Used Cisco

While the pre-owned networking sales business isn't new (it's been around for 50 years), the industry is growing right now, Stafford said. Also, approximately 75 per cent of the sales are from repeat customers. According to Stafford, that's evidence that pre-owned networking equipment dealers are providing good customer service, which is part of what is driving the market growth.

"I believe it's the individual member growth of UNEDA that is actually driving the growth of the secondary market," Stafford said.

Much of the business is being driven not only by the efforts of the dealers, but also by good word of mouth. Although a significant number of the sales are from returning customers, those customers are recommending the dealers they buy from to their peers, Stafford said.

Another thing that is working for pre-owned networking equipment dealers is product availability, explained Stafford, who said OEMs often keep customers waiting for five to 10 weeks while 95 per cent of UNEDA dealers are able to deliver equipment within 24 to 48 hours -- and at a significant cost savings over OEM sales.

Taken From echannelline.com (Author Chris Talbot)

Original: http://www.echannelline.com/usa/story.cfm?item=22229

A survey of members of the United Network Equipment Dealer Association (UNEDA), a global network of approximately 350 dealers of pre-owned networking equipment, found that the business of selling pre-owned networking equipment is growing.

According to the survey, to which more than half of UNEDA's members responded to, 86 per cent of the dealers found that their businesses had grown in 2007. While some may believe the buyers of pre-owned equipment are mostly SMBs, the survey showed otherwise, said John Stafford, vice president and chair of the membership committee of UNEDA and COO of Network Liquidators.

Although nearly 90 per cent of survey respondents stated they sold pre-owned equipment to SMBs, almost 72 per cent said they sold equipment to large companies with multiple locations.

"All types of businesses are purchasing pre-owned equipment now," Stafford said.
Additionally, every dealer who responded to the survey said they sold pre-owned Cisco Systems networking equipment, but each also said they sold product from other vendors (including Extreme and Foundry, among others), as well, said Stafford, who has been working in the business for more than 12 years.

Taken From echannelline.com (Author Chris Talbot)

Original: http://www.echannelline.com/usa/story.cfm?item=22229