Annual Report 2014

Giving Shape to Ideas

Review of Operations / Strategy

Business Technologies Business (Production Print Field)

  • 1.Fiscal 2013 Results
  • 2.Growth Strategy
  • 3.Segment Growth Potential

While overall commercial printing is shrinking slightly, digital printing is growing rapidly

PMS*1 and MPM*2 market

Worldwide color unit sales forecast

Worldwide color PV forecast

Growth drivers in the Commercial/Industrial Print Field

Konica Minolta's production print business has grown up in step with the digitization of commercial printing. However, industry digitization remains at only 10-15%, and there is still ample room for growth.

At the same time, new issues have appeared for companies, who utilize commercial printing services. They are trying to optimize the use of the Internet, social media and other new media in marketing, as they seek the ideal balance with conventional print media spend.

Charterhouse, a European company Konica Minolta acquired in fiscal 2012, has the marketing print management (MPM) service knowhow to solve these kinds of problems. By sharing this knowhow with commercial print customers across the global Group, we will help to generate and expand print demand from large corporations. Increasing demand will generate greater motivation for capital investment in commercial printing, leading to the adoption of the Group’s digital printing equipment.

Print demand from some types of businesses fluctuates seasonally. On-demand print8 services, such as those offered by Kinko’s Japan, free companies from the costly need to maintain equipment at levels to meet peak demand. And outsourced printing increases the print volume of our output devices, further contributing to business scale expansion.

Increasing MIF/PV through MPM and the Kinko's Japan business model

PMS (Print Management Service): Service that optimizes print ordering and costs by assessing and clarifying print-related work processes and costs
MPM (Marketing Print Management): Service that offers print solutions optimized for customers'marketing divisions
PV (Print Volume): The number of sheets output by printers
HPP (Heavy Production Printer): High-speed production print machine
MPP (Mid Production Printer): Medium-speed production print machine
LPP (Light Production Printer): Low speed production print machine
ELPP (Entry Light Production Printer): Entry production print machine
On-demand print: Means of printing emphasizing instantaneousness, aimed at providing printing when needed, in just the amounts needed
MIF (Machines In the Field): The total number of working units installed in the MFP and production print machine markets
Textile printing: A method for dying cloth by directly printing pigments onto it
  • 2.Growth Strategy
  • Review of Operations / Strategy