D&H Offers White-Box Promotion

D&H Distributing

The program, called Go Configure, runs through August and features between five percent and 10 percent discounts on components from such vendors as Microsoft, Intel, Altec Lansing, Canon, NEC-Mitsubishi, Western Digital and Creative Labs.

The Harrisburg-based distributor has increased inventory on the targeted components by 20 percent and has pumped up advertising and marketing to support the promotion.

During the month, solution providers can also qualify for daily giveaways, which include American Express gift certificates of up to $1,000, D&H-branded Intel systems, Caribbean cruises and $50 Omaha SteakBucks gift certificates for customers who open accounts of $500 or more.

By pushing and integrating the discounted components into the SMB market, solution providers can also expect a bump in sales, said Dan Schwab, vice president of marketing at D&H. During "May Display Days," the distributor's first "focus month" promotion, sales of monitors increased 36 percent over the previous month.

"We believe an increase in our sales has a direct correlation on sales by our resellers and vendors," Schwab said.

White-box systems now make up about 58 percent of the worldwide PC market, according to research firm IDC. About 40 percent of D&H's customers provide some type of white-box solution, while component and white box-related products account for about 30 percent of the distributor's business.

"With the tier-two computer manufacturers being squeezed, we believe there is more reason for resellers to build systems," Schwab said. "And a lot of the resellers that were supporting tier-one manufacturers have shifted their energies to white boxes because they can make more margin and differentiate their offerings."