Distribution with an Edge!

Nitesh Bhandari
Managing Partner
Texonic Instruments 

What is the criteria for choosing a distributor?

The partner should have interest in the product; he should have the proactiveness to distribute the product. The parameter of appointing our distributors is based on the distribution portfolio he has, so that it does not overlap the products which we will be selling to him. The distributors are carefully selected and they have been performing very well.

Distribution has seen a sea change over the last decade. How do you see the distribution landscape in India?

Distributors can be categorized differently. We have always considered ourselves as value- added distributors and not just a box-mover.  We also offer other services as per the requirement of the customer like technical support, after-sales support. We also take ample care of the warranties. Most of the box-pushers or box distributors do not do that. We find an advantage in doing value-added distribution and in India I find only six or seven value-added distributors and I consider ourselves as one of them. 

What are the current trends in networking?

Networking as such has been quite stable. I have not seen many changes in this domain in the last two years. Wireless is gearing up in a big way and I see great potential as far as wireless is concerned. For the next four to five years, wireless seems to be garnering a bigger market. 

Apart from networking what are the segments you would like to address?

We have already covered most of it, be cabling we have it with us and for that we have tied up with DigiLink. For wireless we have Aruba Networks, for racks we have APW President, for security we have Check Point Software Technologies Limited. So, more or less, we have covered the entire pockets of networking. We never wanted to get into software; we have always been into hardware. 

What are you doing on the cloud front?

We have not stepped into cloud, as of now. For the next three years, we are not planning to touch that. We have been more into the distribution segment and the offering is more of software combined with hardware. I want to first set up a strong base. Our next focus will be on the LED range of products – be it commercial or residential.

How do you address the SMB segment?

For the last 12–13 years, we have been in the SMB market segment. We have not really been in the high-end segment. But since the time we have signed up with Checkpoint and Aruba, it gives us an opportunity to get into the large sectors, manufacturing sector, government sector and education sector as well, and we have found quite a potential there. All along, we have been into the SMB segment. Now, it has been a great migration to get into the large segment, which is pretty good. With bigger brands in our portfolio, it gives us a good opportunity to get into the higher end. 

What is your take on the Union Budget 2012?

I feel that the implementation of GST will be a boon. Today, the kind of forms that are required, the double taxation that happens, all these have brought about a chaotic situation.  

Every state has got a different policy. If GST is implemented, there will be one structure of tax which is quite benefiting. I really feel it will be a boon for the IT segment. At least for people like us on whom double taxation is imposed, with GST we can have one point of billing which would be much easier. 

What are the strengths of Texonic?

Ours is a very comprehensive offering. Pre-sales services, installations, post-sales, technical support these are our key strengths.  Since the day we started networking, our main focus is on value-added distribution. 

What is your future roadmap?

We already have about nine or ten distributors across India and we need to have at least another eight distributors in each of the regions. We are basically concentrating on B- and C- class cities more than A-class cities and we have already covered most of them. For the ones that are remaining, in the next one year we should be able to appoint another eight distributors in each of the region and that should happen by 2012-13 October.