Siltek Distribution Dynamics (SDD) and One Technology Group (OTG), have merged in order to leverage their positions as leaders in the local brand technology supply chain. The objective with the SDD/ OTG partnership is to increase sales and reduce costs by centralising functions of their locally branded technologies.
Colin Flatau, managing director of the Volume Distribution division of Siltek Limited says that the local brands division within SDD/ OTG will focus on marketing and branding their locally developed brands which includes Vision, Xylo, Laptech and Fujitech. "Centralising the functions of this product set will enforce the position of our branded products in the local market," says Flatau.
Flatau goes on to explain that this merger makes business sense as it will eliminate any duplication in terms of costs, workflows and infrastructure, which will translate to significant savings in revenue and time for our customers. "An added advantage will be the broader footprint for our products resulting in a significant presence in the local PC market. The marketing, R&D and assembly functions of Siltek's branded technologies will now be centralised and enhanced," adds Flatau.
Our local brands continue to penetrate the local market in terms of sales growth, explains Flatau. In a report conducted by BMI- TechKnowledge, Xylo PCs grew by 62% in unit shipments in 1999. "SDD/ OTG as a united force is perfectly poised to capture local PC market with our leading-edge assembly and configuration facility now centralised in Midrand Johannesburg."
"The growing role of locally configured brand name machines in the local market and the rising recognition and quality of brands is an opportunity for SDD/ OTG to grow our product offerings to service our customer's needs. This merger represents our commitment to adding more value to the channel and will position us to provide superior services to our customers," concludes Flatau.
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SDD/OTG
SDD/OTG, the focused IT company in the Siltek Technology Chain Group, is South Africa's largest broad-based distributor of information technology. SDD/OTG encourages black empowerment opportunities and is the partner of choice of several leading vendors. It distributes a wide range of 'best of breed' hardware and software products, as well as peripherals, components and consumables. SDD/OTG configures branded hardware and builds-to-order Xylo, Vision, Laptech and Fujitech, its own range of PCs. SDD/OTG has branches in Gauteng, Cape Town, Port Elizabeth, East London, Durban, Bloemfontein and Nelspruit. Outside South Africa, the company has partnerships in Namibia, Botswana and Zimbabwe.
Siltek Limited
Siltek Limited is the leader in the Southern African Technology Supply Chain with a turnover of R3-billion in the year to end-June 2000. Listed on the Johannesburg Stock Exchange, Siltek comprises complementary operating divisions namely, Volume Distribution, Specialist Distribution and Supply Chain Services.