In late 2012, Photoshelter surveyed around 5,000 photographers to find out the industries outlook on 2013. Some of the findings were pretty interesting.
The chart above shows the top challenges the photographers think they’ll face in 2013. Only 10% of those who responded were worried about gear-related issues. People don’t seem to be having a hard time finding the right equipment to use for their shoots — it’s the business-side of the photography business that’s weighing photogs down.
Over the last year, almost every time we’ve heard the word “acquisition” it’s been preceded by the word, or rather company, Shutterfly. That’s because Shutterfly has been very busy buying up companies and galleries and, fortunately for users, putting them to work in real ways.
It was less than two weeks ago that the new Shutterfly Mobile app was announced, a result of its Penguin Digital acquisition. And now, in time to steal a little bit of thunder from all of the CES rumors, sources claim that the photo storage and sharing site is acquiring yet another start-up. Read more…
‘Tis the season of mergers, acquisitions, and investments. At around the same time Adobe announced its acquisition of Behance yesterday, Taiwanese gadget manufacturer Foxconn (officially known as Hon Hai Precision) announced that it has snatched up 8.88% of GoPro for $200 million. The deal values the California-based action-camera maker at a whopping $2.25 billion.
In the world of cloud data storage, Dropbox is one of the 800lb gorillas fighting for your files. In recent days, it has been making big moves to become more of a player in photo storage and sharing. After all, everyone needs a safe place to keep their digital images, right?
The company’s latest play came today in the form of an acquisition: Dropbox has acquired fellow cloud-storage company Snapjoy — a business based around aggregating photos from around the web and from your various devices.
Ever since Facebook acquired Instagram for a ridiculous sum of money earlier this year, people have been expecting the social media goliath to ruin it in one way or another. That’s because while the small team behind Instagram may have been happy with just the fame part of fame and fortune, a company like Facebook is used to getting both.
Admittedly, so far the downsides of the acquisition have been few and far between. Instagram is growing like gangbusters and it seems Facebook is trying to stay hands off when it comes to its handling of the service. Really the only downside has been the removal of Twitter integration. But, of course, the meddling has to start sometime, and according to Business Insider that moment isn’t far off.
In yet another business move no doubt influenced by the rise of the all-mighty smartphone camera, a “source familiar with the plan” has told Reuters that Panasonic aims to sell camera and battery manufacturer Sanyo to a Japanese equity fund by the end of March.
Over the last couple of months, a political skirmish between Japan and China over the ownership of a set of islands has caused anti-Japanese protests all across China, affecting many of the Japanese manufacturing facilities. Some companies — most notably Panasonic and Canon — were forced to shut down operations and evacuate their premises as a result of the violent protests. Things got so bad that Chinese photographers had to camouflage their Japanese-brand cameras with red tape and Chinese flags.
Despite the political atmosphere in the world’s most populous nation, Canon has China squarely in its sights as it plans its next moves for international expansion.
Christopher Bonanos, author of Instant: The Story of Polaroid, has authored a lengthy piece for the Washington Post on what Kodak — and whoever buys its film lines — can learn from the fall of Polaroid. The article offers some interesting facts about, and insights into, the film photography industry:
Yes, Polaroid and Kodak made hundreds of millions of cameras. But that was never their principal business: The hardware existed mostly to sell film. This is what business-school professors call the razor-blade model, pioneered by Gillette: The razor is sold at minimal profit or even given away, and the blades sell for years afterward at a healthy profit margin. Amazon does the same with the Kindle, selling it cheaply to encourage enthusiastic e-book buying.
More than anything else, Polaroid’s desire in the 1990s to keep film sales up and film factories humming was what killed the company. When it should’ve been diving into a variety of digital businesses, Polaroid doubled down on analog-film production, building new production equipment and trying to economize.
The business model Bonanos describes is also known as freebie marketing.
What Kodak could still learn from Polaroid [The Washington Post]
Image credit: razor blade by scottfeldstein
All good things come to an end. Bad ones do too. After denying rumors last month that it would soon be shutting down, the over-funded photo-sharing app Color has now announced that it will indeed be shuttering its service.
Respected stock market analysis website Seeking Alpha doesn’t think too highly of the way Kodak CEO Antonio M. Perez is leading the beleaguered photo company:
It would not be the first time that Mr. Perez, who became CEO of Kodak in 2005, has attempted to receive a large payment for his services to the detriment of his company. We had concerns about Kodak’s compensation policies in May 2010, when we noted practices such as Mr. Perez’s having amended (for the fourth time) his initial employment agreement and received an ad hoc award of 500,000 stock options at a low exercise price of $4.54 in October 2009 for “retention purposes.” Although Mr. Perez’s compensation decreased by around 55% year over year to $5.7 million in 2010, it remained grossly disproportionate compared to those of his subordinates, given that the median pay for Kodak’s other named executive officers was only $1.1 million. This suggests that Mr. Perez’s board – which he also chairs – allowed him so much freedom that he was able to prioritize his own interest ahead of his staff, customers and investors.
Earlier this month, Kodak was given permission to stop providing health and welfare benefits to tens of thousands of retirees. The move came just months after the company asked for permission to hand out $13.5 million in bonuses to 300 executives and employees.
Kodak’s CEO Prioritizes His Compensation Even Amid Bankruptcy [Seeking Alpha]