THE U.S.
OFFICE MACHINES LEASING MARKET
(October 1999)
TABLE OF
CONTENTS
Introduction, Study Scope
& Methodology 1-4
Executive Overview of Major
Findings ($200) 5-34
*
Discussion of nature of office machine leasing, major industry characteristics
and
trends, study findings, key findings of
June 1999 ELA member survey (1998-99 sales
growth, major concerns, machines most often
leased), office machine distribution
channels, total industry size/rate of
equip. leasing in US, analysis of data from variety
of sources, estim. $ value of machine
mkts., by type machine (1980-2003F), $ value of
machines placed on lease (1980-2003F),
estim. annual receipts to leasing firms (1980-
2003F), analyses of major machine markets
(mkt. structure, distribution, competitors,
mkt. size/rate of leasing, emerging
technology, etc.) for… copiers, fax, dictation equip.,
mailroom machines, computer printers.
Nature of The Office Machine
Leasing Market ($50) 35-39
*
Discussion of the extent of office machine leasing in America, definition of
the 6
types of organizations performing leasing,
advantages to leasing vs. purchase, diversifi-
cation by lessors/involvement with other
equip., types of leases/equip. loans, list of
emerging new financing options being seen.
Office Machine Distribution
Channel Analysis ($75) 40-47
* Summary & analysis of office equip.
distributor channels, avg. sales, profits, product
lines and profile of BTA assn. members,
difference between: merchant
wholesalers, mfrs.
sales branches, agents-brokers - Census
data, why dealers see leasing as future source of
profits, relabelers, list of the top
office equip. wholesalers (address, revenues).
Company Profiles:
*
IKON Office Solutions
*
Danka Business Systems Plc
Results of
1999 Mail Survey of ELA Members Leasing Office Machines ($125) 48-57
*
Survey scope, and tabulations for the following:
-
1998 market growth and 1999 expectations for leasing revenues
- List of leasing companies” top concerns,
problems, issues related to office machines
- End-user revenues: percent of leasing sales
by type end-user/customer
- Type office machines leased most often (11
machines), ranked by percentage
- Percent of machine leases/rentals including
service/maintenance agreements
- Residuals: Percent of original equip. cost
machines sold for at end of: 3, 4, 5-year
leases, by 11 types of machines
- Percent of leasing business that is: fair
mkt. value, $ purchase, 10% purch. Option
- Percent of leases including a trade-up of an
existing lease.
- Future outlook: new financing methods
emerging
- Ancillary services expected to be offered to
customers in the future.
*
Samples of mail survey form and cover letter.
SELECT FINDINGS & TABLES FROM 1991-1998 E.L.A.
"Annual Surveys of Industry Activity
* Major findings of 1999
survey, leasing overall vs. leasing of office machines
Tables:
* Distribution of annual leasing volume, by office vs. other
equip: 1998 & 1997 -
avg. transaction size
* Distribution of annual leasing volume, by office vs. other
equip: 1998 & 1997 -
by dollar volume
* Chart: Distribution of annual volume by equip. type -
1998/1997, by transaction
sizes ($25,000-250,000, $250,000 to $5 mill., over $5
mill.)
* Composite ELA member income statement (banks, captives,
independent lessors):
1998, 1995
* Type of equipment under
operating lease (1991-1995)
* Type of equipment under direct
financing lease (1991-1995)
* Type of equipment under leveraged
lease (1991-1995)
* Types of equipment for brokerage
transactions (1991-1995)
* Assumed economic life, by type equipment (1994 & 1995 )
* Noncancelable lease terms & residual value booked, by type
equip. (1993-1995)
* Residual value recovered on matured leases, by type equip.
(1993-1995)
* Noncancelable lease terms, by type equip.
(1993-1995)
*
Discussion of scarcity of industry information, government Census data,
available state
data from 1997 Census (avg. receipts per
estab. For 7 states)
Table: Rate of business investment
in equip., equip. leasing value, market penetration
rate (1988-1999 E)
*
Discussion of trade assn. and competitor estimates
*
Varying definitions of lease receivables, bookings, revenues
Tables:
*
Estimated $ value of office machine mkts. (1980-2003F), for: all machines
total, copiers,
fax machines, mailroom mach., computer
printers, dictation equip., all other
Industry Size - Analysis of
Total Market Value, Growth, Overview
*
Summary of historical/forecast growth rates, by office machine
*
Estim. $ value of office machines placed on lease (portfolio value)
(1980-2003F)
*
Estim. actual yearly receipts to lessors, by type machine (1980-2003F)
*
Analysis of top 8 industry competitors (OEMs, distributors), estim. lease
revenues.
OFFICE MACHINES LEASING -
Individual Machine Market Analyses
The Copier Market ($175) 87-106
*
Summary and market characteristics, the shift from analog to digital
technology, analysis
of how copier mkt. is segmented, major
competitors and their distribution channels
*
Major mkt. trends - the move to “connectivity” and merging of machine functions
* Market size and growth
prospects, size of world copier mkt., historical copier shipments
Table: Estimated US copier sales:
1985-2003F
*
Analysis of copier segments (SOHO mkt., mid-range, high-end)-definition and
price of
machines, estd. share of total mkt. for
each segment in 1998.
*
Analysis of Xerox leasing revenues (captive mkt.)
* Copiers and leasing - extent of leasing
estd. by BTA assn. and other sources, how rentals
differ from leasing
Table: Estim. $ value of copiers
placed on lease, annual receipts to lessors (1985-2003F)
*
Discussion of cost-per-copy programs
*
Mkt. share of major copier manufacturers
* Company
Profiles: Xerox
Tables
- Domestic shipments of plain paper office
copiers ($, units) - 1980-2007F
- Office copy machine exports ($, units) -
1960-1996
- Office copy machine imports ($, units) -
1960-1996
- Domestic shipments of office copiers (US
mkt. consumption) - 1960-1988.
The Facsimile Machine Market ($100) 107-115
* Summary & discussion of installed base
of machines, penetration rate of Fortune 500
and business overall, market segments
(thermal vs. bubble/ink jet vs. plain paper machines),
effect of e-mail, virtual fax emergence.
* Key findings of “Annual Facsimile User
Survey” by Industry Analysts Inc. (share of
fax installations by company, where
machines are purchased, buyer decision factors)
* Market size and growth prospects,
4-year forecasts
* Fax machines and leasing
Tables:
* US mfr. Shipments & imports value, estd.
total mkt. incl. distributor mark-ups: 1991-2003
* Estimated Value of The U.S. Fax Machines Leasing Market -
national leasing portfolio
$ market value, estd. annual receipts to lessors: 1980-2003F
* U.S. mfrs. shipments & installed base of
fax machines, 1965-2007F (ITI data)
The Dictation Machine Market
($75) 116-122
* Summary & discussion, past CBEMA mkt.
size estimates, use by white collar work-
force, major competitors, mkt. segments
(desktop, portable, central systems), mkt. size
and imports, Dictaphone & Lanier
sales, rationale for mkt. estimates, distribution channels,
growing end-user segments, shift to
digital technology
* Market size and growth prospects,
imports, 4-year forecasts
* Dictating equipment and leasing
* Company
Profiles: Lanier Worldwide
Tables:
* Estimated Value of The
U.S. Dictation Equipment Leasing Market - national leasing
portfolio $ market value, estd. annual receipts to lessors: 1970-2003F
*
Domestic shipments of office dictation equip. (1960-2007 F), $, units, by type
& price
The Mailroom Machinery
Market ($100) 123-133
* Summary of 4 major market
segments, top competitors, mkt. size and growth, prices,
relative size of the major machine
segments in 1992…
*
mailing & letter handling machines
*
addressing machines
*
collating machines
*
forms handling machines
*
Status report of the mkt. and share of Pitney-Bowes
* Market size and growth prospects,
4-year forecasts
* Mailroom machines and leasing
* Company
Profiles: Pitney-Bowes, Bell & Howell
Tables:
*
Total $ value shipments: 1975-2003F
* Estimated Value of The
U.S. Mailroom Machines Leasing Market - national leasing portfolio
$ market value, estd. annual receipts to lessors: 1980-2003F
Company Profiles:
* Pitney Bowes
* Bell & Howell
The Computer Printer Market ($175) 134-148
* Discussion of impact vs. non-impact types,
laser, 5 main mkt. segments by price, major producers,
major distribution
channels, factory sales to dealers (1994-99), mkt. share by 7
distribution
channels
*
Discussion of problem estimating mkt. size - lack of data
*
Tables covering major mkt. segments and forecasted sales to 1998, for: dot
matrix, ink jet, laser, other types,
color printers by end-use, unit and dollar
sales (Computer Reseller News, Electronic Business, Elec. Buyers News,
other
sources).
The Computer Printer Market
*
Market size and growth prospects,
4-year forecasts - sales data from Dept. of Commerce.
ITI, summary and average of other sources’
estimates of mkt. size
*
Estimate of consumer/retail, sub-$1,000 printer segment NOT leased (NPD
Intelect data)
* Printers and leasing - discussion of major difference of opinion
about share of pritners
that are leased, estimates by ELA members
vs. OEMs.
* Company
Profiles: Hewlett-Packard
Tables:
* Estimated Value of The
U.S. computer printers Leasing Market - national leasing portfolio
$ mkt. value, estd. annual receipts to lessors: 1980-2003F
*
U.S. mfrs. Shipments (units, $) of printers (1975-2007 F est.)
All Other
Office Machine Markets ($50) 149-153
Check
Handling Machines
* Summary & discussion, definition of
machine types, end-users, exports & imports,
shift to electronic funds transfer and
cut-sheet documents
Table: $ and unit sales from
1975-1992
Paper
Shredders & Staplers
* Discussion & definition of machines
(strip-cut, cross-cut, and disintegrator type shredders),
major competitors, end usage, market size
& growth
Table: $ and unit sales:
1988-1992
Stapling
Machines
Table: $ and unit sales: 1989-1992
Time
Recorders & Stampers
* Summary - mechanical devices and trend
to more electronic machines, main uses,
major competitors,
imports, prices,
Marketdata est. of size/growth
Directory
of Equipment Leasing Assoc. Members That Leasing Machines ($75) 154-168
Reference Directory of
Industry Information Sources ($50)
169-172
*
Name, address, phone of industry trade associations, journals, experts, mkt.
research
firms