Online photo companies have a high level of customer loyalty, said Harry Wang, a research analyst at Parks Associates. After a customer accumulates a lot of pictures on an online photography site, it is hard to switch to another online site, he said.

Wang expects the segment of the digital imaging industry that lets customers pick up pictures at retail stores to increase to $11.5 billion in sales by 2010 from $5.4 billion this year, and the segment that mails prints to customers to decline to $1.2 billion in sales from $1.4 billion.

From the article "IPO May Help Shutterfly Compete."

Next: Software Provides DVDs on Demand
Previous: Crackdown on Piracy Hits Barrier

Be the first to leave a comment.

Have a comment? Login or create an account to start a discussion.