Apple rewards reseller loyalty

Dealers loyal to the brand will gain extra margin as vendor tweaks contracts

Apple is holding four regional meetings this week to inform its channel partners of changes in its dealer contract that will reward companies that focus more heavily on the Apple brand.

Jon Molyneux, MD of Apple UK, confirmed the manufacturer would offer three incentives to its Apple Centres ? which sell Apple-only products ? and System Centres, which derive 70 per cent of their business from Mac product.

?The distinction between entry-level and desktop models in the former Performa range is to be eradicated, which will effectively add an extra one per cent margin on these ranges,? said Molyneux.

He added that Apple will offer added volume breaks and a loyalty bonus of up to two per cent. Additional fine-tuning to the soft dollar allocation for dealers is also expected.

He said the changes were intended to reinforce the importance of dealers that provide value-add. ?We love all Apple dealers,? Molyneux said. ?We just love Apple Centres a bit more. It?s an opportunity for people to push the platform.?

He confirmed that Apple?s three largest off-the-page dealers ? Computer Warehouse, Mac Warehouse and Mac Line ? would not receive the loyalty breaks.

Max Wright, MD of Mac Zone, said: ?Apple could do without the tiny dealers that source product through Frontline and Ingram without putting any service or value-add back into the market.?