Vendors are restructuring their business and channel models to focus on software, cloud and annuity income, causing legacy hardware resellers angst in their business operations. Distribution platforms can help.
For channel businesses to grow profitably, deliberate steps must be taken to boost operational efficiency, and automation may play a key part.
In needing to demonstrate a billing and provisioning infrastructure as part of the new CSP direct bill requirements, partners are feeling the hand of Microsoft nudging them down the road of digital transformation.
Shifting operations to a platform basis comes with its own set of adoption and onboarding complications.
From vendor to end-user, the platform based business model has relevance throughout the IT distribution channel.
Profitable platform-based business models are growing rapidly within the IT distribution industry, and whilst global enterprise distributors can build their own platforms, SME distributors are struggling to do the same.
It's not just them though. A willingness to adapt & change is crucial for all businesses throughout the IT channel.
Although the IT distribution channel is well-acquainted with digital ERP systems, a new channel platform named ChannelCenter integrates vendors, distributors and resellers within the same ecosystem, to the benefit of all parties.
As the IT distribution industry undergoes various changes, a new software platform promises to shake things up further by integrating the sales, operations and financial functions of the various IT channel intermediaries, to the benefit of all parties.
Rather than mourning the loss of traditional physical distribution mechanisms, IT channel managers should herald the benefits, efficiencies and opportunities which digitalization brings.