Epson Restructures as a Service-based Provider in Thailand

Epson Restructures as a Service-based Provider in Thailand

Epson Thailand is restructuring towards a “service-based” model to tap into corporate and industrial user demand.

“The printing industry will continue to evolve from product sales to a service-based model in the next three to five years, targeting corporate customers,” said Yunyong Muneemongkoltorn, director of Epson Thailand (pictured).

According to The Bangkok Post, Epson has already started to offer a printer rental service, called EasyCare 360. It’s a customer based pay-per-use.

“We plan to offer services and rental for large-format printers for industrial printing too,” Mr Yunyong said.

Epson introduced the rental printer service in Thailand after launching the service in the Philippines and Singapore.

The company aims to promote inkjet printers among corporations to replace laser printers.

Epson’s inkjet printers are touted for heat-free technology, which is environmentally friendly, saves energy, saves costs and is faster in operations compared with laser printers.

Citing tech research firm IDC, Mr Yunyong said inkjet printers are expected to account for 82% of the total printer market in 2022, with the remainder going to laser printers. In 2020, inkjet printers are expected to represent 78 percent.

In 2020, commercial or corporate users for inkjet printers are expected to account for 76% of total customers. They are expected to reach 82 percent in 2022.

Throughout 2019, 674,000 inkjet printers were distributed in Thailand at a total value of 3.3 billion baht. Epson captured 38% in terms of units sold and 44 percent of value.

Epson’s revenue from rental services is expected to account for half the company’s income by fiscal 2020, which starts next month, the rest coming from sales of printers.

“Our product line can serve 90 percent of corporate users,” Mr Yunyong said. “Our biggest concern is the lack of consumer confidence, and we cannot predict how long the [coronavirus] pandemic will last.”

He said the company’s marketing activities have been deferred to the second half of this year.

Mr Yunyong said Epson is focusing on the online channel to reach out to customers and has shops in giant e-marketplaces.

The company’s revenue is forecast to grow 6 percent in the new fiscal year.

Related: Epson Completes New Innovation Center

Is the fact that Epson has restructures as a service-based provider in Thailand a surprise for you? Are you aware of other service-based models that you want to recommend? Leave your comments below.