As with the Additive Manufacturing (AM) industry there are key challenges with disruptive technology companies and business models. Although AM as a commercial product really kicked of in 1985 with Stereo Lithographic Apparatus (SLA) systems due to the lack of knowledge in the engineering and entertainment fields it was predominantly sold into niche prototyping applications where a lot of knowledge had to be transferred to the market place through vendors. It was only through exposure to this technology in larger business and academia did this help facilitate a user base and further AM technologies. Interestingly now that AM is well known still businesses selling AM and reverse engineering (RE) services and expertise go out of business readily.
As 3D scanning companies when talking about service delivery are normally amalgamated with AM technology there are some important questions that need to be answered to identify the key challenges faced this field.
Steps taken by the Uninitiated
Many 3D scanning companies and AM service vendors go out of business due to one main mistake. That is, they buy all the toys they can to provide a flexible service. They then realize their customer base is non-existing or to small to yield a profit, loans get called in and they go out of business. Ok, but surely there should be a customer base like any other service industry. Well, there is however things to consider is that large industries buy the equipment or smarter vendors sell services contracts that include the supply of equipment for use onsite. Overtime this can be more profitable especially when consumables are added in to the equation.
What about SME’s such as smaller engineering firms that need small production volumes or one off prototype solutions. Well, most may work with materials and practices they know and fear change, only changing when a new engineer from the AM and RE field enters the company and knowledge transferred on potential time and cost saving when apt.
Freelancers such as model and prototype makers that do not own equipped workshops may outsource if again they have domain knowledge which is ever more prevalent.
3D Scanner Companies either direct or through vendors specifically sell or rent 3D scanners fundamentally as their business model. A company using such technology based on a cost analysis will decide which route to go through to gain access to industrial 3D scanners.
Business Challenges
There is the large question which is understood however seldom asked aside to vendor profitability and that is; to what extent does non-industrial equipment and software cross-over in AM and RE, and that is no easy question. For instance, the freelancer may have room for desktop fused deposition modelling (FDM) or stereo lithographic apparatus (SLA) and use a $300 3D scanner to make cosplay gear or prototypes for Kickstarter companies or aesthetical non-functional forms for fashion businesses along with other decentralized business models. SME’s may also use similar method but have a workshop and potentially specialize in something.
Interestingly there are workshops you can use as a ‘Maker’ that you pay a fee to use, some freelancers may use these for certain activities.
All of this ‘accessibility’ to low-cost technology at the entry level erodes at current SME business models; at least to a point. The reality is that a $300 scanner does not have the accuracy and working ranges nor the commercial software to process effectively commercial output.
What does this all mean!
This means that although AM SME’s offering services bare the burden of vast initial outlay, if their business play is robust enough and can win business over through correct marketing funnels, they do have a place. As such so do 3D Scanning companies due to the symbiosis of the field with the best model of providing repeat services to the customer and not a one-off sell due to the relatively low-price points of the equipment and the majority of the SME’s not using the technology every day.
Thankfully although AM and RE is closely related to each other, 3D scanning companies deals with data not physical parts and due to the advent of Augmented Reality (AR) and Smart Augmented Manufacturing (SAM) growing in the past five years, demand for 3D scanners should markedly increase.
Why? Well 3D scanner offerings will be needed for scanning production line layouts and objects to add items into assembly and maintenance user workflows. This means users would use AR and SAM models through HUD user wearables to work through complex actions on automated production lines. User interactions will be prompted by AI driving requirements and content showing what needs to be done in real time will be displayed to the user as they work. While this all sounds great for reducing unskilled user error causing assemblies needing rework or scrapping it may make 3D scanning companies highly profitable in both unit sales and service provision in the near future depending on strategy implemented.