Comment Walmartization of Technology (Score 2, Insightful) 69
This list somewhat confirms what I've been telling a lot of people - the technology industry is becoming WalMartified. Sales of commodity technologies: servers, switches, routers, monitors, phones, etc. are best purchased through national (or global) vendors, like CDW. These places have the size, scope, and presence to consistently deliver the best prices and service. In contrast, regional or local VARs are dying. They can't compete with CDW on price, service or availability. Most regional or local VARs are struggling to survive on their paltry margins from the manufacturers.
However, there is a healthy market for smaller, boutique consultants and specialty providers, especially for security. These places are thriving because they DON'T play into the margin game. They focus on specific services or expertise, areas where CDW isn't a good fit.
If you think about this practice, it makes sense. Where do you go to buy something when you know EXACTLY what you want? If you're like me, you go to BestBuy or WalMart or some such big retailer, because you know they will have the product and at a decent price. A local shop is less likely to have what you want and will probably charge more.
However, where do you go when you don't know what you want? Well, if you're like most people, you hire a professional to help you pick out what you need and implement it. I know nothing about roofing, for example. As such, I hire a roofing expert to help me pick out the right products and get my roof installed. I know I pay more from the roofers, but assuming I trust the roofers, I know that they will guide me into a educated decision.
The technology industry is falling along the same lines. If you know what you want, get it from CDW. If you aren't sure, or need consulting help, look for a local shop with expertise.
However, there is a healthy market for smaller, boutique consultants and specialty providers, especially for security. These places are thriving because they DON'T play into the margin game. They focus on specific services or expertise, areas where CDW isn't a good fit.
If you think about this practice, it makes sense. Where do you go to buy something when you know EXACTLY what you want? If you're like me, you go to BestBuy or WalMart or some such big retailer, because you know they will have the product and at a decent price. A local shop is less likely to have what you want and will probably charge more.
However, where do you go when you don't know what you want? Well, if you're like most people, you hire a professional to help you pick out what you need and implement it. I know nothing about roofing, for example. As such, I hire a roofing expert to help me pick out the right products and get my roof installed. I know I pay more from the roofers, but assuming I trust the roofers, I know that they will guide me into a educated decision.
The technology industry is falling along the same lines. If you know what you want, get it from CDW. If you aren't sure, or need consulting help, look for a local shop with expertise.
