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Remanufacturing & Reuse – Benefits to Purchasers


As a buyer, why would you want to purchase remanufactured, refurbished or once-used goods? There are three main reasons:

Financial

In general, remanufactured products will be less expensive than new ones, even though they are built to the same quality. The remanufacturer has passed on to you some of the cost savings made from the recovery of the materials and energy content of the product. Typically, prices are in the range 60-80% of new.

In some business to business markets, the quality of remanufactured goods is a given and indistinguishable from new goods. In these markets, such as automotive aftermarket, a replacement spare could be indistinguishable as either or new or remanufactured, being of the same price with a discount built in.

Environmental

Although this has not historically been the primary driver for purchase, the environmental benefits are increasingly being recognised. Forward thinking businesses appreciate that their impacts occur not only in the products and services they deliver, but in the purchase of goods that are used to deliver those services – cars, tyres, office equipment, machinery.

Buying these items remanufactured will reduce the energy content of these goods, having a real impact on CO2 emissions. These savings can be genuinely and justifiably declared under the government’s forthcoming Carbon Disclosure initiative and in CSR statements.

Purchasing flexibility

Buying remanufactured products is dependent on the Original Equipment Manufacture (OEM) or remanufacturer getting a supply of used goods from users. They have a real interest in knowing where their products are and recovering them. This can benefit you as a purchaser because they may offer you a range of services that offer you more than just a sale. Leasing, take-back, upgrading, supply and operate provide gains for both parties: Capital costs can be amortized, supplier relationships can improve and “whole life solutions” mean there are no disposal worries at end of life.

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