NETWORKING and security vendor Juniper Networks is dropping value-add distributors Lan1 and Renaissance for broad-based Tech Pacific in a move that has left one of the incumbents questioning the brand’s direction in New Zealand.
The change, expected to take effect in the next 60 days, comes a year after Juniper Networks bought Netscreen, which Lan1 first launched in New Zealand several years ago, and follows a review of its distribution arrangements in the country.
While Lan1 says it is not concerned with the outcome, as the brand has been marginal to its business since Renaissance was appointed as second distributor in mid-2003, Renaissance was surprised given the company only renewed its agreement with Juniper in November.
“They have not given us much of a reason for the decision, but said that our business model no longer suited theirs. I find this surprising since we believe our business model is what the brand needs in New Zealand,” says Renaissance general manager Mark Dasent.
The company has also enjoyed some recent successes with the brand.
While Lan1’s general manager Liam Venter preferred not to comment on whether he believes Tech Pacific’s appointment was a good move, he says Juniper is not a commodity product.
Dasent agrees, saying the Juniper range requires specialist support that a broad-based distributor may not provide.
The brand needs a more focused approach in New Zealand since it is not performing as well as in Australia or the US, he says.
Tech Pacific’s appointment comes after Juniper strengthened its ties with the company in the US last October, where it is the vendor’s primary security products distributor.
Tech Pacific also represents Juniper in other Asia-Pacific countries, including Australia, Thailand, Singapore and India.
Meanwhile, Venter says Lan1 was on the lookout for other brands anyway and can now free-up the resources that were devoted to Juniper.
Renaissance will now concentrate on its other security products such as SonicWall, says Dasent.