Jabra to boost market share without growing channel

Jabra to boost market share without growing channel

Company claims the channel played a major role in boosting business in A/NZ, but won't increase reseller number beyond "50-60"

GN Netcom, makers of Jabra headsets, is planning to boost its Australian business and market share without growing its channel, according to president and CEO, Mogens Elsberg.

Speaking to ARN on his first visit to Australia, Elsberg said the local market had defied the global trend of shrinking growth thanks largely to channel engagement.

“The industry declined 20 per cent, but in A/NZ we grew 30 per cent,” he said. “This was the first area to adopt the model of two-tier partnerships with distribution and resellers. I think the results speak for themselves.

“We’ll be adding resources to the channel both to handle the channel but also to have more direct touch with large enterprises.”

But Elsberg insisted this increased emphasis on working with end customers will only help resellers and he was adamant it was not planning to sell direct in the foreseeable future.

“We will always deliver through our partners. We strongly believe in the two-tier model and we want to stay loyal to that,” he said. “We’ve seen the model working.”

GN Netcom head of marketing and alliances, Victor Guerrero, said the current number of resellers pushing Jabra products was ideal and the number of distributors would remain static.

“At the moment we’ve got 60 channel partners and it’s a number we’re quite comfortable with,” he said. “We’re going to start limiting numbers around that and work them back and try to perfect each of those as well.

“There’s a number that haven’t focused as much as we would like them to focus on our products.”

However, Jabra was keen to state this would make room to fit more resellers in, as long as they fit the bill.

“We want to address our unified communications strengths and the kinds of companies deploying the projects are systems integrators. So we need to add them to our channel,” Elsberg said.

“There are certain types of online resellers that may have a place in the market for us, but traditionally in those spaces you really need support behind the product and we really want those people to be trained up in the right way,” Guerrero added.

The CEO also said resources dedicated to resellers would increase by 20-25 per cent in 2010, despite the continuing worry caused by the global financial crisis.

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Tags global financial crisisJabra headsetsGN Netcom

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