Home > Uncategorized > Why an Old (Paid Off) Copier Can Easily Be Costing You More Than a New One

Why an Old (Paid Off) Copier Can Easily Be Costing You More Than a New One

 

 

I recently received a call from an organization in Northern Virginia. Someone in the organization had been reading this blog and contacted me because they were curious if there was any way they could get a new copier for anywhere near what they were paying for their existing copier.

The copier they had was an older Cannon Image Runner that printed/copied at 20 pages per minute in black only and had very few of the  features that are available today. The copier was donated to them several years ago (already used) and had been serving them well but they wanted a little to see if they could upgrade to a newer, better copier(maybe even a color copier) for anywhere near what they were currently paying.

The service contract was about to renew for another 12 months and the existing copier company was asking this organization to pay$1,750.00 for 35,000 black copies/prints for the following 12 months. That’s 5 cents per black print/copy. OUCH!!!

5 cents per black copy/print is VERY expensive.

In the existing copier companies defense the Cannon is very old and probably very inefficient in it’s toner use. But 5 cents still seems high.

After asking a lot of questions and making sure I understood their needs I created a proposal for this organization complete with full cost analysis comparing what they have now to what I’m offering.

I have cut and pasted below that actual Cost Savings Analysis I included in the is customers proposal.

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Copier Cost Savings Analysis

 

Current Situation

XXXXXX currently has a Cannon ImageRunner 1021F which prints and copies at 20 pages per minute.

The cost for a new 12 month service agreement from your existing vendor, which includes 35,000 black copies/prints, would be $1,750.00.

Proposed Solution

ABS-Toshiba is proposing a brand new Toshiba e Studio 2050c color copier.

The  lease payment will be $92.43 per month for 39 months for the new

Toshiba e-Studio 2050c.

The service plan for the Toshiba would be $784.00 per year ($65.33 per month) for 7,000 color and 28,000 black copies/prints.

The total cost for lease and service would be $157.76 per month or $1,893.12 per year if choosing a 39 month lease.

Conclusion

XXXXXXXXX can upgrade to a brand new Toshiba color copier with more capabilities for $143.12 per year or $11.93 per month more than you are now paying for the Cannon when choosing a 39 month lease.

If you were to choose a 48 month lease you would be paying $91.52 per year or $7.63 per month more than you are paying now for the Cannon.

** If you were to choose a 60 month lease you would SAVE $230.56 per year or $19.21 per month compared to the Cannon.**

Further savings will be realized by using less paper due to duplexing (2 sided printing) capabilities of the Toshiba.

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The bottom line is that this organization could get a brand new Toshiba color copier for LESS money per month provided they go with a 60 month lease.

Keep in mind we are comparing the total cost of ownership of an old Cannon copier that prints/copies only black to a brand new Toshiba color machine with far more time and money saving  features.

They can cut their paper budget by at lease 30% because the old machine doesn’t do two sided printing so every time they print a 2 page document they are forced to use 2 pieces of paper. A 4 page document now requires 4 pieces of paper where their new Toshiba e-Studio 2050c would only require 2 pieces of paper.

You get the idea.

What’s even more impressive is that if they were to lease a Toshiba e-Studio 206L, which is the true equivalent model of to what they have now (20 pages per minute black copier), saving would be considerably more.

I’ve pasted the conclusion of the Cost Savings Analysis for our equivalent model below.

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XXXXXX can upgrade to a brand new Toshiba copier with more capabilities for less money (including lease & service)  than you are now paying for the Cannon.

The total savings realized would $423.88 per year when choosing a 39 month lease.

The total savings realized would $471.61 per year when choosing a 48 month lease.

The total savings realized would $769.60 per year when choosing a 60 month lease.

Further savings will be realized by using less paper due to duplexing (2 sided printing) capabilities of the Toshiba.

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It’s an understandable misconception. Most organizations (businesses, churches. nonprofits, ect) assume that because their copier is paid off that they are saving money over leasing or buying a new one.

The reality of MANY cases like this is that I can provide them a brand new Toshiba copier for less money (including lease AND service) than they are paying now. Sometimes substantially less.

If your organization is located in Maryland, Washington DC, or Northern Virginia or Deleware and you would like a competitive quote from a copier salesperson who will always tell you the truth,  please fill out the quick easy form below and I would be glad to help.

If you are anywhere else in the United States and would like my recommendation for copier companies in your local area fill out the form below and I’ll get back to you asap.

My company carries Toshiba Copiers, HP & Lexmark Printers, Fujitsu Scanners and Dahle Professional Shredders.

In addition to the hardware listed above we provide software and services such as Managed Print Services, IT/Network Services and a full line of document management software.

If you have a general copier buying question or would like a free copy of my book, The Ultimate Copier Buying Guide, just fill out the form below. Thanks for stopping by. Come back often and most of all…… HAVE FUN!

Ed Worthington

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