Part 2 "Compaq has been in discussions with our U.S. channel partners to maximize and enhance our distribution model," he said. "We expect the discussions to lead to refinements in that model that will benefit Compaq, our channel partners and our customers."
Compaq will make an announcement at noon EDT, a Tech Data spokeswoman said. She said the webcast will be available through the Tech Data and Compaq Web sites.
A spokeswoman for Ingram Micro said simply, "Stay tuned."
Officials at Merisel and Inacom had no comment.
Compaq has been struggling to improve its distribution system to better compete with Dell Computer Corp.'s (DELL) more efficient direct-sales strategy.
Recently, Compaq has been criticized for offering the same products at different prices, depending on where they're sold - through the Internet, traditional retailers and resellers, or direct sales.
In his note, DLJ's McCarthy said the co-location strategy to be announced by by Compaq, dubbed "U.S. Alliance," "is emerging as a successful formula for improving the inefficiencies of indirect distribution."
Under co-location, McCarthy said, there is no field inventory, and distributors can provide configuration services at the place of order, leveraging third-party products to drive higher "revenue attach rates."
- Anthony Palazzo;
Posted: 05/07/99, 4:38PM EDT as a reply to: Msg 74986 by gjmarinc View Replies to this Message
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