Five years ago, Managed Print Solutions was less than mainstream for most. Now, it’s recognized as the present and future way to manage hard copy output.
You only need consider the following industry facts to know why this is true:
• In the U.S., corporations spend 1 to 3% of total annual revenue on printing.
• A stunning 40% of IT help desk calls are printer or copier related, a waste of high-value professional time on paper jams and toner orders.
• A full 50% of imaging fleets are greater than 5 years old, and are becoming increasingly expensive to operate and maintain. Yet few businesses have a strategy that minimizes replacement cost and maximizes return on their capital investment. But even though companies in the U.S. spend up to an astonishing 3% of their gross revenue on printing, few have the ability to track printing costs. On average, American companies recognize only 10% to 20% of the business costs of printing, according to an ALL
Associates study. As a result, businesses dramatically under- estimate actual costs and overlook savings opportunities,
We knew something had to be done to help businesses realize cost savings.
When the industry set out to create a Managed Print program, we chose a solution with intent and purpose, rather than an a la carte menu of services that customers could choose. Parts Now! Managed Print Solutions distinguishes itself from other Managed Print Services programs in a number of ways.
Why did most printer repair companies and a host of others establish a MPS program? We recognized that the printer dealer universe was trending away from a more transactional break- fix mode to a solutions focused customer engagement. Five years ago, we saw that MPS was an opportunity for customers to be more effective selling, servicing and managing their customers’ fleets.
The goals of our MPS program: protect our customers and help them better partner with their customers. The old adage, take care
of your customers and business will take care of itself applies to the philosophy behind our MPS program.
With the introduction of remote monitoring software technology, it became clear there was going to be a big switch away from the break-fix model in the marketplace. We knew dealers would benefit from the technology, yet knew would need a hand getting an MPS program up and running, and generating efficiencies for their busi- ness. Remote monitoring software is expensive to buy, and it’s complex to use, leaving many small- to mid- sized dealers at a disadvantage.
Our solution provides hosting allowing access to this valuable software with little up-front fees. But we knew that technology alone does not solve problems. Beyond that we created a program to include sales coaching, turnkey marketing, service technician training, compatible parts, remanufactured printers and premium toner.
Used together, we have evidence that this approach works to cut expenses by as much as 20% to 30% over time, and maximize the value of print management.
Finding the savings
A 2010 MPS survey from InfoTrends showed that the number one reason companies engage an MPS program is to improve costs. Vendor support and service for printers were also rated high in
the survey. Another report showed MPS growing to 35% of the total imaging market in 2012.
The bottom line in MPS: Gaining savings where firms didn’t know there was any in the first place. That advantage plus the MPS model of partnership building will determine dealer success into the future.