October 26, 2010: As a market response to the on-going discussion on photo print pricing, IPS is launching a Xmas special, offering independent retailers a 5.5c cost per print paper and chemistry bundle for most modern digital minilabs.
Independent Photographic Supplies (IPS) is offering independent photo specialists the opportunity to respond to larger retailers cheap print pricing with a special promotional package of ‘IPS Fighting Brand’ Colour Paper and CPAC Chemistry through November, representing a net cost less than 5.5cents per 6×4-inch print.
IPS says this represents a saving of around 50 percent on regular materials costs.
IPS managing director Stuart Holmes decided to put the offer in the marketplace after a discussion with the ACCC which indicated there was no relief likely from that quarter for small retailers contending with 9 cent print offers from Big W and Harvey Norman.
‘When I spoke to the ACCC last on this issue, I pointed out that their assertion that “what’s good for the consumer is good for the economy” is not always the case.
‘A large portion of the Australian economy is made up of small family-owned/operated business. There were around 3000 photo specialty retailers businesses 10 years ago and now there are only approximately 700. A significant number of Australians had lost their businesses and staff has lost their jobs due to the relentless “race to the bottom” on retail photofinishing prices driven by the multinational manufacturer/suppliers and their mass merchant/supermarket supply partners’.
‘Being told by the ACCC that mass merchants & supermarkets “obviously” run cheap 6 x 4in prints as a loss leader is a cop out too, as it has devalued and commoditized a once quality-conscious market of keen amateur photographers who wanted to protect their precious memories of fun times together with their family and friends.
‘And at what point do a loss leader promotional price and predatory pricing intersect?
‘So, Independent Photographic Supplies (IPS) would like to respond in a positive manner by supporting the independent photo specialty channel with a special promotional package offer of IPS ‘Fighting Paper’ and CPAC Chemistry at a net cost to the Independent lab owner of less than 5 1/2 cents per print for paper and CPAC minilab liquid cartridge chemistry for most modern minilabs.’
‘”IPS Fighting Paper” is a non-backmarked but ‘world class’ silver halide colour paper that IPS has sourced ‘with the view to levelling the playing field as an instore promotional line’. It is fully compatible with all modern RA-4 colour processors and allows independent photo specialty labs to compete in today’s overheated environment.
IPS Fighting Paper is sold as a promotional adjunct to IPS’s regular line of Premium Quality DNP Colour Papers, Type FD (Full Digital) which is unique in the Australian market as the only other full digital minilab paper available in a full range of sizes and surfaces from 4-inch to 50-inch wide.
‘Maybe this won’t solve the Industry’s problems, but it’s a good start!’ he said. It’s time for independents to vote with their feet – not just vent their spleens,’ he concluded.
For further information, please contact IPS on (02) 9875 2244 or firstname.lastname@example.org, or your local IPS representative. IPS will take you through a few simple calculations to work out what you are currently paying for paper and chemistry per 6×4-inch print.