LMI BLOG

How to Present Remanufactured Printers to New Printer Buyers - Part 1

Posted by Christian Pepper on Fri, Mar 13, 2015 @ 10:19 AM

Reman printers Pt1As an imaging sales professional, you can relate to customers wanting more value for less money. If you’re currently selling remanufactured printers, you know that you can reduce your hardware costs by up to 50% and add more margin into your deal. And if you’re a Managed Print provider, you understand how selling new printers immediately handcuffs you and your customers to paying more for OEM consumables which decreases your margins and your paycheck.

The top performing dealers in the BTA channel tell us that presenting remanufactured printers to prospects is a competitive differentiator that benefits them and their customers. With this in mind, here are 6 of the 12 best practices dealers tell us are most effective:

1. Show References - Be prepared with reference accounts that are now using, and having great success with, remanufactured printers.

2. Suggest a Pilot Program - Select a printer and pair it with a compatible toner for end user validation.

3. Address the Elephant in the Room! - Explain that they will do less printing in the future due to demographic and technology advancements.  So, why invest in expensive new technology? 

4. Explain that Printing Technology Doesn’t Really Advance - Printer speeds, feeds and resolutions topped out years ago.  New printers are sold with vaporware features like black panels, blue LED lights but few features that mean they actually print better. In fact most printers are designed so that they actually cost more at a CPP level to print than older models.

5. Emphasize Cost Savings - If a customer wants to print less and lower the cost of printing, then remanufactured printers are the way to go.  Not only do they cost about 50% less than new, but they pair immediately with a remanufactured toner. New printers do not have remanufactured toners available for at least one year after they are launched.  Color printers take up to three years before reliable remanufactured toners are available.

6. Show a Side-by-Side TCO - Quote New and Remanufactured Options‏ - The huge difference in cost becomes most apparent when you add up all the elements of TCO (Total Cost of Ownership): hardware cost, toner and service costs. Offer both options and let the customer decide.

Do these 6 presentation ideas make sense to you? In our next blog, we will share the remaining 6 Top Tips to presenting remanufactured printers.

Do you have a question or suggestion on how to leverage remanufactured printers? Please share it with us!

See video below to find out how LMI's remanufactured printers can help you grow your MPS business and your bottom line!

Tags: total cost of ownership, how to grow MPS business, aftermarket printer, aftermarket toner, printers

How Are Dealers Using Remanufactured Printers?

Posted by Gary Willert on Wed, Oct 08, 2014 @ 10:00 AM

remanufactured printersLeveraging remanufactured printers as a part of your hardware strategy is a great way to achieve your full profit potential. Surprisingly a full 98% of imaging dealers are missing the boat on the affordability and sustainability advantages versus buying and installing new OEM hardware.

Whether it’s simply habit or lack of understanding, most dealers continue to lead with new printers that tend to cost up to 50% more than a comparable remanufactured device that comes with the same, or even better, performance guarantee. This begs the question:

Are your customers buying a printer or the pages the printer produces?

What many dealers seem to forget is that the minute they install a new printer, they have immediately cut into their post sales margins because the dealer and the end user is forced to pay a premium for OEM toner. This happens because there are no aftermarket supplies available for the first six months to a year after a new device is released. And for those of you looking at declining fleet margins, remember that your cost of toner typically makes up approximately 60% of a dealers cost per page.

Economic Reality = Opportunity

In today’s challenging economy, most customers are buying cost savings. From the feedback we received from a recent dealer roundtable, the adoption of remanufactured printers is now following the same acceptance curve we saw a decade ago in the remanufactured toner arena. And if we may politely nudge you at this point, look what’s happened there. Like toner, the quality of the product has come leaps and bounds and that’s exactly why LMI Solutions recently acquired Global Printer Services – the industry's undisputed leader in producing top quality monochrome and color devices.

Take a walk through the warehouse of the TOP 10 most profitable dealers in North America and you will find GPS printers in stock.  They, like you now, know that a GPS printer looks like a brand new printer and comes with the same warranty, or better, than new.

Here are 5 ways smart dealers are using remanufactured printers right now:

1.  Winning Cost Conscious Customers – The savings of going with a remanufactured device can be as much as 67% per page over a normal 36 month term when combined with an LMI high yield cartridge.

2.  Service Hot Swaps – Dealers have an inventory of remanufactured printers ready to swap when a customer’s device goes down. This keeps the customer operational and allows the tech time to diagnose and fix the problem back in their service area and not in the customer’s office. Win – win.

3.  Fleet Profitability – New software allows dealers to identify printers that are expensive to operate or repair. By the time you send a technician out to fix a 7 year old printer with new parts, you may as well have just replaced it with a remanufactured device. By installing a remanufactured unit the customer sees tremendous value, and as a dealer you can protect your profitability.

4.  Device Standardization – Rather than customers using different devices that require a mix of print drivers, consumables and service issues, dealers can install remanufactured devices and allow the customer and the service team to become more efficient with one standard make or model. This makes it easier for customers, streamlines inventory needs and reduces technician headaches.

5.  It’s Greener! – Customers are now demanding sustainability. With 80% of a printer capable of being recycled it’s a compelling green alternative to buying new. Think of how green your new value proposition could be when you combine remanufactured printers with remanufactured toner and our exclusive Zero Landfill cartridge recycling services.

Of course there are endless ways you can leverage the quality, affordability and sustainability advantages of adding remanufactured printers to your hardware or managed print strategy. The question becomes, if you believe your customers are really buying pages and not printers, how long should you wait to educate yourself on the industry's latest breakthrough that delivers sustainable profitability on new and existing fleets.

If you’re currently one of the 98% not yet selling remanufactured printers, maybe now is the time to turn the tables on your competition with a greener print strategy that helps your customers save money and the environment.

To learn more, click below for our new report on “The Common Myths vs. Realities of Remanufactured Printers.”

myths vs realities

Tags: toner cartridge recycling, LMI Solutions, save money on printing, aftermarket toner, remanufactured printers

Remanufactured Printers – Why Use Them In Your MPS Program?

Posted by Gary Willert on Thu, Sep 06, 2012 @ 11:08 AM

Refurbished Printers- are they a fit for your MPS Program?

If you haven’t quoted an MPS deal that included remanufactured printers yet – you’re not alone. Talking to as many MPS providers as we do, it’s nice to be able to help you and your business get in on the latest shortcut to fleet profitability next to the explosive growth we’re seeing with our new Delta E aftermarket color toner series.

Before we get started with the information you need to know, here’s a common definition of what a remanufactured printer is:

“A remanufactured printer is a print device (normally laser) that has been restored to its original condition and performance capabilities. All necessary parts and components are repaired or replaced to “like new” standards before undergoing stringent testing and quality assurance checks. All customer facing panels are thoroughly cleaned or painted to offer the appearance of a “new” printer. Most remanufactured products are fully supported with a replacement guarantee to ensure satisfaction at the dealer and end user levels.”

Although the definition and quality of the remanufactured printers may vary, the benefits of including them within your MPS strategy remain consistent.

Here’s why many of North America’s top MPS providers have already jumped on the on the remanufactured printer band wagon!

  • The Environment – over 85% of printer components can be recycled and this can lead to a very compelling value proposition for sustainability driven prospects and tenders positioned as part of a “Greener Print Strategy”.
  • MPS Profitability – most of the top MPS providers in the country would agree a remanufactured printer (ex HP 4000 series) running an aftermarket cartridge like  Max-Life Cartridges could be the most profitable combination on the planet. Next time your prospect tells you that your cost per page is too high, remember what you just read here and give us the chance to help you win.
  • Full Warranty – your customers may ask for product warranties but normally that falls on your shoulders when you bill an all included cost per page in mono or color. The good news is that each of our remanufactured printers comes with a full warrantee so you and your customer are covered.
  • Parts & Service Availability – you know the aftermarket industry tries hard to keep up with the latest OEM product and consumable releases, but have you ever thought about your poor technicians? Perhaps the biggest benefit is the comfort level in knowing there are plenty of parts available on previously enjoyed models. Plus, you’re service personnel or 3rd party service providers tend to be very proficient working on many of the popular models now remanufactured. If you look into the remanufactured models we provide LMI dealers, you’ll quickly see that those problematic models that didn’t perform in the field didn’t make the cut for obvious reasons.
  • Consumable Selection – just like the vast availability of parts for remanufactured models, you should expect the same readiness when it comes to fulfilling consumable orders. No stock outs, no waiting for another boat to cross the ocean, no more apologizing to customers. From a toner manufacturer’s perspective, the HP 4000 Series continues to be the most demanded line of toner cartridges even though those models have long left the showroom floor.
  • Fleet Consistency – imagine a world where every printer your customer walks up to has the same user interface. The same paper access areas and the identical cartridge for them to store and you to ship. You get the picture? Less end user confusion, simplified inventory for them, and a whole lot less work for you. For those MPS clients who place a value on end user productivity, the opportunity to offer staff the same device at all locations can be extremely compelling.
  • Ink Jet Replacement – if you’ve sold managed print services for more than a month, you’ve already figured out that you need a replacement strategy to unhook those nasty ink jet printers form the arms of end users claiming they need their own device. One dealer told us if you filled the gas tank on your car with ink jet liquid toner it would cost over $30,000. Yes, that’s right there were four zeros in that number. So the question becomes, what will be your strategy to replace the next profit eating ink jet that shows up on your print assessment? With the new low cost of remanufactured, field proven laser printers, now you can afford to bundle in an upgrade and start enjoying the benefits listed above.

Did you know LMI now offers Remanufactured Printers? Yes, we admit this is a shameless plug at the end of such an informative blog, but why keep something so good for your MPS business a secret? Take a moment to familiarize yourself with our full line of performance guaranteed remanufactured printers.

Preview this video to learn about our line of top quality refurbished printers!

Do you have a blog topic you’d like us to comment on? Share it with us and we will reward you with 20% off your first order or our new DELTA-E Color Toner Series!


Tags: remanufactured printer, MPS, remanufactured cartridge, aftermarket printer, aftermarket color toner, aftermarket toner, refurbished printer

The Managed Print Summit & World Expo 2012 - 4 Key Takeaways

Posted by LMI Dealer Content Team on Tue, Jul 31, 2012 @ 10:11 AM

MissedOutWorldExpo (2)

 

If you blew off the World Expo 2012 weekend to go golfing with the boys or spa it with the girls, never fear—as always, we've got your back and we've put together the 4 critical takeaways from the weekend to report back to base with.

First thing you need to know about the Managed Print Summit event—woo-eee was it hot in Vegas. And so were the speakers and educational takeaways. 



Here are the 4 critical takeaways from your 'got-your-back' team at LMI Solutions:
 

1.  Disruption is GOOD

               You'd figure Samsung would put forth a good speaker—and they did, Senior Vice President, Tod Pike. Tod made an astute point that today's consumers are already reconfiguring their devices with money-saving modifications.  With just 2% of office print output being produced on “11x17” paper and today’s A4 print devices at 1/4 the price of A4 MFP devices, it becomes clear that there is an excellent opportunity for basic print assessments and Managed Print Services.

 2.  Leverage your Core Business

While windows of opportunity feel like constantly-moving targets, multiple experts have clearly stated it is critical to success to expand your business in ways that leverage and magnify your company's core competencies. Experts who noted this cited numerous examples, all with the same theme: that if you reach too far too fast, you may harm your business and damage successful relationships that you've spent years cultivating. 



Many successful Managed Print providers have been contemplating the expansion of their offering to include things like Managed IT Services.  Some have even gone so far as to offer alternate services, like wide-format printing, drinking-water and coffee services. Experts advised us at World Expo that when expanding from your core competencies look for new lines of recurring revenue sources, new ways to increase your share of your customer's wallet, and strengthen your value proposition.

3.  Aftermarket Color Toner is on the Rise

Color toner hasn't seen the aftermarket burst that we saw with black toner yet.  We emphasize the word “yet”.  In fact 93% of the color market is still owned by OEMs. It became apparent at the Managed Print Summit that color toner is ripe for the picking.  Ripe because customers have already been introduced to aftermarket products thanks to the black toner revolution.  For most it seems obvious now is the time for MPS providers to pounce on color—because according to one speaker, the lions share of the 900,000 printers sold monthly are color-enabled. 



The consensus amongst the 'in-the-know' veterans is that the aftermarket color toner market will offer an unfair advantage for early adopters looking to lock down high-margin color pages in their market and lockout competitors focusing solely on black and white.

4.  Partner WELL

If there is one demonstrated shortcut to Managed Print success, the hundreds of MPS provider attendees seemed to agree that it is through strategic, carefully-chosen and aligned partnerships. It not only makes a world of difference for you, it matters to your customers as well. 



LMI Solutions CEO, Gary Willert, was chosen to appear on an executive panel and his suggestion that “dealers need to talk to their peers about their experiences to make educated decisions about their business” was well-received within 'strong partnerships' talks.

If you're unsure about which companies are leading the industry (wink wink, nudge nudge: partner with them), the expo recognized MPS industry leaders within the newly formed Technology United group, its members include: MWai Intelligence, Print Greener, E Document Sciences, LMI Solutions, Greenhills Software, Newfield IT, ESPEI, Intellinetics, Barrister, and Genius Bytes.

If you're one of the few who missed the expo this year and are reading this thinking--“dang, I missed one heck of an event”--be sure to ink Expo 2013 into your calendar now (July 9-11, 2013 at the Mandalay Bay in Las Vegas).

For our many friends who did attend, thanks a million for visiting our booth and for your support in helping LMI win this year's prestigious Readers Choice Award for “BEST MANAGED PRINT PROGRAM”. 


Thanks and see you at World Expo 2013!

Click me


 

Tags: LMI Solutions, managed print services, Gary Willert, Imaging Channel, Managed Print Summit, aftermarket color toner, aftermarket toner, World Expo 2012

How you can win more color print deals with aftermarket color toner?

Posted by Gary Willert on Fri, Apr 13, 2012 @ 03:11 PM

How you can win more color print deals with aftermarket color toner

We recently met with the owner of a mid-sized copier/MFP dealership who inquired about our new line of aftermarket color toner. He was complaining about losing out on a color MFP deal because his competition offered color impressions at 4-cents per page. Yes, you read that correctly - people are now selling color impressions for 4-cents per page in the commercial arena. Can you believe it? It’s the lowest price point we had heard of for a commercial deal with less than 100 units for some time – if not ever. This dealer gave us more information about this particular deal and indicated he has noticed that more of the Xerox solid ink printers are offering customers color output for the cost of black and white prints.

Of course you could argue that the cost of color is usually dependant upon the amount of color on a page, but you have to probably agree that the idea of getting color prints for the cost of black and white can sound pretty appealing to cost conscious buyers in today’s economy.

After listening to the additional and all too common details about why this particular deal went south, the dealer asked us how he could improve his chances on the next color deal and protect the long term value of his current color volume from the competitor to whom he just lost, who he referred to as “the 4-cent color guy.”

We talked about two ways his dealership could win more color deals. The first way was to teach his entire sales team how to expand a lower margin hardware deal into a Managed Print opportunity, where the dealer could spread the lower margin device over multiple higher margin units across the fleet. In essence, break even on the color device and make it up on the monochrome printer fleet – sort of like losing the battle to win the war.

Of course, this dealer understood the MPS value proposition and had an MPS page on his website, but the actual competency within his organization to sell and manage a customer’s fleet didn’t really exist. As a result, maybe this sales team shied away from completing a proper print assessment to fully understand the true scope of the deal. Like so many deals that are won today, the company that did the assessment ended up winning the business here as well.

To prevent this from happening again, we recommended this dealer consider the Peak Performance MPS Sales Training System.  We showed him how over 2,000 sales reps have elevated their managed print selling skills and their confidence to compete and win on similar deals.


To compete and win more profitable color pages under contract, another suggestion was for this dealership to leverage the growing popularity of aftermarket color toner. If you’ve been in the industry since the 1990’s, you know aftermarket toners of any color have gone through their growing pains. And as a result, there are still big question marks looming whenever OEM alternatives are discussed in low margin transactions.

As this dealer will soon realize, a lot has changed over the last few years, and if he is serious about defending his base and beating “the 4-cent color guy,” it would make sense for him to rethink his perceptions and learn why more and more of the top copier/MPS dealerships are now reaping the rewards of the latest generation in color toner technology.  Who knows, maybe “the 4-cent color guy” is already using aftermarket color toner, and that is how he achieves his lower cost margins!

Are you winning low margin color deals? Let us know, we would love to hear about it!
Come visit us at booth #613 at ITEX in Las Vegas.

 

Additional Resources

2012 MPS Guide
How to Jumpstart your MPS sales in 30 days

Tags: print assessment, color printing, managed print services, color toner, aftermarket color toner, aftermarket toner, color print volume, color impressions, color toner technology