How much money do you think Communisis makes from printing cheque books? How much money does Fujifilm make on photographic film and paper? What are the margins on carbonless paper these days? IMHO, the answer to all of the above is A LOT. Being the “last iceman” in a declining market can be a very profitable place to be. And there’s a big difference between deliberately planning to be the dominant player in a shrinking space – as Communisis obviously is with its investment in transactional printing – and suddenly finding your core market has fallen off a cliff when you weren’t paying attention. Even though banks and utilities are encouraging people to opt for e-billing and online statements, there’s still an enormous amount of printed volume required in this area. And when it comes to regulatory communications print is the preferred route for guaranteed delivery. So I disagree with the comments from Miss Register and David Granby on the story about Communisis’ investment in HP T400 presses. There’s plenty of dough to be made out of dodos, so long as you get the strategy right.
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