Geopolitical turbulence is challenging businesses across all industries and forcing them to find new ways to stay resilient. For those selling and distributing hardware, smooth supply chains and healthy stock levels are essential to deliver products to customers on time.
However, global conflicts, rising costs, tariff uncertainties and the ongoing fallout from Brexit are causing disruptions in these areas.
But it’s not all bad news – there are definitely reasons to be optimistic. Technologies like 5G and high-speed fibre networks are increasing bandwidth, while AI and automation are helping businesses improve efficiency and productivity.
We spoke with two of our UK Channel partners to gain insight into the current state of the sector in the UK – including the new challenges they face, as well as opportunities for growth.
Challenges for Channel Businesses
One clear message that came out of our conversations was the impact of the economic climate and constantly changin
g global trade regulations.
Leon White, Managing Director at hardware and software support provider Clarion*, explains:
“Doing business has become more difficult, and margins are lower just to secure the same deals – which isn’t surprising, given the economic climate, rising cost of living, and financial recovery following the pandemic.
International deliveries and stock levels have also never fully recovered since Brexit. Sometimes the biggest challenge is simply sourcing enough products to deliver to our customers. That’s why we maintain a relatively large supplier list to help offset these shortages.”
Where Demand Exists
The changing nature of the workplace continues to shape the product portfolios Channel partners offer their customers. With most organisations enabling some form of remote or hybrid working, businesses need to review their cybersecurity policies and ensure teams are equipped with the right tools to communicate efficiently – no matter where they are.
Five years after the pandemic, many companies are also now reassessing whether the devices they quickly procured at the time are still fit for purpose.
William Copley, Founder and Managing Director of telecoms provider Armstrong Bell*, shares:
“We’re seeing strong demand in Voice and Unified Communications (UC), as well as in Managed IT services, as businesses continue to develop their hybrid working models. With more decentralised operations – including here in the UK – there’s an increasing need for integrated, secure, and reliable solutions.
Sectors like professional services, healthcare, and education are especially interested in these solutions, as they aim to maintain efficiency, compliance, and security in distributed work environments.”
According to Armstrong Bell, hospitality solutions also present an attractive growth area for distributors and resellers – and will play an important role in Snom’s product portfolio over the next year. While it may be considered a niche market, hospitality is far from small in the UK, and Channel sales are far from saturated.
Shifts in the Telephony Market
For Leon White at Clarion, cloud platforms are a key focus in customer conversations:
“Most of the businesses we work with are focused on moving to Microsoft 365, Azure or similar cloud-based platforms – and are moving away from on-premises hardware.
With the upcoming switch-off of analogue networks, even the smallest companies – or those who haven’t yet transitioned – are now considering adopting VoIP (Voice-over-IP).”
Cause for Optimism
While keeping an eye on current developments is essential, Channel businesses should avoid becoming passive. Differentiation can still be achieved through excellent service and solutions that truly meet end customer requirements.
William Copley of Armstrong Bell puts it this way:
“Our focus on delivering tailored technology solutions is especially appreciated by customers seeking greater flexibility and security in their operations.”
There are also opportunities to use new technologies specifically to boost sales. Telephony will increasingly become integrated with IT systems – so it makes sense to offer communication solutions from vendors whose products are compatible with AI-powered platforms.
Another key approach is offering data-driven solutions that help customers make more informed decisions. Copley concludes:
“As industries become more data-driven, there’s a major opportunity to support businesses with analytics-based insights and connectivity solutions that help them unlock the full potential of their data.”
Conclusion
The geopolitical turbulence of recent years has certainly made the situation in the UK more complex – but that’s no reason to assume the market is heading in a negative direction. Snom’s partners are, for the most part, highly specialised resellers and providers whose businesses are constantly evolving anyway.
Overcoming the challenges of Brexit and the pandemic is one thing – but arguably, the greater challenge lies in addressing new customer needs with the right solutions. In the end, one thing still holds true in the Channel: close market observation and working with vendors who share this focus and are ready to respond flexibly and innovatively to emerging demands will ultimately pay off.
*Armstrong Bell: https://www.armstrongbell.co.uk/
*Clarion Information Systems: www.clarionis.com
Be First to Comment