HP scheme will divide dealers

More than 4,000 UK Hewlett Packard printer and PC dealers will be divided into accredited tiers and vertical markets if the firm succeeds in implementing a reseller incentive plan.

The company hopes to use the scheme to avoid heavy price competition in some markets, and poor coverage in others, as it feels that resellers have no incentive to sell into particular sectors.

A Hewlett Packard channel source said the plan will require a lot of work. 'They have been trying to get this sorted out with us for a while but it has not really worked. On the other hand, it is good that they are trying to help us get particular markets sewn up.'

Hewlett Packard marketing manager John Yelland admitted that a scheme is under discussion. 'The difference in reseller accreditation would be training, support or product range, wherever they offer the skills. We would introduce elements like volume resellers or segmented channels - into say retail, corporate and distributors - but we are some way off implementing the plans.'

Yelland said that Hewlett Packard is in discussion with its direct dealers and distributors over the plans. 'But it is in the embryonic stage at the moment,' he said.

Last week, PC Dealer revealed that Hewlett Packard is considering a similar tiered accreditation scheme for its systems Vars.