Konica Minolta 2015 Annual Report Download - page 43

Business Technologies Business
Commercial and
Industrial Printing
Production printing
• Color unit sales were strong worldwide.
• Healthy sales were also seen for non-hardware such as consumables and
maintenance services.
MPM/print services
• The creation of our global system has been completed.
• We have received business from several companies, including a company
based in Europe that is the world’s largest energy company.
Industrial inkjet business
• Good progress is being seen in our printer component business, which
includes inkjet heads and ink.
Revenue Main Achievements in Fiscal 2014
• Fiscal 2014 business results and fiscal 2015 forecast
Governed by a basic strategy aimed at expanding the proportion of
color printing and print volume, Konica Minolta’s commercial and
industrial printing field is focused on providing MPM services that
meet the needs of companies’ marketing departments.
MPM services involve assigning full-time staff to companies’
marketing departments to help optimize printing costs and improve
business processes by centrally managing the output of large
volumes of printed materials including catalogs and pamphlets.
Konica Minolta has provided these services through large MPM-
segment enterprises such as U.K.-based Charterhouse and
Australia-based Ergo, which we have acquired through M&A. We
also established subsidiaries of these Group companies in fiscal
2014 in the U.S. and Japan, respectively. With the completion of a
global system for providing services that cover Europe, Asia
Pacific, the U.S., and Japan, MPM and print services saw sales
increase 52% year on year.
In the production printing segment, new models of digital
printing systems such as the bizhub PRESS C1100 and bizhub
PRESS C1085 showed strong sales throughout the year, pushing
unit sales of color units beyond last year’s level.
Market environment (opportunities
and challenges)
• Within marketing departments at large
enterprises, which are a major customer
category in this segment, there is a desire to
curb costs associated with the dominant
form of media—printed materials—in favor of
marketing centered on new media such as
the web and SNS.
• In response to needs at printing companies,
another key customer category, they are
considering implementing digital printing
systems in addition to offset printing
products. However, there is concern among
these companies that sales might not justify
the investment.
Strengths and strategies
• To expand and improve sales of non-hardware such as consumables
and maintenance services, we are focused on providing solutions for
upstream business processes.
• In November 2012, Konica Minolta acquired U.K.-based Charterhouse,
a major presence in the MPM (Marketing Print Management) services
industry. By leveraging Charterhouse’s expertise as a company whose
clients include some of the world’s largest companies and matching
printing companies with large corporations who purchase printed
materials, we will provide cost reductions and efficiencies to client
companies and a stable volume of printing to printing companies, while
at the same time growing print volume and ramping up sales of digital
printing systems.
• In January 2015, Charterhouse acquired U.K.-based Indicia, a veteran
in cross media marketing. This completes a system for providing
solutions in upstream processes, including the designs, the drafting of
media plans and the analysis of customer data, as a means to expand
MPM business.
(Billions of yen)
211.1
213.1
237.0
172.9
Revenue
240
180
120
60
0
(FY)
2016
(plan*)
2013 2014
J-GAAP IFRS
* Figures published in May, 2014
42
KONICA MINOLTA, INC. Annual Report 2015
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