Retravision's 152 New South Wales outlets have joined their Queensland counterparts in an exclusive supply arrangement with Intel certified PC builder, Source Technology.
The New South Wales deal is expected to be even more valuable than the Queensland arrangement and reconfirms the retailer's commitment to being a "substantial reseller of personal computers in Australia". Retravision recently revealed an arrangement with Source for the supply of Cybermate PC estimated to be worth more than $10 million in the first year (ARN October 28, page 4).
According to Gary Smith, Retravision's NSW development and merchandising manager, the deal is similar to Queensland, although the configurations are different. Smith told ARN that the move to Source was, in part, recognition that one of its current suppliers, Compaq, was moving a different way in its retail sales strategy. "I understand its focus may be elsewhere," he said. But the big chain is nonetheless committed to building its PC sales.
Retravision NSW also currently carries Packard Bell, and the Cybermate range is in keeping with the strategy to use selected suppliers for its computer products. Smith said that Intel had been closely involved and very supportive of the extension of the supply arrangement with Source, which is one of only two such certified Intel Australian partners.
Retravision's computing business is expected to become a substantial and significant part of the retailer's business, and Smith would only reveal that 152 New South Wales stores will represent the largest portion of its national computer business. It further cements Source - and Intel - as a major direct supplier to the retail PC marketplace.
Source Technology's managing director Jim Duncan said it has established a special team to look after Retravision, and the training program for the retailer's staff is well advanced, extending into Victoria and Tasmania stores. Duncan confirmed that the extension of the supply of Cybermates into New South Wales Retravision stores represents a huge opportunity to build on the already successful Queensland rollout. He also expects to gain immediate sales in the run up to Christmas. "We have been very impressed by the enthusiasm of the Retravision staff, both in their participation in training, both on-site and in our own premises, and we are looking to a long-term partnership," Duncan said.