HP’s networking group ProCurve has dropped Digiland and eXeed from its distribution ranks. As previously reported in ARN, the vendor is looking to reshape its efforts in the Australian market by launching a two-pronged model.
Tech Pacifc and Ingram Micro have been retained as volume distributors of layer two and three products, while Express Data survived a head-to-head assessment with LAN Systems and will be asked to concentrate on top end solutions.
ProCurve’s Asia-Pacific channel manager, Yvonne Kraemer, said the realignment was designed to help the vendor grow its business in Australia. The model is eventually expected to be applied across the Asia-Pacific region.
“We had to consolidate to make sure we weren’t over distributed,” she said. “Going through the [volume distributor] process we looked at different criteria to measure them on breadth and depth of products they carried, HP business history, stocking arrangements and how quickly they can get products out.”
Express Data’s existing relationship with ProCurve tipped the balance in its favour when the vendor picked a value distributor to play at the top end of town.
“Express Data and LAN Systems both have a lot of good resources and really fit the bill for what we wanted," Kraemer said. "We already have a relationship with Express Data, which has a really good marketing team and understands HP."
She denied that the ProCurve decision would have any impact on the overall HP distribution channel.
“ProCurve as a separate business unit had to make this decision but they [HP] are going to make a decision on their own criteria,” Kraemer said.
ProCurve will announce a list of elite resellers in coming weeks and plans to have the new channel model up and running by May 1.
Representatives at Digiland and eXeed were not immediately available for comment.