Q3 BMI-T FIGURES SHOW TALLYCOM STILL LEADING SA LINE PRINTER MARKET

Computing

The TallyGenicom brand has reaffirmed its leadership in the South African line printer market with the recent results of BMI-T’s third quarter printer report reflecting a steady 61% market share of the line printer market for the first three quarters of 2004.

The BMI-T results also show a 23% increase in the overall sales of line printers in the local market during the first three quarters of 2004, when compared to the same time period in 2003, something that clearly spells good things for both the local line printer market and TallyCom, the local TallyGenicom representative.

Says David Terry, GM of TallyCom, “We are very satisfied with the growth in the local line printer space so far and are excited about the market’s overall 94% growth rate in the third quarter of 2004 compared to the same time period in 2003.” The third quarter sales of line printers in South Africa totaled 122 line printers, compared to 2003’s third quarter sales of 63 line printers.

“We also believe TallyCom is going to shatter last year’s record of 198 line printers by a substantial margin, with our year to date sales figures already showing 185 units. Should this growth trend hold into the fourth quarter, TallyCom could well exceed the 240 line printer mark come the end of 2004, representing a growth of 20% or more, over our total sales in 2003,” Terry continues.

Terry says the market factors influencing the growth of line printers included the natural replacement of older, legacy line printers that were bought prior to the year 2000. Customers have also started consolidating their print loads previously handled by numerous dot-matrix printers onto less costly, more volume-capable line printers. They have also realised that non-impact technologies like laser, while cost-effective for many applications, are still too costly for the types of high-volume printing more suited to line printers.

“The most obvious factor influencing higher sales would be that the Rand has strengthened against the US Dollar. This has meant that the prices on line printers has dropped substantially, allowing customers to buy a line printer for what used to be the price of an upper end dot matrix printer.”

“Let us also not forget that the South African economy is growing at a healthy rate and many customers are seeing increases in their printing volumes due to a general increase in business. This most often necessitates an upgrade from dot-matrix technology to line printer technology. Quite simply, if a user is printing in excess of 1000 pages per day on a regular basis, they should be looking at line printer technology,” Terry explains.

“Our success stems from numerous factors, the first of which being that we offer our reseller channel national sales coverage and the choice of dealing through multiple distributors including Tarsus Technologies, Big 5 Distribution, Printegration and Lazer Tech.”

“Our Authorised Service Partners Printegration, Big 5 Distribution and Geneva Printotek also offer the channel and its customers after sales service and support with TallyGenicom factory-trained technical skills on a national basis, a factor that has been integral in TallyCom and its channel’s success,” Terry concludes.