United we stand

Success? Some predict 2009 will be a difficult year

CRN’s inaugural Reseller Leadership Forum in the sumptuous surroundings of the Four Seasons Hotel in Hampshire, attracted channel figures from all over the UK.

Although the approaching juggernaut of the credit crunch has been showing no signs of slowing, the CRN Reseller Leadership Forum (RLF) provided a breath of fresh air, reinvigorating delegates and shining a light forward to 2009 and beyond.

Despite what seems like near-constant doom and gloom about the global economy, most attendees were feeling bullish and confident they could survive any downturn.

Computacenter chief executive Mike Norris, the first keynote speaker, started the day in a positive mood by describing 2008 as a good year.

He said 2009 was the year to watch out for, with the effects of the global slowdown more likely to be felt (Channelweb, 24 September) as business difficulties spread to the sales cycle and become experienced more by the channel.

“Next year is going to be tough,” he said. “I think 2008 is a good year. I am expecting it to get worse in 2009, particularly for the IT market. I hope I am wrong. We at Computacenter continually try to drive costs out of the business, and I am
expecting our headcount to reduce.”

Norris predicted other channel players would follow Computercenter’s lead, changing headcounts and restructuring to to cope with whatever the global economy throws at them.

Event chairman Ian French noted that an opportunity for the channel to discover the best tactics for 2009 and beyond starts here, with business networking, strategising and sharing knowledge at forums such as RLF.

About 95 per cent of the delegates booked for the event turned up on the day, which is always an encouraging sign, particularly in an industry where the drop-out rate is pretty high.

Delegates enjoyed head-to-heads with industry leaders who shared their tips, strategies and techniques for success and joined in some lively panel discussions that took on everything from greenwashing to the truth about virtualisation ­ all with an eye to maximise revenue opportunities for solution and service providers across the UK and overseas.

French noted that the emerging economies of countries such as China, Russia and Brazil are likely to dictate the direction of many industries in the future.
A wise channel player, therefore, will take this fact into account when planning future strategy around competition and plans for expanding abroad, he said.

“These places are shaping the [global] economy,” said French. “We are not calling the shots any more. The power base in the Far East is going to shape the playing field.”

Banks will have to create new value for their customers to stay relevant in a changing world ­ and so will the channel. “If they do not, they are history,” said French. “And if you do not have a plan, you too will be out.”

The future remains unwritten, but it will take into account different technologies, solutions, products, manufacturers and ways of relating to customers and provisioning, such as software as a service (SaaS), virtualisation and so on.

Channel partners that succeed will make partnerships that look bravely towards the new world and the future, rather than
staying behind ageing barricades with hopes that the challenge will depart.

Martin Prescott, managing director of RedPC, welcomed the approach and format of the event as an unmissable opportunity to network with a wide range of IT professionals from organisations of all shapes and sizes.

Outside the two main keynotes, two panel discussions and eight interactive focus groups, delegates were free to mingle, network and socialise during morning tea and coffee, a three-course lunch and evening drinks and canapés.

Of course, the sessions themselves were valuable too, said Prescott.

“The presentations and panel sessions were highly engaging, and the full-on interaction between speakers and delegates was both frank and informative,” he added.

Richard Parker, managing director of EOL IT Services, said the day was fantastically well organised and the whole CRN team did a great job.

However, he believed that some of the focus groups had room for improvement.

“Some of the interactive sessions were a little light in content, but this is something that can be improved for next year. Overall it was a very good day,” said Parker.

Panel session one was entitled The key to engaging new customers… and keeping them. Taking part in the session were Andrew Brimson, director at Khipu Networks; James Felix, business development director at ACS Syan; Mark Price, financial director at BT Convergent Solutions; and Sukh Rayat, vice president of Avnet Technology Solutions EMEA.

The general feel from the session was that delivering what you promise is very important and being honest with
customers is key. While you can often get new customers, it is critical to retain the ones you already have wherever possible.

“We always admit if we are wrong,” said Price. “You cannot keep bad news away from a customer. It is vital that the channel goes through a problem with customers and fixes it. You cannot take customers for granted, he added.

Rayat, who also gave a keynote later in the day about the way forward for distribution, said: “Employees are also an asset where customers are concerned. There is a correlation between happy staff who understand the company message, because they will help keep the customers.”