Rocom answers back to hybrid model criticism
Distributor claims that its own channel has reacted positively to the move
Recently acquired distributor Rocom has hit back at channel criticism that its newly formed hybrid business model with AT Communications (ATC) could struggle.
Last week, Rocom was acquired by reseller ATC and unveiled plans to operate a hybrid VAR and distribution model (CRN, 21 August). This move was challenged by some sections of the channel, including rival Westcon.
Richard Carter, managing director of Rocom, told CRN: “Our competing channels may have chosen to hit out at our strategy. However, feedback from our own channels has been hugely positive.
“To a point we agree that typically, the hybrid VAR and distribution model is not successful. However, Rocom has been operating in such a mode for some time, with more than 50 per cent of our historical revenues coming from direct customers. We now have absolute clarity of focus and our sole business [Rocom] is 100 per cent indirect.”
Carter added that he finds it ironic that Westcon “fired a salvo in our direction” in last week’s CRN, because the distributor is part of The Datatec holding group, alongside VAR Logicalis and consultant Mason Communications.
“Operating a 100 per cent indirect model is how all of Rocom’s staff are focused, and our channel partners love that,” Carter added.
Bernie Dodwell, European security manager at Westcon, said: “Unlike ATC, Datatech does not trade: it is a holding company. I think Carter has missed my point. By his own admittance, Rocom is moving to a 100 per cent channel model from a mixed model.
“The challenge is to successfully manage an organisation with both a distributor and VAR element to avoid perceived conflict of interest in the channel. It isn’t that the model does not work. It can work, but it is not easy and history proves this.”
Dodwell added that he has first-hand experience of working in a hybrid model from his time at security distributor Allasso. He said the firm’s ability to develop at the time was hindered by being owned by Integralis, the largest security VAR in Europe.
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