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A Letter From Impossible's CEO - August 29, 2014

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Ken Nadvornick

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Found this in my email this morning. It appears a significant consolidation is imminent...

Dear Impossible Pioneers and Customers,

In just a month from now, Impossible will move from the office and shop space it has occupied for the past four years on Broadway and Canal, in Manhattan, to a new space in Brooklyn. Sadly, we will also say goodbye to around half of Impossible's current US employees, some of whom have been with the company since its foundation.

A smaller team will continue to manage Impossible's North American customer service, warehousing and fulfillment, as well as camera refurbishment and repair.

In recent months, we have sharpened our focus on film research and development, as well as the design and development of a new camera to be launched in 2015. To afford to do so, we have had to re-assess our global presence. In April, this year, we announced the closure of our global Project Spaces, with the exception of Paris. We are also closing our offices in Japan and China.

Impossible has a lot of work to do on its core product – analog instant film. And while more people than ever are using Polaroid-format instant photography, driven by the wider availability of refurbished cameras and big strides in the quality of Impossible’s Color and B&W films, we still have some way to go to surpass the beauty, stability and real instantaneity of Polaroid’s original films.

Late last year, we hired Stephen Herchen, the former Chief Technology Officer for Polaroid under Edwin Land, and a co-founder of the US-based Zink Imaging, as Chief Operating Officer. He now oversees film development and production at Impossible’s plants in Monheim, Germany, and Enschede, in The Netherlands.

Our largest investment of both time and money has been – and must continue to be – in the development of our faster-processing, next generation films, as well as in the design of new cameras that will sustain the relevance of these films for a new generation of photographers.

Impossible is becoming much leaner, but more efficient. We are returning to the basics of a smaller, more communal and manageable scale of a start-up – which, when all is said and done, Impossible still very much is.

When Florian 'Doc' Kaps and Andre Bosman bought the very last factory in the world manufacturing Polaroid instant film, five years ago, they assumed something of a sacred trust: to create films – and cameras – that would make the late, great Edwin Land proud. A new (and younger) generation of Impossible employees are even more intent on doing just that!

If they're successful, this analog instant medium for which we all share a passion is not only going to survive but thrive for future generations.

Kind regards,

Creed O’Hanlon
CEO, Impossible
Berlin, Germany

Ken
 
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bvy

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I got this too and as I read it, I wasn't sure where it was going. But taken as a whole, it sounds like they're committed to this product and doing what they need to do to keep it alive. Assuming there's nothing between the lines, I appreciate his forthrightness and honesty.

I'll be curious to see if they introduce anything new or make any announcements at Photokina in a couple weeks.
 

ambaker

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Sounds like a needed move, but does not sound like wonderful news.

A 50% staff reduction is pretty severe. Along with office closings, sounds like a bid for survival. (And we thought Kodak was in trouble.).

I wish them well.


Sent from my iPad using Tapatalk HD
 

Ektagraphic

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Hopefully there is no need to read in-between the lines on this one...Is the desires for Impossible film for the Lomo/Pop culture crowd dying down?
 

Xmas

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Our street market vendors sell used plastic cameras like hot cakes. Ocassionally the up market SLR.

Lots of people use them. in streets.

Lomo closed their 2nd brick shop in London their only mini lab... They too are refocusing.

Lomo make more profit on a web sale. If the volume is high enough already - the trendiest buy off the buy button on smart phone.

I don't understand why impossible even thought of refurbing cameras.

But a rationalize like Lomo or Impossible is not necessarily bad.

Kodak did not change quickly enough, change is hard on staff, maybe, but worse on shareholders. Kodak were in ICU by 1980.
 

Peter Schrager

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When they make a viable product i'll buy it..is there anything else need be said??
best,peter
 
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Ken Nadvornick

Ken Nadvornick

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When they make a viable product i'll buy it..is there anything else need be said??

Only the obvious. That to reach a "viable product" takes time and resources. Perhaps more of each than had been originally estimated.

They've done a remarkable job thus far in managing expectations to buy themselves additional room to maneuver, while successfully marketing their alpha and beta test products to the lo-fi youth market. And the above letter seems refreshingly devoid of the usual marketing hyperbole in candidly acknowledging their need to get closer to the original Polaroid definition of "viable". Or closer to Fujifilm's...

I'd be willing to hazard a guess that it must be pretty frustrating to sit and watch the success story that Fujifilm's Instax instant product has become and then realize that THAT level of viability is still beyond their own R&D reach.

Perhaps that's part of the motivation behind the announced consolidation? And the hiring of Mr. Herchen?

Ken
 

Xmas

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HiKen

I see more polariod cameras in use than Fuji.

Plastic Pola 20 GBP
Impossible pack 22 GBP

A beta print is better than a phone selfie...

Noel
 

RattyMouse

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I'd be willing to hazard a guess that it must be pretty frustrating to sit and watch the success story that Fujifilm's Instax instant product has become and then realize that THAT level of viability is still beyond their own R&D reach.

Perhaps that's part of the motivation behind the announced consolidation? And the hiring of Mr. Herchen?

Ken

INSTAX has been an amazing success world wide for Fujifilm. Is there any reason Fuji can't make their film work in Polaroid cameras? (Obviously they would have to make more sizes of this film) I would think that if they did that Fuji could sell even more INSTAX.
 

Henning Serger

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Sales Numbers

Hello,

I can help to explain the situation with some sales numbers:
In February 2013 an interview with Dr. Florian Kaps, one of the Impossible Project founders, was published in the German photo magazine "camera" (a magazine which has at least one article about classic film photography in each edition).
In this interview he talked very frankly about the financial situation and the sales numbers.
The most important facts:
- in 2012 Impossible sold more than 12,000 refurbished Polaroid cameras (they have a team in the Enschede factory refurbishing cameras; due to the current CEO meanwhile more than 30,000 refurbished cameras are sold p.a.)
- in 2012 they sold about 750,000 films (film packs)
- but they need at least 1 million films sold to reach the break even point; so they still loose money on each film pack sold
- they intend to sell 1 million films in 2013.

Just these days the current CEO (the founders Kaps and Bosman left [or had to leave] the company last year) said that they intend to sell one million films this year.
Indicates that their sales are increasing, but not as fast as wanted / needed.
So it looks like that they still have not reached the break even point, and that they are still loosing money.

I think all the people at Impossible and InovisCoat have done an excellent job so far, considering all the enormous difficulties they have to face with such an ambitious project.
But there is still quite a long way to go.
The films need further improvement, and Impossible knows that very well.
Looks like they want to stronger fokus on exactly that.

Best regards,
Henning
 

Newt_on_Swings

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Those are some big numbers! I remember in that short documentary where they go into the factory, it was just one guy working on developing new combinations of chemicals to try and improve what they had. That process looked so slow going. What I am amazed is that they can find and refurbish 30k cameras!! I wish good luck to them with this refocusing and restructuring.
 

Prest_400

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Did see it yesterday while reading the IP blog. Frankly, I was a bit surprised to read about it; in any case I haven't followed very closely IP until recently.
Just these days the current CEO (the founders Kaps and Bosman left [or had to leave] the company last year) said that they intend to sell one million films this year.
Indicates that their sales are increasing, but not as fast as wanted / needed.
So it looks like that they still have not reached the break even point, and that they are still loosing money.

I think all the people at Impossible and InovisCoat have done an excellent job so far, considering all the enormous difficulties they have to face with such an ambitious project.
But there is still quite a long way to go.
The films need further improvement, and Impossible knows that very well.
Looks like they want to stronger fokus on exactly that.

Best regards,
Henning
Quite a huge task.
Instax is quite a success, but Fuji has the very big advantage of having the legacy from the heydays. R&D, machinery and distribution were set when the market was quite big. While impossible had to do a restart, with all that is needed.
Hope they get a bit better. Their films are eventually improving nicely as it seems.
Perhaps I'll ask my friend to lend me her One 600 and blast a pack someday. The cost of shooting is comparable to Medium format, however...
 
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Ken Nadvornick

Ken Nadvornick

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Indicates that their sales are increasing, but not as fast as wanted / needed.
So it looks like that they still have not reached the break even point, and that they are still losing money.

Thanks for the insights, Henning. Much appreciated.

Looks like maybe I need to order up some TIP. My biggest problem is that the earlier versions I used needed a lot of light, and where I live it's dim, dark, and dull ten and a half months out of each year. But thinking about it, I do also own one of those vintage Polaflash units that works just fine...

Ken
 

analoguey

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Good to know that impossible themselves are selling .75m units. Fuji must be selling more then?
Great to hear!

Sent from Tap-a-talk
 

Xmas

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Fuji may be selling less film and also making a loss.

Lots of people have old pol cameras in drawers.

Street vendors seem to be recycling them at a high rate, 20GBP bring it back 'warrenty'.

Im really impressed by impossibles marketing and market penetration.
 

RattyMouse

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Fuji may be selling less film and also making a loss.

Not at all. If you take the time to READ Fujifilm's corporate reports, you will see that INSTAX is extremely profitable and selling extremely well. This includes the camera line too. Just look at how much floor space INSTAX is going to get at Photokina. You don't do that with a money losing product.

You can find INSTAX film in virtually any shopping area anywhere in Asia. I've found INSTAX easily while in China, Hong Kong, Japan (of course), Taiwan, and in Thailand. My kids have a camera each and the film is so easily findable I don't even buy any for vacations; just buy it when we get there. It is a very easy to find film. If only other films were so easy to find...........sigh...........
 

Henning Serger

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Not at all. If you take the time to READ Fujifilm's corporate reports, you will see that INSTAX is extremely profitable and selling extremely well. This includes the camera line too.

Exactly. Their sales are significantly increasing. They even had to invest in additional production capacity in one of their factories.

You can find INSTAX film in virtually any shopping area anywhere in Asia. I've found INSTAX easily while in China, Hong Kong, Japan (of course), Taiwan, and in Thailand.

You can add Singapore, too. I was there this spring. I've never been in a city with so much photo shops ("brick and mortar" shops)......at 30 I stopped counting :wink:.
Well, about 95% of them are focussed on digital, but even in lots of these shops Instax is offered. So no problems at all getting Instax in Singapore.

I think there is something that can be learned from this: Around 2007 / 2008 most "experts" in the photo industry were quite convinced that instant film will probably the first film type to die, to disappear completely. Because digital is instant photography (at least in the way they looked at it).
Even the owners of Polaroid believed that (despite the fact that e.g. the Polaroid factory in Enschede produced 16 million films and was very profitable just before its closing in 2008).
But Impossible started an excellent marketing campaign to bring instant film photography back in public awareness. Fuji also realised there is still a market for instant film and also significantly increased their marketing efforts, including campaigns on social media, TV, youtube, print photo magazines etc..
The success is obvious:
Instant film is not the first film type to die, but just the opposite: It is the first film type with a real, strong revival.
Thanks to excellent marketing.

If that is possible with instant film, why should it not be possible with the other film types, too?
I think it can be done with increased marketing efforts.
But all have to do it:
Film and photo paper manufacturers, film camera manufacturers, photo chemical manufacturers, film distributors, photo labs and all we as film photographers.
The current problem is that only about 5-10% of the companies that make their living with classic film photography do marketing for film.
And from the film users probably less than 1% is promoting film use and behaves like a "Film Ambassador" getting younger photographers interested in film.
That is of course not enough.
Let's do more, let's start a grassroots movement. Everyone of us can help here and do his / her part.

Best regards,
Henning
 

TheToadMen

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When they make a viable product i'll buy it..is there anything else need be said??
best,peter

I think their films are very viable already. I even made a "lift" with the new film and it was very easy. Much easier than with the old Polaroid film.
Here is my lifted Impossible self portrait holding a Leica R7:

selfportrait-Impossible-transfer.jpg (simple photo of still wet image made with iPhone)

And just to support them, I bought a few extra packs in a store recently.
 

AgX

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INSTAX has been an amazing success world wide for Fujifilm. Is there any reason Fuji can't make their film work in Polaroid cameras? (Obviously they would have to make more sizes of this film) I would think that if they did that Fuji could sell even more INSTAX.

Their peel-apart films can be used in some Polaroid cameras

Their integral films (Instax) are designed to a different principle than the Polaroid integral films and thus cannot be used in the respective Polaroid cameras.
 

miha

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Film is an enthusiast-oriented media. It takes some effort - it needs to be taken or send to be developed whereas digital is instant, plus it's free. People are not prepared for these 'inconveniences' any more. Instax/Polaroid/Impossible is different to film as it offers instant gratification, not much different to smartphone photography to which people are accustomed.
 

analoguey

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Instant film/ print is making a come back for sure. Given that it's now being used even in tv commercials of other products.
Whenever I have shown my instant prints, people have always loved to behold the print. Only one had said 'but I cant share it on facebook right now'...

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AgX

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Instant film/ print is making a come back for sure. Given that it's now being used even in tv commercials of other products.

Yes, this a interesting side efffect.
But so far I have only seen Polaroid integral films and cameras being used. Well, they are iconic.

Also interesting is that when a anotherwise taken photograph is mounted by means of software into the Polaroid SX-70 image frame, the frame often is used reversed, backside to the front.
 
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