Veritas gives Tech Pac the flick

Veritas gives Tech Pac the flick

STORAGE software vendor Veritas is culling Tech Pacific from its band of three New Zealand distributors, leaving Express Data and Datastor as the local representatives.

Veritas informed the three parties on Monday last week of its decision, which is effective from September 1.

The decision follows a three-month channel review, in which Veritas announced last month that it would cull Tech Pacific and ACA from its Australian line-up and retain Express Data and Ingram Micro.

Further, Tech Pacific’s New Zealand exit notice comes four months after Veritas reinstated Datastor which, after 10 years as a distributor, was replaced by Express Data at the end of 2002.

Veritas’ Sydney-based managing director Bruce Lakin says Tech Pacific’s removal is not an indication of the distributor’s performance.

“I have to say, what we need in terms of commitment [to growing sales], the allocation of staff and getting them qualified and certified … in comparative terms, Express Data and Datastor were considered more favourably than Tech Pacific,” he says.

“The decision is no reflection on the quality of support that we’ve had from Tech Pacific. Tony Butler [Tech Pacific managing director] is unhappy because we’ve had a long relationship.”

Datastor had been “aggressive” in “trying to grow the business”, Lakin says.

New Zealand is too small to sustain three distributors. “There would be more pressure on margins,” he says.

But the country warrants the same number of distributors as Australia because New Zealand’s customer base is more diverse, with a handful of top-tier resellers and a proliferation of small- and medium-sized businesses.

Express Data and Datastor will both sell Veritas’s enterprise and commercial product lines, Lakin says.

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