Lease a Photocopier Earlier this year Falcon reported on the record levels of customers choosing photocopier leasing as opposed to outright purchase of devices. Falcon could reveal that since 2008 and the dawn of the present recession, there had been a steady growth in photocopier leasing levels, starting from an almost even spread in 2007/2008 to 60% photocopier leasing in 2009 and an astonishing 70% plus by the start of 2011. By June 2011, Falcon’s leasing levels reached an all-time high of 82%.
Now more than ever, it seems, customers are realizing the many benefits which photocopier leasing can bring. For many, the structure of photocopier leases has changed significantly since they last considered the option, so that entering a photocopier leasing agreement today is much simpler and the costs associated much lower. Leasing offers shorter commitments, appealing in challenging economic times. We analyze the surge in photocopier leasing and its driving factors.
A Consistent Increase in Photocopier Leasing Levels
Since the UK entered the present economic downturn in 2008, there has been a consistent growth in the number of organizations choosing to lease photocopiers rather than buy.
2009 saw photocopier leasing levels increase to over 60%, from an almost even split between leasing and purchase in 2008. Falcon had reported at the time of the news that as well as the natural tendency towards leasing as a consequence of the uncertain economic times, photocopier leasing companies had been doing much more to make themselves more attractive to potential customers.
Since then, as the economic fortunes of the country haven’t improved and photocopier leasing companies have been working hard to promote leasing as the most cost-effective solution, the proportion of customers choosing to lease photocopiers has increased further still. Falcon reported 75% of new business from leasing customers in January. Now, half way through 2011 and that previous record high for leasing has been smashed. The average percentage of customers leasing photocopiers in the first five months of 2011 was an astonishing 82%.
What is Driving the Increase in Photocopier Leasing?
Leasing avoids the upfront cost of purchasing a photocopier. While small/medium-sized Canon photocopiers for instance are now the best value they have ever been, the imageRUNNER Advance C2020L. Canon copiers cost around £2000, a significant investment in uncertain times. Photocopier leasing allows customers to pay for any devices, including all the latest. Canon photocopiers, at manageable monthly amounts and only for the time they require.
Leasing companies encourage upgrades to avoid outdated reprographics. Increased competition has lowered leasing margins and increased flexibility in terms. Copier leasing offers low monthly costs and limited financial commitments.
With many businesses currently operating very close to their bottom-line, staff time is also more valuable than ever. For many, the fact that photocopier leasing companies now offer all-inclusive packages covering all toner, parts maintenance as well as all servicing and installation, really takes the stress out of owning a photocopier, where often a non-technical member of staff would find themselves saddled with the task of topping up the toner or attempting to resolve technical issues. Companies offer flexible terms, low costs, and support securing financing. Leasing companies provide crucial financing when banks are reluctant.
Leasing allows for frequent upgrades to the latest technology. As more and more innovations are built into the latest photocopiers. Canon copiers connect to cloud services. Leasing allows for regular equipment upgrades. Shorter terms allow for frequent upgrades and maximize productivity.
The recession fuels economic uncertainty and dampens business optimism. Economic uncertainty hinders small businesses from securing loans. Leasing photocopiers has thus become a much more attractive option. Not only do regular monthly payments over a fixed, agreed term make financial planning much simpler, but the greater flexibility, the ability to keep up with advancements in technology and that great efforts that photocopier leasing companies have made to reduce costs and also to help customers secure lease finance, now mean that for many organizations, photocopier leasing has become the preferred option.
Falcon is a leading supplier of Canon photocopiers and document management solutions. All the latest Canon photocopiers and MFPs, including the award-winning imageRUNNER and Canon imageRUNNER Advance ranges are available from Falcon, either to purchase or lease.