Tech Data Ramps Up For 2003

For example, Tech Data executives want to increase opportunities for VARs to network together, share best practices, learn new ways to reduce operating costs and take advantage of hot markets.

Unlike the rest of the marketplace, Tech Data is seeing not only good sales from its SMB VARs, but also opportunities where the distributor can allocate resources that will drive more growth. "The SMB market is one that has fared reasonably well," says Stacy Nethercoat,T ech Data's vice president of inside sales, who recently took over executive oversight for TechSelect. "We see growth there, as opposed to the general population."

One of the ways Tech Data wants to build on that growth is with Technology Roadmaps, a VAR-learning opportunity that got its roots from member feedback at a TechSelect conference in Tucson, Ariz., last year. Technology Roadmaps are courses that provide step-by-step processes, or "roadmaps," for VARs who want to break into highly technical or specialized markets, such as storage, voice over IP, security, wireless and digital imaging. It's no coincidence those technologies have some of the highest demand and margins in the industry. The distributor spelled out the first roadmaps at its TechSelect conference in Orlando, Fla., and additional topics for 2003 are scheduled to be announced in February at the TechSelect conference in San Antonio.

Tech Data believes there are VARs in the channel who want to -- or may not be aware they have the expertise to -- tap markets for emerging technologies. But by attending a Technology Roadmaps course, they can get a targeted market overview, trends and prospective growth opportunities for the specific market. The course also helps participants identify potential customers, business needs for the technology and vertical-market opportunities. "Our objective is quality content vs. a broadbased overview," says Nethercoat, adding that Tech Data is on a mission "to help [VARs identify hot technologies they can get into."

Partner Resource

Tech Data also recently unveiled a new partner locator tool, which the distributor plans to expand in 2003. Every TechSelect VAR is given an Web-based profile in a database that other VARs can search when they need a partner in another location with a specific expertise. For example, a VAR that needs assistance with a deployment on the West Coast can search the partner locator tool for another qualified VAR. The tool enables VARs to take on larger deals, service contracts and deployments than it could previously handle.

The distributor also wants to beef up its TechSelect ranks with new members in the new year. "We do want to grow," says Nethercoat, but Tech Data does have its standards. The distributor will not recruit SMB VARs who compete directly with existing members, such as those targeting the same customer set or those located in the same city. With about half of its membership on the East Coast and the rest spread throughout the rest of the country, Tech Data is looking more to the West Coast and Midwest for new TechSelect VARs.

Tech Data also wants to create more ways for Tech Select VARs to interact directly with vendor representatives. About 31 vendor representatives attended the Orlando conference. VARs were able to give feedback and get the latest channel program and product updates through one-on-one conversations, panel discussions and roundtables. Tech Data also honored Network Associates in Orlando for being its most valuable vendor partner. The vendor was selected for its solid and in-demand products and solutions; ongoing sales support such as training, certifications and sales materials; and consistent follow-up that builds and strengthens relationships, according to TechSelect VARs.

"One of the most important elements to a successful channel program is positive feedback and reinforcement from our partners," said Mike Menegay, Network Associates' senior vice president of channels, North America, in a statement. "TechSelect's award confirms that we are continuing to raise the level of satisfaction among our SMB partners by offering them the products and programs they require to advance in today's market."

Tech Select members see vendor participation as crucial to the overall success of the program and are eager to reward those that make a commitment to the SMB-focused group. Even though the industry as a whole is in a slow period, VARs would like to see more vendors take a greater role in successful SMB-focused programs like TechSelect. "Programs such as these are almost entirely vendor-funded, and it is crucial to our success that we work with vendors that see ROI and value in the [VAR base that TechSelect represents," said TechSelect member Masood Sayeed, CEO of Englewood, Colo.-based Saytek, in a recent interview.