KVM vendor shifts to channel

But in November it will turn to the channel.Aten, which makes keyboard/video/ mouse (KVM) remote connectivity switches, hopes to sign 100 resellers here in its first year alone.
To lure them, its channel program offers $5,000 in market development funds as soon as the VAR signs on the dotted line.
“Our executives decided there’s still room for us to support our existing (OEM) customers and branch out and start branding ourselves,” Jeffrey Williams, the Taiwan company’s senior sales manager for North America, explained during a trip to Toronto last week.
“We’ve started in the U.S. to get everything lined up on how we want to go after the market, and just now started to look towards Canada as our next area to attack.”
Aten is not unknown to the channel. Its IO Gear division, which makes KVM switches for the consumer and small business market, has gone through resellers for years. The Aten line, however is aimed at small enterprises and up.

VAR exclusive
Williams has a staff of two here already, one in Toronto who will work exclusively with VARs, another in Montreal who will continue to be a representative to manufacturers but will help resellers.
Ingram Micro Canada has already been signed as a distributor.
The company currently sells its products here through direct marketers such as Insight, CDW and Tiger Direct. “We wanted to start some volume of sales up here,” said Williams.
But Aten now wants to find value added resellers.
“We want to play with traditional solution providers,” he said.
He has a first year target of $5 million in sales. “We anticipate with the growth of KVM sales (in the U.S.) being about 33 per cent year on year — particularly IP solutions — we can easily be on par with that in five years.”
Competitors in this space include Raritan and Avocent, but Williams said Aten’s products cost less without compromising on features or quality because it builds its own equipment. Aten can also customize some hardware, if justified by volume.
Its channel program, dubbed the Six-Star VAR Program, has four levels: At the top, platinum partners have a $100,000 annual sales goal and get four per cent back end rebate on products; gold partners have a $75,000 sales goal and get three per cent off products; and silver partners have a $50,000 annual sales target and get two per cent rebate.
“Once you’re approved we immediately give you $5,000 MDF dollars to play with,” said Williams, “because we understand that there’s a cost of doing business with manufacturers, especially with us who don’t have a name like the Avocents. We know we need to help you market.”
The money can be used for print or e-mail campaigns, as well as events.
The fourth level is also a registered partner, for those who don’t want to sell products but do want to be an information resource to Aten. These partners aren’t eligible for benefits.

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Jim Love, Chief Content Officer, IT World Canada

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Howard Solomon
Howard Solomon
Currently a freelance writer, I'm the former editor of ITWorldCanada.com and Computing Canada. An IT journalist since 1997, I've written for several of ITWC's sister publications including ITBusiness.ca and Computer Dealer News. Before that I was a staff reporter at the Calgary Herald and the Brampton (Ont.) Daily Times. I can be reached at hsolomon [@] soloreporter.com

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