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Dell appoints volume distributor in South Africa

by Stuart Wilson, Friday 25 April 2008

Hardware giant Dell has named Drive Control (DCC) as its first volume distributor in South Africa. Both Dell and DCC are confident that the deal will allow the vendor to grab greater market share in South Africa. Despite the volume distribution agreement with DCC, Dell will continue to work with Tecchnogistics as an in-country logistics partner.

Direct Dell partners will have a choice of purchasing either from DCC or from Dell itself – a sourcing option that will utilise Technogistics logistics’ capabilities. Dell has also confirmed that Reggie Nxumalo is joining the company to develop the vendor’s consumer-focused business in South Africa. Nxumalo’s CV includes stints as an IPG head at HP and as an OEM manager at Microsoft.

Dell recently reiterated its commitment to formalising and expanding channel relationships in South Africa. To achieve this goal the company is committed to working far more closely with the channel than it has done previously.

"We are executing on a global strategy designed to increase customer choice. Dell’s evolving business strategy combines our direct customer model with new distribution channels to reach additional consumers and small businesses through retail partners and value-added resellers,” said Stewart van Graan, managing director at Dell South Africa.

“Dell has already built a $60 billion business on its direct sales model, but working more closely with the channel will simply provide us with better market coverage, as we will now be taking product to markets we have not addressed before,” he added.

“For example, we have not addressed the consumer market before, but now we will focus on retail and other consumer routes to market via the channel. We will also be engaging with distributors, who will effectively address a large part of the market, including broadening our reach into the small and medium enterprise market segment,” he continued.

“Ultimately, this is part of Dell’s global, long-term strategy, so we have put a lot of thought and serious investment into it, and we have the right programmes backing it in order to ensure we have the right partnerships within the channel, to provide the best kind of choice to customers,” van Graan concluded.

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May, 2021

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