Compaq Launches CTO Pilot
By Craig Zarley
Houston
3:31 PM EST Fri., Feb. 19, 1999
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Compaq Computer Corp. is ready to launch a configure-to-order
(CTO) pilot program that will allow VARs to order products over the
Web from Compaq but have co-located distributors configure and
ship the systems.
The pilot, which will be part of Compaq's PartnerDirect program that
will be unveiled next month, is expected to include only those
distributors that have set up co-location configuration operations at
Compaq facilities in Houston, sources familiar with the plan said.
Channel sources said details of the plan and the decision to launch
the pilot were worked out following an SMB (small, medium
business) reseller council meeting this week.
VARs will be able to order and configure product online as if they
were buying direct from Compaq but, in fact, co-located distributors
will be taking and fulfilling orders, channel sources said.
Currently, Tech Data Corp. and CompuCom Systems Inc. are the
only two channel players with co-location configuration operations.
Ingram Micro Inc. is on the verge of receiving such authorization,
however, said Bob Fernander, vice president of Compaq's
Commercial Business Unit.
Fernander was unavailable for comment this morning. But he said in
an interview last week that Compaq was striving for a "collaborative
reselling model" with its new PartnerDirect initiative that will involve
distributors in Compaq's DirectPlus program.
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