Resellers upset by Tech Pac's stricter pricing

Resellers upset by Tech Pac's stricter pricing

Several resellers have complained about a new policy at Tech Pacific that sees the distributor sticking firmly to its price book and ignoring the discounting being practised by other distributors.

"The new policy works fine, if I can get an alternative source for products," said Jonathon Seally, director of Verve Digital.

"We have an alternative source for some products such as [those from] Microsoft, but Tech Pac's new pricing hurts when they are the only distributor."

Seally said the sole distributor of Adobe's products was Tech Pacific, and hence the company could charge what it liked for those products.

"Tech Pac sales reps said the new policy was not to price match or discount unless considerable volume was involved," said Seally.

At Infinite Potential, Stefan Fry, director, said major distributors failed to recognise that most resellers were the first line of support for almost all software products.

"Because smaller resellers like us sell less volume, we need more margin to give support to the client.

Tech Pacific's managing director, David Cullen, was quick to play down suggestions that distributor price wars have hurt Tech Pacific.

"Our pricing on some products may be slightly higher than some of our competitors. However, that represents the cost of our value-added services," Cullen said.

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