Cisco woos second-user brokers

Strategy designed to curb buying through unofficial channels

Cisco is encouraging unauthorised brokers to join its official channel programme as part of an attempt to crack down on grey market activity.

Zycko’s second-user equipment arm, Hardware.com, is among the firms Cisco has approached about becoming a top-level Gold partner. This would net them higher discounts, but would force them to buy through official channels.

David Galton-Fenzi, group sales director at Zycko, said that Cisco is now taking a more realistic attitude towards the second-user market, which he said is worth several million pounds per month in the UK.

“Cisco’s strategy in the past has been to belittle the after-sales market. Now it has realised it should embrace companies offering legitimate services,” he said.

Galton-Fenzi added that he would look at whether or not becoming a Gold partner was commercially viable and would allow Zycko to retain its services-led edge.

A Cisco broker who wished to remain anonymous, said: “There has been a reshuffle within Cisco’s management. The new guys understand the channel a bit better and are looking to work with firms like us.”