Buy cheap, buy twice. As cautionary advice goes, it might be a bit of a cliché but the sentiment is something that anyone can relate to. At some time or another we have all chosen the cheap option only to find that the product or service in question simply didn’t live up to expectations, meaning further expense is required and making us victims of our own false economy.
The concept of false economy is particularly pertinent during the current and prolonged economic downturn and the motor industry provides an interesting study on the subject.
Over the past decade the number of cars on the road in the UK has grown by 9% to 31.3 million, but that rise is considerably less than the 17% rise in the previous decade. Cars are getting older too. 5.3 million are over 12 years old and the average car is now 7.44 years old (two months older than a year ago).
This is all strong evidence that cash strapped motorists are holding onto cars longer, the recession causing them to think long and hard before upgrading their car.
But how sensible is it to hold onto a car for longer? A new car is, on average, 20% more efficient than a seven year old car and average petrol prices have increased from 77.9p/litre to 138.9p/litre over the past decade. Factor in the increased chance of mechanical issues with an older car and quite quickly the argument for upgrading to a newer model becomes a compelling one.
There are parallels with the office supplies industry, with businesses holding onto equipment for longer to avoid expenditure. Are they too falling into the false economy trap? It very much depends on the specific equipment in question and usage etc, but the chances are that a new photocopier or multi-function printer will be much more efficient than your existing kit. Energy consumption, consumables usage etc improves with each new range of models so there is a very good chance that the trusty machine in the corner is actually a bit of an old banger, comparatively speaking.
A simple print audit can help determine how efficient your current equipment is, and whether or not you can save money by upgrading to new machines. Neon Digital is a print management specialist, dedicated to helping other businesses become more productive and efficient whilst reducing their printing costs and environmental impact. We can evaluate your current usage and equipment and provide a detailed assessment of savings that your business can make.
For more information visit http://www.neon-digital.co.uk