Westcon-Comstor NZ enjoys 2020 sales lift, launches services distribution platform

Westcon-Comstor NZ enjoys 2020 sales lift, launches services distribution platform

Westcon Bench is up and running with several engagements now live

Dave Rosenberg (Westcon-Comstor)

Dave Rosenberg (Westcon-Comstor)

Credit: Supplied

Major distributor Westcon-Comstor NZ increased both sales and profits for its 2020 year, which ended before any impact from the Covid-19 pandemic and lockdowns.

For its year to 29 February, Westcon-Comstor reported sales of $221.5 million, up from $211.6 million. Almost all of the increase was from the sale of goods, as opposed to services or commissions.

Profit surged from $1.6 million to $2.7 million.

Managing director Dave Rosenberg declined to comment on the latest financials because the NZ business is a division of a publicly-listed business, South Africa-based Datatec.

"What I will say is I am delighted with the effort of the Westcon-Comstor team and our partners to achieve the results," he said. 

"I would like to thank the Westcon-Comstor team, our vendors and partners for your support over the past 12 months. Clearly what we are doing is resonating well with the NZ market."

Rosenberg said since the pandemic hit, the business had been focused on supporting the reseller community with various virtual, physical and blended events and demand generation campaigns with more to come.

"Education and training over this period has been and is paramount to our partners, so we have been running various events to assist the channel to either use the period, especially over lockdown, to retrain and recertify or keep-up with some of the innovative solutions which are being released by our vendors," he said.

Westcon-Comstor's keynote Imagine event, like many others, went virtual in May.

"Feedback from all involved including attendees was the event exceeded expectations and was resounding success," Rosenberg said.

The distributor's cloud business continued strong off long-term investment, spearheaded by Amazon Web Services (AWS) showing good growth as a base for several of the company's vendors.

Rosenberg said Westcon-Comstor had spent a lot of time reviewing its services go to market. It had become clear that supplying services beyond traditional distribution support areas such as marketing, supply chain, education and support on behalf of vendors, could create channel conflict with partners.

Taking that into account the distributor recently launched its Westcon Bench service aggregation platform, which allows partners to supply and source services ad-hoc or for long term projects. 

"In simple terms we are distributing services," Rosenberg said. "We will continue to deliver some specialised services as the channel requests, but we envisage our business moving to this model very quickly."

Westcon Bench officially launched at the beginning of the quarter and already has several engagements under way.

"This business is going well in these challenging times," Rosenberg said. "The next six months I think we will see the economy further tighten up with the impact of COVID.

"I believe we are well positioned to continue to support our partners."

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