Epson Shifting to Upmarket Inkjet Printers

In its updated business plan, Epson indicates it wants to move its inkjet business upmarket because the low-end is unprofitable. However, stiff price competition has made it tough for Epson to completely avoid the low end where it still offers several sub-$99 printers.

Epson expects the inkjet printer market to remain flat in the next three years, as shrinkage in developed markets offset growing sales in emerging economies.

Epson’s goals for the printer business include: improving the home segment; accelerating the deployment of business inkjets; and. expanding the commercial printer business.

But Epson now has what it lacked previously–a strong lineup of business inkjets, with low cost per page and other business-friendly features that would better enable it to target business users.

Epson also states that it invested in volume production of a new piezo print head in fiscal 2012, and plans to introduce printers using the new head in fiscal 2013. Its new products will stack up to those from its competitors like HP, which uses a page-wide print head to offer office-class speeds in its new Officejet Pro X series. Epson clearly has to innovate in this area or run the risk of being left behind.