So you have selected a few companies which you feel can provide lighting for your premises, received specific offers from them and are now faced with a decision: Which of them is the most advantageous? At this stage, one would usually compare the prices of offered packages: products, technology, design and setting of the lighting fixtures (as a service), and rightly so. But don't forget that the real savings may be in the cost of ownership of the installation. In this article, we will explain what constitutes Total Cost of Ownership (TCO) and how to take care of your company's budget as a whole.

COMPARE MORE THAN JUST PRICES

When faced with deciding which lighting offer to choose, your budget is naturally the deciding factor. If you want to take care of it in the long term, take into account the TCO (total cost of ownership) parameter. Additionally take into account the clear price for lighting and its implementation. Sounds complicated? We have good news - in the case of shop or office lighting, this is an extremely simple indicator that you can examine on your own.

BY IGNORING OPERATING COSTS, YOU LOSE PERSPECTIVE

You take operating costs into account when deciding whether to buy a car (gasoline or diesel) or a heating system for your home, right? Such situations are analogous to buying shop or office lighting. Well, maybe with one difference: when it comes to cars or heating, you are not able to accurately predict how often and with what intensity you will use them in the long run.

Meanwhile, in the case of rented premises, you can specify the operating time not only in years and days, but also in hours, which are precisely defined in the lease contract, industry and law. For example: the usage time of lighting in a store in a shopping mall is clear. Usually it is a period of 5 years (the most common duration of the lease), from Monday to Saturday from 10.00 to 21.00.

COST ANALYSIS - MAIN COMPONENTS

You can calculate your TCO using the 3D model of lighting (provided with the offer) and data on the functioning of your store or office. It combines direct costs (i.e. the cost of purchasing and setting up the installation) and indirect costs, calculated mainly on the basis of:

• the entire planned service life of the installation (e.g. 5 years)
• working time of lighting fixtures per day (e.g. 10 hours)
• working time of lighting fixtures during the year (e.g. 300 days)
• electricity cost (the only indicator that can change over time).

To calculate your energy cost based on these factors, you only need to know the power of the lighting you ordered: more watts means more expensive use. But beware, power is not synonymous with the quality of the light itself - the more modern the technology, the better the effect with the same, or even lower power. This is also something to consider at the end of the TCO analysis. Perhaps, even with a similar total cost, one of the offers will prove to be of higher quality and the lamps ordered will shine brighter than the other.

SEARCH FOR A COMMON DENOMINATOR

Before you start to verify the received offers according to the criteria mentioned above, make sure that each of them delivers the same effect, i.e. the "amount" of light emitted. It is defined by lumens and luxes:

• Lumen (lm) - the value specifies the total "amount" of light emitted by the lamps. The more lumens, the brighter.
• Lux - the value determines the "amount" of light in a given area (how many lumens are falling per square meter of area). The more lux, the better the illuminated exposure.

SUMMARY

When verifying offers, pay attention to:

1. The total "amount" of light. Is there a common denominator?
2. Direct costs, i.e. the price of products and services.
3. Maintenance costs. Compare the lighting power of the lamps depending on how much energy they consume over time.

If you need help interpreting a lighting offer, write to us. We will discuss the above parameters with you and help you choose the best solution.