The Genesis, Evolution and De-evolution of #ManagedPrintServices

2/2018
I remember the first time somebody said to me, "We've been doing managed print services for 20 years..." that was ITEX, 2008.  Which of course meant this person had been optimizing, assessing, rightsizing, and billing service and supplies on a cost-per-image basis - back in 1988.

"What? Did you bill for re-inked ribbons?"  He was not amused.

Back then, there was a bunch of talk about how MPS was nothing new; the facilities folks had been assessing fleets and selling bodies for years.  The Electronic Document Management guys had been selling scan-to-file for at least a decade and the toner re-manufacturers were old hats at dumpster diving for cores.

Revolution.

The copier-heads saw MpS as a scam; nothing more than a marketing ploy effectively duplicating what they had been doing since 1970.  They laid claim to managed print services.

The move into managed print services took a few years, as OEM after OEM assembled and rolled out their unique program.  Back then, most programs supported a homogenous fleet meaning the "best" MpS solution was one that included the brand "I SELL" versus the brands customers currently utilized - "Rip And Replace" took on a significant meaning.

Months passed. Iterations of software like PrintAudi, FM-Audit, and PrintFleet.  WebJet Admin was HP's software - the most expensive free software you could ever want.  Still, monitoring software was in its infancy.

The MpS world struggled to move away from faxed and manually collected meter reads.  Billing was half the challenge, managing toner shipments incorrectly morphed profitable contracts into nightmare losses.

Shipping costs, undefined commission structures, premature exchanges of toner, and blown motherboards killed many MpS endeavors.  The smart guys looked at meter reads and toner usage data as possible predictors.  Algorithms were developed and applied to create predictive models of toner usage down to the device.

Golden Age of MpS.

As MpS matured, the advanced players moved from 'hardware agnostic' to 'hardware neutral' covering multiple vendors' devices.

Toner fillers and re-manufacturers got into the game as well, assembling and providing managed print services programs complete with data collection agents, mapping software bundled with sales training, and marketing deliverables.

Everybody, even traditional IT VARs, jumped into the MpS ocean.  MpS was full of possibilities, a departure from copiers toward IT and beyond.  ITEX stacked the floor with MpS providers and training sessions - we even had a Managed Print Services Conference.

But a funny thing happened on the way to MpS nirvana. By 2015 MpS had come full circle - the pioneers of the MPS rarely appear, MPS consulting firms fade away leaving MpS training to the "drill and fills".  Manufacturers release dozens of A4 devices like it was always their idea.  In an interesting twist of irony, the biggest critics of managed print services find themselves leading MpS organizations.

Everyone ignored the Signs.  Small OEDs slipped into history or glommed on to bigger dealers - circling the wagons and selling out.  Dawn of The Planet of the Mega Dealer

The Late, Great MpS

Today, 2018 dealers, full of hubris and dripping with chunk-watches, brag about 30% cost reductions, all the while installing A3 for end users who've forgotten what tabloid paper looks like. Prospects implement print policies on their own, realizing the folly of letting companies that derive revenue from prints help them reduce print.

Founding members of the industry transform: 

Lexmark, once an American darling, sells out to an arch enemy.  Xerox, a one-time American, corporate icon, begs her neighbor for shelter.  HP, Lady Blue, suffers through Edgeline, TouchPad and Leo, breaks in two and emerges stronger.

This has happened before, industries rise and fall.  Weaving machines displace textile workers. Horsepower replaces manpower.  Automobiles supplant horses.   One day soon, managed print services will be the buggy-whip of the once prevalent, Copier Industry.

And that's okay - it is the Way of Things.

Click to email me.

New to Copier Sales? What Are You, Nuts?

“When I grow up, I want to sell copiers and printers,” said nobody, ever.

"If two years ago you told me I would be selling copiers, I would have slugged you in the head,” said new reps everywhere.

An aunt to her nephew over Thanksgiving dinner: “What do you do for a living now that you’ve graduated, Johnny?”

“I help companies manage and reduce the costs associated with documents!”

“Oh. You sell copiers. That’s nice. Could you pass the potatoes?"

For those of you who have been in the business for more than a couple of years, you may find the above statements apropos, if not a bit painful. I wanted to be an astronaut once, but the closest thing I’ve gotten to Star Trek is my iPad. I do know the seven steps of the xerographic process, however, so I’ve got that going for me.

Regardless, let’s say you’re a fresh-out-of-school, new copier sales representative. Perhaps you’ve taken a sales class in college, worked retail over the summer, or your friends and family tell you, “You’re such a people person, you should be in sales." Congratulations, you are more than qualified.

As a newbie, your target market is going to be what we love to call “down the street” copier sales. Everybody starts here; many stay. Down the street (DTS) selling is just that; your prospects are located up and down the street and, like the Fuller Brush man, you’re expected to prospect to these small businesses — funeral homes, real estate offices, insurance agents, auto dealers and shops, HVAC, construction, electrical subcontractors, trucking companies, churches and the ever popular print-for-pay businesses.

But the best way to approach this segment is not through a precise email campaign, massive research or a cute social media program. The proven method is a combination of door-knocking and over-the-phone cold calling. That’s it. It’s hard work, no doubt, and the first step in the journey to major and strategic accounts management.

Here’s how these DTS accounts behave:

Read the rest, here.

Today's 3D Printers are Like the Apple IIe of 1987

A recent article on America’s dying industries on the website 24/7 Wall St. included industries such as “curtain and linen mills,” “formal wear and costume rental” and “professional employer organizations.” To perhaps no one’s surprise it also included industries including “bookstores and news dealers,” “newspaper publishers,” “other publishers” and, coming in last on the list, “office supplies, except paper, manufacturing.”

Following on to the last item, the site goes on to explain, “Office supplies manufacturing is one of many industries in the United States negatively affected by the increasing digitization of the workplace ... The increasing ability to store documents and other data virtually has rendered fax machines and photocopiers less necessary and reduced demand for office supplies manufacturing. Employment in the industry has fallen by 42.1 percent since 2007, among the most of any sector.”

Tell us something we don’t know.

The search for new revenue streams continues.  Read the rest, here.