The Emerging Rule

Solution providers not filling out their product portfolio with emerging vendors are putting both their clients and themselves at risk. Blindly following a major vendor strategy is a surefire path to a low technology solutions IQ and even lower profits.

This year's CRN Emerging Vendor list, which features a record-breaking 178 vendors, is a sign of the entrepreneurial spirit that makes the fast-moving technology business the most exciting and vital of all. There are more companies than ever before that are delivering a better mousetrap and are hungry for resellers to push their products into businesses.

	STEVEN BURKE
Can be reached via e-mail at sburke@everythingchannel.com.

When you have these kinds of cost and solution differences, you are doing your customers a disservice if you do not offer them a choice. The smartest solution providers offer their customers what amounts to three separate bids: the emerging vendor Ferrari bid with best-in-class technology and pricing; the midtier vendor bid offering better price and performance than the market leader; and the Rolls Royce market-leader, high-priced bid. Solution providers that stick exclusively with the high-priced, market-leader approach are cutting off their nose to spite their face.

Those that want to view just how quickly a big vendor- solution provider relationship can go south should read the story "VAR Sues Cisco Claiming Contract Breaches" at www.channelweb.com. Needless to say, it's not a pretty picture. And it has caused quite a debate online, with more than a few solution providers noting they are staking their future on emerging vendors rather than sticking with the big guns. Remember our emerging vendor rule: No CIO ever got fired for buying only Cisco or IBM. But there are more than a few solution providers that saw their business go down the tubes with that strategy.

Are you offering your customers three bids?
E-mail me at sburke@everythingchannel.com.

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