Wednesday, August 27, 2008
Dear Valued Customer:
As you may have heard, IKON today announced that we agreed to be acquired by Ricoh Company, Ltd, subject to the satisfaction of certain customary closing conditions. A copy of the press release issued this morning is attached for your information. Ricoh has been one of our valued equipment partners for many years and we will now be joining forces with them to create a stronger global office solutions competitor.
As you know, Ricoh is a leading manufacturer of high quality multifunction products, printers, fax machines and related supplies, with a long history and global reputation for providing innovative, reliable and user-friendly equipment.
An important factor we considered when deciding to take this step was our mission to best meet the needs of our customers. We concluded that we would be better able to achieve this goal as part of a larger organization that was able to offer an enhanced range of end-to-end office solutions, including IKON’s expertise in color equipment sales and world-class service offerings, as well as Ricoh’s world-leading portfolio of office solutions equipment.
I want to assure you that we remain committed to you and your company, and have every intention of continuing to provide you with world-class service and support, regardless of the equipment you use. We fully expect that our suppliers will continue to do business with us on the same terms and conditions they have in the past and we will continue to provide you with the best solutions from our broad portfolio of product and service offerings.
While we are very excited about today’s news, it is important for you to know that it will take several months to complete this transaction. In the meantime, it will be business as usual for us. We anticipate that the transaction will close before the end of calendar year 2008.
I recognize that you may have questions regarding this announcement and your sales professional will be contacting you in the coming days to help answer any questions you may have. I want to thank you for your continued commitment to IKON and look forward to building on our relationship in the future.
Matthew J. Espe
Chairman and Chief Executive Officer
In one swift swipe of the Kantana, Ricoh has erased the after effects of the Xerox acquisition of Global last year. Ricoh has acquired the world's largest independent channel for document management and services. Ikon's fiscal year 2007 revenue of $4.2 billion, IKON has approximately 24,000 employees in over 400 locations throughout North America and Western Europe.
"IKON has terrific strength in areas that complement Ricoh's growth strategy," said Shiro Kondo, President and CEO of Ricoh Company, Ltd. "IKON has advanced Professional Services capabilities with a long list of satisfied large customers. IKON is respected as well for its production print sales and service expertise. We are excited to add the very experienced IKON management team and the thousands of skilled and dedicated IKON employees to the Ricoh family."
Where does this leave everyone else. especially Canon. Canon was slightly affected by the Global buyout and also from KonicaMinolta recently purchasing Danka Industries. I'm thinking Canon is going to be hit very hard, could Canon now make a play for HP, really what else is left to maintain market share. Devastating for Canon if they do nothing.l
Recently we (P4P) conducted a poll of our members as to "Who would Acquire Who in 2009", thinking nothing else could happen in 2008. Our readership had these results:
(18%) Ricoh acquires IKON
(18%) Canon acquires IKON
(55%) HP acquires IKON
(0%) HP acquires Danka
(9%) Canon acquires Danka
(0%) Ricoh acquires Danka
Well, another surprise in an industry that continues to evolve.
Here's some posts from today of our P4P members when they heard of the acquisition.
- the world as we have known it is rapidly changing.....any guesses what's next?I have heard that HP is in the process of actively opening direct sales offices around the county.
- Not here but Canon has to be reeling from this! To tell you the truth, I never expected Ricoh to do this.
- I knew IKON was looking at being purchased awhile back by HP so they have been on the market for awhile. Did I read this correctly... "requires the approval of the majority of IKON’s outstanding shares at its shareholder meeting and will result in IKON continuing as the surviving company" Sounds like IKON will be Ricoh's "brand" now. So the name Ricoh will be no longer or what?
- I would imagine it will be like the Lanier acquisition. Keep the name for the time being as it is a "brand" people know, but I would imagine that it will be blended into RBS in time. Everything Japan does is on a 5 year plan, so there is no hurry for them.
- It will be interesting. It might be a good time for some of the independent Ricoh dealers to look to Canon if they have an large Ikon company in their backyard. There is always fallout from these deals, there will probally be some very good Canon sales people looking to jump ship along with technicians.
- I dont think anything will change, I think they will also continue to operate under the IKon name carry the same brands canon km and the other manufactures will continue to sell to them why not and why change perhaps ricoh will have better placement in goverment and the major accounts but that would be it . When best buys bought out future shop they couldnt cahnge there name my thinking is that this will be the same with this deal.
- When Xerox bought Global and when KM bought Danka, Canon immediately dropped them. They won't sell to the competition. I know that on the Global deal that KM extended their agreement for an additional 2 years to allow for the transition....it should be interesting who the real copier %^$#$* are out there...
- Toshiba bought out a dealer here in Vancouver able who carried canon and sharp they continue to lead with canon soI don'tknow about globally but I would think they would rethink there strategy and continue there relationship with Ikon Danka where they really selling anything.
Ricoh has made the move to keep the factories busy fo a long time, of course here in the US there will be another branding issue. Most likely, IKON will be merged into RBS, however I wouldn't be surprised if it went the other way. For me, I don't think its going to have a terrific impact, for the Ikon customers, I'm sure there will be growing pains and many hassles keeping up with the changes.
You gotta love this business.
Saturday, August 23, 2008
Thursday, August 21, 2008
Buyers Laboratory Inc., Gartner
Office paper use is increasing 6-8% each year1.
Paper use is expected to grow for the next 20 years1.
Paper is thought to be 30% faster and easier to read than a computer screen.
Print volume is growing 10-15% each year. The internet, email, and intranets are big drivers.
Printing surpassed copy volume in 19953.
End-users are printing multiple originals, rather than making copies.
Color printers are bringing new documents to the network.
The number of documents created and distributed electronically — then printed at the time of need — continues to grow.
Copy volumes are stagnant or in decline. Long-held habits are changing.
Fax volumes are being challenged by email. Email is free and arrives "at-the-desktop".
"The heyday of the photocopier is past — the tide of history is with the printer." — Better Buys for Business
Print, copy, fax, and scan are now common features of a single device.
Printer-centric MFP's hold advantages in five key areas4:
Ease of use
Total Cost of Ownership Document
Four years ago, color was $2.00/page, and very slow.
Today, color is as low as $.12/page, and up to 28ppm.
Color printers are currently the fastest growing segment of the printer business.
In today's office, the as-needed approach to printer support is being replaced by Output-Based solutions ensuring reliable, hassle-free documents.
Research indicated that by 2005 75% of all printing would be done on a cost-per-page basis and 75% of all enterprises would outsource key technologies.
Enterprises should evaluate newer technologies — multifunction printers and new procurement options, including cost-per-page service contracts5.
Tuesday, August 12, 2008
By adding the these three Ricoh solutions you can enjoy increased productivity, reduce paper, reduce costs and reduce down time. Along with knowing that you are doing your part to conserve resources.
The solutions that I've outlined will add less than $100 a month to the typical 5 year copier lease, and depending where your companies workflow and volumes stack up, the savings could be well over the investment.
Monday, August 11, 2008
Saturday, August 9, 2008
Wednesday, August 6, 2008
Sunday, August 3, 2008
The new line boasts advanced remote access and device management capabilities. A new printer administration utility (PAU version 5.0) incorporates a Remote Front Panel feature that allows an IT administrator to remotely take control of the device’s front panel, giving them the ability to see exactly what the end user is seeing. The IT administrator can remotely change settings, show the user how to perform a function, or diagnose and often rectify problems without deploying a technician to the device. To gain enhanced levels of support, the IT administrator can also grant the service provider permission to perform this function directly from their dealership. This unique MFP capability dramatically reduces unit downtime and service expenses.
All models feature Sharp’s award-winning network security suites that can be enhanced through data security kits encrypting document data using AES (Advanced Encryption Standard) encryption and secure data erase, which overwrites the hard drive up to seven times.
Sharp has enhanced its new line with a bold new look that complements today’s office environment. Featuring a stylish, textural exterior with chrome accents, the new Sharp MFP line offers appealing aesthetics in a compact design. The new MFP models also feature brilliant Sharp displays: an 8.5 inch (diagonal) WVGA Color Touch panel with thumbnail previewing for easy in IT-oriented workflow intensive environments; each speed is also available with a 4.3 inch (diagonal) Advanced Super View (ASV) color LCD display providing easy navigation for non-workflow, price-sensitive applications. This new look will be adopted for future Sharp MFP and printer lines.