Printers are expressing their consternation with the perilous situation Focus Press has found itself in, calling for the heads of senior management, condemning its pricing practices and fearing for the jobs of its employees.

The company has been shopping itself to potential buyers since Friday when revelations of its severe financial difficulties came to light after an exodus of suppliers left it without enough stock to complete many print jobs.

Several commenters on the ProPrint website who claim to have been victims of Focus Press’ strategy of undercutting its competition in the industry’s ongoing price war were happy to see it backfire.

“When I lose a job, it's usually to Focus Press, I would suggest people in glass houses should not throws stones,” one says.

Another says: “Very strange strategy to try to transition to a premium priced supplier when having been the opposite for a long time.”

Another calling themselves ‘end the price war’ says: “I too have lost many a client to Focus and before that to Craft Printing due to crazy prices, I can stay home and not make money.”

[Related: More Focus Press news]

Other commenters called for printers to raise prices together to bring the industry back to profitability and prevent these situations from occurring.

“Just goes to show that constant undercutting is not sustainable. I believe that there will be more to go in Melbourne by the end of the current financial year there needs to be a lift in pricing to a more fair level making the industry more profitable,” ARI says.

“It's all well and good getting a cheap price but have customers forgotten the word loyalty for all the times they put pressure to get their work out the door.

“The business-to-business side of things generally still seems to be able to have margin it's the brokers that are squeezing every little bit of worth out of what was a proud industry.

“It's more than just putting ink on paper and getting it out the door it's the people that make it happen that are not factored into the pricing structure and they are the most valuable part of the process.”

Another commenter called BS1 offered a counter point: “But if you don't undercut or discount prices then you never win work and go under through lack of $$ in product out the door.”

“So whoever screams for cheaper prices is the one crippling the industry and who is the major culprit for that? So how do we get people to pay more for their print and I mean by more the actual cost/value to produce with margin?

“Loyalty is not a word customers understand, when the company I worked for went under last year, many customers followed the sales rep to a brand new company, with no consideration to how the workers of the original company had often busted their guts to get the jobs out for them the word loyalty is long lost by another word – money.”

Others think the only way to prevent crashes like Focus and Geon is to take stronger action against bad business practices.

Special T Communications managing director Corey London says: “The bottom line is a printing company who tries to buy more work through offering cheap prices does more harm than good not only for themselves but every supplier they engage.”

“Paper suppliers, show how much courage you have by not supporting the new buyer or company that pops up. You are quick to put prices up blaming the dollar but we all know it’s to cover bad business decisions to offer extended credit to the BIG end of town.

“You only do this because they won't pay us – if owed, don't give them more paper. Insurance only covers so much.”

‘Banksy’ says: “We will end up paying their debts through higher paper and trade prices, and this will make it harder for us all to get credit. The banks have another reason not to trust us and the paper insurance companies have another reason to cut our limits or get out altogether.”

“In the old days we would have to cop this and Focus could work its way out with a DOCA, all the while congratulating themselves on their business acumen. It can be different in a post-GEON world, people.

“Blackball the people involved. No credit. No board positions. No jobs at competitors.

“If Bob McMillan wants to come out retirement and run it right good on him- sell him paper and let him off the leash. He did it right the first time and between him and Geoff Selig we'll have the industry leaders we need again.

“But if the fix is in like it was on Geon or Media Options, for the sake of everyone who works in paper, do us all favour and shut these guys down permanently.”

[Related: More companies in distress]

Another commenter enthusiastically agreed: “To often these days the people involved end up in another high ranking position to start the fall all over again. These people need to be held accountable for playing with the so many lives that are involved and that will be affected.”

“The sooner senior management appreciates the fact that they have the responsibility and duty of care for the lives they're playing with, the better we all will be. And I'm not just talking about our wonderful industry, this needs to start occurring across businesses in general.”

Printers also took aim at the process for government grants, as Focus secured $6.1m in funding to build its Wollongong plant in 2012, which opened only months ago, only to crash this badly soon after.

London says: “A cash injection will not turn these guys into profitable enterprise. How could things change in 4-5 months part of the criteria to a government grant is to be solvent. Who signed off on it in the government and who prepared the figures to present focus' case to gain the grant?”

‘Banksy’ agrees: “We paid that $6.1m through our taxes. All down the toilet when it could have gone on roads, infrastructure, schools or hospitals that help us all.”

“Instead, God knows where it's gone and whatever's left of it will end up buying another yacht for a liquidator.”

The only people involved to escape the industry’s ire are the workers, many of whom will probably lose their jobs whether Focus Press is bought or is forced into liquidation.

A user on the ProPrint Facebook page says: “Let’s hope Focus can continue to operate in a capacity that doesn't put the many, many good staff they have, out of work.”

“There are already too many good members of the print community out of work and struggling to stay in our industry. The unfortunate part is that we are losing many of the really good ones.”

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