Changing the Channel
We now have more than binary choices, “To watch or not to watch, that was the question.” In our house, channel surfing and DVR have added an increase in the number of choices in our media consumption. While the remote control itself is a great weapon against advertisements, DVR is perhaps the second greatest invention to my iPod Touch, in my humble opinion. Much like our media consumption habits, our customers now have more choices, and more contention for their attention, than ever before.
As those who are regular readers know, I came from the ranks of an end-user customer who rolled out a MPS/MDS strategy in 2001, and have lived in the channel side of this industry since 2003. I was there when Xerox bought Global, KM bought Danka and Ricoh bought IKON. As a proponent of competitive markets, I hated seeing so much market share get scooped up. However, I knew it was inevitable.
As if pouring salt on that wound, a common research statistic we publish is that the OEM direct operations enjoy a healthy 66 percent market share in the United States; that’s a 2:1 ratio!
But there’s hope!
I was digging into some of our 2010 2H MPS Decision Maker Tracking Study (TM), and ran across something that was very compelling. Despite this disproportionate ratio, end-user customers we survey indicate the dealer/reseller is engaged 59 percent of the time. This means OEMs are collaborating on accounts, or subcontracting to dealers/resellers to service and support their contracts.
I know how resilient dealer and reseller owners are, but this is great evidence of the enduring value of the channel, in my mind. Sure, your customers are going to busy themselves with flipping channels and exercising their thumb (along with their newly fitted right of choice). You just keep doing what you do best, and prove that you are closest to the pulse of your customer.
Stewart offers observations from the field of managed print services in his weekly column on MPS Insights every Wednesday. As a senior consultant with the Photizo Group, he comes from and works directly with channel providers in the managed services space, developing educational tools and resources to promote lasting business transformation.
Ken Stewart’s website, ChangeForge, focuses on helping you align technology smartly, engage change considerately and motivate people genuinely. Get the latest industry news, and follow ChangeForge on Twitter or become a fan on Facebook.
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