Secondary Market Shines at Interop 2009
Photo by Alex Dunne
As I made the rounds on the Interop Spring 2009 show floor in Las Vegas, it was great to see that despite our ongoing economic challenges, many attendees were evaluating the latest technology options and discussing hot topics, including virtualization, cloud computing and unified communications.
Equally encouraging was speaking with network managers who recently had turned to the secondary market for more affordable, reliable equipment procurement and alternative support options. As I spoke with my colleagues from the United Network Dealer Association (UNEDA) during our first outing together as an Interop exhibitor, it became even clearer that businesses of all sizes and types are increasingly interested in what the secondary market has to offer.
In spite of lower attendance at Interop this year, as NetworkWorld has reported, the NHR booth and the UNEDA booth enjoyed brisk traffic. This point was underscored by Rivka Gewirtz Little from SearchNetworkingChannel.com, who wrote about “the steady foot traffic at the UNEDA booth from start to finish of the show… It’s safe to say a number of neighboring vendors didn’t have the same success.” She went on to address the competitive threat posed by used network equipment dealers, which was confirmed by Cisco partners reporting increased competition from used resellers since the start of the recession.
The UNEDA 2009 Membership Survey also revealed continued market traction despite the troubled economy, as more than three-quarters of those polled said they expected an increase in business in 2009. Additionally, we’re all experiencing more activity from larger enterprises, most notably from the financial services, banking and insurance sectors. Not surprisingly, high-tech and telecommunications companies remain big supporters of the secondary market as they were among the first to recognize this channel’s undeniable value when purchasing equipment and technical support.
While the prospect of significant savings may be what brings new and bigger customers to our market, what keeps them coming back—and provides the lifeblood of the alternative channel—is responsiveness, product availability and rapid equipment delivery.
These traits certainly have been central to NHR’s continued success, which just earned us a coveted spot for the second consecutive year on the prestigious VAR500 list. Repeatedly being recognized by Everything Channel as one of North America’s top technology providers shows how far we’ve come in the past two decades. This latest achievement, along with a strong secondary market presence at Interop, are shining moments for an industry segment that continually fights for its rightful place as a legitimate, viable channel option.
Tags: equipment procurement, Secondary Market, support strategies, UNEDA, VAR500