Seagate will retain the Maxtor name to represent its volume external hard drives under a new dual-branding strategy.
Managing director of channel sales and marketing, Kevin Lee, said the decision allowed it to penetrate additional market segments. The Maxtor masthead will represent mainstream functionality and offer more competitive pricing, while the Seagate series offers latest technologies and capacities. The vendor's barebone hard drives remain under the Seagate brand.
The two lines will be differentiated by support, price protection, volume discounts and incentive rebates. Seagate hardware retains the vendor's five-year warranty, while Maxtor-branded goods have a three-year warranty. Channel partners selling Seagate models will also be eligible for early pay discounts and quarterly profit sharing.
Lee said Seagate would continue working with Ingram Micro, Synnex, eSys and Achieva. He denied products would be over distributed, arguing each player focused on different market segments and lines. For example, access to its recently released range of surveillance gear is restricted to eSys and Achieva. Synnex is expected to continue to cater to the assembler market, while Ingram will lead the vendor's retail push.
To date, Seagate's channel has been driven by sales into the assembler market, Lee said. As well as growing in retail, he was hopeful of recruiting a new breed of resellers outside of the traditional large retailer space including online sellers, SMB integrators and other OEM partners.
"There's a lot of work to be done and opportunities for channel partners," Lee said. "Previously we were dealing with a single market segment. Now we're splitting our strategies into categories from a market perspective. Maxtor did have some relationships, but they were the tip of the iceberg."
The vendor would tweak its reseller model as more vertical market opportunities were introduced, Lee added.
The branding announcement coincides with the release of two new Maxtor notebook disc drives - the revamped Maxtor DiamondMax 3.5-inch and MobileMax 2.5-inch models.