Large resellers and solution providers feel the pinch
· Revenues of top 250 UK ICT resellers and solution providers fell 6% over the last 2 years to £42.1 billion (€48.1 billion)
· Structural changes, new business models and falling demand combine to impact sales
(LONDON, UK – 17 November 2011) Larger resellers and solution providers have been hit hard by some of the economic and industry forces battering the UK market. Revenues of the top 250 resellers fell by an average of 6.04% in 2010 to £42.1 Billion (€48.1 Billion) as weakening public sector demand and fundamental shifts in the way Information and Communication Technologies are being purchased begin to impact sales.
“Major resellers and systems integrators in UK are more reliant on government IT purchases than their European counterparts and cuts and renegotiations in the wake of the financial crisis of 2008 have hit the sector hard,” commented IT Europa’s Managing Director, Alan Norman. “This, coupled with falling demand for PCs and servers from the business sector and the growth of new delivery mechanisms such as cloud computing, have created some major challenges for traditional resellers and solution providers.”
But there are signs that the market is responding to these challenges, with a 5.4% growth in staff numbers over the period (from 240,070 to 254,052) as companies have restructured their operations to support the growth in outsourcing and more service-oriented delivery mechanisms. Amongst the structural changes that have impacted the sector over the period has been an increase in divestments, such as Computacenter’s sale of its distribution business to Ingram Micro at the end of 2009.
These are some of the conclusions drawn from the 2011 Premier 250 – Top UK ICT Resellers & Solution Providers database report, which is published today by IT Europa, the leading European channel intelligence organisation. The report provides detailed profiles of the top 250 resellers of information and communication technologies in the UK, ranked by revenue.
The Premier 250 – Top UK ICT Resellers & Solution Providers database report has been researched over the last 3 months based on detailed interviews with the organisations involved. The report provides detailed profiles of the top 250 UK ICT resellers (including sales breakdowns, key contacts, customer segments, partners etc.) and is available now from IT Europa (www.iteuropa.com) at £1495.
About IT Europa
IT Europa is the leading provider of strategic business intelligence, news and analysis on the European IT marketplace and the primary channels that serve it. It publishes European channel publications such as the IT Europa Newsletter. IT Europa also markets a range of database reports and organises European conferences and events for the IT and Telecoms sectors including the European ISV Convention and European Software Excellence and IT Excellence Awards. For further details visit: www.iteuropa.com
For further information contact:
Alan Norman, Managing Director, IT Europa
Tel: +44 1895 454 604