An unexpected jump in demand for ink supplies has caught Xerox unawares, with printing firms losing up to £20,000 in revenue through unfilled orders and lost business.
For printing brand Xerox, the holiday month is normally a time of relatively low demand for their ink and toner supplies. But this year they’ve encountered an unexpected jump in requests for their ink products, so great that they’ve been unable to meet their orders. A near-worldwide shortage of ink for the Xerox 700 press has forced firms around the globe to stop production on their presses. Not only have existing orders gone unfilled, but printing companies are turning away business, hence losing revenue of up to an estimated £20,000 according to a 11th December 09 report by Adam Hooker to Printweek.com. The shortage is affecting all Xerox customers outside Australia.
The shortage, which is affecting the Xerox 700 press in particular but other ink supplies too, was first reported by Printweek.com on the 8th. By this time though, customers may have been waiting for delivery of their ink supplies for up to 10 days. Xerox’s Vice President of Global Consumables Supply Chain Jim Brasser has acknowledged the problem, telling Printweek.com: “We are very much aware of the current, short-term situation concerning the supply of toner cartridges, resulting from growth in demand in certain situations.” Yet Brasser would not be drawn to discuss the exact details of the problem, nor how Xerox plan to speed up their deliveries.
Several printing companies have said they plan to extract compensation for lost revenue from Xerox. Speaking to Printweek.com, the Managing Director at Pro DM Solutions Martin Whetton complained that of the 10 toners requested in a 24th November order, only 2 had arrived by the 9th December. He said: "I would consider going after Xerox to cover our losses. I would hope that Xerox would offer compensation without the need for legal action,” estimating that the failure at Xerox has cost him £5,000 in lost income. Printweek.com spoke to 5 other printing firms who reported similar if not greater losses; some though are less concerned with exacting revenge upon Xerox than receiving their toner, so they can resume printing.
Mr Brasser was quick to emphasise that the shortage in toner supplies is only affecting a small percentage of Xerox supplies. He said: “"This is not a general shortage and only affects certain products. The vast majority of orders are being fulfilled within about a week, and we expect that pace to quicken.” Moreover, though printing firms in Europe, Asia and the US have been hit, Australia is exempt. Simon Lane of Fuji Xerox Australia told Proprint.com.au: “We have a sufficient supply of toner for the next 32-60 days which is in line with normal stock holding.’
Why the Australian market should remain unaffected is unclear, nor does Mr Lane speculate except to say that this sole wing of Xerox has been able to cope with increased demand. Elsewhere, though Xerox has offered assurances that “We aim to have the right amount of supply to satisfy demands,” as the European Head of Corporate Communications Kevin Perlmutter says, the worldwide shortage looks to continue.
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For printing brand Xerox, the holiday month is normally a time of relatively low demand for their ink and toner supplies. But this year they’ve encountered an unexpected jump in requests for their ink products, so great that they’ve been unable to meet their orders. A near-worldwide shortage of ink for the Xerox 700 press has forced firms around the globe to stop production on their presses. Not only have existing orders gone unfilled, but printing companies are turning away business, hence losing revenue of up to an estimated £20,000 according to a 11th December 09 report by Adam Hooker to Printweek.com. The shortage is affecting all Xerox customers outside Australia.
The shortage, which is affecting the Xerox 700 press in particular but other ink supplies too, was first reported by Printweek.com on the 8th. By this time though, customers may have been waiting for delivery of their ink supplies for up to 10 days. Xerox’s Vice President of Global Consumables Supply Chain Jim Brasser has acknowledged the problem, telling Printweek.com: “We are very much aware of the current, short-term situation concerning the supply of toner cartridges, resulting from growth in demand in certain situations.” Yet Brasser would not be drawn to discuss the exact details of the problem, nor how Xerox plan to speed up their deliveries.
Several printing companies have said they plan to extract compensation for lost revenue from Xerox. Speaking to Printweek.com, the Managing Director at Pro DM Solutions Martin Whetton complained that of the 10 toners requested in a 24th November order, only 2 had arrived by the 9th December. He said: "I would consider going after Xerox to cover our losses. I would hope that Xerox would offer compensation without the need for legal action,” estimating that the failure at Xerox has cost him £5,000 in lost income. Printweek.com spoke to 5 other printing firms who reported similar if not greater losses; some though are less concerned with exacting revenge upon Xerox than receiving their toner, so they can resume printing.
Mr Brasser was quick to emphasise that the shortage in toner supplies is only affecting a small percentage of Xerox supplies. He said: “"This is not a general shortage and only affects certain products. The vast majority of orders are being fulfilled within about a week, and we expect that pace to quicken.” Moreover, though printing firms in Europe, Asia and the US have been hit, Australia is exempt. Simon Lane of Fuji Xerox Australia told Proprint.com.au: “We have a sufficient supply of toner for the next 32-60 days which is in line with normal stock holding.’
Why the Australian market should remain unaffected is unclear, nor does Mr Lane speculate except to say that this sole wing of Xerox has been able to cope with increased demand. Elsewhere, though Xerox has offered assurances that “We aim to have the right amount of supply to satisfy demands,” as the European Head of Corporate Communications Kevin Perlmutter says, the worldwide shortage looks to continue.
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