Dotcom mistrust is rife, says report

E-commerce firms are set for a round of consolidation over the next year after a less than enthusiastic uptake from the print industry

E-commerce firms are set for a round of consolidation over the next year after a less than enthusiastic uptake from the print industry, according to TrendWatch.


The print industry research organisation's report, Printers & the Internet 2001, found that less than 4% of printers used any dotcom service. Only 9% planned to buy into such a system.


"In addition to the general business issues faced by dotcoms, print industry dotcoms are trying to address the shock of the 2-3% fee many of them charge," said TrendWatch partner Jim Whittington. "This carries the perception of a huge chunk of money where average profit is 6% of sales."


TrendWatch also upheld the industry's suspicion of dotcom firms. "When printers hear companies talk about value of transactions processed and burn rates instead of sales and profits, they know to be cautious," said partner Dr Joe Webb.


However, firms with their own websites reported greater business confidence. Those planning to invest in e-commerce were even more confident. Allowing customers to track jobs online was the service printers were most reluctant to offer.


A surge in the number of sites planning to buy direct imaging presses was cited in another TrendWatch report. The Direct-to: Are We There Yet? report predicted that the market was ready for growth. Printers installing and getting to grips with digital workflow was a key driver. Other factors included staff shortages and reduction in job prices.


Story by Barney Cox