HP Australia pre-empted US direct sales model

Hewlett-Packard (HP) Australia will not follow the direct-sales lead of its US parent, relying instead on its current 'Hot Deals' package of direct and reseller sales options to service the SME market.

HP Australia spokesperson Brad Swiney told ZDNet Australia they had no plans to follow a US initiative because Hot Deals was successful. "It has obviously proved strong because it's been relaunched," he said.

HP relaunched its Hot Deals initiative earlier this year, after initially launching it in December 2001. The Hot Deals catalogue, now mostly online, offers special deals and bundles aimed at the SME market and gives purchasers the opportunity to buy direct from HP or through a reseller.

Glen Miller of distributor Janteknology told ZDNet Australia a lot of vendors were taking this "bet each way" approach, and believes it is problematic. "I would be surprised if HP resellers were happy with it because they get a diluted return," he said. "It isn't really a solution to the channel conflict issues."

Many people mistakenly believe going to the source is more useful for issues like support, according to Miller. He said people actively contacting vendors to buy from them isn't an issue with resellers, but vendors soliciting direct sales themselves is a "bone of contention".

Swiney said the Hot Deals program had proven itself for both HPs channel partners and the SME market. "The aim of it is to assist the channel partners to on sell HP solutions to the public," he said. "So it is primarily sent to channel partners to on sell to the customer base, with their own logos and things."

However, he said a portion of the catalogues sent out went straight to the customer base, but would not reveal how many.

Advertisement

Talkback 0 comments

Latest Videos

Sponsored content

Power Centre - Content from our premier sponsors

Blogs

  • David Braue Can not-so-smart meters help the NBN?
    It was interesting to witness Conroy's recent enthusiasm to spruik the NBN's role in supporting the Smart Grid, Smart City initiative. What a pity that Conroy hadn't yet seen the damning report from the Victorian auditor-general about that state's smart-meter roll-out.
  • Array Can the Telco Reform Act be win-win?
    In the second of our two programs looking at the Senate Inquiry into the Telecommunications Legislation Amendment Bill, we hear from shareholders, bureaucrats and industry groups.
  • Array Has New Zealand's smiling assassin delivered?
    One year into its tenure, how has the new New Zealand Government performed on issues of technology and telecommunications?
  • More blogs »

Tags

Back to top

Featured