IBM to invest in its SME channel

Big Blue sets its sights on increasing partner numbers

IBM is injecting millions of pounds into its SME channel, as the vendor sets its sights on increasing partner numbers, expanding its product set and targeting the public sector.

Big Blue’s SME-targeted Integrated Partner Team (IPT), which was unveiled last year (CRN, 20 February), currently offers System X, System P, storage, printing and some service packs to SME VARs. IBM has now added its software portfolio, with a particular focus on Lotus and Tivoli, according to Jeremy Wray, channel sales executive, IBM software group.

“No-one buys hardware and then doesn’t run software on it, so it makes sense for us to offer our software through IPT,” he said. “The market needs re-energising and to be re-exploited for IBM.”

The move will effectively double the number of products available to VARs under the IPT.

Tim Beaumont, marketing and operating manager at SCC Exchange, which was part of a pilot group selling software since September, said: “One of our biggest challenges is price. At the low-end that’s part of what we go in on, and after three months the price seems to be at the right point.”

Joe Senior, business unit executive for the IPT, said the vendor is also on a recruitment drive. “We want to get an additional 300 partners on board this year and there will also be a significant investment.” Senior said that in 2006, IBM increased reseller numbers in IPT by 47 per cent. “We want to attract tier two resellers that are transacting with our distributors, but selling other vendors, not IBM.”

Mark Glasspool, general manager PC systems and servers at Computer 2000, said the addition of software will help VARs offer a complete service. “It will not suddenly happen over- night,” he added. “It will take time.”

IBM also announced that the IPT will now focus on selling to the low-end of the public sector.

“Public sector departments use the same procurement method as SMEs; the channel,” Senior added. “They have similar requirements, remits and size to SMEs.”

Big Blue targets SMEs with new scheme