The price of 3D printing machines has decreased primarily because of heavy competition among suppliers and from rising imports
Los Angeles, CA (PRWEB) December 09, 2014
3D printing machines have a buyer power score of 4.0 out of 5. According to IBISWorld analyst Jeffrey Cohen, this score indicates that buyers have more power than suppliers during negotiations, primarily due to competition among suppliers in this market. During the three years to 2014, manufacturing costs for suppliers have declined due to advancements in technology and lower input costs. Chinese imports have also penetrated the US market and were sold at a cheaper price than US products, thereby prompting domestic suppliers to lower the cost of their 3D printers. Furthermore, low market share concentration boosts buying power by fueling competition among suppliers. Market suppliers include 3D Systems Corporation, Stratasys Inc. and Renishaw PLC.
The decline in the average price of 3D printing machines during the past three years came as the economy showed signs of recovery. After the recession, corporate profit increased, which caused key buyers to increase demand for 3D printing machines. As these products became more widespread throughout several US industries, suppliers reduced prices to remain competitive, benefiting buyers. Although the low availability of substitutes for 3D printing machines hurts buyer power by limiting their supplier options, low market share concentration offsets this negative effect by prompting suppliers to compete fiercely with one another and negotiate favorable prices with buyers, continues Cohen.
As the 3D printing machines market continues to grow over the coming years, suppliers are anticipated to continue pricing their products competitively. Therefore, buyer negotiation power is forecast to increase due to the willingness of suppliers to negotiate prices to attract new business and retain existing customers. For more information, visit IBISWorld’s 3D Printing Machines procurement category market research report page.
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IBISWorld Procurement Report Key Topics
This report is intended to assist buyers of 3D printing machines. 3D printing is a form of additive manufacturing technology in which a three-dimensional object is created from a digital design through the accumulation of successive layers of material.
Recent Price Trend
Product Life Cycle
Total Cost of Ownership
Supply Chain & Vendors
Supply Chain Dynamics
Supply Chain Risk
Market Share Concentration
Buying Lead Time
Key RFP Elements
Buyer Power Factors
About IBISWorld Inc.
IBISWorld is one of the world's leading publishers of business intelligence, specializing in Industry research and Procurement research. Since 1971, IBISWorld has provided thoroughly researched, accurate and current business information. With an extensive online portfolio, valued for its depth and scope, IBISWorld’s procurement research reports equip clients with the insight necessary to make better purchasing decisions, faster. Headquartered in Los Angeles, IBISWorld Procurement serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.