•The objective of the study was to ascertain the effectiveness of creating Original Ink Centers in Delhi. •The internship dealt with Channel Sales, Consumer System Product Division •Covered 24 locations in Delhi market and met 105 partners of Canon •Extracted, Analyzed, Summarized and Interpreted data from the database.

1. Devyanee Kaushal
BBM 5th semester
147508

2. I. Chapter 1
-Introduction
-Approach
II. Chapter 2
-Objective
-Literature Review
-Methodology
-Data Collection
-Analysis and Interpretation
-Recommendations
-Conclusion
III. References

5. (Monteiro,2013,p.221)The print consumables market
in India has grown significantly over the last decade
alongside the printer market. The consumables
market depends directly on the number of printers
installed and profitability for vendors in consumables
is comparatively more than in selling printers. The
Indian market is price sensitive. The overall running
cost of a printer is an important factor for printer
buyers, which not only includes the one-time
purchase cost of a printer, but also the cost of
consumables used over the printer’s life. The market
potential for Compatible Cartridges is good due to
high cost of OEM Cartridges; Low quality refilled
cartridges and remanufactured cartridges. However,
compatible cartridge brands are losing out in highly
fragmented market due to presence of numerous refill
outlets, local remanufactured brands, Chinese
cartridges, fake cartridges and grey markets.
Moreover, The OEM Brands are discouraging the use
of non-OEM cartridges through several awareness
campaigns and change in warranty terms.

6. (Kumar N. ,2013)In 2010, Epson started
their campaign ‘thINK’ under which high
quality ink cartridges were made available
to customers at affordable prices. Canon’s
‘Original Ink Center’ (OIC) program was
introduced to provide genuine Canon
consumables at one-stop retail outlets.
Canon also successfully launched their
campaign ‘Gelling the Genie’ which aimed
at doubling Canon’s partner base for
selling genuine consumables. HP
introduced the BCP (Best Choice
Portfolio) program, aimed at addressing
the specific printing needs of different
industry verticals. For commercial
customers HP launched the MVC (Most
Valuable Customer) program offering
special services. Samsung has also
increased the number of their channel
partners for sales of consumables over a
period of time

8. Sample size: There are approximately above 300 partners in Delhi
out of which I visited 105 partners and covered 27 locations. Out of
105, 72 were OICs and I could identify 25 prospective OICs.
Scope of the research: The research was confined to Delhi which
was the representation of the Northern marketplace. As a researcher I
believe that the dealer perception and consumer behavior is same for
this product segment.
Sample Design: Stratified sampling technique was used to segment
the Delhi region into North Delhi, South Delhi, East Delhi, West Delhi
and Central Delhi. It was followed by convenience sampling as per
the geographical approachability. The contact details and addresses
of the partners were provided to me from the company’s database.

9. A one-stop-shop for all original
Canon consumables

10. •Wazirpur (8)
•Connaught Place (5)
•Nai Sarak (4)
•Chandani Chowk (2)
•Darya Ganj(3)
•Shakarpur(5)
•Krishna Nagar(3)
•Mayur Vihar(3)
•Vikas Marg(2)
•Laxmi Nagar(1)
•Nehru Place(29)
•Lajpat Nagar(7)
•Malviya Nagar(2)
•Bikaji Cama Place(2)
•Kailash Colony (2)
•Kalkaji(2)
•Hauz Khaz(1)
•Janak Puri (12)
•Ranjeet Nagar (3)
•Paschim Puri(3)
•Rajouri Garden(3)
•Uttam Nagar(1)
•Delhi Cantt. (1)
•Dwarka (1)
NORTH DELHI (8)
WEST DELHI(24) EAST DELHI (14)
SOUTH DELHI (45)
CENTRAL DELHI (14)

11. Data Collection
Secondary Data: This data source comprises of recorded data and
observable data such as company’s website and partners’ database.
Primary Data: This data was collected with the help of a structured
questionnaire, in depth interviews with the channel members and
self observation of business establishments of elite Partners, T2
partners and retailers of printer consumables.
Data Analysis: Quantitative analysis is done through graphs (Bar
graph, Pie Chart). Also, Qualitative analysis is done using the
observation, attitude of respondents and situations experienced
during research.

12. Original Ink Center Questionnaire

14. Analysis
and
Interpretation

15. YES
NO
31%
69%
Figure1: Registration Status

16. 0
20
40
60
80
100
93.33 %
4.76 %
YES
NO
Figure 2: Sellers of Canon consumables

17. 0
20
40
60
80 55 %
67%
34%
JMD(54)
VIKEL(66)
CHANNEL(34)
•Datalinkers
•Revolution Sales India
•Modcare Enterprises
•Bansal Sales Corporation
Major Channel Dealers
Figure 3: Source of printer consumables

18. 40.81%
59.18%
Market's Demand
Maintains Stock
Figure 4: Basis of making purchase order

19. KNOW THE
BENEFITS
OF BEING
AN OIC
A CANON
PERSONNEL
MUST MAKE
OFTEN
VISITS
~Ron Johnson
PRICING
AND
SCHEMES
SHOULD BE
CLEAR

20. 65%
32%
YES
NO
Do the
dealers
know the
benefits of
being an
OIC ?
Figure 5: Awareness about benefits of being an OIC

21. 67%
31%
YES
NO
Are the
pricings and
schemes clear
to the dealers?
Figure 6: Awareness about prices and schemes

22. 0
10
20
30
40
50
60
70
80
YES NO
74%
26%
Is Canon
personnel
making
often visits
to meet
dealers?
Figure 7: Visits by Canon personnel

23. 0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
98.04
52.0
30.4 28.4
18.6
10.8 9.8 7.8 7.8 7.8 6.9 5.8
HP EPSON SAMSUNG BROTHER RICOH XEROX
PANASONIC PRODOT QSERA KONIKA HITI DELL
PercentageofDealers
sellingabrand
COMPETITORS
Stands at the 2nd position with
93% of partners selling Canon
consumables
Figure 8: Competitors

25. •Prices of Ink Cartridges are high.
•Prices are revised quite frequently.

26. HP has provided almost all its partners with a scroll like certificate.

27. •Many dealers require certificate for
making the customers believe that they
sell genuine products.
•Dealers require a certificate for applying
for a tender as the Government asks for it.

28. ITEM DISCOUNT
RATE
Toner 10%
Ink Cartridges 6%-8%
Ink Bottles 6%
•Higher discount rates are available in the market.
•Toners are available at 12 % discount in the open market.
Table 1:
Discount rates after being an OIC

29. •Partners find the process of scanning and uploading the bills very time
consuming.
•Some partners who do small scale business do not operate computers
or/and do not know how to use internet.
•Many partners do not get their purchase of consumables billed from
Delhi distributors, thus , they cannot become an OIC even if they are
providing original consumables and maintaining stock

30. Chandani Chowk Nehru Place Janakpuri

31. Malviya Nagar
Hauz Khaz
Mayur Vihar
Lajpat Nagar
Kalkaji
Kailash Colony
Krishna Nagar
Dwarka
•Some partners said that Canon does not help in
Promotion.
•At times the partners are not even aware about
the new launch of the products and schemes.
•Once in a month the sales personnel goes to the
partner and handover a pile of brochures .

32. Promotion should be aggressive
It is not that the prices are excessively high but the demand of the Canon
consumables is comparatively less as compared to HP and Epson in product
types like Ink Cartridges and Ink Bottles respectively .
Authorization Letter should be provided.
Having an authorization letter is one of the benefits of being an OIC and the sight
of the certificate clears the doubt of the customers that whether they are buying
original products or not.

33. Communication of Benefits
To overcome the situation of partners purchasing goods from channel or outside
Delhi to some extent, the benefits of purchasing directly from the Authorized
Distributors must be well communicated to the partners.
Technical assistance should be readily offered to the
partners who need it / create a mobile app.
There are certain partners who do small scale business and do not operate
computer ,therefore, such partners must be supported in the process of scanning
and uploading bills before they themselves ask for it.
Mobiles are easily available with all the partner, thus, an application which
facilitates scanning and uploading ( like CamScanner) can be developed.

34. Let Canon be more visible
Canon OIC boards can be smaller but should not be in a not so visible corner.
Smart
Computers
at
Krishna
Nagar

35. If the demand will increase, Canon
consumables can also occupy the
shelfspace in the middle area of the
racks and in the front showcases.

36. Closer ties with Partners
Backbone of Channel Marketing
•Some partners said that every time they get to see a new face from Canon. A
person designated for an area should be well known to the partner and should
try to improve the quality of the relationship between the partner and the
company through:-
Continuity in Relationships
Approachability
Share gain as well as pain
Constant communication

37. CONCLUSION
•Canon stands at the second position in the consumables market after HP.
•The OIC initiative will help further to rise as it will boost the demand and also strengthen
the channel network.
•To maintain profitability, partners have enhanced their focus on creating demand for
consumables and this opportunity has been recently grab a hold of by Canon.
•Canon has presently launched around 160 OICs ( Highest in India).
•It will also counter the problem of refilling because of proper information and easy
availability of original consumables.
•It is a significant step which will yield long-term benefits to the company, partners and
customers

38. Media Pvt. Ltd. (2008, February 19). Canon launch Original Ink Centres in
India. Retrieved from moneycontrol.com:
http://m.moneycontrol.com/news/business/canon-launch-original-ink-
centresindia_326910.html?type=business&category=business
Kumar, N. (2013, January 11). Printers: Affordable consumables the enduring
mantra for success and leadership in the India market. Retrieved from CMR:
Insights Powered by Research: http://cmrindia.com/printers-affordable-
consumables-the-enduring-mantra-for-success-and-leadership-in-the-india-
market/
Monteiro, M. (2013). Study of Compatible Toners Market. Mysore: The SDM
Institute for Management Development.