Vistaprint 2009 Annual Report Download - page 23

Competition
The markets for both customized marketing products and services for small businesses and
custom consumer products are large, evolving and highly competitive. We compete on the basis of
breadth of product offerings, price, convenience, quality, design content, design options and tools,
customer and design services, ease of use, and production and delivery speed. It is our intention to
offer high quality design, production and marketing services at low price points and in doing so, offer
our customers an attractive value proposition. Our current competition includes one or a combination of
the following:
‰traditional storefront printing and graphic design companies;
‰office superstores, drug store chains, food retailers and other major retailers targeting small
business and consumer markets such as Staples, UPS Stores, Office Depot, Costco, CVS,
Schleker, Walgreens, Carrefour and Wal-Mart;
‰wholesale printers such as Taylor Corporation and Business Cards Tomorrow;
‰other online printing and graphic design companies. We are aware of many online print shops
that provide printed products and services similar to ours, such as Overnight Prints, 123Print,
Moo.com and UPrinting for small business marketing products and services; TinyPrints,
Invitation Consultants and Fine Stationery for invitations and announcements; and Shutterfly,
Snapfish, and Kodak for photo products;
‰self-service desktop design and publishing using personal computer software with a laser or
inkjet printer and specialty paper;
‰other email marketing services companies such as Constant Contact and iContact;
‰other website design and hosting companies such as United Internet, Web.com and Network
Solutions;
‰other suppliers of custom apparel, promotional products and customized gifts, such as Zazzle,
Café Press and Customization Mall;
‰online photo product companies, such as Kodak Gallery, Snapfish by HP, Shutterfly and
Photobox; and
‰other internet firms, such as Google (Picasa), Yahoo (Flickr), Amazon, Facebook, MySpace,
the Knot and many smaller firms.
As we expand our geographic reach, product and service portfolio and customer base, our
competition increases. Our geographic expansion creates competition with competitors with a multi-
national presence and experienced local vendors. New product offerings such as websites, email
marketing, apparel and photo products result in new competition as a result of us entering those
markets. We encounter competition from large retailers offering a wide breadth of products and highly
focused companies concentrated on a subset of our customers or product offerings.
Many of our current and potential competitors have longer operating histories, larger customer
bases, greater brand recognition and significantly greater financial, marketing and other resources than
we do. Our competitors may enter into strategic alliances to provide graphic design and production
services with larger, more established and well-financed companies, potentially at more favorable
terms than we could obtain. Additionally, these competitors have research and development
capabilities that may allow them to develop new or improved products and services that may compete
with the products and services that we market. New technologies and the expansion of existing
technologies, such as local search, e-mails, electronic files and social media which may serve as
substitutes for our products and services, may increase competitive pressures on us. Increased
Form 10-K
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