Cloud: Opportunities and challenges for resellers

The channel plays a critical role in taking vendor products and services to market. However, life as a reseller in the infrastructure market has become increasingly tough. Firstly, with such a large number of reseller and VAR (Value Added Reseller) firms in the UK, it can be very difficult to stand out in the crowd. Secondly, product pricing (particularly at the low-end) has been heavily hit over the years putting enormous pressure on resellers’ revenues and profits. To counter this, many resellers have been trying to sell more services (and now, of course, cloud-based services) - with varying degrees of success. This research note looks at the role the channel plays in providing cloud services to the market, what the opportunities are, and what challenges resellers face in addressing these.

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