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Kyocera supplies price increases rub firmly against the grain

Issue #0922/1 – In an unusual move, underlining the extraordinary nature of the financial climate that the UK in particular finds itself in, Kyocera in the UK has increased supplies prices on just one product range, following the general increases applied a little over six months ago. Significant increases, averaging 11%, are imposed on products only launched at that time. This is highly unusual for Kyocera, whose pricing policy does not usually allow for price adjustments after launch.

These latest price increases are effective from 1st August and are applicable to the current FS-C5x00 series of desktop colour laser printers. Price increases range from 8% to 15% and average 11.4% overall.

TK-540K 15%
TK-540C/M/Y 12%
TK-550K 11%
TK-550C/M/Y 13%
TK-560K 11%
TK-560C/M/Y 8%

What makes these increases so unusual is the necessity to diverge from the general pricing policy that the company works to. Prices are set prior to the product’s launch and then, no matter what happens to the exchange rates in the meantime, the price remains unchanged for the life of the product.

For instance, in the six years from the summer of 2003 to the summer of 2008, prices on Kyocera supplies did not change by even one penny!

2003 to 2008
2008 to 2009
TK-17 £48.00 £48.00 0% £61.46 28.0%
TK-400 £56.00 £56.00 0% £67.55 20.6%
TK-70 £85.50 £85.50 0% £112.68 31.8%
TK-2530 £85.50 £85.50 0% £89.78 5.0%
TK-800K £79.23 £79.23 0% £89.28 12.7%
TK-800C / M / Y £90.79 £90.79 0% £102.32 12.7%
TK-805K £79.23 £79.23 0% £84.78 7.0%
TK-805C / M / Y £90.79 £90.79 0% £97.15 7.0%

Interestingly, the highest price increases come on the mono laser printers, and particularly the very high-volume (FS-9100) and very low volume (FS-1010 & FS-1050) mono laser printers. In the mid-range, the TK-400 cartridge for the 20ppm FS-6020 has been increased by much less.

A3 colour printers, copiers and MFPs suffer much less again, where we have seen increases of only 12.7% on the toners for the FS-C8008N colour laser printer and 7% on toners for the KM-C850 colour copier/MFP – both high-volume machines.

Moving off the printer range altogether, it is the KM-2530/3530/4030 range of A3 copiers and copier-based MFPs that are penalised least of all, with just a 5% increase on the price of the TK-400 toner.

It is clear therefore, that it is the rather more unpredictable printer market (sales model rather than contract model) that is hit hardest with price increases while toners for the copier side of the business are increased by minimal percentages.

kyocera fs-c5100dnKyocera FS-C5x00 series

When these price increases were imposed on the whole range of supplies a little over six months ago, it was a direct response to the horrendous economic climate being experienced. However, the product at the centre of these increases were only launched at about the same time, meaning that the prices set for the supplies should already have been in line with the new pricing structure. So, for prices to have required increasing so soon, is a very clear indication that the financial climate is hitting hard.

Even then, comparing the scale of these increases from Kyocera to those we have seen from Hewlett-Packard over the past year or so (up to 68% over a 12 to 18-month period – see ), and we realise just how conservative and stable Kyocera is when it comes to pricing!

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