Good article about COMS distribution channel.
Very good approach to dominating the channel.
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VarBusiness
August 17, 1998, Issue: 1417
Section: APEX -- Modems
3COM Merging With Success
Julie Bort
The 3Com/U.S. Robotics merger has been the model takeover.
Normally, when a channel is inherited by a new owner, agony is the
norm. Vendors take a beating in studies such as the APEX poll. But
3Com has inherited not just one, but two modem channels-U.S.
Robotics and Megahertz-and their VARs still gave incredibly high
scores to the networking giant. 3Com came in first overall and in every
criterion save two, in which it earned a close second.
Most telling of all, VARs gave 3Com 81 points for "communication,"
trouncing the two other modem vendors in this area.
When asked, "What about this program has declined the most in the
past year?"
"Nothing" reported VAR after VAR.
When asked, "What has improved about the program in the past year?"
"Communications" replied VAR after VAR. One VAR summed up the
channel's attitude: "3Com has gotten better in communication and
products. We have more products, and it is getting orders to us faster.
Communication is better because now it is easier to get them on the
phone and they call us."
For 3Com executives, speed and continuity are top priorities.
"Both companies were so passionate about the strength of channel
relationships, we made sure we didn't disrupt it," says Neil Clemmons,
vice president of marketing for 3Com. "We've been very careful to
maintain the best of both companies [U.S. Robotics and Megahertz], in
technical support and brands, and we merged our sales organization in
45 days."
So for those who say a merger and a happy channel can't be done,
3Com has either changed the expectation, or is the exception that
proves the rule.
APEX Rank: 1/3
3Com
Overall Score: 80
Group average: 75
Group range: 70-80
Products/Pricing Score: 84
Group average: 80
Support Score: 78
Group average: 73
Partnership Score: 76
Group average: 73
Satisfaction Timeline
How VARs rate 3Com's VAR
program now, compared with
one year ago.
Better 35%
Same 54%
Worse 10%
Loyalty Rating
VARs rate their loyalty to 3Com.
1997: NA
1998: 7.7
Scale of 1-10; 10 = Extremely high
3Com Corp.
Santa Clara, Calif.
www.3com.com
VAR Contact: Joy Bartolini
(847) 262-5000
Copyright r 1998 CMP Media Inc.
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