Russian distributor MICS is attending DISTREE EMEA in Monaco as it looks to further expand its vendor portfolio at the region’s leading volume channel event. Vladimir Lisogorskiy, CEO at MICS, said: “We use the opportunities presented by attending DISTREE EMEA to establish new contacts with vendors and further expand our product range.”
“DISTREE EMEA is also an opportunity to see what trends are happening in the European IT market and what the prospects for 2012 are. We also look to identify new products, technologies and gadgets and see what new trends are emerging in PC construction and design,” he added.
“Currently, our special interest is in tablet and ultrabook form- factors. MICS also plans to expand further in the corporate channel so we will look for more ‘heavy’ solutions and products such as professional monitors to add to our portfolio. We’re also interested in more ‘light’ products such as new computer accessories and gadgets,” explained Lisogorskiy.
MICS reckons that the Russian market in 2011 was weaker than had been anticipated at the beginning of the year. The outlook for 2012 is also uncertain.
“It is hard to predict what may happen in the Russian market in 2012, taking into account world economics and some uncertainty in the market,” said Lisogorskiy. “Nevertheless, we do expect some growth in the market.”
For MICS, the Russian channel structure faces some serious challenges as the market evolves. Lisogorskiy believes that direct delivery schemes introduced by major vendors to serve resellers have impacted this segment of MICS’ customer base.
“There are a diminishing number of large resellers in the customer base as a result,” he explained. “We have to consider regional expansion and more investment to compensate for the loss of these big resellers.”
During the first three quarters of 2011 PCs and notebooks accounted for more than 60% of MICS’ sales. In terms of channels, 46% of MICS’ sales during the same period were into the retail and e-tail channel.
MICS plans to further strengthen its position and expand its customer base in the Russian regions that it currently operates in: mid-Volga, Siberia, the South and North-West of Russia. The distributor will also look to expand its reach into new territories in Russia.
With more large retailers receiving direct deliveries from vendors, the challenge for Russian distributors is to open up new SMB channels and target independent resellers and retailers. MICS believes further sales growth is possible in 2012 and expects margins to remain similar to 2011 levels.
Lisogorskiy commented: “The role of the distributor will change as we add new services alongside the ‘traditional’ functions of a distributor. This could mean more assistance to resellers in promoting sales through merchandising and marketing support.”
Source: Channel EMEA
