Top 10 Takeaways from Synnex Varnex

By George L. Koroneos, Editor — November 21, 2013

San Diego was packed with solution providers, this week, as Synnex held its Fall Varnex conference at the Marriott Marquis and San Diego Convention Center. Sandwiched between a brilliant keynote speech from Oakland As manager Billy Beane and a rocking performance by Eddie Money were three days of solid educational seminars focused on helping solution providers take advantage of managed services opportunities, learn how to build mobility into their practices and expand their product portfolio by developing complementary solutions.

“Synnex is trying to build a portfolio in such a way that we are addressing the different verticals, and it's not a one shoe fits all [situation],” Synnex’s Vice President of Global Mobility Solutions Adnon Dow told VSR on Monday. “It's about expanding our ecosystem of vendors while in parallel building the ecosystems that we need to address these changing markets. That's where we're heading. We are on that trajectory and now it's about expanding and getting that traction.”  

Here are 10 things you might have missed if you didn’t attend Varnex:

  1. Rather than rip and replace technology, solution providers are being encouraged to wrap and embrace legacy systems with new mobile tools.
  2. Partners are educated on how to package cellular carrier activation and infrastructure services, because there is no hardware and there is no inventory or credit line. It's a much richer margin than what they are currently earning on hardware.
  3. Transactional print sales are declining, but managed print is on the rise.
  4. Adjacent technology solutions are becoming a big deal in the printer market as resellers can bundle printers, copiers, managed print services and IT infrastructure into a package sale.
  5. The K–12 education market is growing thanks to increased funding at the state and local municipal government level and the implementation of the Common Core education standards, which will require new technology tools in the classroom (network security, specific display size, etc.).
  6. Synnex is seeing a cultural change from one-time sales to recurring revenue. The key is for solution providers to adjust their profit expectations.
  7. The public sector is in need of business analytics tools and capabilities built around electronic monitoring.
  8. The federal government is spending significantly on preparedness measures.
  9. In terms of cloud solutions, yield is less about selling the actual cloud, but the bundled services that are built on the cloud.
  10. Solution providers currently understand the cloud market, but it’s not as easy to get clients to buy into a cloud solution. That’s where the VAR must work harder at becoming a trusted adviser to their clients.

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