The national accounts arena represents an area of particular promise for IKON. The core target of this market is the Fortune 500 and large global and private companies—organizations of enormous scale, in diverse locations, with complex document needs. IKON is among a small circle of competitors that can serve this customer profile effectively, and its advantages to a national organization are considerable: a team of service professionals 7,000 strong, one of the broadest product portfolios in the business, and robust on-site and off-site managed services and professional services capabilities. In fact, this is a combination no single rival can equal. Yet historically, IKON’s penetration of the national accounts market has been relatively modest, leaving the potential for significant gains.

IKON is moving forcefully to win new market share in this segment through its National Account Program and is experiencing real success. At the end of Fiscal 2004, national accounts totaled 165, up from just 16 three years ago, producing a revenue increase from new contracts of 87 percent over 2003. A team of more than 40 IKON national account representatives focuses on this area, employing a strategic approach. This means profiling each organization’s needs, size, and buying criteria and developing responsive solutions. One national account case study after another shows IKON achieving cost savings on behalf of its customers by rationalizing their equipment fleets and document processes. In most cases, these solutions are multidimensional—including some combination of hardware, software, and/or managed services. Furthermore, these relationships often grow over time, as IKON builds on its success to expand into new services and new branches of the organization. Although the sales cycle for national accounts can be long, the reward is proportionally great.

Case Study: Hallmark Cards, Inc.

IKON’s partnership with Hallmark started at the company’s Kansas City headquarters, where IKON supports a range of needs, including a heavy focus on creative color. It has now grown to include many of Hallmark’s more than 4,000 Hallmark Gold Crown® stores, as well as subsidiaries such as Hallmark Canada, Hallmark Entertainment, and Binney & Smith, the maker of Crayola® crayons. In the case of these subsidiaries, Hallmark chose IKON to replace several incumbent vendors, attracted by the advantages of doing business with a single national partner, and benefiting from solutions ranging from equipment fleet management to on-site managed services.



National Account Growth

The success of IKON’s National Account Program is clear in the growing number of accounts won and held.



Case Study: Ingram Micro

As the world’s largest technology distributor, marketing hundreds of thousands of IT products from nearly 1,400 suppliers, Ingram Micro is a sizable enterprise with significant document needs. IKON won the opportunity to meet these needs in the U.S. with a solution that is expected to save the company over 30% annually on document-related costs. IKON’s plan replaces stand-alone printers and faxes with digital multifunction products at nine major administrative and distribution facilities nationwide. This plan is helping Ingram move from a ratio of one device per every two employees, to one for every eight—without sacrificing end-user satisfaction.

Case Study: National City Corporation

As one of the nation’s largest financial holding companies, with assets of more than $130 billion, National City Corporation needs a document services provider with the ability to support a large fleet of devices over a broad geography. IKON is not only delivering this capability for National City, but also some extremely valuable strategic insights. Based on a comprehensive assessment of the organization’s document needs, IKON developed an output strategy for National City that is reducing a fleet of 12,000 printers and copiers to 3,500 networked multifunction devices, with the potential for annual savings in the millions.