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  1. #1
    Banned
    Join Date
    Sep 2013
    Posts
    159

    Why a Free 3D Printer Sales Model Will Work

    Could anyone else envision a very near future in which 3D printers are free? Using the same basic model that smartphone carriers like Verizon and AT&T use, could 3d printer manufacturers eventually give away their printers in exchange for some sort of contract signing?

    For example, say HP came out with a Free 3D printer. What better way to explode into the 3d printing industry than giving their printers away. In exchange for the free printer, customers must sign a 3 year contract in which they pay $69 per month. That monthly fee is for a service which will be provided and will include the following 2 things:

    #1 Proprietary 3D Printer Filament
    Each months users will get 2 rolls of filament of their choice. Rolls could be 500 kg. The company can likely produce 2 rolls for under $6 in bulk, thus equating to a large profit margin.

    #2 Subscription To Quality Design Marketplace
    All contract signers will get exclusive access to a marketplace of free designs. These are the highest of quality that the carriers (Printer Manufacturers) could gradually build a library of, by rolling over a portion of their annual profits.

    The Math:
    This model would create an explosion of growth within the industry. At $69 per month, that would equate to $2484 per printer sold over the 3 year contract. Let's say that the monthly filament that the companies would give away (1 kg per month), would have a cost to the company of $6. That means over the course of the 3 year contract the cost to the carrier would be just $216. Now a Cubify Cube 3D printer costs $1300, and the brand new Makerbot Replicator costs $2900. Let's just say the average consumer based 3D printer will usually cost a customer $2100 (This is actually on the high side). This means that the printer companies would need to make about $2100 (normal printer sales price) + $216 (filament costs) = $2316.

    The Results:
    3D Printer manufacturers would thus be earning more money with the subscription model of giving away 3D printers for free, than they currently are now. Add in the fact that printer sales would likely grow by 200% overnight, this could be a windfall for whatever company decides to do it first. Add in additional sales of filaments, and higher level contracts, and profits could be staggering.

    Opinions?


  2. #2
    This could work, but I doubt it will happen. It would be just too difficult of a business model in my mind. There are people out there willing to pay thousands of dollars for printers, so I doubt companies like makerbot will change their models anytime soon.

  3. #3
    It would likely have to take a new comer in the industry to do this, someone with big pockets. Think a Google, Apple, HP, or even Verizon could perhaps do something like this, but as the above poster stated, it's not a simple business model. It would be fairly risky to venture into such a long term commitment.

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