Nokia Display Products is set to reorganise its channel strategy. after failing to hit sales targets.
The manufacturer is evaluating whether to increase the number of UK distributors from two - currently Imago Micro and Computer 2000 - to three, and may also set up a warehousing operation in this country.
Mikael Zar, general manager of Nokia display products for northern Europe, said: 'We haven't achieved the sales goal we set out. And because of this we are looking to change, or at least amend, our channel strategy. To an extent, it is up to the channel to provide us feedback on what its preferred sales model is.'
Zar claimed the problem was down to product availability. He said there was a 'constant shortage' of monitors in the UK, which has been put down to the absence of a local warehouse. Nokia uses its two distributors to fulfil this role, but Zar did not rule out the possibility of setting up a UK warehouse, or taking on a third distributor to ease distribution problems.
Zar said: 'We need to increase the willingness of distributors to increase their stock levels, but we realise this would increase costs. It is a bit of a Catch 22 situation. But if analysis shows us that we need a warehouse operation, that is what we will do.'
Andy Dow, general manager of the peripherals division at Computer 2000, said: 'I don't think sales are as good as they could have been but I wouldn't call it a problem. It is solvable and we would welcome any changes that enable us to get our product to the customer quicker.'
Bob Johnson, marketing manager at Imago Micro, maintained it always had enough stock, but admitted that lead times were longer in the UK than in the rest of Europe, partly because of the lack of a separate UK warehouse.
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