Talk about the challenges partners face in the wake of the omni-channel dynamic.
We have talked about the transformation of omni-channel and how the marketplace is changing and how new players are entering into the commercial landscape. The message to this partner community is you have to think of how you grow by protecting your current business and then grow with new business.
If you continue to operate in a transactional mode, your business is going to be at risk and it will be commoditized. Partners must transform processes and train your people so you can have a bifurcated model where you can absolutely operate transactional but move and shift to a contractual model, whether that is DaaS or MPS or Instant Ink in the consumer world. It is all about how do you do that and why.
Obviously, there is significant growth in services with higher ASPs and margins when you move from transactional to contractual and then you lock that customer in and take away the competitive threat from a low-priced leader.