After a strong start to the hardcopy market in the first half of 2021 the initial signs of supply chain issues finally came to light in 3Q21 as the market contracted by 21,5% compared with a year ago as most brands simply didn’t have enough inventory to fulfill orders.
According to research by International Data Corporation (IDC), the Western European printer and multifunction (MFP) market stood at 4,07-million units in 3Q21 compared with 5,19=million a year ago.
The major product segments of inkjet and laser both made double-digit declines as manufacturing constraints, logistical issues, and high demand in the first half of 2021 meant that few brands could supply all the required hardware and supplies to their channel partners and customers.
The overall inkjet segment declined by 19,5%, with business and consumer markets suffering from a lack of supply, but not all brands saw declines and those that had sufficient stocks captured more share of the market.
The overall laser segment contracted by 27,1% and all areas of the A4 and A3, monochrome and colour, and printer and MFP market declined by double-digit figures. This means that most gains seen in 1H21 were wiped out; as with the inkjet market, however, there were some successful brands that had inventory to take over some accounts.
“Increased demand for home working and education print devices because of the pandemic has now come to an expected end as supply chain issues have led to many orders being unfulfilled, and this is likely to continue for the rest of 2021 and for some it will continue into 2022,” says Phil Sargeant, program director: Western European Imaging, Hardware Devices, and Document Solutions group at IDC. “Most brands are suffering from inventory issues and this ultimately affects revenues and profits, with some feeling the effects more than others.
Main highlights of the quarter are:
* The overall Western European hardcopy market declined 21,5% year on year in 3Q21; shipments were at 4,07-million units.
* The 2Q21 market value in Europe declined by 16,1% to €1,53-billion.
* Inkjet shipments declined 19,5% in 3Q21; consumer inkjets declined by 19,9% and business inkjets by 16,1%.
* Laser shipments declined by 27,1% for the quarter; all segments of the market declined.
* SDM shipments decreased by 16,9% in 3Q21; this remains a market in decline.