There are two types of IT hardware resellers: original equipment manufacturer (OEM) partner organizations and independent hardware resellers such as World Data Products.
Chances are good that you have done business with both types of vendors. Here is a comparison of the two business models, and why we have leaned towards the advantages of being an independent IT hardware provider.
OEM Partner Resellers:
- Has a signed agreement with the manufacturer that states that they will offer the OEM’s line of products
- May have limitations regarding other product lines or channels in which they may sell
- Is likely authorized to sell OEM warranties and maintenance
- Has the rights to use logos and other branding in their marketing
- May or may not offer refurbished products
- Probably does not buy used server or network hardware directly from end users
OEM Partner Summary: Partner resellers are ideal for organizations that are interested in buying new equipment and typically refresh areas of their data center every three years.
Independent IT Hardware Resellers:
- Are independent of manufacturers and have no limitations on what they can sell
- Offer third-party maintenance agreements to service or repair any brand of data center hardware
- Will find the best possible new or refurbished hardware solutions for your company's requirements rather than being confined to a specific manufacturer's restrictions
- Can stock or source legacy or "end of life" servers, networking items, and parts
- Do not sell OEM maintenance and support but offer third party maintenance options at a fraction of the cost of OEM maintenance programs
- Typically offer buyback programs to purchase used servers, storage, and networking gear directly from the end users
- May offer additional data center services such as on-site or off-site data erasure or destruction, data migration, e-waste recycling, and other solutions
- Sell server upgrades and custom configurations
- Companies that buy and sell used equipment have short lead times. Need something fast? Our extensive inventory enables us to receive orders and sell server configurations that can ship same day.
Independent Reseller Summary: Independent hardware resellers are a good fit for organizations that seek to fully leverage their IT budget, or are looking for single-source solution providers that provide an array of value-added services.
There are benefits and limitations with both types of IT resellers. Many organizations rely on both depending on the application. The key lies in choosing a partner that will best meet your company's needs for the project at hand and the budget available.
Questions? Call 888-210-7636 or contact one of our IT Hardware Specialists today for a free consultation.