The UK's top 40 IT distributors generated nearly £13bn revenues in their latest years, CRN research has found. Here we count down those ranked 25th to 11th...
"Growth will depend on the availability of stock"
11. VIP UK
Revenues: £156.7m (+40%) (of which £122.3m UK)
UK headcount: 138
Specialism: Components, peripherals
Key vendors: AMD, Asustek, MSI, Gigabyte, Benq
This Warrington-based components distributor branded its year to 30 June 2020 "the most successful year in our 30-year trading history" as enforced home working and leisure time stoked demand for its gaming PCs and peripherals.
Revenues from continuing operations hiked 40 per cent to £156.7m.
Its UK business generated £122.3m of the total, although that figure includes the contribution of VIP's own brands, including its Zoostorm PCs.
Quickfire Q&A with VIP Group chairman Jatti Sahni
What specialism is your firm known for, and what sets you apart from your peers?
Agility - delivering with a focused drive and having a proactive approach to support partners in the ever-changing market conditions.
Which emerging vendors are you betting big on this year?
Based on the current shortages in the market, I would bet on whoever can provide the best allocation of stock to fulfil the considerable demand.
Have you made any significant vendor signings in the last 12 months?
There has been significant potential to capitalise with our current vendor partners throughout the last 12 months, particularly when working through the challenges surrounding the pandemic. As a result, it has not been a priority focus over the past year.
96,000 Sq Ft
What's the biggest misconception about distribution?
That distributors are just box shifters and don't offer much additional value.
How would you summarise the health of the distribution sector in 2021?
Both challenging and healthy in equal measure. We've seen challenges across the board in supply, and yet significant growth throughout the channel.
What's been your biggest disappointment of the last year?
Despite the fantastic success and growth we have seen this year, it's a shame that it has come during one of the most unprecedented and difficult times for individuals and families.
Do you expect to grow in 2021?
There is definitely potential for growth, though this will depend on the availability of stock during the upcoming year.
At first glance, the rise of cloud must be pretty devastating for distributors if there is no physical product to ship. How have you adapted?
We haven't seen a massive impact from this so far - hardware upgrades were not an end-user priority prior to COVID. Due to a multitude of factors I believe the demand for hardware will continue to rise. Saying that we all have to continue to adapt.
How do you see the role of distribution changing in the 2020s?
Automation, integration, and migration onto digital platforms will be integral to our successes. Equally making that facility available for our resellers enabling them to grow.
Stay tuned on CRN this week as our countdown of the UK's largesst distributors concludes...