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If
fire or flood threatens an Australian home, the owners rush in and snatch up...
their photographs. The television set, the furniture, their clothes can all be
replaced. But their memories cannot. And for over 100 years, Australians have
trusted Kodak film to capture those memories. The
total Australian domestic photographic market is worth over $1 billion, with the
lion’s share coming from consumer spending. Kodak is the clear market leader
in the consumer sector, with more than twice the share of its nearest
competitor. The
key consumer market segment is women aged 25-40. Their young children are the
most-photographed subjects. The role of family archivist has been
enthusiastically taken up by women, particularly since the introduction of
simple “point-and-shoot” cameras in the late ’70s. Consumer
picture-taking is a very seasonal business, which peaks strongly through the
Christmas and summer holiday period. Photography and families are entwined, and
while family life has changed over the century, this desire to record family
memories has remained constant. But
Kodak’s imaging leadership goes beyond consumer markets. It extends to
professional photography, motion picture film and health and business imaging. Kodak
Australia has its manufacturing facility at Coburg, a northern suburb of
Melbourne. Asia Pacific export markets take around 80% of the Coburg plant’s
output of Ektacolor paper, Kodak film and photographic chemicals. The value of
these exports has grown from $50 million in 1980 to around $400 million in 1998. |
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How
does a brand now 100 years old remain relevant? Through continuous innovation
and the relentless pursuit of quality. This has been a hallmark of Kodak from
the very beginning: “The
success or failure of any company is determined by the quality of the work done
by every man or woman in its employ. Our goods are sold on the basis of quality
and on that basis alone. The firm that produces the product of the highest
quality is the firm which prospers.” -
George Eastman, inventor and Kodak founder, speaking in 1915. Eastman
made photography affordable and popular when he invented and successfully
marketed the first roll film cameras, commencing with the No 1 Kodak in
September 1888. Supported
for years by one of the world’s most recognised advertising statements, “You
press the button, we do the rest,” Kodak’s little yellow film box became
ubiquitous, and to this day commands a premium from consumers throughout the
world. |
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Kodak
Australia has been manufacturing photographic products in this country for over
100 years, beginning with young scientist Thomas Baker, the pioneer of
photographic manufacturing in Australia. In 1886 he set up in his Melbourne
laboratory, making photographic dry plates. A year later he teamed up with
businessman John J. Rouse to form a photographic wholesaling and retailing
venture, Baker & Rouse Pty Ltd. At
around the same time, George Eastman was also pioneering the commercial
production of dry plates in the USA. In search of a distinctive trademark, he
came up with the word “Kodak” because it was easy to pronounce and spell in
any language, and began and ended with Eastman’s favourite letter. By 1901, he
had formed the Eastman Kodak Company. With
photography still in its infancy in Australia and the US, Baker & Rouse
developed a business relationship with Eastman. In 1908, Baker & Rouse was
appointed sole Australian agent for Kodak products, which led to the expansion
of the business and the formation of Australian Kodak Limited. A New Zealand
branch was formed in Auckland three years later, and in 1920, the company was
registered as Kodak (Australasia) Pty Ltd, the name it retains today. In
1992 Kodak was the first and (in 1999) is still the only company to be awarded
the Australian Quality Prize, and remains committed to developing and improving
quality processes. Today,
Kodak Australia is the only Australian manufacturer of photosensitive goods, and
among the top companies in the technologically sophisticated ‘Elaborately
Transformed Manufacture’ category of Australian manufacture and export. |
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While
Kodak is synonymous with point-and-shoot cameras, the world’s most popular
film and snapshot photography, the story does not end there. Kodak’s
motion picture film, for example, remains the firm choice of cinematographers
worldwide. Kodak
is also a byword in the field of business imaging. An early example is Kodak’s
introduction of microfilm in 1927. These days, digital scanning of business
documents is at the leading edge of information management, and Kodak remains at
the forefront. Kodak’s most popular document scanner handles 75 pages per
minute and can also scan pictures at high resolution. In
the health imaging area, the traditional X-Ray business has been augmented by
new medical imaging technologies, including teleradiology, which enables medical
specialists to diagnose images digitally transmitted from the other side of the
world. |
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As
the 21st century opens, the world is confronted by a great change as
telecommunications, the media and computing converge in new media such as the
internet and multimedia applications. This is the digital revolution. Kodak
is leading the way in digital imaging with innovative ways of taking and using
pictures. For consumers, this means exciting new product offerings such as
digital cameras, scanners and new applications for their pictures via the magic
of digitization. Picture
Maker, Kodak’s in-store digital imaging station, scans from prints - no
negatives required - and produces fade-resistant, high quality prints. The unit
can recompose a picture, eliminate the “red eye” caused by flash
photography, and correct poor color. This is being further extended with a range
of digital templates, available to stores via ISDN, which enable the marriage of
scanned images with graphics and text, extending consumers’ enjoyment of their
precious photos. Now
Kodak is using the immediacy and magic of digital photography to deliver fun
pictures at theme parks, cinema complexes, and even on top of the Sydney Harbour
Bridge as part of the new Sydney BridgeClimb experience. Kodak
is also a key player in a new snapshooter-friendly photo system known as
Advanced Photo System (APS) and marketed by Kodak as Advantix. APS is an open
system for which any manufacturer can make cameras or film. |
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Kodak’s
marketing communications has always sought to focus on emotionally rich
television advertising, and point-of-sale. The aim is to remind consumers just
how rewarding, enjoyable and central picture-taking is to family life. Another
key element in Kodak’s communication strategy is a powerful, image rich and
interactive Internet presence. The Kodak site comprises over 10,000 pages and
receives up to a million “hits” a day. It can be found at: www.kodak.com.
The linked Australian site is at www.kodak.com.au. |
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Interbrand,
an international brand consultancy, sought in 1997 to analyse consumer
perceptions and preparedness to buy the brand. Their estimate of Kodak’s brand
equity at that time was US$13.2 billion, which places it sixth globally, between
Disney and Kellogg. The
two defining characteristics people attribute to the brand are quality and
trust. This is important, as photography is bound up with the emotional
territory of families and their memories. Kodak has delivered quality products
from generation to generation of Australians, building up a reservoir of trust
over decades. And
now to take that reputation for trustworthiness and quality into the digital
age, where much more is achievable with photography, Kodak is adding a call to
action to its brand: “Take Pictures. Further”. George
Fisher, Eastman Kodak Company chairman, articulates the company’s brand
positioning succinctly: “Our
business is pictures. We have the historic and powerful emotional link to the
consumer that many of our digital competitors don’t have. The key to our
success is to help customers and consumers apply the right technology -
traditional, or digital, or hybrid - to take their pictures further, in their
lives or their businesses.” |
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| The 1997 Mars Pathfinder probe vehicle “Rover” used three
off-the-shelf Kodak CCD digital sensors. Two were the vehicle’s “eyes” for
steering and the other captured images. New-generation Kodak imaging sensors are
also aboard the current Mars probe, and will send back the clearest pictures of
the Red Planet we have ever seen. |
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| During World War 2, Australian V-mail (Airgraph), a Kodak system for
microfilming letters for the armed services to conserve precious air cargo
space, operated between Australia and the US. Empire Airgraph provided civilian
correspondence between Australia and Britain. |
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Ektacolor paper manufactured at Coburg
consists of seven consistent layers of emulsion coated onto paper base.
Each is just 10 microns thick - a sixth of the thickness of human hair. This is
as exacting as microchip production - and performed in virtual darkness! |
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In 1944, Kodak supplied the Office of Strategic Services - forerunner of
the CIA - with Camera X, a camera with no viewfinder, built to look like a
matchbox. It came with several rolls of 16mm film, tablets of chemicals for
developing, and an agitating stick for processing. There was also a close-up
lens for copying documents. About 1000 were supplied. |
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The common use of the word “disposable” to describe Kodak single use
cameras is not correct, as these products are collected by Kodak and most of the
main body parts re-used up to six times before being ground into pellets to make
- more Kodak single use cameras! |
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The popular myth that Linda McCartney was heir to the Eastman fortune is
not true - she was not even related to George Eastman. |
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