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 are Remanufactured Toner Cartridges so Popular?

Posted by LMI Dealer Content Team on Tue, Nov 18, 2014 @ 11:09 AM

Remanufactured Toner

In business, timing is everything! If you’re a reseller of toner products there’s never been a better time to expand your offerings to include remanufactured toner cartridges.  The opportunities for managed print in SMB are plentiful, technology has made execution much easier and the new quality standards of remanufactured toner and printers has risen to and above OEM levels. Add that to a recovering economy where many companies are looking to reduce costs and their carbon footprint and you can see why adding remanufactured products can be the perfect business solution for you and your customers!

Here’s a few compelling reasons remanufactured toner cartridges have become so popular:

 Growth in Managed Print Services – Without a doubt,  the MPS market is growing. In fact a recent survey by the Photizo Group found that 72% of small to medium businesses currently have no MPS programs in place. That’s a lot of opportunity below the enterprise level. Grow new revenue streams with high-margin remanufactured mono and color toner in your MPS program!

• Quality of Remanufactured Toner Cartridges is No Longer an Issue – The resurgence of decentralized printing has created rapid growth of desktop printing; hence the huge demand for an affordable alternative to expensive OEM cartridges. For today’s end user, quality control and new levels of product technology have exponentially increased the quality of output remanufactured cartridges can deliver in monochrome and color.

• Use of Color has Skyrocketed – The appeal of color continues to be the preferred version of printed documents in business. To accommodate the growing demand, higher quality remanufactured color toner alternatives provide a very compelling reason (and much lower cost-per-page) for making more documents produced in color vs. black and white. Plus, when you can achieve longer color page yields in MPS programs and lower your cost per page by 40-50%, remanufactured color toner is now gaining the same acceptance that monochrome toner has at both the reseller and end user levels.

 Manufacturer Distribution Policy Changes - On November 1st, the industry’s biggest name in office printing put more stringent rules in place for dealers reselling their OEM toner products.  Other manufacturers are showing signs of “channel distribution rightsizing” and are likely to follow. This is a huge opportunity for toner resellers to protect your business with a strong remanufactured alternative. This will allow you to grow your margins and win new business from your competitors who are slower to add an aftermarket alternative before it’s too late!

• Huge Profit Margin in Mono and Especially Color – As the price (and margins) of hardware continue to decline, selling remanufactured toner cartridges offer resellers a great opportunity to recover high margins within their portfolio. With an average of 40-50% more gross profit compared to OEM consumables, you can offer your best customers a price break and still have plenty of margin to add to your own bottom line. That’s a win-win!

If you're currently selling OEM toner products, now may be the perfect time to learn more about remanufactured toner options and how other resellers are leveraging with LMI Solutions. With the opportunity of recurring profitability as BIG as it is, maybe now is the time to rethink your toner strategy for 2015?

Click to learn more about your potential as our partner with the 2014 LMI News!

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Tags: printer toner, remanufactured cartridge, managed print services, color toner

Top 10 MPS New Years Resolution - Part 2

Posted by Gary Willert on Wed, Feb 13, 2013 @ 09:30 AM

describe the imageBefore your calendar flips to March, maybe now is the time to reassess your business strategy for the year ahead and make some New Years Resolutions to grow the top and bottom line of your managed print business. Last week we featured the first 5 of the TOP 10 MPS New Years Resolutions we collected from our dealers throughout North America. This week we are proud to share the remaining commitments we heard most often from your peers heading into 2013.

         6.  Reviewing MPS Compensation Plans: there is little doubt amongst  the masses that the right compensation plan will fuel the fire for your sales people to prospect more, propose more, and sell more MPS deals. If you’re looking to get some insight on the hottest MPS compensation plans in the industry – download our FREE 2013 GUIDE TO MPS COMPENSATION – a must read for today’s Managed Print business leader!
           7.  Executing Quarterly Business Reviews: If there was one common gap in the MPS account management process last year, it has to be the absence of formal Quarterly Business Reviews. Now that you’re selling a service and not a box, you need to prioritize these recurring huddles with your customers to grow the business and protect your recurring revenues.
             8.  Optimizing Website for MPS Searches: Have you ever “Googled” Managed Print Services in your area? According to the Gartner Group , 70% of people will perform an online search for a product or service before they engage the vendor. If you need help in this area, check out our new SEO Services. Maybe we can help you get more managed print sales leads from local prospects?
               9.  Growing Page Profitability: Only you know if your customers are open making the shift from OEM to compatible toner. Based on the overwhelming demand for our exclusive Maxlife High Performance Cartridge Series in 2012, the benefits of higher yields, bigger profits for you and a greener print strategy for your customers seems to be catching on!
                 10.  Leveraging Remanufactured Printers: If there are hidden gems in the managed print business, remanufactured printers could be one of them. Based on the spike in sales we’ve seen with our exclusive line of remanufactured printers like the popular HP 4250, perhaps you need to rethink the hardware you’re proposing. These units are completely rebuilt and come fully guaranteed to help you win more MPS deals at a price point where you can replace those nagging ink jet printers or those off brand makes and models you simply don’t want to service. To learn more, click here to see the most popular models we sell and preview our video to see the printer remanufacturing process we use!

              Do you have a 2013 New Years Resolution that we didn’t have on our top 10 list? If so we’d sure appreciate if you shared it with us!

              Click here to view part one of the Top 10 MPS New Years Resolutions 


              For your free e-book on how to jumpstart your MPS sales in 30 days, click here

              Jumpstart MPS sales 

              Tags: remanufactured printer, MPS, printer toner, website optimization, managed print services

              Top 5 of 10 MPS New Years Resolutions! (Part 1 of 2)

              Posted by Gary Willert on Thu, Jan 17, 2013 @ 08:30 AM

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              Every year most of us raise a glass or tip our hats to something we plan to change in our lives or in our business. We all have good intentions don’t we? Unfortunately stats indicate that less than 20 percent of us will actually follow through on our personal commitments by the time the calendar flips to February.

              So we thought we would ask – How are your 2013 MPS New Years Resolutions coming along? Hopefully you’re part of the elite 20% who are making things happen! And for those of you who may not have made any resolutions regarding your managed print business, we thought you’d like to see the first 5 of our top 10 list that other US and Canadian MPS providers are committing to do this year.

              1. Exploring IT Services: If you’ve read any of the trade magazines, followed the blogs, or just been alive for the last 6 months – you know there is a growing buzz about Managed IT Services. The benefits make sense, the question most of our dealers ask us is - How do I get there? And next week in Phoenix, we are proud to join our fellow Technology United members to unveil some of the latest technology enables and solutions to help you become an MSP (Managed Services Provider). The goal of next weeks conference is to provide dealers, IT VARs, and Office Products Retailers with practical information and workshops to expand their recurring revenue streams and elevate their value in any account.
              1. Focusing on High Margin Color Pages: If you’re experiencing early signs of commoditization on the monochrome pages in the fleets you’re bidding on, perhaps now is the time to bring more high margin color into the mix by targeting more of those juicy high margin color opportunities. Without question, there is huge opportunity to grow your profits this year with more color pages under contract.
              1.  Investigating Blind Drop Shipping: If you haven’t joined the shift already, maybe now is the time to rethink your supply chain management process. Next week at the Technology United Executive Connection Summit in Phoenix on January 22-24 , we will be sharing how one of our top dealers has revolutionized their traditional “bricks and mortar” onsite inventory model to a blind drop ship fulfillment model to speed up delivery and add to their bottom line.
              1.  Updating Your MPS Value Proposition: If you asked your salespeople why someone should select your MPS program over a competitor, what would they say? You know how much your business has changed in the last year and you have to believe that your competition has as well. This is why so many of your peers are creating a 2013 MPS value proposition that is fresh and compelling instead of repurposing what they used in 2012. Ask one of you reps to see if this should be one of your MPS resolutions!
              1. Hiring the “Right People”: From our experience working with over 700 MPS providers in all shapes and sizes, there seems to be one common formula that hasn’t changed in years – people still buy from people. If you’re in the market to hire your next MPS salesperson, try our recent release: How to interview an MPS Rep filled with real world tips to help you select a winner!


              Check out our next blog with 5 more of our TOP 10 MPS New Years Resolutions! And stay tuned for more from the ECS event next week in future blogs. Or maybe you want to take action today and book your seat to join us in Phoenix and get a jump start on your competition and your 2013 MPS New Years Resolutions?

              Tags: MPS, printer toner, blind drop shipping, managed print services, toner cartridges