ARN

Logitech restructures distribution channel

Structure overhaul aimed at educating up the channel to offer higher margin products and reach a wider market base

Consumer electronics vendor, Logitech, has overhauled its engagement with the channel.

Seeking a better value-add through its channel program, the vendor is restructuring its distributor network into two layers: Two master distributors, Synnex and Ingram Micro, and a series of sub-distributors under the “platinum distributor” label.

Currently, Anyware, Bluechip Infotech, Mittoni and All Interactive Distribution (AID) are classified as platinum distributors.

A third partner category, platinum partner, is for resellers and integrators and currently includes Centrecom Corporate, Fluidtek and Wireless1.

Logitech director, George Saad, said the changes were aimed at bringing more value to the vendor’s channel, and working better with partners to target end-users.

“When I had a look at our channel network a few months ago, I realised we had a very ad hoc approach to partnering,” he said. “The aim of the restructure is to have a more systematic approach. We will be sitting down with our platinum distributors to map out the business and our product roadmaps, and offer them assistance on how to educate their resellers.”

Eighty per cent of Logitech’s business is through retail. While the vendor was committed to growing that business, it is also keen to find additional channels and partners.

“We’re looking for distributor partners in gaming, music, AV, independent resellers – basically, as long as they target a value-add in a field that we’re not strong in,” Saad said.

Logitech is also recruiting to help partners with the new arrangement. It recently brought Paul D’Ambra on-board as national sales manager for channels.

He will focus on educating partners. The vendor will also be appointing an account manager for channel, bringing the total headcount to 16.

“We want to make it easier for our resellers to engage with the end users, on more than just price,” Saad said.

“End-users want choice – and are willing to buy higher featured products that help them engage with their home equipment at a time when there’s a cocooning effect going on with people in their homes.

“We want our channel to be able to sell a $300 peripheral, which will generate a much larger margin than a $100 one.”

Come socialise with us! Facebook | LinkedIn

More about: Bluechip, Bluechip Infotech, etwork, Infotech, Ingram Micro, Ingram Micro Australia , Logitech, Mittoni, Synnex, Synnex Australia

Comments

1

Anonymous

Fri 17/07/2009 - 01:17

Logitech will now seek new big and soft resellers, this is hard on those used to be their go-to man. It will be interesting to watch how the new one perform frequently.

2

Anonymous

Fri 17/07/2009 - 13:10

Good old to the old sub-disty model, I used to grab my logi from LDS. All I need is say aahh woo on the phone and they gave me good price, no rule changed I have to shift my business else where

3

Anonymous

Thu 27/08/2009 - 10:57

Logitech GOING GOING GONE from Anyware already

4

Ghandi of IT

Thu 27/08/2009 - 12:27

i guess thats what happens when your stupid enough to grey import a product you are distie for. idiots!

5

Grandfather of Rock

Thu 27/08/2009 - 12:34

I heard they were having problem with over vendor too..!

Post new comment

The content of this field is kept private and will not be shown publicly.
Users posting comments agree to the ARN comments policy.
Login or register to link comments to your user profile, or you may also post a comment without being logged in.
Related Coverage
Related Whitepapers
Latest Stories
Community Comments
Tags: All Interactive Distribution, Anyware, bluechip infotech, Ingram Micro, logitech, Mittoni, Synnex
ARN Directory | Distributors relevant to this article
ASI Solutions , Bluechip Infotech , Impact Systems Technology , Leader Computers , Mittoni , Scholastic , Synnex Australia , Topstar Computer International , XiT Distribution , Xpress I.T.
rhs_login_lockGet exclusive access to ARN's news, research and invitation only events.
ARN Distributor Directory
ARN Vendor Directory

iAsset is a channel management ecosystem that automates all major aspects of the entire sales,marketing and service process, including data tracking, integrated learning, knowledge management and product lifecycle management.