Exclusive Networks' new on-demand platform 'takes risk away' for resellers, CEO says

Palo Alto Networks, Proofpoint and Google Chronicle are first vendors on the distributors’ new everything-as-a-service platform

Exclusive Networks has launched its new subscription-based model for resellers across the UK, France and the Netherlands.

Named X-OD, or Exclusive On-Demand, the new platform claims to give resellers the ability to buy all its vendor products through an opex-based consumption model.

Exclusive claims that the X-OD platform is the first time a distributor has been able to offer the full range of a vendors' portfolio - from hardware, software to cloud products - through a single subscription.

The X-OD platform goes live with three vendors - Palo Alto Networks, Proofpoint and Google Chronicle - in France, the UK and the Netherlands today.

The platform will be expanded to Belgium, Spain, Germany, Finland, Ireland and Austria on 1 November followed by the rest of the world in 2021.

Speaking to members of the press, Exclusive CEO Jesper Trolle insisted that the X-OD platform differs from other distributor marketplaces such as Arrow's ArrowSphere, Tech Data's StreamOne and Ingram Micro's Cloud Blue.

He said that X-OD is different because it offers products completely irrespective of how the vendor products are originally sold.

"Any marketplace I know, whether that's ArrowSphere, StreamOne or Cloud Blue are all dependent on the model that is available from the vendor - this is a key differentiator." said Trolle.

"What none of the other distributors have pulled off so far, which Exclusive O-D offers, is the ability to provide that consumption-based way of consuming IT regardless of how the products are originally sold."

Exclusive's EVP of strategy and operations, Julien Antoine, said that this is the first time a distributor has succeeded in repackaging vendor offers through a digital platform.

He said that there is no cost for resellers to onboard onto the platform, claiming that Exclusive will take on all of the financial risk and capex cost away from partners..

"It is an end to end approach from vendors and end users and digitising the whole value chain," he said.

"Resellers are a bit stuck in the middle - they are trying to address all of the complexity vendors are adding to the solution. We bring simplicity for them and empower them to buy like they sell. Today they need to convert the offers, they need to buy CAPEX and convert it into Opex. We do it for them, take the risk away and bring that to them," added Trolle.

The Exclusive CEO only stepped into the top role at the distributor last month after long-standing chief exec Olivier Breittmayer announce his departure.

Today Palo Alto Networks, Proofpoint and Google Chronicle are the only three vendors on the platform. However, Trolle said he is in promising discussions with the firm's top 10 vendors partners and is optimistic that most of Exclusive's vendors will join X-OD in the coming quarters.

The distributor is pinning its future growth on the success of the new platform. Trolle said he expects more than 50 per cent of Exclusive's revenues will come from a subscription model within the next few years, up from around 15-20 per cent today.

The French firm began working on the X-OD platform last year, claims Antoine. Exclusive's EMEA boss Gerard Allison hinted at the beginning of the year in an interview with Channel Partner Insight that Exclusive was on the brink of launching a new consumption-based model for resellers.

In the interview, he claimed that a shift towards consumption selling will disrupt the distribution market for the next 10 years.