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Nautilus Hyosung America Inc., the nation's largest shipper of off-premise ATMs,
says it expects to reach its goal of shipping 30,000 ATMs between February 2007 and this month, and strong sales of the 1800 Mini Bank have helped.
The subsidiary of Seoul, South Korea based Nautilus Hyosung Inc., said it has sold 1,545 Mini Bank 1800s since launching the machine in February.
"Customer demand has been high for the 1800 since the new product launched," Carlos Siewczynski, vice president of Nautilus Hyosung America's Retail Self-Service Division, said in a statement. "We've seen the market respond well to the model, and distributors are acting fast to add it to their product lineup."
Nautilus Hyosung America initially planned to replace the Mini Bank 1500 with
the newer and flashier-looking 1800 because the 1500 was old. But an angry outcry from Nautilus Hyosung distributors forced company executives to change their minds (ADN, 6/12). The 1500, a cash dispenser found in restaurants, convenience stores, bars, gas stations and hotels, remains a strong seller.
Between February 2007 and May 2008, Nautilus Hyosung shipped more than 21,000 ATMs, and the 1500 accounted for more than 18,000 of the shipments.
Tranax Technologies Inc., Nautilus' former U.S. distributor, suggested the company discontinue the 1500, Chan Park, president of Nautilus Hyosung America, told ATM&Debit News at the company's second annual users' conference in Grapevine, Texas. (ADN, 6/12). "We were told the Mini-Bank 1500 was seven to eight years old, and it should be replaced," Park said.
The suggestion helped fuel the growing animosity between Tranax and Nautilus
Hyosung, which caused a rift in late 2006 and a more formal split by January 2007.
In disclosing the 1800 sales, Nautilus Hyosung America announced it expected to
ship more than 30,000 ATMs between February 2007, when the company began sell direct to customers, and this month.
"Since moving to selling direct to the market we have dramatically increased our sales rate and should sell as many units in a few years as the company used to sell in 10 years," Siewczynski said. Nautilus Hyosung has cut prices up to 40% to dominate the off-premise ATM market. The company is scheduled close to its deal in October to purchase competitor Triton Systems of Delaware Inc., giving the combined companies 65% to 85% of the $100 million off-premise ATM market.
