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Siemens' comms arm moves to distributor model

  
By Alex Scroxton

07 July 2008

Communications provider Siemens Enterprise Communications has canned its direct dealings with partners and will from now on work exclusively through distribution.

Siemens Enterprise Communications, a subsidiary of German electronics giant Siemens AG, previously operated a one- and two-tier approach to its channel, but changing market conditions and feedback on the launch of the new ‘Go Forward!’ partner programme in 2007 have now convinced it to drive its channel down the distribution path.

“This makes our route-to-market clearer, and it enables us to offer the same level of service to everybody,” said Dave Dyer, Siemens Enterprise Communications channel marketing manager.

“We looked at what we were doing well, and found that the value-add our partners need, such as logistics or financial support, was better provided by distributors,” added Dyer.

Siemens currently works through MTV, Nimans and Rocom, and recently appointed Computerlinks as a fourth distributor specialising in wireless and mobility, although Dyer hinted at plans to broaden this relationship.

Mark Casey, managing director at Siemens reseller Marcom, which previously bought direct from the vendor, said that some of the direct partners had had justifiable concerns about moving to a distributor-centric model.

”But if you look at the rationale, their reasons are credible and as long as it’s managed well I have no objections to the changes,” he said.

Casey hoped the changes would improve some aspects of the order fulfilment process that Siemens had struggled with, adding that the vendor would now be free to play to its strengths.