The gapTCO tool is an intuitive, graphical user experience designed to allow simple and easy analysis of the Total Cost of Ownership of printer and MFP devices. This month’s installment compares the 37ppm Kyocera M2635dw A4 small workteam B&W MFP and the 36ppm Xerox VersaLink C405/DN A4 small workteam color MFP, each with a CPP-based and CPC-based pricing scenario.
The comparison is designed to show the potential costs for a home office environment under a click-based contract with supplies and service built-in versus a cartridge-out CPP-based option where the end user purchases replacement supplies transactionally. COVID-19 has expanded the work-from-home landscape, and with more individuals and companies purchasing office technology for the home office, it’s important for end users and dealers to understand the upfront and long-term print costs associated with both pricing models.
The print environment features an AMPV of 2,000 pages, under a three-year length of ownership, and leveraging average public sector pricing for the CPC hardware model and average ecommerce street pricing for the CPP hardware model.
Within the Xerox VersaLink C405/DN comparison, the CPC-based pricing model has the lowest TCO of $5,518.44 compared to the CPP-based cartridge-out model at $6,463.20.
- In this scenario, it would be advantageous for a customer to opt for the contractual CPC-based model, which provides a savings of $944.56 over the three-year ownership period compared to when purchasing supplies and hardware transactionally.
- The average ecommerce hardware price for the Xerox VersaLink C405/DN at $798.43 provides a lower upfront cost compared to the average public sector hardware price at $1,040.04.
- The average public sector CPCs for this comparison are lower than the CPP-based model as highlighted below:
- The average public sector color CPC is $0.0932 compared to the best color CPP available transactionally at $0.1350
- The average public sector B&W CPC is $0.0128 versus the best B&W CPP available transactionally at $0.0281
For the Kyocera ECOSYS M2635dw, the CPP-based option is the winning product with the lowest TCO of $1,126.88 followed by the CPC-based scenario with a TCO of $1,792.56.
- In this comparison, the average public sector hardware price at $402.96 is lower than the average ecommerce price at $407.00.
- The customer would save $665.68 by choosing the CPP-based option.
- The best B&W CPP at $0.245 that is available transactionally is lower than the average public sector B&W CPC at $0.0336.
Screenshot of gapTCO