Printers & Ink Business Model

In the last 10 years, the prices of inkjet and laser printers have gone down almost as fast as desktop computers (the only exception to this would be the Dot Matrix Printers). Yet, the inks and cartridges themselves didn’t move down as low as we want them to be — somewhere in the vicinity of cheap and affordable.

Thus, we have thriving industry of buying used-up ink printer cartridges and booming franchises of ink refilling stations.

It’s already obvious, printer manufacturers are banking more on ink sales rather than printer sales. If an average lifetime of a printer is 3 years, it could have used up at least 12 ink replacements (every 3 months) with a total sales that could cost 10 times that of the printer itself. With that number, it makes sense to sell printers cheap (and possibly, even at a loss) then get the ROI thru expensive consummables.

The strategy worked, but it also paved the way for other enterprising people to supply a growing demand for un-branded ink refills. What’s the going rate now — Php150 for a Php600 original cartridge. That’s at least 4 times cheaper. No wonder printer manufacturers are worried or their margins and calling these refills destructive to your precious printers.

Still, looking at it an economic perspective, even if these refills can damage your printer the total re-acquisition cost would still be cheaper. Let’s look at the numbers:

All Original Specs
Printer Cost: Php2,500
Original Ink Refills: Php600
Average Lifespan: 3 years
Ink Replacement Freq.: 3 months

Total cost: Php2,500 + (3year/3months)(Php600) = Php7,200

Unbranded Ink Refills
Printer Cost: Php2,500
Unbranded Ink Refills: Php150
Average Lifespan: 1.5 years
Ink Replacement Freq.: 3 months

Total cost: Php2,500 * (2 printers for 3 years) + (3year/3months)(Php150) = Php6,800

With the sample computation above, we have two sets — the first uses only 1 printer for 3 years because it uses original inks while the second used up 2 printers for the same amount of time due to unbranded ink refills. I suppose the figures are even better for others.

Abe Olandres

Abe is the founder and Editor-in-Chief of YugaTech with over 20 years of experience in the technology industry. He is one of the pioneers of blogging in the country and considered by many as the Father of Tech Blogging in the Philippines. He is also a technology consultant, a tech columnist with several national publications, resource speaker and mentor/advisor to several start-up companies.

https://www.yugatech.com

8 Comments

2wzw9oxcn says:

12 years ago

It’s fitting to be an demonstrative reunion. The parents of Malala Yousufzai, the Pakistani schoolgirl activist stab through the Taliban, are expected to keep company with their daughter as far as something the first span Thursday since she regained consciousness in a British polyclinic mould week. http://www.gafasraybans.eu/
The 15-year-old, who has turn an international colophon of grit after being targeted for demanding education for girls, is being treated repayment for a encouragement to the head in Birmingham, England.

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Both parents are on a even that left-hand Pakistan Thursday morning, said a government licensed, Noor Malik. The go is expected to make one’s appearance in Birmingham Thursday afternoon.www.gafasraybans.eu

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Her pater, Ziauddin Yousufzai, has been a key influence in her under age person, having operated sole of the some schools that defied the Taliban in the Swat Valley by keeping its doors unwrapped to girls.

“I am leaving this hinterlands with a sad heart and in exceptional circumstances because the undamaged country knows that it is essential that I be with my daughter during her bettering,” he told Pakistani network PTV before leaving Islamabad, in his first unrestricted remarks since the October 9 shooting.

“With the nation’s prayers she survived the corrode and she purposefulness doggedly save and her salubrity will progress. And Power willing, as a moment as she is recovered I devise be go in Pakistan.”

Khushal Khan, Malala’s younger fellow-citizen, echoed his identify in the interest of the polity to group behind his shot sister. “I want to impart all my friends to ask into Malala,” he said.
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1wzw9pvpo says:

12 years ago

It’s fitting to be an poignant reunion. The parents of Malala Yousufzai, the Pakistani schoolgirl activist stab near the Taliban, are expected to take in their daughter against the first span Thursday since she regained consciousness in a British hospital form week. http://www.gafasraybans.eu/
The 15-year-old, who has change an cosmopolitan colophon of gallantry after being targeted repayment for insistent education in compensation girls, is being treated for a missile to the head in Birmingham, England.

While facility cane mould week said they were trying to dispose suited for her hear to her old boy on the phone, this purposefulness be his head chance to be alongside her bedside since she was flown from Pakistan 10 days ago, her get deteriorating.

Both parents are on a plane that nautical port Pakistan Thursday morning, said a direction official, Noor Malik. The flight is expected to arrive in Birmingham Thursday afternoon.www.gafasraybans.eu

For Malala, who has been unfit to reprimand because a tube has been inserted into her trachea to take care of her airway, bloated after her gunshot offence, the proximity of kind members will definitely be a comfort.

Her father, Ziauddin Yousufzai, has been a key hold in her young soul, having operated sole of the infrequent schools that defied the Taliban in the Swat Valley not later than keeping its doors unreserved to girls.

“I am leaving this state with a downcast heart and in extraordinary circumstances because the whole realm knows that it is important that I be with my daughter during her recovery,” he told Pakistani network PTV before leaving Islamabad, in his basic community remarks since the October 9 shooting.

“With the domain’s prayers she survived the set and she purposefulness surely get well and her health desire progress. And Power game, as soon as she is recovered I last wishes as be back in Pakistan.”

Khushal Khan, Malala’s younger fellow-citizen, echoed his reprove for the polity to assemblage behind his projectile sister. “I want to tell all my friends to ask for Malala,” he said.
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moncler spaccio says:

13 years ago

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jeff says:

16 years ago

what about for laser printers?

@ JP Loh
unbranded inks damage printers because they don’t go the same Quality assurance tests as opposed to the branded ones. they are more susceptible to leakage, and for some reason, they get used up faster?

I personally use an epson which i installed CIS to..after a few months, the quality of the print out was significantly affected. puro lines na lahat ng pnprint ko,even just plain text… pero mura e, so bahala na hahahaha you get what you pay for.

if you want quality, branded pdin tlga… if you’re after economy, go for refills. if you’re after both? gotta go for branded… with refills, sobrang no quality e..
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jhay says:

18 years ago

Just like mobile phones, printers too have become ‘disposable’ goods. Again just like SIM cards, it’s often times cheaper just to get a new one instead of having the printer fixed when it gets broken.
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Kates says:

18 years ago

I only use original inks when printing graphics heavy stuff. For documents, unbranded inks will do.
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JP Loh says:

18 years ago

How can ink damage the printer? The only difference I saw from the original ink cartridges is that the blank inks are err.. blacker.

But who cares?! As long as the text is readable, most people won’t mind or notice. Because I use cheapo paper, the grade A ink’s full potential won’t be used anyway.
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