CUSTOMER BUYING MACHINES

I've had a couple of deals I was working on this past month where the prospect decided to buyout their current system. As for dollar out leases I just do the math and I can generally show them why it isn't a good idea, even if they "think" they want to keep the equipment at the end of the term. I think it is upon us to get them to look at the unit as an intergral part of their overall technology and not treat it as a commodity but as a system that could severely impact the overall productivity of the office environment as the term draws to an end.

you're probably going to start seeing this even more. When there's fear in the economy, people look long term, they are hoping to longer life out of the current technologies and equipemnt before things get real tight and they can't afford it.

I agree.

I think this tread goes hand in hand with the other thread on the board about the resurgence of used gear being more accepted (and profitable).

For a number of years there has been such a quantum leap in technology, features and lower prices that it was a no brainer for the customer to upgrade.

Today the new features are cool but somewhat niche type features that don't always have universal appeal.

If they have a machine that currently meets their needs then it will be tougher to upgrade.

I've noticed that as well. The first two months of 2008, customers were buying left and right, March was like it never happened, which I assumed had to do with customers having to pay for taxes. April isn't much better.

But the lease contracts that are coming due in the next month or so, the customer has already said that they intend to either renew for another year, or purchase.

We've seen this trend happen before, and we just have to work smarter to get through the tough times.

As much as I hate to say it, let's be real...how much less "integral" will a connected 2022 be than a 2550? Does the 2022's lack of color scanning make it a technological liability? I am as committed to this business as anybody but this is a tough sell.
You can feed your ego or you can feed your family but you can't do both.

You will always have customers who move you to a "bottom dollar" box sale. Those you spend as little time with as possible and move on. Finding and working with those customers where you provide a solutions based program will not only allow you to move beyond the commmodity to something that pays you and helps them. Those who live by the slammed deal will die by the slam deal.

There often times is no reason a 2-4 year old unit cannot be a part of a complex "solution" sale. As a matter of fact, it may be the ideal way to help with the funding of a beneficial but difficult to justify solution like eCopy can be.

no doubt about it. in the end it is about doing what is best for the customer; in the long run, it all works.

I too have had a few customers that have bought from copier wholesalers that are selling on the web. In fact they are selling these units at the same cost that they will sell to us.

The problem that arises with selling pre-owned, used, refurbs, is that the leasing companies will not fund these units at FMV, it's a $1.00 out which can then create some other hoops we have to jump through. Over the years I have always tried to stay away from anything used. You don't know the machines service history, and sometimes these systems with low meters came back for a reason.

However, in order to feed the family, pre-owned will have its place in my arsenal of tools.

If we had to get our used machines from wholesalers, I wouldn't be as positive about selling them. Most everything we sell that is used, we sold and maintained from the beginning.