Building New Channels

BenQ (pronounced Ben-Q) was previously known as Acer Communications and Multimedia. Its new name, adopted earlier this year, is a loose acronym for the company's marketing slogan: Bringing enjoyment and quality to life. The company said it changed its name to help build new channels not necessarily tied to its original parent, The Acer Group.

During an interview at Tech Builder XChange here last week, BenQ President Ralph Tang said the City of Industry, Calif.-based company initially is leveraging regional and specialty distributors including SED International, D&H Distributing and ASI to build closer relationships with SMB VARs and systems integrators.

However, BenQ recently began working with Ingram Micro in an effort to extend its reach into mail-order channels and the education market, Tang said, adding that future relationships with other broadline distributors are possible.

"The value in that segment is very clear," he said.

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BenQ believes part of its strength as a vendor partner lies in its legacy overseas. With $3.3 billion in annual revenue, the company is the largest peripherals manufacturer in Taiwan, Tang said. "We should be able to compete," he said.

Currently, the vendor focuses on six product lines in the United States. These include LCD monitors and CRTs, high-end digital displays and televisions, a wide variety of emerging storage formats, scanners and other digital-imaging products, input devices, and wired and wireless networking hardware. Outside the United States, the company is also a major player in the cellular phone market, Tang said. It plans eventually to bring that technology to the U.S. market, but no timetable for that rollout is available.

BenQ intends to have a large presence at Comdex later this year, where it is planning a 4,700-plus-square-foot booth, Tang said.

One trend BenQ plans to watch closely in coming months is the convergence of consumer electronics and information technology distribution channels as the products themselves start to converge, Tang said.

For example, projectors or digital cameras could play well in both channels as the market develops.

"Only time will tell," Tang said.

For now, however, BenQ will focus on developing relationships with SMB VARs that already are familiar with its products: "We have to go through the PC's traditional channel," Tang said.