In today’s world any industry of any size is likely to become hyper-competitive very quickly as innovation is at a fever pitch. As such every company is always seeking to claim it’s real estate and seek out blue oceans where it can operate competition free for maximum profitability. Sadly while working on this innovation they get stuck in the mire of competition and in so doing sink in their teeth to try and stay profitable while swimming in competition. 3D Printing is no exception to this hard business reality. As a young, but exploding industry new 3D printers are coming on the market nearly every month, some times every week and this is driving 3D Printer Prices down, down, down! How does a company stay competitive when the options are growing exponentially?
Monopolize 3D Printing Consumables
Like many industries, 3D Printing won’t be making their killing selling you the 3D printer because 3D Printer Prices will only fall more and more as time goes on. Rather in selling you the supplies to operate the 3D printer. You might recall a similar plight with cell phones in recent years. There’s some profit in the device, but the majority of the profits are in the service that make the device reach it’s full potential. Just like industries in the past 3D printing companies see the gold mine that exists in material supply. The problem is yet again competition drives down the materials cost. How does any company with such a problem react? By going proprietary of course! Then once they have you using their device, you’ll be forced to us their consumables. Perfect!
The Result of 3D Printing Material Monopolies
New 3D printing materials is a bright horizon for hobbyist and commerical users alike. However the barrier to entry is very high for the materials industry and since many 3D Printer manufacturers are locking you into their proprietary materials they dictate the material industry as well. This prevents new material manufacturers from developing new products as they cannot get the economies of scale needed to be competitive. Ulitimately this hurts the entire industry as it reduces diversity and development it what could be the next biggest innonvation in 3D printing, futuristic materials! Remember 3D Printer Prices may fall, but buying wisely will ensure you also enjoy affordable consumables too!