[pure-silver] Re: Freestyle EDU Film To Be Discontinued
- From: Dave Hornford <Dave.Hornford@xxxxxxxxxxxxxxxxxxxxxx>
- To: pure-silver@xxxxxxxxxxxxx
- Date: Sat, 05 Feb 2005 10:50:28 -0700
Nick Zentena wrote:
>On Saturday 05 February 2005 12:00, Dave Hornford wrote:
>
>
>
>>Apparently Forte was selling the knock-offs to keep volume up (they seem
>>to have minimum buys of inputs or minimum production runs). Alas,
>>selling at or about cost of production doesn't leave money on the table
>>to pay the corporations other bills.
>>
>>
>
> The problem is the other choice is to throw out the extra product. Or to
>not make any product at all.
>
>
>
>
>>while ago). Only having spot shortages months after both stopped/cut
>>production tells us that there was a massive product oversupply.
>>
>>
>
> Ilford IIRC was shut down for about 1 week. Not very long.
>
>
>
>>Kodak seems to have had both the financial reserves to meet this as well
>>as a better understanding of sales into & out-of the channel (as a
>>manufactuer you need to know both what your distribution channel is
>>buying & selling lest you get caught with a quarter or two of inventory
>>in the channel. Kodak's financial reports talked about paper & chemicals
>>being de-stocked in the channel (firms that would order 20 cases and
>>keep 20 in inventory were ordering 10 with an eye to keeping 5-15 in
>>inventory) They also seem not to have gotten into the game of knock-offs.
>>
>>Agfa seems to have followed Kodak, as well as having to make a
>>transition as part of a larger firm to a managmenet buy-out of the
>>photographic didvision.
>>
>>
>
> Agfa is pretty big in the private label C-41 film. I think they also
> supply
>master rolls to others for cutting. Tura? Kodak last year announced they
>intended to enter the private label consumer film market. It's only a short
>step from that to private label B&W products.
>
>Nick
>
>
One of my favorite lines is 'Often there isn't a good choice, just a
least worst one'.
IIRC after re-starting production Ilford did not resume full production.
IIRC the C-41 market is between 75-100x larger than the B&W market. It
is also declining, but not at the rate of B&W. In Kodak's financials
they talk about margin pressure in consumer colour as the industrial
world shifts to digital and colour film use in the developing world (pun
intended) increases. I missed Kodak's private label announcement.
To be clear there is a huge difference making film/paper for someone
else to their spec and selling your film/paper compositions under a
knock-off label. Knock-off brands can readily canabalise your branded sales.
Dave
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