Menu
Cellnet cuts jobs with Telecom termination

Cellnet cuts jobs with Telecom termination

Cellnet is set to lay off about 60 percent of its local warehouse and logistics staff as the end of its distribution contract with Telecom looms at the end of September.

About 30 of the approximately 50-strong warehouse team will go, but the sales and administration staff within the New Zealand business won’t be affected, says Australian-based managing director Stephen Harrison.

“[The redundancies] have been provisioned for and staff have been told a while ago,” he says, adding some people had joined a new warehouse established by Brightstar, the US-headquartered supply chain giant that has been phasing in its relationship with Telecom to replace Cellnet.

Harrison says the Telecom contract loss will significantly reduce turnover, but Cellnet still has a $30 million business locally and is committed to growing its operation here.

“We’ll continue the relationship with Telecom on accessories. The good thing is we’re now a neutral player, as opposed to being aligned with Telecom.

“We’ve approached a number of GSM outlets and Vodafone, and have approached some retailers. We’re looking at growing the business on the accessories side, where we started the business from.”

In addition to accessories, Cellnet wants to expand its portfolio of New Zealand IT vendors, possibly by adding a printer agency, Harrison says.

Cellnet recently posted a net loss of A$4.6 million (NZ$ 5.4 million) for the year to June 30, but does not separate New Zealand numbers from these results. Its year-on-year revenue fell from A$548 to A$439 million ($648 to $519 million) during this time.

Harrison recently told Australian Reseller News that the distributor was now debt free and had set up an internal sales and marketing team in Australia.


Follow Us

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags cellnettelecom

Featured

Slideshows

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners

This year’s Reseller News 30 Under 30 Tech Awards were held as an integral part of the first entirely virtual Emerging Leaders​ forum, an annual event dedicated to identifying, educating and showcasing the New Zealand technology market’s rising stars. The 30 Under 30 Tech Awards 2020 recognised the outstanding achievements and business excellence of 30 talented individuals​, across both young leaders and those just starting out. In this slideshow, Reseller News honours this year's winners and captures their thoughts about how their ideas of leadership have changed over time.​

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners
Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security

Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security

This exclusive Reseller News Exchange event in Auckland explored the challenges facing the partner community on the cloud security frontier, as well as market trends, customer priorities and how the channel can capitalise on the opportunities available. In association with Arrow, Bitdefender, Exclusive Networks, Fortinet and Palo Alto Networks. Photos by Gino Demeer.

Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security
Reseller News welcomes industry figures at 2020 Hall of Fame lunch

Reseller News welcomes industry figures at 2020 Hall of Fame lunch

Reseller News welcomed 2019 inductees - Leanne Buer, Ross Jenkins and Terry Dunn - to the fourth running of the Reseller News Hall of Fame lunch, held at the French Cafe in Auckland. The inductees discussed the changing face of the IT channel ecosystem in New Zealand and what it means to be a Reseller News Hall of Fame inductee. Photos by Gino Demeer.

Reseller News welcomes industry figures at 2020 Hall of Fame lunch
Show Comments