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When deciding the Budget for your IT Hardware Maintenance, you must factor in certain vital aspects. But before that, you must choose the right Maintenance Strategy. The conventional OEM Support method is the more trusted option as it has been relied upon for years. On the other hand, Third-party Maintenance is emerging as the solution for most IT Hardware Maintenance problems. TPM support fills in the loopholes of conventional Hardware Maintenance Services and saves much more of your money than OEMs. Here's why.
OEM vs TPM
When you purchase new equipment from an Original Equipment Manufacturer (OEM), you are ensured at least five years of Warranty Services. Any Service or maintenance that is to be done in those five years will be covered by the OEM issuing that equipment. Most Companies buy equipment from multiple OEMs. Therefore, you must maintain various Service Level Agreements (SLAs) for each equipment brand. In case of a malfunction, OEMs start blaming each other instead of taking accountability. Thus, seeking help from OEMs in such situations becomes counterintuitive.
After the announcement of EOL/EOSL of your equipment, OEMs start Manufacturing and Marketing new equipment. Their Business Model is based on technological advancements. the fact that your old equipment can still produce optimum results is not something they consider before pushing "better" equipment on you. Maintaining your equipment after its expiry is on the bottom of their priority list, if it makes it to the list. However, many studies on Data Center indicate that your equipment can go on serving you for at least 3 to 5 more years after expiry. Premature Replacement of Hardware brings down the Return on Investment of the Data Center.
If at all a Post-warranty Service is an option, OEMs raise its Cost by at least 15% per annum. This year-on-year increase in Maintenance Cost is the main driving force behind purchasing new equipment. Organizations consider buying new equipment more cost-effective and give away their perfectly functional equipment.
Other drawbacks of OEM resulted in the rise of a better, more customer-centric approach to Data Center Hardware Maintenance issues. Third-party Maintenance provides superior service, better savings, longer hardware lifecycle and more. However, according to a study by Gartner, the market penetration of TPM is less than 10%, highlighting a significant lack of insights into the efficiencies of TPM in Data Center Maintenance. Following are the powerful benefits of switching to Network Third-party Hardware Maintenance Providers such as thomastech.
Third-party Maintenance Services increase the Hardware Lifecycle by providing Post-warranty Services. Their main plan is to increase the Longevity of your Hardware instead of selling new equipment.
They provide Next Business Day (NBD) Service and prompt spare parts delivery. With this service, you can expect a solution within 24 hours of consultation. Hardware breakdown won't disrupt your functioning with a professional TPM provider maintaining your equipment.
According to Gartner, Third-party Maintenance can help you save 65-70% on Maintenance Costs compared to OEM. TPMs audits your Hardware after the EOL announcement and decides whether the equipment can still function or not. With no unnecessary hardware upgrade and affordable Post-warranty services, TPMs put more money in your pocket.
With TPMs, all Service Agreements come under one contract since only one TPM Provider can cater to all your Hardware needs. This means you won't have to juggle multiple contracts for every OEM Provider. SLAs by TPM are customizable and flexible. Therefore, you only get the service you asked for, unlike OEMs, who charge for Services yo don't require.
What is Deal Registration?
Deal Registration is a Reseller's practice that allows a partner (TPM) to register an opportunity and provide additional financial, sales and marketing support. A Reseller with a particular TPM customer that needs a price break for a product can "register" the deal with the OEM to lock in a a price for that TPM and their Client. This action guarantees the continuation of business with that TPM.
Once a reseller registers a deal, no competing reseller can access the same break. This enables Price Protection for the Reseller, the TPM Service Provider and their Client. Due to the Deal Registration exclusivity, only one Reseller can offer lower prices for a specific component. Thus, price erosion does not occur, and margins are protected. With Deal Registration in place wit various Resellers, top-tier Third-party IT Maintenance Companies like thomastech can assemble multiple Reseller relationships to source their critical components at the lowest "Deal Registered" process.
What Does Deal Registration Accomplish for your Business?
Enhances Competition : Deal registration reduces the importance of the pricing factor. It allows companies to compete on their ability to serve their clients. Companies compete without diminishing their margins. As a result, they can upgrade the quality of service to gain wins more often while improving their market share.
Protects Margins : Establishing a fair price allows companies to maintain target margins and discourages the potential for competing at unsustainably low prices.
Grows Service Performance Levels for your Customers : Vendors and TPMs can focus on their clients in the industry, extending services that demonstrate their commitment to providing the clients with precisely what they need to expand their business.
- Improves Customer Satisfaction for Your Organization and Process
Improves Customer Satisfaction for your Organization and Process : Focusing on helping clients become profitable while enhancing conditions that support their financial health is the mission of quality third-party service providers. By not having to swallow steep and non-competitive parts pricing, TPMs can focus entirely on an invaluable approach based on superior customer support.
Choose thomastech : your Global Third-Party IT Maintenance Provider
thomastech can help you with your IT needs by optimizing your Data Center's efficiency and streamlining the Maintenance process without disrupting your current Budget and Vision. thomastech stabilizes Costs, provides customized IT Support and Tools and extends the life of your enterprises' IT Assets and resources. They do so because they are aligned with multiple part suppliers locked into deal registration agreements. With thomastech's Third-party Network Maintenance Services, your enterprise can save both time and money.
To learn more about our services and arrange a confidential evaluation, visit the thomastech platform at https://thomastechllc.com/contact. Or, feel free to call our expert professionals at +1 (330)-225-3117.
