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Key Predictions in the Managed Print Service Industry for 2019

Digital disruption and business transformation have never been so pivotal within the MPS industry, and there’s continued to be large changes in the industry in 2018.

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Digital disruption and business transformation have never been so pivotal within the MPS industry, and there’s continued to be large changes in the industry in 2018. Many organisations are maintaining their focus on a broad range of int, IT services and workplace technologies and the industry must continue to embrace digital and business transformation going forward into 201

At IT Document Solutions, we predict that the following trends will redefine the industry or come to the forefront in 2019:

More Consolidation of the Supplier/Reseller Market
With the recent large acquisitions of Annodata and Apogee, some of the big manufacturers now have huge gaps to fill to maintain market share. In 2019 following  HP’s acquisition of Ricoh’s largest reseller Apogee, we expect continued consolidation within the market. In addition, Xerox has already made a positive move to fill the gap left by the Apogee acquisition of Danwood, a couple of years earlier, by continuing to develop their multi-brand channel partner programme moving away from the traditional Xerox Concessionaire business model. In addition, watch out for the diversification of services provided by traditional MPS companies, and the rapid growth of some resellers following the proven success of VC investment across the industry… who said managed print was a declining market!

The Reduction in Total Volume Rental Plans/ MPS Device and Service Consolidated Volume Agreements
Decision makers who have become wise to the unscrupulous practices of some suppliers who sell MPS volume agreements. These are often misleading and can be very costly, resulting in customers paying more, with the supplier overpromising and underdelivering. At IT Document Solutions we have found many of our new business customers have been caught up in these kinds of agreements which are often difficult to extricate themselves from. Even with our knowledge and experience, we have been unable to help several companies escape some of the worst cases. In 2019 we expect there to be a shift with procurement returning back to the traditional lease and service arrangement. The usual rule still applies; “if it looks too good to be true it normally is too good to be true”

A4 vs A3 vs Total Cost of Ownership
While some companies may offer you a low cost per page on their A3  multi-function devices, it is prudent to check whether this will really suit your needs. Throughout a typical contract, the total cost of ownership for those A3 devices can be up to 40 per cent more expensive to buy than similarly configured A4 multi-function devices, however, the running costs are still far lower. In 2019 we predict that the number of A3 models in existence will fall significantly. Many of the manufacturers including Xerox and Canon need to stay competitive as the A4 market booms.

Purchase price + service and support + supplies = Total cost of ownership

Print and Digital Will Continue to Converge
The convergence of print and digital solutions will continue to drive increased demands for integrated document workflows in 2019, however, despite the adoption of mobile and digital technologies many businesses are still heavily reliant on print. This is partly due to the continual need for physical documents and user habits. Integrated technologies and the right desktop services can help, making it easier for staff to work and multi-task. Electronic document management, policy control and document security can help force culture change.

Professional Services will Lead The Way
In 2019 we predict that professional services will lead the way in the managed print services industry, with many professional services companies looking to reduce their printing costs. An upsurge in the amount of professional services companies who will be looking to streamline their processes including printing, will continue to be seen next year.

  • Collaboration
  • Version control
  • GDPR – Data integrity

Will still be high on the agenda.

A Continual Reduction of Printed Pages
With the environmental impact of printing and saving paper still firmly on the agenda of many businesses, we predict that in 2019 more organisations will think more about conserving paper and being more environmentally friendly. In addition, there have been many reports of paper shortages and while these have yet to be proven and may be unfounded businesses are taking note and looking at ways to print smarter.

Managed Print Services vs Value added resellers
While many businesses spend a lot on printing, typically only 7% goes for supplies and equipment. The majority of spending that businesses have goes on IT support, administration, facilities and document management, and they often don’t consider the impact that the cost of printing will have on their business. In 2019 we predict that businesses will look to get more value from their print infrastructure, reduce costs, streamline their processes, improve their workflows and even look mitigating against the increasing threat of cyber-attacks. Therefore, a MPS rather than a VAR will become a much more attractive proposition.

Final Thoughts

In 2019 the managed print service industry will continue its reinvention and require that manufacturers and partners drive more relevance. Digital transformation will continue to be high on the agenda of many organisations and industry players will be able to position themselves accordingly to drive efficiency. Printing in the workplace is still key and there will still be plenty of opportunities and scope for the industry in the coming year.

Our mission: Is to help our clients achieve better value from their office technology and to improve their efficiency, and productivity, by offering paperless solutions that streamline and automate the workflow of documents.

We Promise: In line with our continuous improvement programme, we will continually manage and measure the possibilities and capabilities of the solutions and suppliers available within the document solutions marketplace and those relevant to the needs of our clients.

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