Secrets to Buying Printer Parts on Exchange And Solutions To Avoid Core Charges
Updated: Apr 8, 2019
5 Secrets To Purchasing Printer Parts on Advanced Exchange for MPS Providers and Printer Service Organizations
Buying printer parts on advance exchange was one of the greatest innovations in the printer service industry. It has helped American business cut their parts purchasing by as much as 30%.
However if you happen to be one of the companies or have an employee that has had a hard time managing the core return return process you can get into a financial hole quickly.
Many times the person managing the core return process is to embarrassed or scared to ask for help.
We all know who the bad operators are and how they have used core charges as revenue and sales functions. Some of those suppliers are still around. If a customer steps out of line, they are quick to gouge them with an outrageously high core charge and send the customer to their accounts receivable department to dispute it.
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Core charges may seam arbitrary because they are not discussed in advance. The customer is entering an agreement greater then the original transaction. Bad operators will charge the new replacement value instead of the core market value. That difference could be as high as $150 per core.
I have heard of a MPS provider hit with a $15,000 core invoice after spending a third of that on parts.
We have run into scenarios of printer service dealers wanting to leave their printer parts supplier for quality reasons but cant because they are behind on the cores they owe.
Trapped in a unhealthy customer / supplier relationship thinking if they want to get out they will have to pay for all the overdue cores first. The printer parts supplier wants you to think that but there nothing is further from the truth.
Here Are Some Ideas
1 Utilize a Core Bank
Typically a core bank is when a printer service company sends all his printer parts to the printer parts supplier to manage. The supplier identifies, records and inventories the parts. They are now available to use by the service company at a later date.
The benefits to the printer service company are it frees up space in their warehouse or eliminate a warehouse completely. The also consolidate freight and labor costs. The cores in the bank can be used for many different ways by the printer service company.
Repair and Return
Core Trading
Core Re balancing
2 Apply Cores Toward The Oldest First
So you got behind what can you do? Well here's a secret, the value of the core drops over time. Using the P4015 fuser for example. The core charge could have been as high as $60 when it first came out.
Within 12 months the supply of that core improved for the printer parts suppliers. Invoicing at the first month would have been $60 vs at the 12th month around $40.
Applying the core toward the oldest first will extends your core times without falling behind the 30 days curve. It also pushes that charge lower as that part becomes more readily available.
3 Marketable Trades
This is a large key to handling issues if they come up and is another reason to work with a small to med size printer parts supplier. They will have the wherewithal to horse trade the part you owe with another of equal value. An example would be something like "Forgive my lost HP 603 Fuser for this M605 Fuser."
4 Hybrid Options
If you are a parts reseller or someone that has trouble getting cores back there is a hybrid option. This is when the printer service company purchase outright and utilize a field return kit which contains and prepaid UPS return label and paper work needed to recycle the old part.
Historical this program yields a 50% core return which means the the next round of purchases can be split half exchange the out the half outright.
5 Solutions to Overdue Cores
Smaller boutique parts companies can offer advisory services to help you get out of the clutches of the bad operators or suppliers with quality problems.
One of which is the ability to leverage their core purchasing power to track down cores you need to send back at dramatically lower prices.
Want more ideas on how to get out of owing overdue cores or to make advance exchange better contact me at wdemuth@metrofuser.com
Metrofuser is a leading global innovator, manufacturer of printer parts, equipment, diagnostics, repair information and systems solutions for professional users performing critical tasks. Products and services include HP printer parts, printers and printer repair training. Parts include HP printer parts such as printer fusers, printer maintenance kits and other printer replacement parts. The company's, customers include office equipment dealerships, online retailers, repair centers and MPS service providers nationwide. Metrofuser has been named to Inc. Magazine’s fastest growing companies five consecutive years.