How Managed Print Can Protect Your Toner Business from Amazon

Posted by LMI Dealer Content Team on Mon, May 27, 2019 @ 03:46 PM

amazon_lmi solutions

The Internet has changed the way we all do business. Today, your customers can compare prices for supplies like toner from a variety of vendors in just seconds. As office products face commoditization, there’s never been a better time to shift your customers to Managed Print Services to avoid competing on price.

It’s the on-site service component that online retailers can’t touch. This is how the top imaging dealers are protecting their toner business while growing their recurring revenues with Managed Print. When you wrap a service element around your toner sales, you can immediately make the shift from contractual toner sales to a contractual sales model.

This will protect your accounts and your margins by shifting to an MPS model. 

Amazon Has Changed the World and We Need to Change Too.

Amazon has changed the way we buy and sell. Their success largely stems from their innovative technology platform and the appeal of a “better deal” if you purchase online.

“Amazon has almost 50% of the e-commerce market and is expanding from B2C into B2B” - eMarketer 

By making it easy to buy, offering low prices, having an unbelievably wide selection of products and offering quick delivery, Amazon has solidified its place in the market. Office supplies like toner have become commodified making it difficult to compete against a behemoth like Amazon. 

Amazon has captured much of the B2C market and has recently shifted its focus to B2B sales with the launch of Amazon Business. This change is especially relevant to you if you sell A4 devices and lower-end MFPs. But again, Amazon won’t service what they sell and this is the Achilles heel we need to exploit with people who buy toner by the cartridge.

How to Protect Your Toner Business

Adding Managed Print Services to your stack of services makes you “stickier” with your customers and allows you to mask your toner prices in your cost per page, cost per seat or any other billing model. Plus, MPS is a more comprehensive approach adding more value to the business relationship that now includes:

  • Printer monitoring
  • Automated Toner Replenishment
  • On Site Service
  • Expense Visibility
  • Usage / Cost Control
  • Toner Cartridge Recycling

Simply put, Managed Print provides your customers with additional value that Amazon doesn’t. Consumables become just one aspect of the services and you’re able to add value by keeping your customers' fleets up and running, reducing downtime and removing the burden of print to keep employees focused on higher priorities. Plus, the data you collect can often lead to helping your customers cut costs, reduce avoidable waste, improve workflows and the security of their confidential data with newer print technology, and reveal a better way to manage their hardcopy and digital documents.

When you examine the opportunities of Managed Print, there are lots of competitive advantages you'll be able to provide to your customers that Amazon can't!

The Takeaway...

The Amazon effect will continue to grow in the coming years. Today, many SMBs have unmanaged print environments and are receptive to the benefits Managed Print Services provides. By including a service element to your business, you'll be offering your customers more value that they'll never get from Amazon.

Want to learn how you can add Managed Print Services to your offerings? LMI Solutions offers a turnkey MPS infrastructure that can help you shift your business from transactional to contractual toner sales and give you the competitive edge that you need to stay ahead of Amazon and the other online e-tailers.

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Tags: LMI Solutions, printer toner, Print toner, managed print services, amazon, toner sales

Why Blind Drop Ship Toner Orders?

Posted by Gary Willert on Tue, Aug 21, 2012 @ 10:22 AM

Blind Drop shipping

Do you get asked this question all the time? Big dealers, small dealers, VARs – you name it.

Do you have an answer? Perhaps you do, but if you’d like to know why more and more MPS dealers and VARs are asking you to deliver their toner orders directly to their customer’s door – read on.

Below are seven reasons why some of North America’s top MPS providers now use “Blind Drop Ship” service to build margin and responsiveness into their infrastructure.

If you’re new to managed print, the term “Blind Drop Shipment” means that the toner ordered for your customer is shipped directly to them by the MPS provider, with your brand – your company name, logo and contact information on the packaging. Your customer is “blind” to any third party facilitation of their toner order.

Top 7 ways Blind Drop Shipping can help your MPS business.

  1. Less Inventory – the wonderful world of managed print will likely require you to support a wide range of printer makes and models. Why inventory more than you have to?
  2. Faster Delivery – 1-2 days faster delivery times to the end user are common because you don’t have to handle the order and reship it to the customer.
  3. More Profit– you don’t have to pay to reship from your facilities to the customer.
  4. Less Space – free up space in your service area for revenue generating activities like rebuilds or in shop repairs.
  5. Order Accuracy – order processing you can count on with advanced custom labeling software allowing input fields for end user name and specific internal delivery location.
  6. Order Visabilty – the advanced order tracking system has been a real hit with dealers because you get online real time information when you need it.
  7. Your Brand – each cartridge is delivered with your company name and branding information. Your customer will think you sent it yourself!

You know your business best. If you’d like to learn more about how and why other managed print providers are now blind drop shipping more than ever, simply contact us or share your thoughts on this blog. We would love to learn from you experiences!

Click below for your free MPS profit opportunity calculator 

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Tags: MPS, Print toner, blind drop shipment, Blind drop toner, MFP Toner