Maximizing operational efficiency and increasing customer loyalty
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1 Maximizing operational efficiency and increasing customer loyalty Don't let receipt paper cost you time and money An NCR White Paper Todd Lilley, Paper Roll Product Manager, Debora Jeske PhD, Paper Research Chemist
2 Are your direct thermal printer applications falling short of expectations? Ensure success with NCR certified paper and benefit from a lower total cost of printer ownership. Since the advent of direct thermal paper in the 1970 s, thermal paper impacts our daily lives as we pick up retail point-of-sale (POS) receipts, ATM receipts, movie theatre tickets, lottery tickets, ski-lift passes, gas pump receipts and pick-up slips at the dry cleaners. 2
3 The new face of the thermal paper market The thermal paper market remained stable for years, but today it is experiencing a period of change without precedent. Thermal paper raw materials are undergoing major change with the emergence of new direct thermal paper grades: Bisphenol A-free, Bisphenol-free, and phenol-free grades are being developed quickly to meet growing customer demand. Lower cost, lower quality papers from Eastern regions of the globe are entering the market. Difficult economic conditions resulting in higher costs are pushing thermal paper manufacturers to change processes and specifications to control their costs. 3
4 These changes can impact the quality of direct thermal receipts, resulting in the need for more frequent printer service and replacements. High quality paper is crucial for delivering system up-time and reliability. NCR has always focused on the total cost of printer ownership by qualifying thermal papers for use in printers using a rigorous certification process. Now, more than ever, it is important that printer and paper customers understand the importance of high quality receipt solutions. Using reduced cost, lower quality paper in your printers may meet your short term business objectives, but what about the long term? 4
5 Why are major changes in the thermal paper market provoking lower print quality and lower printer efficiency? 1 Is the quality of your direct thermal POS and ATM receipts being impacted? As consumer concern drives the demand for BPA-free, BP-free, and phenol-free direct thermal papers, paper manufacturers are scrambling to replace BPA, the color developer in their thermal coatings. Though some BPA-free papers have been around for several years and perform relatively well, NCR scientists have seen issues with some of the new BPA-free, BP-free and phenol-free grades which are not yet optimized. The chemical structure of the BPA alternatives behaves differently in the coatings, altering their melting and solidification behavior. Tacky black imaged coating or clear binder can adhere to the print head if the coating is not solid or not well-attached to the base paper. 5
6 2 Cost reduction initiatives impact end use performance of thermal papers In a difficult economic environment where raw material prices are rising, thermal paper manufacturers are modifying their processes and changing their thermal coating formulations to control their costs and preserve their margins. Changing the type of coating dryers, the coater dryer temperature or the distance to the first dryer, may increase imaged coating build-up on the print head. Reducing wax content in the coatings can affect the paper imaging capability and performance. Converters may not sharpen or change out the knives on their slitters as frequently, causing increased dusting and print head build-up. Did you know? These changes may affect the amount of coating binder at the surface of the thermal coating and whether the imaged coating stays with the paper or transfers to the print head. Did you know? Wax is often used in the thermal coating to act as a lubricant for the print head and a matrix in which the microcapsules of color former and color developer can combine and react to form the image. Did you know? Fibers and filler clay particles escape from the poorly slit edges of the cut paper rolls. Hence the same paper grade provided by different converters may perform differently with respect to dusting and print head build-up. 6
7 Low cost papers in the marketplace Lower quality papers, manufactured primarily in Eastern regions of the globe, can contain lower quality recycled fiber and other fiber sources, such as those from coarse grasses and bamboo. These may be used where virgin softwood and hardwood paper fibers are not readily available. These papers may also have low coat weight and non-uniform coating coverage. Observations made by NCR scientists on a selection of papers from Eastern regions The overall quality is typically inferior to domestic and European papers. The archival life and image density are generally lower than specified. The papers are typically limper due to the use of recycled and other fiber sources in the base sheets. This can lead to increased dusting. These papers may curl more leading to printer jams. The coating layer tends to be thinner, so the print head may be exposed to abrasive pigments and fibers in the base sheet. The non-uniform density of the coating can provide a lesser print quality where printed characters may be light and the printed solids mottled. The coatings, especially the BPA-free coatings, tend to stick to the thermal print heads. 7
8 Are you experiencing any of the top 5 printing issues? Paper jams Inferior print density and image quality Low resolution graphics Substandard image durability and stability Poor bar code readability Are you aware of the consequences? Reduced life of printer elements (print head, cutter, sensors increased downtime) Increased service calls to repair or replace the printer Loss of efficiency in the POS or merchandise return process A poor customer experience having a negative impact on the brand identity Reduced receipt archivability Poor resistance to chemicals and environment 8
9 Cause and effect of poor quality paper usage Quality issue Result User and consumer effects Thermal coating gets sticky when heated Paper curls Paper too smooth or too rough Paper jams Reduced life of printer elements (print head, cutter, sensors) Reduced equipment uptime Excessive dusting Abrasive paper or low coat weight Build-up on print head or print head damage Low print density Poor image quality Reduced print resolution Printer damage Poor barcode scan rates and accuracy Poor brand image Poor customer experience Increased service and replacement cost Increased downtime Less efficient customer return process Less effective security Coating formulation and coat weight Image stability and durability Reduced receipt archivability Poor resistance to chemicals and environment Click the link for in depth information from NCR scientists. Get the technical data 9
10 Enjoy the benefits of NCR Certified Paper Improve your operating efficiency and increase customer loyalty NCR uses NCR Certified Paper in our receipt solutions to ensure that we provide the best value solution by lowering the total cost of ownership for our customers. Customers using these papers should expect: Increased uptime due to fewer media related failures High quality products for their POS, ATM and other thermal printing applications Lower cost due to less paper-related printer service calls 10
11 Immediate impact Consistent, high density, legible printed characters Excellent bar code readability Less dust in and around the printers No problems with paper feeding Decreased frequency of service calls Long term result Lower incidence of premature printer / print head failure Consistent brand imaging with the elimination of poor print quality receipts NCR certification evaluation criteria Feeding and cutting ( jams, wrinkling, etc.) Image consistency and print density Dusting or print head build-up NCR certification process Inspection and conversion of Analysis of the optical, 1 the thermal paper mill roll(s) 2 physical and thermal 3 properties of the paper with comparison to supplier specifications and like papers. Printer testing of converted thermal media 11
12 NCR Certified Paper has set the industry standard Suppliers are adopting it! Customers are adopting it! NCR Scientists and engineers work cooperatively 1 2 with paper suppliers and manufacturers and many mills proactively seek NCR Media Certification as we have created the standard for the industry by validating thermal papers that meet our performance criteria. Based on results from NCR testing showing print head build-up, one supplier modified their phenol-free product and re-submitted it to NCR for testing. This reformulated phenol-free product no longer caused build-up issues and as a result was successfully qualified for use in NCR printers. As a result of complaints regarding excessive print head wear from several NCR 7167 printer customers using competitor paper products, NCR formed a continuous improvement team to research the problem. The team analyzed the field performance of NCR Certified Media thermal paper rolls in the NCR 7167 receipt printers versus the competition. Across three large store chains with similar installed printer bases and duty cycle, the monthly print head replacements were significantly lower for the store using NCR certified paper. 12
13 Customer Paper Printer Install Base Feet per Mo. Per printer Print head replacements/ month Customer A NCR 27,000 2,064 6 Customer B Competitor X 40,000 2, Customer C Competitor X 55,000 2, * Customer C has switched to NCR certified paper and is already seeing a 25 percent reduction in service calls. So get it right! Don t let non-certified paper cost you time and money Another large NCR 7198 printer customer, using a 3 non-ncr certified, BP-free thermal paper grade from Any operating system which is causing you another convertor, has experienced build-up on print unexpected downtime and lower print quality is heads resulting in permanent damage. The damage not ideal for your business. Let us show you how was indicated by physical inspection of the printer and NCR certified paper provides you with a high quality multiple white vertical lines appearing in the solid prints receipt solution that brings value to your customers on their receipts. and meets your business objectives The cost of not using NCR Certified Media for this retailer will be over $375,000 in print head replacements. 13
14 why NCR? NCR Corporation (NYSE: NCR) is the global leader in consumer transaction technologies, turning everyday interactions with businesses into exceptional experiences. With its software, hardware, and portfolio of services, NCR enables more than 300 million transactions daily across the retail, financial, travel, hospitality, telecom and technology industries. NCR solutions run the everyday transactions that make your life easier. NCR is headquartered in Duluth, Georgia with over 26,000 employees and does business in 180 countries. NCR is a trademark of NCR Corporation in the United States and other countries. NCR Corporation 3097 Satellite Boulevard. Duluth, Georgia USA NCR continually improves products as new technologies and components become available. NCR, therefore, reserves the right to change specifications without prior notice. All features, functions and operations described herein may not be marketed by NCR in all parts of the world. Consult your NCR representative or NCR office for the latest information. NCR APTRA is a registered trademark of NCR Corporation in the United States and/or other countries. All brand and product names appearing in this document are trademarks, registered trademarks or service marks of their respective holders NCR Corporation
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