Spare parts distributor, Parallel Solutions, has taken its success with vendor partner HP to New Zealand, replacing Tech Pacific.
The Sydney-based company won a contract to sell trade parts for HP products that are out of warranty in NZ in early January, prompting the opening of a Christchurch office.
The distributor has held a similar agreement with HP in Australia for the last 12 months.
HP product services manager, Peter Keay, said Tech Pacific New Zealand asked to exit its contract, which it took over from Renaissance at the start of 2002 and ended in November. HP tendered for a replacement.
Tech Pacific New Zealand managing director, Tony Butler, said he was unconcerned about getting out of trade parts, as it was not a big earner. Parallel Solutions director, Chris Russell, said discussions with HP’s Australian business development manager seeded the relationship with the vendor’s New Zealand office.
“[HP Australia] gave us a kind word to the dealer management of HP in New Zealand,” he said. “Peter Keay asked us to put forward a proposal. The nod from HP [Australia] helped a lot.”
HP Australia has also recently offered a twelve-month extension to Parallel Solutions following the success of its first year as spare parts distributor for the vendor.
"We must be doing something right,” Russell said.
The HP contract had given his company a break into the New Zealand market — something it had been chasing for over two years, he said. “We looked at Compaq [spare parts] but things changed pretty rapidly, what with HP taking over, and things were put on the back burner,” Russell said.
New Zealand clients have been given a toll free number, which will connect to Parallel Solutions’ support staff in Moorebank, Australia.
“While our call centre staff will handle inquiries in Australia, we have hired some staff in New Zealand to physically move the product,” he said. Such a process required an extensive investment in technology. Over the last 12 to 18 months the distributor has invested in its accounting system and databases to gain visibility over its stock levels across disparate locations. Parallel Solutions is also currently piloting a new voice-over-IP solution in its South Australian operations which Russell anticipates will be rolled out across the company.
New Zealand company, Visual Electronics, with offices in Auckland, Wellington and Christchurch, is the other HP parts dealer through its Visparts division.
HP trade parts turnover in New Zealand is worth about $NZ200,000 a year.