Tesela takes to UK channel

AV vendor talks up 45 per cent margins for new partners but will handle after-sales service

By James Sherwood

21 Feb 2005

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Audiovisual (AV) vendor Tesela has launched into the UK channel, following the launch of its latest plasma display panel (PDP) range.

Tesela, which already manufactures the Sampo product line, has claimed its new Maxent range will help it break into the UK market and drive sales through its distributors.

Joseph Shih, marketing director at Tesela, said the firm plans to use a two-tier route to market in 2005, and is looking for distribution partners with a specialist AV focus.

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"This year will see a greater focus on the distributor channel. Tesela products help the channel to complete its offering," he said.

Shih claimed that Tesela's channel partners will receive a 45 per cent margin, but he admitted that the firm's range does not provide much opportunity for value-added service revenues.

"Tesela handles all after-sales service," he said. "Distributors will not spend any time or money on after-sales issues. The distributors and dealers will not receive phone calls from consumers, because they can call Tesela's service agents directly."

The vendor told CRN that in March and November this year it will release a range of models with new screen sizes, including a 50in screen, and claimed channel partners will not be chained to sales commitments.

"This is the first year Tesela has operated in the UK market, so it will not set up any purchase conditions in 2005," Shih added. "Instead, Tesela will help all partners and provide training."

Colin Messenger, senior business consultant at Decision Tree Consulting, said Tesela's products need a differentiator to benefit channel partners.

"If partners really make a 45 per cent margin, then that's astonishing. However, distributors in the sales chain could affect reseller margins. Tesela need a unique selling point because there are lots of well-known brands out there," he said.

Messenger added that the channel rarely benefits from after-sales service on PDPs.

"PDPs aren't like projectors; because of their complicated design, they have to be fixed by the vendor. All distributors will want to look carefully at the costs involved," he said.

james_sherwood@vnu.co.uk

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