Why Buy Refurbished IT Equipment?

introduction

To stay ahead of the competition, executives are constantly challenged to invest in the latest technology equipment without adversely affecting their bottom line. A CIO.com article dealing with used IT hardware found that “more than three-quarters (77%) of survey respondents said that their organization purchased secondary market IT equipment.” Successful executives realize the benefits of purchasing used equipment, including lower cost of ownership, speed of delivery and system performance. In this whitepaper, we outline why the best value for your company’s dollar lies with used computer equipment and how it allows you to do more for less.

1. reduces Total Cost of Ownership (TCO)

Savvy executives know that used IT equipment offers significant savings off the price of new equipment, while still maintaining the same quality standards associated with new equipment. Equipment depreciation usually occurs within one to three years of equipment purchase. Unlike new equipment, used equipment does not depreciate as drastically. This helps to retain the remaining value for the life of the hardware, which helps companies achieve a better overall return on investment (ROI). These lower acquisition costs, along with reduced maintenance needs and contracts, combine to provide companies with a reduced total cost of ownership (TCO).

A CIO.com article dealing with pre0owned it hardware found that “more than three-quarters of survey respondents said that their organization purchased secondary market it equipment.

2. enhances performance driving business improvement

The most often used objection to used IT equipment is that it is unreliable and offers poor performance. Many executives do not realize the general industry timeline for a server to fail is within its first 48 hours of operation. With used equipment, this risk is greatly reduced because it has already been tested and used. CIOs who initially turned to the secondary market for cost savings found that their used hardware performs at virtually the same level as new equipment and that the increased price of new equipment does not justify the expense. used equipment vendors are also able to offer more configuration options, such as larger hard drives and higher capacity memory, helping companies customize the equipment to their specifications. In addition, most vendors employ certified product engineers who put their used equipment through a rigorous testing process to ensure flawless machine performance and satisfied customers.

3. allows compatibility with your operation’s system needs

One benefit enjoyed by companies that purchase used equipment is compatibility with existing systems. In their quest for the latest and greatest technology, many executives do not realize the significant staff training and downtime associated with a move from their current hardware and operating system to completely new technology. Used equipment allows companies to get the technology they need without necessitating a move to a new operating system. This allows for a minimal learning curve to get the system up and running since the IT staff is already familiar with the operating systems. It also reduces downtime due to system modification and configuration, something many companies experience when introducing new technology that does not mesh with the current server environment.

Used equipment allows companies to get the technology they need without necessitating a move to a new operating system.

4. offers flexibility and the choice to personalize equipment

Used equipment offers companies the unique opportunity to mix and match equipment from multiple manufacturers, enabling them to create solutions customized to their needs. Used equipment vendors stock hardware from most major manufacturers, from hard-to-find late versions of equipment to the newest technology, allowing companies to choose equipment from all available options to best fit their needs. Unlike new equipment, which is often sold in bundled packages, used equipment sellers are generally “vendor neutral” with no allegiance towards a particular brand. Executives have come to realize that this method of purchasing allows them to find the equipment they need that is the most compatible with their existing environment. In addition, used equipment often comes with attractive financing, such as leasing and rentals.

When a machine is ordered from a used vendor, engineers can go right to work on customizations and, in many cases, can ship the merchandise in as little as 24 hours.

5. provides speed of order execution and implementation

Executives purchase IT equipment when there is a specified need, so the faster they receive this equipment the quicker their needs are fulfilled. New equipment often takes weeks or even months to arrive from the manufacturer due to equipment backlogs and long production times. Used equipment vendors have an inventory of equipment in stock, so that when a machine is purchased their engineers can go right to work customizing it. In many cases, they can ship the merchandise in as little as 24 hours. The ability to receive the needed equipment in a short amount of time contributes to overall improved company production and increased profits.

Executives are also finding that used equipment offers the same reliability and performance as new equipment with added customization options.

executive summary

Successful IT executives have discovered the benefit of used equipment to their bottom line. By purchasing used equipment at significant discounts compared to the price of new equipment, companies are able to reduce their Total Cost of Ownership. Because this equipment has already depreciated and retains its remaining value, they are able to simultaneously boost overall Return on Investment. Executives are also finding that used equipment offers the same reliability and performance as new equipment with added customization options. Being able to get used equipment that is compatible with their current systems has helped many executives eliminate costly staff training for new systems and also reduce network downtime. This vendor-neutral approach to selling equipment allows companies to mix and match systems to create the right fit for their environment. Finally, the ability of secondary IT market equipment suppliers to deliver equipment quickly, efficiently and in top condition allows executives to focus their attention on other tasks and contributes to increased overall company production.

Download Attachment