The market needs more services
In 2022–2024, the Russian IT market went through significant restructuring: players and products available for purchase changed and services. The tasks of dealers and integrators remained the same — to provide business customers' projects with the necessary equipment and software strictly within the deadlines stipulated in the contract. During the transition period, the effectiveness of market players became largely dependent on the capabilities of IT distribution representatives, which in result increased the requirements for their services. During the survey, 66% of respondents confirmed that they want to see distributors as more active participants in various processes in the vendor-supplier-integrator-client chain.
According to the study, almost a quarter of respondents (22%) require extended financial services. New solutions, possibly even innovative ones, should help companies optimize their calculations. In second place in terms of demand were two services — a logistics service with a large number of additional options, as well as more comprehensive service support. These options scored 19% each. Completing the top 3 is a comprehensive third-party cargo delivery service — it turned out to be important for 12% of dealers and integrators.
Changes in the structure of the IT market and the needs of players have led distributors to the need to transform: not just to revise their product portfolio and list of services, but to rebuild the business model, develop new niches, and launch services that are atypical for them.
Distributors focus on strategic partnerships
After 2022, IT distribution representatives are increasingly acting as strategic partners, according to observations from survey participants. Companies take an active part both in planning projects together with integrators and in creating solutions jointly with vendors.
A significant transformation of the role among a small number of Russian distributors was noticed by 42% of IT market players surveyed. 25% of respondents noted the first steps in the organizations they work with in the direction of strategic interaction. Another 21% have recently seen an obvious and active transformation process.
Survey participants emphasized the great importance of accumulated expertise in the further change in the role of distributors. Every fourth respondent was confident that IT distribution representatives in the next 3–5 years will strengthen their position in service support. Slightly fewer companies predicted development in the creation of solutions — both in cooperation with vendors (23%) and independently (21%).
«Many distributors have long been building up engineering competencies in order to offer IT market players various high-tech services. For example, OCS launched a production division in 2020, equipping a small workshop in Moscow. Today it is already a large modern production site occupying 1.5 thousand square meters. m. With its help, we provide partners and vendors with various services: contract assembly, equipment modernization, software installation and replication, compatibility testing, equipment branding and much more», — said Anna Chernyakova, Vice President of OCS.
Currently, a strong trend towards cooperation is forming in the IT industry — IT market players are initiating various partnerships to create and improve products and services. According to the dealers and integrators surveyed, distributors play a significant role in this process. 23% of respondents rated the contribution of technological partnerships with their participation to the development of the IT industry as critical. Another 40% — as moderately significant.
The survey results demonstrate the rapid evolution of distributors, triggered by unfavorable events in the market and new expectations from their services.
Distributors save IT players money
The transformation of the role of major Russian IT distributors is already bringing tangible business effects to dealers and integrators, according to the study. Thus, thanks to distribution services, 24% of IT players surveyed have significantly reduced the risks associated with delivery times and product quality in the last year. 22% of respondents, in turn, noted savings in time and money, and another 20% — cost reduction.
«It is worth noting that positive effects on the business of dealers and integrators are observed when cooperating with major IT distribution players who invest money and time in the development of various services, modernizing their activities. After 2022 a large number of small suppliers specializing in certain categories of goods appeared on the market. Working with them often turned into various problems for companies such as missed deadlines or receiving substandard products», — noted Anna Chernyakova, Vice President of OCS.
Cooperation with distributors allows companies to improve not only operational performance. 16% of dealers and integrators noted an increase in their competitive advantages. Such effects are achieved through the use of unique or complex IT solutions and services created with the participation of IT distribution representatives.
In recent years, the activities of IT distributors have been influenced by a large number of factors: sanctions restrictions and the departure from the market of a large number of foreign A-class vendors, rapid digitalization of business, revision of expectations from distribution services on the part of dealers and integrators, and much more. The answer to the new reality is the transformation of the traditional distribution role into a partnership interaction, as well as a revision of the business model.
Read the full study at link.
Methodology
OCS surveyed representatives of 144 organizations from 26 cities in Russia. The respondent companies belonged to the following business areas: 76% — integrators, 15% — retailers, 7% — developers, 2% — service providers. Questions were asked to managers who directly interact with distributors in procurement processes, strategic planning, etc. The survey was conducted in the summer of 2024.
Illustrations provided by the OCS press service