Resellers who refrain from being more proactive in their sales cycles and adding value in the supply chain have their days numbered. This is the view of Neil Rom, managing director of Printacom, a division of the JSE-listed MB Technologies Group and the sole importer and supplier of OKI printing products.
"Resellers will experience a substantial reduction in their margins owing to a lack of perceived value by end-users," Rom declares. "Alternatively, vendors and distributors will also perceive a lack of added value on the part of the reseller and cut them out altogether. Either way, the reseller ends up being the loser."
Rom says that although Printacom, as a distributor, is willing to assist dealers in improving their sales ability and thereby grow their business, resellers also need to become more proactive on their part. "The old saying, `if you always do what you`ve always done, you`ll always get what you`ve always got` is applicable," he says.
Rom adds that while many resellers perceive Hewlett-Packard to be the leading (and sometimes only) brand on the market, there are many vendors with technologies that offer more, including OKI. "The market, and particularly SA, can no longer afford to be dominated by one brand," he says. "This has only led to price and specification dictation. If dealers were more proactive in the sales cycle, they would be more confident of offering their customers equivalent options and consequently, would achieve increased margins.
"Margins can also be increased by offering alternatives, instead of taking orders and winning deals on price," Rom continues. "Business relationships of this nature are not long-term, as the corporate customer is just as eager to secure the best price and will switch resellers just as easily as the smaller user.
"The bottom line is this: resellers must stop taking orders, and begin selling proactively and offer total solutions," Rom concludes.
Printacom is a leading value-added distributor of Oki printers to the South African reseller channel.
As a division of the JSE-listed MB Technologies Group, Printacom is the sole importer and distributor of the OKI range of Digital LED and Dot matrix printers.
Owing to Printacom`s efforts, OKI has steadily increased its market share in the laser printer segment where it is currently ranked number four in SA.
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