Can Tech Data make the cloud profitable for solution providers?

When I first saw Tech Data’s (NYSE: TECD) press release about its TDCloud offering I thought well at least they are open about trying to produce profits for resellers.

However, I have always thought that it is up to the individual solution provider to make his or her own margin. If you look at the top solution providers in the country they certainly do that, but too often resellers rely on vendor discounts and percent margin off of products and services to make a living. It is certainly tough sledding do it this way, but many have survived at it.

As for Tech Data, its introduction of TDCloud and the TDCloud Academy is intended to enable its loyal reseller customers to profit from new cloud-based revenue streams by providing industry-proven solutions, services, support and training. TDCloud is a set of products, services and enablement tools available from Tech Data that provides guidance in finding, developing and most important closing cloud opportunities. In my opinion, the channel will have to solve the cloud mystery for customers. I don’t believe customers especially in the SMB will be able to figure it out on their own. And, the SMB is the ripe for the cloud because of the cost flexibility it offers.

Tech Data’s TDCloud will be an end-to-end play from the data centre to the edge, whether it’s private, public or hybrid cloud architectures.

Joe Quaglia, Tech Data senior vice president of marketing, said the company is on a mission to connect end-customer demand for alternative IT computing and consumption together with the most robust IT Vendor solutions that are selling today to ensure our VARs can profit from this transformational shift occurring in our industry – right now and the Academy is the first step in this process.

TDCloud’s solutions similar to Cisco’s cloud channel strategy with Cloud Builder, Cloud Provider and Cloud Reseller. The cloud builder includes products such as servers, storage, networks, virtualization and security. Cloud provider caters to VARs who have built or are interested in building their own cloud infrastructure to offer cloud services and computing resources as a hosted solution to their end-user customers. And, cloud reseller leverages existing public cloud infrastructures and resources available to VARs under white-label branding and packaging that enable VARs to sell cloud solutions without the requirement of building their own infrastructure, integration and implementations.

The TDCloud Academy is a tiered educational program where resellers can find the resources and training they need to make cloud a profitable part of their business. TDCloud Academy provides resellers with information and approaches to get started delivering cloud services.

Avnet partners with NRF

Avnet Technology Solutions (NYSE: AVT) has joined forces with the National Retail Federation (NRF) Foundation, one of the top retail trade associations in an attempt to provide channel partners with end-to-end, progressive training on vertical markets.

Avnet will now help prepare qualified U.S. value-added reseller partners only to obtain the NRF Foundation Professional Retail Business Credential. Additionally, Avnet is now qualified in the distribution industry to proctor the exam for this certification, which measures and validates reseller partners’ knowledge of key retail disciplines.

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Jim Love, Chief Content Officer, IT World Canada

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Paolo Del Nibletto
Paolo Del Nibletto
Former editor of Computer Dealer News, covering Canada's IT channel community.

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