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React recruits to turn up wireless volume

Sole distributor for Aruba plans to build up partner base

James Sherwood, CRN 15 Nov 2004
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Distributor React Technologies hopes to drive up sales of Aruba wireless technologies by encouraging more channel players to join its partnership programme.

React is the sole distributor for Aruba in the UK, with about 10 partners, consisting of resellers and system integrators. Its new drive will see up to 40 partners taken on to fuel channel sales of Aruba-branded technology.

Aruba manufactures Wi-Fi switches, access points, air monitors and a range of wireless applications. React claimed that sales are very strong, and that its recruitment drive is likely to increase sales further.

"The market is maturing and provides some significant opportunities for resellers," said Jess Thompson-Hughes, managing director of React.

"We will recruit based on individual skills and geographic locations, with reseller agreements to commit to an annual turnover of £100,000."

He claimed reseller margins average at about 30 per cent, and said that VARs attracted by the Aruba wireless range should contact React directly.

Chris Jones, a senior analyst at Canalys, told CRN that wireless technologies are becoming more popular, partly because market leaders are incorporating the technology into laptops.

"Plenty of businesses are looking at making sections of their premises Wi-Fi-enabled. Return on investment and company specifics are the main drivers, but IT directors and chief executives must first see the businesses benefits. Cost is always the major factor," he said.

Resellers and distributors should be considering adding wireless technologies to their product portfolios to broaden their skills and capitalise on rising interest in the technology, Jones added.

However, he warned that the popularity of wireless technologies will bring more vendors into the market, which could drive down hardware margins.

"Profits are often being based on value-added services, and hardware margins are shrinking quite quickly as more players come into the market. Some companies don't have internal IT support to implement wireless technologies. Therefore they need the value-added skills of resellers," he said.

james_sherwood@vnu.co.uk

See also:

The market for mobile computing has blossomed over the past few years. The technology is now very much in demand across a wide range of sectors  15 Nov 2004
Content and apps developers face make or break year, warns analyst  08 Dec 2003
Resellers entering the wireless networking arena could find themselves spoilt for choice when it comes to technology, writes Guy Matthews.  03 Nov 2003
  02 Sep 2003

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