionally improve print quality output while saving withdrawal of Konica Minolta from the assessed with graphs plotted and emailed the lab further time and money by photo channel. back to the lab. Phone follow-up calls keep improving process consistency. The company has sought to differentiate the lab operators informed of emerging "We are truly seeing the dawn of a new with quality products, service, and good trends and ensure technicalrecommendations era where the 'independent way' is the new value pricing. are communicated simply and clearly." and viable alternative." I WHYWAIT?Thereis no time like nowto go digital. Usingthe latestSony LCD/LED technology, . It installs easier, has higher resolution - & prints up to 500 6"x4"'s per hour. .It prints up to 12"x18" without the need for additional lenses in the photo lab printer. I .Also it is a more attractive design. .You will be able to print from all digital ., I media,printto print,restoration, download from email, dust and scratch removal plus a whole host of other exciting possibilities. TheC-Carriersuits mostNoritsu, ContactTerryGoddardat 0411492251. Konicaand Fuji models. Byfax on 02 95662622, by [email protected] Carriers are now installed in NSW, JVictoria & Queensland.