PHOTO FINISHED? AN INDUSTRY FIGHTS TO SURVIVE.

Byline: Candice Choi  Staff Writer

The corner camera shop of yesterday is a quickly fading image these days as the popularity of digital cameras continues snapping away at film sales.

``I've seen a lot of places go out of business in the Valley,'' said Diane Wallach, manager of the film department at the Camera Exchange in Studio City.

Over the past couple of years, the Camera Exchange has clicked along by devoting most of its shelf space to digital cameras. The 60-year-old shop even installed a digital printing station two years ago. Still, Wallach said, staff hours have been cut to adjust to slowing business.

Nationwide, film sales dropped a steep 19 percent last year and are expected to tumble an additional 18 percent in 2005, according to the Photo Marketing Association.

Similar declines can be expected in 2006, said Dmitri Delis, PMA's director of marketing research. ``It's hard to estimate when it's going to reach bottom,'' he said.

Digital-camera sales, meanwhile, have enjoyed gains in the 30 percent range year after year in recent times, with growth finally slowing to about 13 percent this year.

Camera shops that are focusing on digital cameras still face formidable competition. From major chains such as Best Buy to discounters such as Target, digital cameras are sold at a wide range of convenient locations these days.

``We've had to broaden our base and redefine the way we market ourselves,'' said Scott Bloom, manager of Woodland Hills Camera. Today, the camera shop, which opened in 1954, emphasizes its personal service and knowledgeable staff.

As camera shops continue falling by the wayside, those who remain devoted to film cameras are left with fewer retail options.

``I'm more or less the only one left,'' said Zvi Wloch, owner of Superior Camera Repair & Exchange in Woodland Hills. The shuttering of similar businesses in the area has driven more business into his store, Wloch said.

The bulk of Wloch's business is still from performing repairs on film cameras. Yet, Wloch said, the ``film industry is dying'' and that he has yet to think of a way to redefine his services. ``I'm thinking and thinking and cannot find the answer,'' he said.

Shoppers were almost exclusively buying digital cameras this holiday season at the Camera Exchange, Wallach said. Sales of film, photo paper and chemicals for developing have dropped dramatically.

That's another reason the rise of digital cameras is hurting small shops; customers don't have to return for film and other accessories, Wallach said. ``Once they buy a digital camera, they're set. You don't see them again.''

The mass adoption of digital technology hasn't entirely obliterated film buffs, however.

Film is still a viable source of income at Woodland Hills Camera, Bloom said. Fine art, wedding and professional photographers who want large, high-quality photos will never abandon the medium, he said.

``There are always going to be people devoted to film,'' Bloom said.

Wallach, who prefers film, said there are still many purists who refuse to switch to digital. Film not only gives the artist greater control, but is also better for posterity, she said.

``For the purposes of art, there's always going to be a market for film,'' Delis agreed.

To be adapted by older adults, Delis said, digital cameras have to become more of a ``stand-alone'' product and move away from being computer- centric. Retail services that print digital photos are helping make inroads in that arena - thus further shrinking the market for film, Delis said.

``Ansel Adams would be turning over in his grave,'' Wallach said.

Candice Choi, [phone]

candice.choi(at)dailynews.com

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Photo:

(color) Owner Zvi Wloch of Superior Camera said he's trying to redefine his business in an increasingly digital world.

Joel P. Lugavere/Special to the Daily News