Let’s be clear. The used-hardware market isn’t veering around in a yellow three wheeler. Wearing ill-fitting sheepskin. It’s not the black or grey market. It’s not dealing in the illegal or counterfeit. And it’s not selling new products outside of the channel for which it was originally intended in flagrante of all sorts of OEM rules.
The used-hardware market – also known as the “secondary market” – distributes refurbished, used, recycled and discontinued products that are in good working order. If anything, it would be green due to its environmental credentials. And it’s the market that IT professionals are increasingly turning to as companies look for significant cost savings and reduced lead times.
Gartner research* found that companies most often use the secondary market for post-warranty hardware. This is because its purchase gives the ability to increase the functional life of IT assets where the manufacturer has identified planned obsolescence in terms of an announced timetable for “end of sale” and “end of support.” Depending on factors – including product complexity and age – Gartner has found savings can be as much as 50% to 70% off the discounted price of new, functionally equivalent hardware.
So financially, the secondary market stacks up. But a note of caution about the lure of significant savings. There are risks involved which may not be acceptable to all industries or specific use cases. This market can be tricky to navigate so from the outset, it’s important to source a reputable and dependable supplier to ensure high quality standards, support and warranty options.
This point can be illustrated with new hardware, which most resellers offer in addition to refurbished equipment. Whether new in box or previously used in a production environment, superior resellers will provide proof of their testing processes to ensure no black-market or counterfeit parts are in their used hardware. Such testing also guarantees the functionality of the used equipment.
We have a proud heritage in the secondary market. And so we’ve compiled a few tips to help you tell the good suppliers from the not so good:
A supplier should be able to demonstrate some form of quality assurance, be it a vendor-approved refurbishment service or the well-recognised ISO quality standards certification.
- Consider us because we are ISO 9001:2015 certified and can give you the reassurance you’ll be receiving a genuine, high-quality product with the appropriate testing that meets original OEM standards.
Refurbishment and testing facilities
A bit like looking in the back of a tradesman’s van, a visit to a resellers facilities can tell you a lot about their capabilities and practices. It’s worth noting a significant number of resellers do not have such facilities, engineering staff or inventory on-hand.
- Consider us because we have invested heavily in a dedicated refurbishment centre, including a state-of-the-art spray booth, and a team of highly-trained engineers to extensively test all items ensuring they meet full OEM specifications.
Does the equipment come with all the necessary accessories such as rack mounts, cables and leads? Even if the equipment is of an excellent standard, it can be let down by the lack of supporting accessories.
- Consider us because our strict QC process ensures all the original accessories are included in the box. This means that you are never caught out during installation.
A good warranty demonstrates a supplier’s faith in the performance and durability of the product they are supplying. It also provides a safety net in the event of any problems if they were to arise.
- Consider us because we provide a one year return-to-base warranty with all items. So you get the peace of mind you won’t be left with a faulty, damaged, or even dangerous product.
Refurbished hardware support contracts
It’s a bonus if this can be sourced from the same supplier as the equipment itself. As well as the obvious convenience, you have assurance your support supplier really knows your product. Plus, has the knowledge and capability to address any faults, to the highest standard, even past the end of your warranty period.
- Consider us because our support services provide a single source of third-party multi-vendor network support and maintenance for new, EOL, EOS, or refurbished equipment, ensuring you can reach accredited engineers 24 hours a day.
With technology being relentless, brand new shiny kit is often the knee jerk option; perceived as better performing, faster, more scalable. But the used-hardware market provides a logical, sustainable alternative. It could help you get the most from your IT spend and free up budget for innovation. You’d be a fool not to consider it.
Want to get your mitts on quality used kit? Or have kit to sell?
Our team has over 40 years’ of experience in the secondary marketplace, sourcing new and used equipment for sale or resale. Talk to us today.
Want to learn more about our refurbishment and repair services? Check out our Value Added Services.
*Gartner Used-Hardware Resellers Offer Hardware and Support Cost Savings, Eric Goodness, Christine Tenneson. Published: 5 February 2015, refreshed: 21 October 2016