I've noticed many posts lately on this and other lists about labs
discontinuing services due to the rise of digital. I think this is only an
excuse. Here's our local situation, in a market of about a half million.
(I'm talking about pro labs here, the whole subject of consumer and one hour
labs is another thing entirely)
Several years ago, we had four labs, now they are three. Of the four, one
specializes in weddings and portraits. The second specializes in commercial
and business accounts. The third once was the same, but more later. The
last, and the one that has closed (about 4 years ago) was once owned by
Kreonite, and was the place where new products were tested. Kreonite sold
it, and the owners never were able to operate profitably enough to support
the multiple investors. (remember, this lab wasn't started on a profit
making basis)
The lab that has changed was once a high end pro lab (although some will say
that the highest thing there was their self esteem). They did all kinds of
specialized work, and had a skilled staff. For example, several years ago,
they did a large duratrans for the Cowboy Hall of Fame in Oklahoma City. It
was publicized nationally as the largest photo ever printed, including the
famous Kodak display in NYC. They were never wildly profitable, due in some
part to too-frequent equipment purchases. They now have a new owner, who has
completely changed the business to cater to wedding and portrait pros. The
jury is still out, but rumor has it that business isn't good.
The volume wedding and protrait lab has been in business for at least 25
years, and continues to do well. For every pro that has gone digital, there
are plenty that continue to use film. they may be part-timers, or located in
smaller markets, or just competing on price, where a large investment in
almost disposable equipment doesn't make economic sense. (They do make
digital prints, as well, and volume is good there)
The lab I use is the commercial lab, in business for about 25 years as well.
They have dip and dunk machines for E6, C41, and b&w operating M-F, and do
machine prints from all sources optically (b&w on b&w paper), as well as
high quality hand prints from all. Many of his customers are pros, and many
are businesses. Certain areas of the business are down, but due to the
relocation of several corporate headquarters, not digital. He continues to
support himself adequately, probably more so when his daughter graduates
from college.
What's the common thread here? The changes in labs and their commercial
viability are more due to business plans and management, not digital. If a
lab owner is able to change with the times to serve his clientele, he will
be successful. When I hear of a lab in a major market that has discontinued
services or closed "due to digital," I think that there is more to the
story. Maybe they shouldn't have gone so long between running test strips or
cleaning a machine. Maybe they should have invested in a dip and dunk or
cine processor for their E6. If I were 21, I sure wouldn't start a career as
a wet lab owner, but to say that digital is running them out of business is
suspect.
Bill Pearce
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