Why Buying Refurbished Server Hardware is Smart

Succeeding in today’s ever-changing and climbing business world requires a solid and dedicated commitment to Information Technology.  With IT managers that are always looking for the best bang for their buck, considering the purchases of refurbished server hardware is a good place to start.

Why Buy Certified Refurbished?

The obvious answer to that question is overall cost.  Refurbished hardware is typically sold at a fraction of its original cost, and the products are as good —or better—than what comes out of the box brand new.  Using refurbished technology can save your business from 40% to 80%. In today’s marketplace, more data centers are buying and using refurbished items for work areas and IT departments.

Large companies often upgrade their IT operations every couple of years or so. Reasons include opting for the latest technology that suits their needs, or because they must do so based on service agreements with equipment manufacturers. On average, many data centers utilize servers for only two or three years, but the usefulness of this equipment is up to 10 years or more.    

Define “Refurbish”

The term “refurbish” may sound scary because, after all, it really means that the equipment has been used before.  But certified refurbished hardware is not damaged, and, in fact, it goes through a thorough regimen of cleaning, testing, upgrading, and inspection before being resold in the computer marketplace.

Refurbished items are:

• Manufacturer take outs
• Moving sales
• Short term lease units
• Customer returns
• Canceled orders
• Overstock of store merchandise
• Asset recovery
• Minor scratches or dents that don’t affect the item but cannot be sold as “new”
• Discontinued items 
• Returns from businesses that need something different.  

Certified Refurbished Vs. Reconditioned Vs. “Used” Components

Certified refurbished and “used” are not the same thing when it comes to re-sale   Knowing the difference will help you purchase the best equipment for your business, and at the best cost.

Refurbished

Certified refurbished computer hardware is scrutinized by a third party (not the manufacturer) for excellence.  Units are cleaned, tested, and updated. Upgrades include re-configuring drivers, patches, microcode, ports, motherboard cards, security and bug repairs, components, and firmware. If the unit needs something, the refurbishing process will get it done.  Warranties will be in effect (depending on your supplier’s policy).  

Refurbished is just as good as new! Talk to a sales professional who can help you decide what works best for your business.

Reconditioned:

The term “reconditioned” is pretty much the same thing as “re-certified” and “refurbished.” All three words mean (or should mean) that the computer hardware has been tested, cleaned and upgraded but the warranty policies may be different, depending on the supplier. In any case, when purchasing anything listed this way, be sure to note what exactly is included in the warranty.  

Used:

“Used” hardware is typically sold as-is.  It does not undergo testing, upgrading or cleaning. Warranties are void. Equipment may be outdated. “Used” products may have the original codes implanted, but they would not be upgraded to suit their latest requirements. Pieces may be broken with no recourse on resolving the issue.

There are positives to buying computer hardware (and software) that is “used.”  Products that are five years old or more sell for a good price, especially if they are no longer on the primary market. Older units in basic, used condition are great for finding parts to fix what you currently have in use.       

Buying something “used” can definitely save businesses money in the short term, but the outdated technology may not be suitable for your needs.

Ecological Benefits to Buying Refurbished Units

Environmental sustainability is a term we hear and use a lot in 2018, and with good reason. The more items that are manufactured in the United States and around the world, the more trash that eventually ends up in landfills or, worse, is illegally dumped in forests and oceans.  Utilizing refurbished items help to reduce the amount of things we accumulate.   The more we recycle the raw materials harvested from natural resources, the better our environment will be for years to come.

So …

 Buy certified or authorized refurbished computer hardware because:

• Prices are discounted
• Products are in excellent shape
• More extensive testing than new pieces, because distributors want to make good on sales in the secondary market  
• Returns and seller warranties are specific to the product
• Re-using the “old” has a positive environmental impact.

Finding a Good Deal

Part of finding a good deal when buying refurbished components is working with a business or sales person you trust. It may be optimal to deal directly with the manufacturer but it’s not always possible or, for that matter, necessary.  Many great companies are in the business of upgrading and reselling refurbished items on the secondary marketplace. When buying refurbished products, determine who is responsible for the work, whether it’s the manufacturer or a third party.      

 IT Xchange provides refurbished server hardware to resellers around the globe. Work with us to see greater margins and customer retention by bringing hard-to-find product at competitive rates. Contact us to learn more.