Search
Homepage Rankings and Research Companies Channelcast Marketing Matters CRNtv Events Acronis #CyberFit Summit 2021 Avaya Newsroom Experiences That Matter Cisco Partner Summit Digital 2020 Intel Partner Connect 2021

ScanSource CEO Mike Baur: ‘This Technology Refresh Is Still In The Early Innings’

‘ We believe that enterprises are going to make long-term decisions about how to accommodate their remote workers and their hybrid workforce, as well as all the companies that are now providing multi- and omni-channel experiences. … And, frankly, the demand has been staggering for us,’ ScanSource CEO Mike Baur tells CRN.

Back 1 ... 2   3   4   5  
photo

 

Starting this quarter, ScanSource is reporting its business with new operating segments. The former worldwide barcode, networking and security segment is now the specialty technology solutions segment, and the former worldwide communication services segment is now modern communications and cloud. What’s behind the name changes?  

Well, we had a couple of things going on. One of the things [was] one of our suppliers has transitioned over the last few years from being a strong hardware company that fit in our barcode segment into much more of a services and software and recurring revenue communications company. So one of our larger suppliers has transitioned their business to fit our communications business. And that’s the way we sell it and go to market. [Furthermore], in the past, the only real services or recurring revenue we talked about was Intelisys. And we want to make it clear to our investors that we have recurring revenue opportunities in both segments. The business that was formally known as worldwide barcode is now specialty. That’s a hardware-plus story, just like our modern communications is a hardware-plus story. So we think it better shows the alignment between our focus on recurring revenue. And then lastly, these two segments better reflect how we go to market. These two segments differ in their profile of who the customer is, who the channel partner is, and this is how [our] team is organized. So it better reflects our go-to-market strategy.

 

 

What is the difference between the two in terms of target customers and go-to-market?  

If you look at the communications segment, it’s the move to recurring revenue. And so there’s much more focus on that go-to-market strategy on how to sell subscriptions and why customers want to buy it that way. And our telecom business moved quicker to be a cloud and subscription-type business more so than our barcode business. That’s now part of specialty technology where we’re seeing customers need hardware like barcoding and they want to pick up software and services too. So we’re still early days where the amount of recurring revenue we have in that new segment called specialty technology.

 

Will the renaming of the segments result in any operational changes at the ScanSource?  

No. I think today it really reflects the way we’re already operating. We made this decision earlier this year.

 

 

 

 

 

 
 
Back 1 ... 2   3   4   5  

sponsored resources