Supermarket sweep

Indies should not fear the supermarkets too much ? comparing us to a butcher or baker doesn?t really work because a leg of lamb doesn?t need a repair and a loaf of bread doesn?t need a reinstall. Our customers require upgrades, repairs, and technical assistance on a regular basis. This requires skilled staff who are expensive to train and difficult to retain.
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The supermarkets aren’t interested in such services at the moment, because they erode the profit margins on the ‘pound per square foot, per minute’ revenue models. Therefore, it is our services that are the key to our future survival and we must ensure that our service revenues are both profitable and substantial.

We have all seen crazy prices at the supermarket, so it is important to know where many of these prices come from. Sometimes a vendor creates a special production run for just one chain and the specification is lowered to meet a price point and profit margin.

Another cause is a vendor deciding to make a short-term loss on a limited number of items in order to build their brand and image. Often, though, it is end of the line stock. Vendors who are struggling to shift stock place end of line (EOL) products onto supermarket shelves at or below cost price to release capital and build their brand.

But vendors need to be careful with these practices, because consumers grumble when there is no stock and current retailers may become angry when they are denied access to the preferential pricing. Worst of all, it destroys relationships and creates a false price point in the eye of the consumer, making it much harder for the vendors to sell new products at a profitable price in the future.

EOL is an opportunity which must not be wasted. A phone call or email builds relationships and allocating limited stocks at preferential pricing is a great way to reward the smaller and more loyal retailers.



PC Retail Awards 08 - Frontline Awards

The lowdown on the companies battling it out for a prestigious PC Retail award - High Street Independent ? High Street Multiple ? Online Retailer ? Value Added Reseller ? Best Technical Support

Who are the guardians of our digital life?

How often do we put our future or livelihood in the hands of a solicitor or lawyer? Because of their skills and professionalism they are able to charge us fees that may often make our eyes water. But at least we have the understanding that if they do indeed rip us off or give us unprofessional service, they can be hauled before their professional bodies and disciplined.


Hail to the king

We were honoured to be one of the nominated vendors for the PCR Awards and it is really exciting to have won Specialist Vendor for two years running. It is great to get this recognition from our channel partners and it is really motivating for the whole team at Kingston Technology. We are working hard to ensure that we retain the crown next year!