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  • Rectron, Square One dispute Ricoh distributor status

Rectron, Square One dispute Ricoh distributor status

Johannesburg, 29 Nov 2000

A dispute over Ricoh distributor status has erupted between Rectron and the Square One Solutions Group, following Rectron`s announcement that it is to build a Ricoh-recognised service centre in Midrand.

Square One says it is the only recognised Ricoh storage and media products distributor in SA, while Rectron asserts that it has every right to open the repair centre.

"We have been that Rectron has been grey marketing the Ricoh product into SA for some time," says Steve Berryman, Square One joint-MD, sales and marketing. "This has caused considerable confusion, both within the channel and for the end-user. We question Rectron`s service centre offering, as all Ricoh service and support issues are being referred to Square One by resellers of Ricoh products."

Rectron CEO Mark Lu rejects claims that his company is "grey marketing" Ricoh products in SA. "We are officially authorised by Ricoh Taiwan through MET Technology, and have documentation to support this."

Lu says Ricoh has committed itself to helping Rectron set up an "optical device service centre", with agreements to this effect concluded with Ricoh`s Optical Department in Japan.

However, Junichi Kitagawa, Ricoh Europe`s channel distribution manager, believes the Rectron service centre may be an arrangement between Taiwanese Ricoh sub-distributor, MET, and Rectron. "Ricoh Japan is aware of the official distribution to Square One and will not enter into a separate agreement that conflicts directly with the legitimate channel."

Kitagawa points out that the Ricoh Europe DMS Centre manages the South African market, and that neither Ricoh Japan nor a Ricoh Japan distributor is in a position to appoint a distributor in SA.

Lu says he has drawn Ricoh`s attention to the marketplace confusion in SA, and is confident the matter will be resolved through the intervention of senior executives from Ricoh Taiwan and Ricoh Europe.

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