Bystronic-owned company, DNE South Africa, to offer economical range of sheet processing equipment as an alternative.
DNE Laser, a manufacturer of fiber laser cutting machines for both sheet and tube has opened up a marketing, sales and service subsidiary office in Jet Park, Gauteng. Components processed on DNE Laser machines are widely used in the electrical, automobile, mechanical equipment, appliance, shipping transport and many other general engineering, retail and consumer industries.
In an interview with Philipp Burgener, Managing Director of Bystronic Sales AG, who is based in Niederönz, Switzerland and is very well-known by many in South Africa explained: “In 2019 Bystronic opened a fully-fledged subsidiary in South Africa, thus demonstrating its confidence in the local market while also looking to the future.”
“Last year Bystronic took full control of DNE Laser and it was immediately decided to open up a DNE Laser subsidiary in South Africa. This presents numerous opportunities for Bystronic and DNE Laser in South Africa, allowing us to compete with the influx of the more economical ranges of laser machines into the country and Sub-Saharan Africa.”
Fiber laser sheetmetal cutting machine
“DNE Laser will operate under its own brand with dedicated sales and service, to support the cost-efficient laser cutting equipment. This will serve to accommodate entry level clients, complementing the product and solutions Bystronic has to offer.”
DNE Laser is a Sino-European joint venture set up in 2016 by Bystronic Laser AG Switzerland and DNE Laser China. Recently the company has been acquired 100% by Bystronic through its holding company the Conzzeta Group of companies. Conzzeta are involved in the sheet metal processing, sporting goods, foam materials, graphic coatings and glass processing industries and is listed on the SIX Swiss Exchange (CON.SW).
Bystronic acquired an initial participation in DNE Laser of 51% in July 2016, followed by an increase to 70% in August 2019. DNE Laser contributed in 2019 net revenue of CHF 83 million to the sheet metal processing segment revenue of Conzzeta. In September 2020 Conzzeta announced that the group had acquired the remaining 30% shareholding in DNE Laser.
DNE Laser will continue to operate under its own brand and with a dedicated sales and service organisation for its cost-efficient laser cutting equipment to serve entry level clients, complementing the product and solution offerings of Bystronic.
Every budget requirement is now catered for
“Essentially we will be offering the same package as Bystronic customers get but on a different level. I like to give the analogy of one kitchen serving two restaurants with Bystronic products, regarded as gold and silver, being served in the 5-star restaurant. With this you will expect the 5-star treatment that will cost you more. In the second restaurant that is more affordable for other customers you will get quality and service but it might just take a bit longer to get your bronze product.”
“In short every budget requirement is now catered for by the Bystronic Group in South Africa with Bystronic remaining as the head chef.”
“Backed by Bystronic technology DNE Laser equipment will not lack in safety, quality and support requirements. Currently DNE Laser is very strong in the market up to 8kW fiber laser equipment, this is for both flat sheet and tube.”
“Currently DNE Laser does not offer its own brand of bending equipment but there are developments that are taking place that will be announced later in the year.”
Fiber laser cutting
“DNE Laser machines are equipped with the worlds most advanced laser source from IPG Photonics, AC servo drive technology and electrical systems from Schneider and the highest quality heavy-duty Herion M3 helical rack and spur gears from Germany, capable of cutting stainless or carbon steel, aluminium, brass, copper, titanium and most metal alloys.”
“The company has concentrated on penetrating those international markets that have a fluctuating currency but at the same time are supplying over 100 machines a month in their home market.”
“South Africa is the first subsidiary of the company and already we have sold six units locally, as well as a unit in both Zambia and Namibia. Going forward we are looking to penetrate further into Sub Saharan Africa.”
Bystronic South Africa
“With the direct investment by Bystronic in South Africa there are numerous advantages that have been directly beneficial for customers as compared to the agent and OEM relationship that has existed in the past. Noticeable changes have been in the area of communication, whereby an agent has to follow a certain protocol in terms of problem identification and problem solving. In the past this was frustrating and time consuming. In the environment of a direct subsidiary this protocol has fallen away and allowed access to information a whole lot quicker,” said Burgener.
“The second win for customers was the access to spare parts, particularly when it comes to big ticket items. There will always be accessibility, logistical and warranty problems for agents, which ultimately lead to extra costs, downtime and frustrations for customers. Again, the direct subsidiary situation has eliminated all these problems and allowed customers to have access to a wider range of spares in a much shorter period,” continued Burgener.
Fiber laser tube cutting
“Another advantage is that we have taken the ‘headache’ out of purchasing Bystronic equipment. Our staff handle all the negotiations and paperwork for you. This includes dealing with a local bank, the importation requirements necessary for importing capital equipment and spares, freight and transport conditions and costs and of course you are buying directly from a South African company.”
“The ability to offer equipment that meets the budget requirements across all spheres of manufacturers is not just an emerging countries development. Budget conscious companies in Europe are also looking for the economical, entry level equipment that does not come with complex and expensive features. This is the fastest growing segment of the market and machine manufacturers are feeling the pressure to provide solutions, otherwise they must be prepared to lose out.”
“In the context of the current market situation and our ambitious growth plans, we aim to jointly realise our potentials by developing our market coverage across client groups as well as by making our product offering more complete to the benefit of our clients’ needs in sheet metal processing.”
“Although I am the Managing Director of both South African subsidiaries I have appointed Victor Thorpe as the manager in South Africa.”