Rick Aasen

Equipment sales being a complex business model, it's the distribution system, or lack thereof, that stands in the way of high-end presses and other equipment being sold on the Internet, according to Rick Aasen, president and owner of United Graphics, a printing press dealer in Dallas.

"There would have to be a major investment into a base of service installers, warranty service, and parts availability in regional areas before a printing press manufacturer would sell through an Internet-type of situation," Aasen says."That type of equipment is not a commodity.You can't just take it out of the box and set it up."

Still, Aasen doesn't believe it's impossible.At a seminar he attended last year, he says he was also the only dealer present that viewed the Internet as being potentially dangerous to his business.

"Fifteen years ago, the only thing a printer knew generally is what his salesman knew.But today, prospective customers buying a million-dollar piece of equipment can go on the Internet and find out about that press from the manufacturer's Web site," he notes.

"The printer," he adds, "is in a much better position to negotiate a lower price because he knows what else is out there."

With margins already down in some equipment and supply sales segments, Aasen says he definitely feels the effects of Internet-savvy shopping.

"Even though it's good for the consumer to be well informed," Aasen explains, "the Internet is a ‘necessary good evil' because it's hurting dealers."

While he's not concerned about one provider entering the market and taking his business away, he is worried that he won't be able to provide the level of support and service he provides now.

"I can't afford to have experts on staff with what I'm selling my equipment for right now.It is more difficult to sell a new concept or new machine, and it's even more difficult to sell it at a reasonable profit," says Aasen.

Following the lead of Heidelberg, more manufacturers may sell direct to the customer as they evaluate how the Internet enables them to reach end users.For instance, at this year's Print 01 show, prepress supplier Fujifilm announced sales of its products through its myfujifilm.com Web site.Prior to this, the site focused on services that allow customers to transfer and preflight files, review proofs and manage digital assets.

While Fujifilm hopes to maintain its dealer relationships, the existence of manufacturer-direct sales online will likely force dealers to forge stronger, better relationships."All businesses should be looking at operations and evaluating whether a salesperson or a dealer is bringing value to the process.

Equipment sales being a complex business model, it's the distribution system, or lack thereof, that stands in the way of high-end presses and other equipment being sold on the Internet, according to Rick Aasen, president and owner of United Graphics, a printing press dealer in Dallas.

"There would have to be a major investment into a base of service installers, warranty service, and parts availability in regional areas before a printing press manufacturer would sell through an Internet-type of situation," Aasen says."That type of equipment is not a commodity.You can't just take it out of the box and set it up."

Still, Aasen doesn't believe it's impossible.At a seminar he attended last year, he says he was also the only dealer present that viewed the Internet as being potentially dangerous to his business.

"Fifteen years ago, the only thing a printer knew generally is what his salesman knew.But today, prospective customers buying a million-dollar piece of equipment can go on the Internet and find out about that press from the manufacturer's Web site," he notes.

"The printer," he adds, "is in a much better position to negotiate a lower price because he knows what else is out there."

With margins already down in some equipment and supply sales segments, Aasen says he definitely feels the effects of Internet-savvy shopping.

"Even though it's good for the consumer to be well informed," Aasen explains, "the Internet is a 'necessary good evil' because it's hurting dealers."

While he's not concerned about one provider entering the market and taking his business away, he is worried that he won't be able to provide the level of support and service he provides now.

"I can't afford to have experts on staff with what I'm selling my equipment for right now.It is more difficult to sell a new concept or new machine, and it's even more difficult to sell it at a reasonable profit," says Aasen.

Equipment sales being a complex business model , it's the distribution system , or lack thereof , that stands in the way of high-end presses and other equipment being sold on the Internet , according to Rick Aasen , president and owner of United Graphics , a printing press dealer in Dallas.

There would have to be a major investment into a base of service installers , warranty service , and parts availability in regional areas before a printing press manufacturer would sell through an Internet-type of situation , Aasen says.That type of equipment is not a commodity.You can't just take it out of the box and set it up..

Still , Aasen doesn't believe it's impossible.At a seminar he attended last year , he says he was also the only dealer present that viewed the Internet as being potentially dangerous to his business.

Fifteen years ago , the only thing a printer knew generally is what his salesman knew.But today , prospective customers buying a million-dollar piece of equipment can go on the Internet and find out about that press from the manufacturer's Web site , he notes.

The printer , he adds , is in a much better position to negotiate a lower price because he knows what else is out there..

With margins already down in some equipment and supply sales segments , Aasen says he definitely feels the effects of Internet-savvy shopping.

Even though it's good for the consumer to be well informed , Aasen explains , the Internet is a ‘necessary good evil' because it's hurting dealers..

While he's not concerned about one provider entering the market and taking his business away , he is worried that he won't be able to provide the level of support and service he provides now.

I can't afford to have experts on staff with what I'm selling my equipment for right now.It is more difficult to sell a new concept or new machine , and it's even more difficult to sell it at a reasonable profit , says Aasen.

Following the lead of Heidelberg , more manufacturers may sell direct to the customer as they evaluate how the Internet enables them to reach end users.For instance , at this year's Print 01 show , prepress supplier Fujifilm announced sales of its products through its myfujifilm.com Web site.Prior to this , the site focused on services that allow customers to transfer and preflight files , review proofs and manage digital assets.

While Fujifilm hopes to maintain its dealer relationships , the existence of manufacturer-direct sales online will likely force dealers to forge stronger , better relationships.All businesses should be looking at operations and evaluating whether a salesperson or a dealer is bringing value to the process.

Richard Aasen(214) 923-6769 (Cell)rick@ugetexas.com