New Post has been published on The Print Maven
New Post has been published on https://amertoner.com/blog/?p=157
Paper is cheap
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Sales of copy paper declined less than 3% in both 2011 and 2012. Normally, sales declines of any size are not good news for the business or industry reporting it. But for paper manufacturers and distributors, it is good news since 3% is substantially less than was expected. Projections were based on an expected widespread increased use and storage of emails and word documents in electronic files instead of paper. Another factor working against paper use is the emphasis on sustainable paper use by utilizing 2-sided printing and reducing unnecessary copies. Neither of these two trends have lived up to expectations and as a the result, there was only a slight year to year decline in paper sales.
The next time you see a case of paper for under $30, buy some. Nothing lasts forever
Most distributors are not convinced that the less than expected decline in paper sales means prices should go back up. They are maintaining loss leader price points on cases of paper, at least through the first half of 2014, in an attempt to keep people coming into their stores or going on to their websites to buy paper. Like milk in a supermarket, paper is an “A-item.” A -items are products that customers purchase regularly but which are available from many sources and have little product differentiation. Retailers make little or no profit on these items but they get people into the store. Using good marketing and product location practices, they get a large number of paper purchasers to also buy the more profitable B and C items. And, the strategy has been working for paper sellers.
However, unlike a bottle of milk, a case of paper is bulky and heavy. It takes up a lot of space and shipping costs are high. I don’t foresee loss leader pricing on paper continuing deep into 2014. Retailers will find other A-items to use as loss leaders. So, don’t wait too long to stock up. The next time you see a case of paper for under $30, buy some. Nothing lasts forever.
Most business men and women don’t realize that there is a significance difference in the quality of copy paper. If you have ever experienced annoying paper jams in your printer or MFP and could find nothing wrong, the paper you are using is most likely the cause. Paper quality also affects the clarity of the printing. While these paper problems are not readily apparent to many people, if giving your customers and prospects the strongest possible positive impression of your company whenever you contact them and eliminating the possibility of paper jams is important, ask your supplier for samples of his highest quality paper. You will be surprised at how much better you’re printing looks in comparison to what you have been using.
Until Next Time, Richard Blumberg, The Print Maven
Richard Blumberg has almost 30 years experience as a distributor of Imaging equipment and supplies. He was an owner of Richard Young Products and American Ribbon and Toner and is currently an officer of American Toner and Ink Corporation
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