International expansion 'more of a when, not if' for Softcat, CEO reveals
But Softcat still has 'at least five to ten years' of runway ahead of it when it comes to its frenetic UK growth rate, Graeme Watt tells CRN in special Top VARs video Q&A
Softcat has "at least five to ten years" of runway ahead of it when it comes to its UK&I marketshare growth potential, after which it may follow in the footsteps of Computacenter and SCC and pursue international M&A.
That's according to CEO Graeme Watt, who spoke to CRN yesterday for a special interview following its crowning as the UK's largest reseller in Top VARs 2021.
Read Top VARs 2021 here
In the interview (above) Watt opens up on a range of topics, including why Softcat is shifting its emphasis to recruiting not only graduates but apprentices, and his big bets for 2022.
Softcat's top line has grown from £220m to nearly £2bn since Top VARs debuted in 2011.
Asked about at what point Softcat's UK growth potential may hit a ceiling, Watt said "it will be at least five to ten years before that question becomes relevant".
Longer term, however, Softcat could take a leaf out of Computacenter and SCC's book by acquiring overseas as its UK&I growth potential becomes increasingly hampered by what he referred to as "the law of bigger numbers".
"We are so far away from that potential ceiling that it doesn't bother us much today," he said.
".....[But] we are conscious that at some point we will probably need and want to grow our addressable market. We don't think we want to do that by getting into an entirely new business, so doing something like we already do in the UK and Ireland - but in another market - is another option.
"I think it's only a matter of time. It might be more of a when than an if."
In the interview Watt also opens up on:
- Why Softcat is looking to put more emphasis on recruiting apprentices, rather than just graduates
- How Softcat has "modified" what it offers in response to the pandemic, and why its device lifecycle management offering is "ten times better than it was pre-pandemic"
- Softcat's three-phase international expansion strategy
- His big bets for 2022, including Microsoft security and edge computing