Although the Kodak sign is still there, most of the franchise stores have already abandoned their original photo developing main business. With Kodak Inc.'s application for bankruptcy protection, it also announced that the film era is about to fade away. Beijing Morning Post reporters found in their investigation that among the once ubiquitous Kodak franchise stores on the streets of Beijing, aside from photo printing and selling Kodak products, all of them are now barely getting by with other businesses such as lottery sales.
"One year I only sold 23 rolls of film." The owner of a Kodak photo development store, Pan Jing, who has been in business for 12 years, sighed: "In the past, this industry seemed quite promising, but now I can only make some money by selling lottery tickets."
Although Pan Jing's store had long been equipped with a lottery machine, she never thought of making selling lottery tickets her main business. What she didn't expect was that this thing which she used to do "just for fun" has now become a powerful helper to subsidize photo development.
"Nowadays everyone uses digital cameras; who still develops photos?" Pan Jing told the reporter that last year, she sold a total of 23 rolls of film. Few people developed photos too. "Many customers develop photos once every few years, each time developing about a hundred or so." But people buy lottery tickets almost every day. "If it weren't for these so-called side businesses, we would probably only be losing money."
Franchise stores no longer have any relationship with Kodak
Kodak's application for bankruptcy seems to have had no impact on either the franchise stores or distributors. Yin Zhe has been selling Kodak film at Wukesong for many years. Although some Kodak films have been out of stock, there are still alternative products from brands like Fuji, so it doesn't seem tense.
According to Pan Jing, the franchise fee for Kodak is paid once, and she paid around 100,000 yuan in franchise fees at the time, and introduced equipment worth about 200,000 yuan. Apart from lending its name, Kodak also helped Pan Jing renovate her store and taught her photo developing techniques. However, Kodak required franchise stores to use materials provided by Kodak at the time.
This rule lasted until 2009. Franchise stores could stop using materials provided by Kodak, and Kodak no longer managed these franchise stores. "Apart from continuing to purchase goods from distributors, there is no longer much contact with the company," Pan Jing said.
Franchise stores begin to sublet
On websites like 58.com and Ganji.com (Weibo), it was seen that many Kodak franchise stores started subleasing last year and the year before. The subleasing business content includes not only Kodak's original photo development business but also services like children's photography and artistic portraits. On the same street where Pan Jing's franchise store is located, there were originally four or five Kodak stores, and now only hers remains.
"At that time, having a camera at home and being able to take a few rolls of pictures was an extraordinary thing. But now it's becoming increasingly difficult to do." Pan Jing recalled, still carrying the enthusiasm and excitement of when she first entered the industry. Good times didn't last long. The popularization of digital cameras made film developing gradually lose its market. The film developing machine that cost over 200,000 yuan back then could only be sold as scrap iron for 200 yuan.
What will happen in the future, Pan Jing does not have an answer, but regarding the Kodak sign, she temporarily doesn't want to take it down: "After all, Kodak's influence is still there. Before finding a brand that can replace its influence, I probably won't change the sign."
Morning Post reporter Jiang Fan
■ Expert Viewpoint
Kodak Services May Continue
Professor Hong Tao of Beijing Technology and Business University stated that Kodak's bankruptcy marked the end of an era. However, although its products have been phased out by the times, perhaps its services may continue.
In Hong Tao's view, Kodak's bankruptcy "was inevitable." For this old-established brand, its influence still exists in China, especially the warm service of Kodak stores which remains vivid in people's memories. As for the franchise stores, their businesses will gradually change, and photography services may replace their original developing business.
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