2012: The year of the lean channel

2012: The year of the lean channel

Simms' Paul Johnston expects to see consolidation in the coming months

Simms’ managing director Paul Johnston says 2012 will be “a very busy period” for the company. Simms will continue to build up on the vendor partnerships it started in 2011 and there is also the possibility of adding more vendors to its portfolio of products.

Johnston says the focus will be on Huawei. The distributor and the telecommunication solutions provider signed a partnership in June 2011 and Simms has since expanded its dedicated Huawei team, evidence of the investment both companies are making to deliver Huawei products in New Zealand.

“We will also work towards securing new partners, there will be a big focus on that,” says Johnston.

The company will also be busy consolidating brands and finalising the name change to Expressonline in the first quarter of the year. Expressonline acquired Simms International across Australia and New Zealand in July 2011. Once the name change becomes effective, Johnston will become the general manager of Expressonline in New Zealand.

“There is a lot of work to be done,” says Johnston. “We are changing our ERP system and launching a new website. There will be a lot of added functionality, so we will be training people on it.”

Johnston says the company will be targeting “aggressive growth, mostly around revenue”.

The managing director says 2011 was a “very tough year for most companies” and adds that “the trend will continue”. “We will see a lot of consolidation in the channel and the impact of the All-of-Government tender will come through,” he says. “It’ll be a tough year for the industry in general.” In spite of that, Johnston remains positive about what the year will bring to Simms. “We have only been in New Zealand for two years and so we are still growing. We have financial well-being behind us because we were acquired by a larger company.”

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