Renewals help from Ingram

System automatically sends customers notice that they need to renew IBM software contracts

Ingram Micro is giving resellers the chance to grab IBM Software account renewals by launching a database of contacts early in the renewals process before the vendor fulfils them directly.

The system automatically sends customers notice that they need to renew IBM software contracts. Previously, resellers would have to make sure they approached customers when software renewals were due.

IBM contacts them automatically with the option of renewing licences through the vendor directly.

The distributor already offers a database of renewals for other vendors such as Microsoft. However, it is the first time it has attempted to do this with IBM Software.

Peter Nevison, IBM Software business manager at Ingram, said customers currently get product upgrade and technical support licences that have to be renewed annually.

"IBM Software is a major vendor for us, and 99 per cent of that business is in licensing. So we developed a database that informs the user automatically at renewal time to increase the chances of it going through the channel," Nevison said.

"IBM offers a good range of software and through its partner programme resellers can get good margins."

Beverly Ramsdon, sales manager at IBM software VAR Triangle, which buys through Ingram, said this is a good way to provide resellers with business and adding value.

"When resellers do the customer renewals they can upsell, whereas IBM would just renew the licence," she said.

Mark Johnson, general manager software at rival distributor Ideal, said automatic software renewal systems are essential.

Johnson added that Ideal already has the same process for the renewal of licences for vendors such as Microsoft, Network Associates and Symantec.

"We have used this type of system for a long time and are preparing for the Microsoft renewals at the moment," he said.

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