SAP enters distribution market

Vendor looking to recruit 100 reseller partners

SAP UK has announced that, for the first time, it intends to drive certain product lines through the distribution channel.

The firm has previously worked directly with its resellers.

However, following the launch of Business One, its SME ERP offering, in March, the firm told Computer Resller News that it is in discussions with four UK distributors.

"All of our current channel will be able to sell Business One, but this will not generate the volume of business we need," said Tim Osman, divisional manager of mid-market solutions at SAP.

"We have begun discussions with organisations which have volume distribution channels, and are looking to appoint one or two by the end of summer."

Osman said that in the past its resellers targeted very specific vertical markets, and so needed a lot of support direct from SAP.

"Now, with the new Business One products, they are much simpler, much more plug-and-play, so distributors would be able to offer the full range of support."

He said that SAP was looking to recruit around 100 new reseller partners through its distributors.

The firm has already doubled the number of resellers in its current scheme, and Osman said he is looking at a new tiered programme, which the firm hopes to roll out later this year, ahead of the launch of Business One in Q1 next year.

The firm said it was using the umbrella term "Smart Business Solutions" to encompass all of its products which it sells in the mid-market or lower. The SME product, previously known as TopManage, will now be called Business One and also includes the SME shrink-wrapped, My SAP All In One, product.

Tim Barker, UK sales manager for SAP reseller Itelligence Business Solutions, said: "We are looking forward to Business One as a way of approaching the lower mid-tier with a comprehensive solution. For distribution, the greater presence SAP has the better; the more it will help to cement the brand."