UPDATED: John Walters launches new distributor
- 25 July, 2011 11:56
- Comments 5
Industry veteran, John Walters, has started up a new distribution business, Nextgen Distribution.
The new distributor will focus on enterprise technologies and has the backing of a number of independent private investors. Walters has also formed a board to look after the new company, with Andrew Petering of Wolseley Private Equity joining as the first board member.
Walters has been building out the business plan for his new company since January, and has been talking with both interested resellers and vendors. Though he can’t disclose names at this time, Walters said he is close to forming partnerships with a number of players in the datacentre, security and networking spaces. Longer term, Nextgen will partner with additional complementary vendors around those spaces.
“I believe there is opportunity in the distribution space, with the amount of consolidation that has taken place,” Walters said. “I believe the market has gone through the worst, and is ready for a fresh face in the space.”
Nextgen Distribution is being set up as a value-added distributor, though Walters said the company values; focusing on having the right staff, customer support, and vendor mix, would be the initial priority before additional services can start to be added to.
“We want to get the basics right first – you need to be able to walk before you run,” Walters said. “We want to be easy to do business with, with scalable systems to allow flow from vendor through to reseller.”
To this end, the company will also utilise its own logistics system. Though third party providers had been considered, Walters claimed the only way to ensure good customer support with logistics is to handle it internally.
Walters also sits on the board of Peter Kazacos’ Anittel, though he claimed there would be no conflict of interest. Indeed, the close touch with a reseller would help ensure that Nextgen Distribution remains relevant in resolving reseller concerns, he said.
The company will be based in Sydney, and initially have a staff headcount of five. Walters said expansion plans include Queensland and Victoria in the near future, and according to his business plan, the company will be cash positive by the end of the financial year.
Walters has some 13 years industry experience, starting out with Scott Frew in Lan Systems in 1998. He also enjoyed a stint with Westcon Group before joining Tech Pacific prior to its acquisition by Ingram Micro.
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Comments
Scott Frew
1
Game on Johny! ;0)
JonBays
2
and it's tough game these days. Been there and done that with an international who wanted to open up APAC but couldn't stomach the investment when the GFC hit the home markets. funnily enough though the Vendor relationship is key the rest is just good business management and not back dooring the channel particularly with too much value add that eats into the services margins or they can turn on you so quickly. We had a go at Scott with BPE behind us so Good Luck you'll need it.
Steve Barrett
3
All the very best John!! congratulations and good luck!!
Bruce Thomas
4
Congratulations John.
Having gone through the start-up phase over the last 2 1/2 years at co2ti.com and increased revenue tenfold in latest year I understand the challenge you face but know your persistence and capability.
I look forward to celebrating your successes.
David Bowden
5
John,
Compared to Kokoda this will be a walk in the park.
All the best.