How Close to a 3 Percent Margin are you paying for your IT Equipment

Understanding the IT Procurement Landscape

In the modern digital era, IT procurement is a fundamental component for nearly all industries. Yet, the true cost of IT equipment often remains obscure. Are you aware of your margin on these costs? More specifically, is it anywhere close to a 3%?

The Mission of KnowledgeBus

KnowledgeBus is an innovative platform that brings transparency to IT procurement. This sector is often shrouded in ambiguity, leaving organisations to grapple with determining whether suppliers' prices are fair or unnecessarily inflated with markups. Our research uncovers a startling trend – some suppliers are adding markups of nearly 25% on reselling IT equipment.

The Cost of Hidden Markups

If your IT budget is £1,000,000, a 25% markup implies you could be overpaying by an astounding £250,000. But imagine reducing that margin to just 3% – the resulting savings could be substantial, creating opportunities for reinvestment within your organisation.

Translating Savings into Opportunities

What do these savings mean in tangible terms? Suppose the average salary in the UK is around £30,000 per year. Overpaying by £250,000 on your IT equipment could equate to the salaries of over eight additional team members!

Alternatively, if you have 100 employees and distribute that £250,000 amongst them, each employee could receive an additional £2,500. This could offer a bonus, upgrade staff benefits, or even provide additional paid leave.

Reinvesting in IT Infrastructure

What if the savings were reinvested into IT equipment? Given that a business-grade laptop can cost between £700 to £1,000, a saving of £250,000 could equip your organisation with an additional 250 to 350 laptops. This could significantly upgrade your IT infrastructure or replace outdated systems without impacting your budget.

The Power of KnowledgeBus

KnowledgeBus is more than a tool for better deals; it’s a platform that equips you to extract maximum value from your IT investments. By providing critical insights into supplier prices, you are empowered to make informed decisions and negotiate from a position of strength.

Aiming for a 3% Margin

Our ultimate goal is to bring supplier prices down to cost plus 3%. This reflects a fair return for the supplier while ensuring you maximise your IT budget. We achieve this by offering the latest market data, benchmarking tools, and robust reporting capabilities, putting the power of fair, equitable, and sustainable IT procurement in your hands.

Call to Action:

Ready to explore how KnowledgeBus can revolutionise your IT procurement? Experience the power of KnowledgeBus firsthand with our live demo. Click here to schedule your demo today. Begin your journey towards transparent, efficient, and cost-effective IT procurement. Let KnowledgeBus help you transform savings into opportunities.