Thermal printers fast becoming a mainstream IT product

Driven by an increasing adoption of ERP and a surging demand for automation in industry segments like retail, logistics, transportation, healthcare and government, thermal printers (popularly known as barcode printers) are finding prominence as an IT product. According to market sources, this business is witnessing a growth of nearly 50% to 60% year-on-year growth in terms of unit sales. 

Also, MNC vendors are increasing their focus on the Indian market by roping in new partners and appointing local managers. Companies like Zebra and Printronix have already established their local presence while others like Intermec, Sato and Datamax operate actively through their channel network here. Of late, the market has also witnessed the entry of a number of Chinese players offering highly cost-competitive products.

These printers cost anywhere between Rs 25,000 and Rs 2.5 lakh. "We believe the current market size for these printers would be around 5,000-6,000 units a year of which Zebra alone would be commanding about 40-50% share," says Paul Garner-Evans, Territory Manager-Middle East and India, Zebra Technologies.

According to Paul, after China, India has become the most promising market for these products. "We work aggressively on
certain strategic accounts and in order to tap the immense opportunity in the country, will be appointing 2-3 partners within a month or so," reveals Liaquat Ali Khan, Business Development Manager, Printronix. This company has been in the country for over four years now but its only now that it is taking an active channel route.

For Printronix, its major business comes from the automobiles, white goods manufacturing and garment sector. 

"There is a growing awareness for such products. Further applications like ERP have been driving demand for these printers and also with import duties coming down, it has been contributing well to our overall business," says Kauser Ayaz, Director of Mumbai-based Scan Infotech, one of the leading channel partners in this space. 

However he emphasizes that companies trying to sell thermal printers have to take a solution-centric approach, as pure box sell doesn't fetch high returns. "Even consumables for these printers make up for a good revenue source as users can't procure them from any other shop unlike in the case of normal laser or inkjet printers," he remarks.

GOLDIE

MUMBAI