Most resellers know that selling IT products in pursuit of profit is a challenging business. Not only is the economy tough right now, but there are many pitfalls and risks to selling anything – even when things are good – that need to be weighed up. Not least of all estimating just how much of anything you should stock.
Stocking products is a logistics-intensive activity. You need to know how many items to stock, and what the threshold of “too many” is. It’s a delicate balancing act; what is true on the day of ordering might not still be true by the time the stock arrives, leaving you with product to move but no customers.
What if you could eliminate much of that uncertainty? What if those problems just went away, and you were magically able to match customers to products and quantities, always having the exact amount of the right stock on hand to exactly fulfil your customers’ demands? Would you do want that?
We’re pretty sure the answer is “Yes!”. That being the case, here’s some good news: this is exactly the opportunity that ESD presents. It won’t solve all of your stock challenges, but it will solve them for certain software SKUs.
ESD stands for Electronic Software Delivery, and it is the concept of making software available to resellers via digital means, rather than physical.
Key to this useful capability is the word “electronic”: it means the software you’re selling is 100% digital and delivered over the internet. There’s no need to order it, stock it in your warehouse, or arrange for its delivery, it’s simply there the second a customer completes their order, and all they need to do is download and install it.
Rectron offers this capability to its resellers. Through our ESD portal, you can offer your customers standalone versions of the latest versions of Office, Windows 10, Visio, and Project. These are mostly pay-once-own-forever SKUs, but of course we also offer Microsoft 365 Personal, Family, and Business Standard, which are Microsoft’s subscription-based packages.
The beauty of selling software electronically is that you don’t need to pay up-front for stock and then hope that you actually sell it. Instead, your customers can buy what they want from the comfort of their homes (or wherever, really) whenever is most convenient for them to buy it. It typically costs less than boxed software, too, as the cost-savings of not having to physically stock it can be passed on to your customers.
So where is the software stored, then? It’s all in Microsoft’s datacentres, so you’re not even paying for servers or storage or connectivity. All you’re doing is facilitating the transaction and profiting; there are no overheads to pay for, no stock levels to monitor, and no logistics to worry about. ESD truly is a thing of beauty.
If you’re not already on board, now is the second-best time to add ESD to your value proposition. Speak to us to find out how to go about doing that.