As the undisputed heavyweight champion of the high street, and latterly of the out-of-town retail park, with its flagship stores and its PC World Business (PCWB) arm, the Dixons Group could soon be squaring up to a lot more resellers if it manages to knock out rivals hoping to bid for Micro Warehouse UK.
As CRN revealed last week, adding the mail-order and online reseller to the Dixons mix would be like giving Lennox Lewis a bucket full of Nandrolone.
It would also give the group a platform on which to move away from simple box shifting and start competing with resellers in the lucrative mid-market. This is a sector that the Dixons Group has been eyeing up for some time.
Although it has never quite been a contender in this space, it has never concealed the fact that it has been trying to create a £1bn reseller business.
PCWB has also recently introduced credit and financing to entice more business users onto its books by offering up to £3,000 to lease IT equipment. It is also targeting SMEs with wireless data applications and mobile access.
Now, with the possibility of Micro Warehouse onboard, and with its legendary deal-making ability and purchasing power, Dixons could be a formidable opponent.
VARs are already concerned about retailers moving into their manor. At the beginning of the year, a Context Channel Fact Survey found that 85 per cent of 500 European resellers were concerned about the ever-encroaching influence of the big retailers in the business space.
These fears seemed to have worsened, according to resellers CRN has spoken to recently. So what can resellers do to prepare for the potential onslaught, apart from stumping up the cash to outbid the retail behemoth?
There is no point trying to withstand the ferocious hook of a company such as Dixons, but resellers can expose its weakness: services.
Although the company will no doubt look into providing services, including packaged software and support, that area is still its glass jaw. So punch on and get ahead on points before Dixons can block your service jabs.
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