- On May 26, 2020
3 “Big Rocks” in the Transformation of Distribution
Distribution has been disrupted. The future of technology distribution is unequivocally cloud based, consumption driven, and provided for as a service.
The customers of the future are Millennials and Generation Z, and they come with a
totally different idea of how customers want to be served. As we go through major paradigm shifts, like this Covid-19 Pandemic, and business society reorganizes itself into its new format of teleworking and social distancing, we are seeing teleworking, mobility. and security drive more and more data center growth.
This transition is already being operationalized through the investment in cloud-based platforms and advanced billing processes, ultimately technology is trending to utility billing.
I have all seen in recent times what a painful process this has been for channel partners to go through. It requires an overhaul of their entire business processes and commercial motions. One could say it is a transformation at the molecular level.
Distribution needs to adapt to support its partners in going through such a metamorphosis and needs to be present in the following manner:
- Facilitate the cost of transformation. Distributors must design new financial programs, supported by vendors and the banking sector, to enable the channel to adapt for the future.
- Center around big data analytics and machine learning. As the move towards utility billing becomes a reality, the data points become pivotal. Everything is data driven, from application to infrastructure, everything is measurable and must be evaluated. The distributor of the future is the one that understands these dynamics and how to serve punchy, meaningful data to partners and their end-users.
- Inclusive business agility in a broader partner ecosystem. In today’s playing field, the old “pecking order” is a thing of the past. The value provided by distribution, surrounded by a host of new ecosystem actors ranging from consultants to new breed subscription only partners, has to be central. But we must also remember that the worth of new partners must be recognized by adapting the old partner programs.
In this new world, there is no longer such a thing as a “long tail”. Today the last one in your “long tail” might well hide a “rising star”. The legacy channel must be seen with new eyes, and distribution could well provide the agility to be able to “see” partner potential through the wisdom of well-tuned big data analytics.
“The legacy channel must be seen with new eyes”
For me at Gorilla, working with our distribution partners to harmonize our strategies and move into the future in lock-step is a thrill and a privilege. With so much change, the strength we gain through genuine partnering is the source of our confidence in our ability to adapt to a new order in the future of technology distribution.