Full Version: Why is OEM Transfer out of the Mainstream?
From: Doug (JDOUG5170) [#3]
25 Mar 2007
To: Stunt Engraver (DGL) [#1] 25 Mar 2007
David, since I doubt anyone here can really answer your question, I'm going to guess, you are asking for our guesses.
Here's mine. It takes far more money to bring a product to market today than it did yesterday.
The cost of attending trade shows has gone up considerably, as has the cost of showing at one. Considering the travel costs, folks are not so willing or able to travel to the events, so now there are far more, smaller show...vendors can only afford so much (or should I say, we can only afford them to afford so much).
Trade magazine advertising is out of hand. That coupled with the circulation not really being all that high of our trade magazines...just does not pencil.
Forums, free or pay have become the most effective way for a vendor to bring new product to the attention of the users with the least amount of cost.
I look at the vendors involved in this case also. They are not the big power vendors of JDS, Conde, Epilog.... They are little guys with few products in the barn. If they spend big money promoting the product, we the user would be charged more.
Just my guess.
Doug
From: Stunt Engraver (DGL) [#4]
25 Mar 2007
To: Doug (JDOUG5170) [#3] 25 Mar 2007
Thank you for your educated guesses.
The cost of exhibiting at trade shows, has not only become an issue for the small companies, I spoke to a representative of one of our industry's major suppliers, who says it's definitely become a factor.
I suppose that's all the more reason to stay in touch with the online forums, where some of the "unsung heroes" can be spotlighted, thereby giving the forum members an edge, in working with emerging processes, of which the mainstream has yet to become aware.
From: RALLYGUY (RALLYGUY1) [#5]
25 Mar 2007
To: Stunt Engraver (DGL) [#4] 25 Mar 2007
One more guess for you David,
When you have a system to sell like the "magic" system....you essentially claim and control the whole process allowing more profit for yourself as a vendor. This gives you a better reason to market that product....(higher profit).
Right now the only part of the OEM process that you can make money with as a vendor is the paper...Not exactly a high ticket item,...and there are already several vendors aiming for that market......JBL, and Mick at Cactus are the first two that I know of other than the magic system.
They eliminated the "magic" and have gone on selling the paper and process as more cost effective and better for those reasons....but I'm sure the profit level on the paper alone isn't nearly as much compared to selling a "system" that requires xyz equipment, toners, and papers etc...
Less profit means less money/reason to market heavily..............Even when the process may be superior in both cost and results.
EDITED: 25 Mar 2007 by RALLYGUY1
From: Harvey only (HARVEY-ONLY) [#6]
25 Mar 2007
To: RALLYGUY (RALLYGUY1) [#5] 25 Mar 2007
From: Stunt Engraver (DGL) [#7]
25 Mar 2007
To: RALLYGUY (RALLYGUY1) [#5] 25 Mar 2007
Makes sense, although in that case, the existence of the paper itself remains largely a secret.
Good for end users, who want an edge over the people who don't know about it, but the slow-boat-method for the sellers of the transfer paper.
From: RALLYGUY (RALLYGUY1) [#8]
25 Mar 2007
To: Stunt Engraver (DGL) [#7] 25 Mar 2007
My guess is that it's a secret because there isn't a whole bunch of money to be made in sharing it....Forum buzz will flourish because the switch to that process will most benefit the end user Namely people like you and I, and perhaps a couple of vendors.
Until they decide to publicly market the product heavily, I expect it to continue as an industry secret. Ultimately the forum's will help it grow......but right now there is no real advertising budget to compete with the other types of imaging systems that are out there.
Kind of an odd way about the free market eh? Sometimes even when it brings a better process to market....it sits on the sideline because it's not as profitable as the old way.
EDITED: 25 Mar 2007 by RALLYGUY1
From: Mick [#9]
26 Mar 2007
To: RALLYGUY (RALLYGUY1) [#8] 26 Mar 2007
You are correct Brian, the major players in sublimation that are selling inks, paper, substrates etc. now would see all of those sales dwindle to the sales of paper only. That is why they will not sell the CLTT (OEM Transfer)
process, no money to be made.