The printing drain… 60% of SMBs rely on printing 50% say colour volumes growing 60% say consumables expenditure growing

© 2013 Quocirca Ltd 2 Top printing challenges Quocirca 2012 SMB MPS study: 150 organisations across UK, France, Germany

© 2013 Quocirca Ltd 3 The changing IT landscape Mobility/BYOD Cloud Security Digital workflow

© 2013 Quocirca Ltd 4 Mobile printing What is your level of interest in mobile print capabilities (i.e. printing from smartphones or tablets e.g. Android, BlackBerry, iOS)

© 2013 Quocirca Ltd 5 Security…low priority Quocirca Print Security Study, 2012 What is your level of concern of the risk of data leakage via the following: (1= not at all concerned to 5= very concerned )

© 2013 Quocirca Ltd 6 Security Quocirca Print Security Study, 2012 Has your organisation experienced an ACCIDENTAL confidential data breach through printing in the past two years ?

© 2013 Quocirca Ltd 7 The less-paper office 60% of SMBs want to reduce paper usage Rules based printing Document workflow “Pull” printing

© 2013 Quocirca Ltd 8 MFPs: smart and personal Transactional capture – business process under a button…. Managed Print Service

© 2013 Quocirca Ltd 9 MPS ADOPTION

© 2013 Quocirca Ltd 10 What is Managed Print Services (MPS) SMBs remain reliant on printing… “ the assessment, optimisation and proactive, on-going management of the print environment by an external provider ”

© 2013 Quocirca Ltd 11 Multiple suppliers THE OLD WAY X Multiple service contracts THE NEW WAY Ad-hoc supplies purchasing SMBs lack time and resources

© 2013 Quocirca Ltd 12 MPS approaches SMBs remain reliant on printing… Basic Hardware, supplies and service Vendor’s own brand Small fleets Minimal investment for reseller Full MPS Assessment and design Hardware, supplies and service Large, mixed fleets Some investment Audit tools, training

© 2013 Quocirca Ltd 13 Rewards Scope of MPS agreement Complete outsourcing of all devices, planning and design with end-to-end service level management Model 2 Model 3 MPS maturity model Out-tasked services with specific service levels (MPS) Full outsourcing of all devices, planning and design with end-to-end service level management (MDS) Cost and risk reduction Basic Enterprise Midmarket SMB Model 1 Break/Fix Service Contract

© 2013 Quocirca Ltd 14 Awareness low amongst small SMBs… How knowledgeable are you on the topic of managed print services (MPS)? Quocirca 2012 SMB MPS study: 150 organisations across UK, France, Germany

© 2013 Quocirca Ltd 15 The MPS opportunity Midmarket opportunity Full MPS SMB opportunity: Basic MPS

© 2013 Quocirca Ltd 16 Cost is the top MPS driver How important would the following be in motivating the use of a managed print service? (Rated important or very important) Quocirca 2012 SMB MPS study: 150 organisations across UK, France, Germany

© 2013 Quocirca Ltd 17 Service quality is most highly rated SMBs remain reliant on printing… If entering into a MPS agreement what would be the three most important aspects?

© 2013 Quocirca Ltd 18 COMPETITIVE LANDSCAPE

© 2013 Quocirca Ltd 19 Market summary Strong vendor participation Solutions emerging as key differentiator Managed IT services opportunity

© 2013 Quocirca Ltd 20 Quocirca MPS vendor landscape MPS Landscape Basic Services Value Services Enterprise servicesBusiness Process Services ChannelChannel DirectDirect

© 2013 Quocirca Ltd 21 Quocirca MPS vendor landscape SMBs remain reliant on printing… * Customer base: Please note that enterprise customer figures and estimated devices under management have been considered when determining customer base bubble size. Market presence VERY STRONG Completeness of offering Xerox (+) LOW Market leaders HP (+) Lexmark (+) Ricoh (+) Konica Minolta (+) WEAK VERY STRONG Canon (+) Strong performers Kyocera (+) Customer base * Contenders Other vendors

© 2013 Quocirca Ltd 22 Quocirca Channel MPS landscape Breadth and depth of offering Strategy Low High Strong Weak Document workflow Mobility Security

© 2013 Quocirca Ltd 23 Quocirca MPS vendor landscape * Customer base: Please note that enterprise customer figures and estimated devices under management have been considered when determining customer base bubble size. Xerox differentiators Strong depth and breadth of offering Multivendor support Modular approach Solutions – cloud, mobility, workflow Flexible tools for channel Quocirca Strong Rating Completeness of Offering Quocirca Strong Rating Completeness of Offering

© 2013 Quocirca Ltd 24 The channel must evolve * Customer base: Please note that enterprise customer figures and estimated devices under management have been considered when determining customer base bubble size. Hardware Services and solutions Service contracts