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06 Nov 2006
Computer 2000 (C2000) has played down concerns that its drive to strengthen links with large retail players over the Christmas period will result in increased competition for its established VAR base.
The distributor claimed that multiple retailers and e-tailers have already begun “dipping their toes” into the IT market. As a result, C2000 is urging businesses that are new to reselling technology products, such as colour printers or MP3 players, to make use of its experience in the market to help increase sales over Christmas.
Jean-Francois Bessiron, UK inventory and procurement director at C2000, told CRN that retailers such as Tesco will move into the IT market whether established VARs like it or not.
“I have seen a number of retailers expanding into non-core areas, such as carrying a product that sits on the periphery of its usual offerings,” he said. “Our VARs give classic added value, which is where their benefit comes in.”
However, Bessiron admitted that sales to retailers over the Christmas period may continue after the festive season.
“Most of these deals will start with a one-off test sale, which may then expand into an ongoing sales relationship,” he said.
The distributor added that it has a 500,000ft sq warehouse in the Midlands and uses electronic data interchange ordering facilities to save on costs.
Paddy Lawton, managing director of ISV Digital Union, said: “The average VAR isn’t in the consumer market. But then again it could still have a crossover with them,” he said. “I doubt that this will have a direct impact on C2000’s classic VARs, but I expect most would prefer their distributor not to do this.”
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