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- Global IT annual sales are $1.3 trillion, with the United States accounting for $715 billion and Canada at $35 billion.
- The most sought after and, simultaneously, most underserved segment of this market is the SMBs (businesses with 10 and 500 seats).
- SMBs are hard to reach and even harder to service.
- Individually, SMBs do not have huge IT budgets. Collectively, in Canada and the US, they represent annual sales of $300 billion.
- $170 billion of these sales flow through the 51st to 7,500th largest Resellers.
- SMBs allow for higher margins because they do not negotiate collectively and lack the buying power of their larger counterparts.
- Increasingly, Vendors are placing a stronger focus on creating solutions for SMBs.
- Most SMBs don’t have an IT solution-focused department.
- SMBs need IT solutions that give them a competitive edge and help drive profits.
- SMBs purchase about 80% of all IT products through a Reseller.
- They trust their Reseller and typically have very strong personal and business relationships with them.
- When they ask their Reseller what products/brands they should purchase, 90% of the time they accept their
suggestions – verbatim.
- SMBs rely on their Reseller to remove the FUD Factor (fear, uncertainty and doubt) and to ensure that the various products work together as a consolidated solution.
- SMBs expect their Reseller to stay around to: help train employees; provide ongoing service and support;
configure new products brought into the solution; ensure that the SMB stays current; and provide additional
solutions that will give them a competitive advantage in the marketplace.
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