Web Hosting Talk : Web Hosting Main Forums : Colocation and Data Centers : HP After Bid Pricing

[crucialx]

We are currently getting HP bid pricing on our first HP purchase (c7000 chassis w/4 blades + HP P4500 SAN) in Australia through a HP reseller, however we plan to purchase additional blades and SAN modules about 6-9 months after the initial purchase. Does anybody have experience with HP pricing after the initial bid pricing? Do you get the same or similar pricing on subsequent orders?

[cscarlet]

I believe you will need to commit to purchasing the blades and san module in a contract to get lower pricing.

[crucialx]

Originally Posted by cscarlet

I believe you will need to commit to purchasing the blades and san module in a contract to get lower pricing.

We are committing the initial purchase, and the subsequent purchases will be in the range of the initial purchase and on a regular basis. So I just want to make sure the subsequent purchases we will get similar pricing and we won't get reverted back to their normal pricing (which is quite high).

[ObjectZone]

Originally Posted by crucialx

We are committing the initial purchase, and the subsequent purchases will be in the range of the initial purchase and on a regular basis. So I just want to make sure the subsequent purchases we will get similar pricing and we won't get reverted back to their normal pricing (which is quite high).

There's no guarantee that the sales people will give you reduced pricing just because you once got it. If you need a guarantee then I believe you would want to have the contract written up so that you have options to buy additionals at the same reduced pricing within xx so many months after the purchase.

There's a decent likelihood that you might be able to negotiate the pricing down a bit later, but based on your plea it sounds like they're giving you a pretty healthy discount -- later purchases probably won't have as good pricing as the initial purchase. The sales people know you're buying a proprietary blade chassis and you can't go buy Dell blades to stick in it so the later purchases is where they're hoping to make some bucks.

That's my guess. Just trying to be pragmatic about it. HP's not a charity, they're trying to make money...

--Chris

[CoreXchange]

I've gone the route of new a few times and no longer will because of similar concerns you mention here. The vendor I use now has worked for HP and has also resold HP and other manufacturer products as a reseller for over 20+ years. How the pricing works is very simple. When you work with an HP or Reseller, your company is registered under the manufacturer umbrella as special pricing. It all depends on the product line, volume and pricing that determines what discounts you will receive for that specific project. If you decide to buy more HP products, then your new opportunity becomes registered again and they determine the factors of who your company is and what you have purchased in the past. The only time you will get extremely aggressive discounts is if you are working with another manufacturer and HP wants the deal. No other partner can get that special pricing once it has been registered, this would cause channel conflict. So make sure you like the reseller you are working with.

If cost savings are what you are looking for, you need to really think refurbished equipment. It may sound like ugly stuff, but after reviewing the products, I will not buy new again! These items look brand new for ½ the price or more than what you are getting new ones for.

Feel free to PM me if you want to speak with him directly and ask more follow up questions.

[sailor]

Originally Posted by crucialx

We are currently getting HP bid pricing on our first HP purchase (c7000 chassis w/4 blades + HP P4500 SAN) in Australia through a HP reseller, however we plan to purchase additional blades and SAN modules about 6-9 months after the initial purchase. Does anybody have experience with HP pricing after the initial bid pricing? Do you get the same or similar pricing on subsequent orders?

have them put it in writing - your discount level. but it doesn't matter much - you will be able to go to another reseller if they don't honor it.


You will love that gear btw- we are using it here in Atl and its awesome stuff. We switched some high end procut to it from the supermicro gear and its worlds apart.

[FHDave]

Try having HP and Dell bid each other. Dell will win, but it will drive HP nuts and may even lower the cost further.

From the quote we received, Dell Blade solution is at least 2 times cheaper than HP.

[MyriadSupplyMike]

Originally Posted by CoreXchange

I've gone the route of new a few times and no longer will because of similar concerns you mention here. The vendor I use now has worked for HP and has also resold HP and other manufacturer products as a reseller for over 20+ years. How the pricing works is very simple. When you work with an HP or Reseller, your company is registered under the manufacturer umbrella as special pricing. It all depends on the product line, volume and pricing that determines what discounts you will receive for that specific project. If you decide to buy more HP products, then your new opportunity becomes registered again and they determine the factors of who your company is and what you have purchased in the past. The only time you will get extremely aggressive discounts is if you are working with another manufacturer and HP wants the deal. No other partner can get that special pricing once it has been registered, this would cause channel conflict. So make sure you like the reseller you are working with.

If cost savings are what you are looking for, you need to really think refurbished equipment. It may sound like ugly stuff, but after reviewing the products, I will not buy new again! These items look brand new for ½ the price or more than what you are getting new ones for.

Feel free to PM me if you want to speak with him directly and ask more follow up questions.

That is not entirely accurate. With HP Big Deal pricing, numerous resellers can be added to the Big Deal. All HP needs is a direct email from the customer asking for the other reseller to be added to the Big Deal. However, HP has additional programs such as a New Business Opportunity, which would provide only the reseller who registered the deal with additional discounts.