Distributors are constantly looking for ways to add new value to their end-user relationships as well as growing new revenue for their business. One way fluid power distributors in particular can accomplish this is starting a Core Buy-Back Program for their end-users.
What is a Core Buy-Back, and Why Should Distributors Offer It?
A core buy-back is where an end-user’s surplus cores are sold back to a distributor, who then resells it to a remanufacturer. This creates new revenue for distributors, and provides a value-added service to end-users. It is easy to do, requiring very little work from a distributor, and yields a new revenue stream that is 100% profit.
Remanufacturers Pay More Than the Scrap Man.
In many cases, end-users pile cores on shelves when they are no longer in use, with no plan of what to do with them. They may end up throwing out the old cores or selling them for pennies-on-the-dollar to scrap collectors. When a distributor gets involved and helps end-users offload their cores, both parties will profit from the deal. Selling back to remanufacturers often nets 10 to 30 times what scrap collectors offer.
Strengthen Your Relationships with End-Users.
You can build loyalty with your customers by helping them move junk parts off their plant floor, while putting cash in their bank accounts. Taking otherwise useless old cores and – with very little effort from either part – sell them back to remanufacturers
More Availability of In-Demand Hydraulic Parts in the Marketplace.
Remanufacturers need a steady source of cores to build their inventory and create OE assemblies for top brands such as Vickers, Racine, Denison and Rexroth. Their need for high-quality parts and a large inventory means they will often help you with—or cover—the cost of shipping or transporting cores. They will also pay top dollar to keep their shelves full of OE parts to meet demand.
The Bottom Line for Distributors:
- Creates a 100% profit revenue stream.
- Strengthens relationships between you and end-users.
- Requires very little work.
- Frees up valuable floor or shelf space for your end-users.
- Much higher return than scrap value
- Supplies OE parts to remanufacturers, giving you availability to sell this product to end-users in the future.
Get Started Buying Cores from Your End-Users. Call Hydraulic Parts Source at (888) 477-7278 to Begin Profiting Today.
A seasoned expert in the fluid power industry, Harvey is passionate about providing outstanding service to his customers. His professional goal is to genuinely invest in the customer’s best interest and provide a level of service that is simply unequaled in the market.