Why Add a Middle Man? Top Four Benefits of Partnering with a VARJoel Coffman
In today’s day and age you may be wondering if it is truly necessary to include a value-added reseller (VAR) in your supply chain. Well, the answer to that question really depends on your particular business. For example, if you are a company that is unfamiliar with the manufacturing industry, looking to scale in the future or are in need of a customized service solution, a VAR may be just what you need to ensure your success and longevity.
The top four benefits of using a VAR that you should consider are as follows:
A good VAR should not only be an expert on the manufacturer and their products but also your industry and business. As a company, you’re most likely not looking for just any old third party to buy products through, but a solutions provider who assesses your needs and finds a solution that aligns with your desires, budget and timeframe. Working with a true value-added reseller, who has knowledge of the products and industry, will act as an extension of technical support allowing you to feel confident in your decision making.
VARs are able to negotiate lower prices on items due to high volumes and reseller benefits offered by manufacturers. These incentives are not made available to the public or businesses making single purchases and result in deep discounts that are a great incentive as well as a win-win for the VAR, Original Equipment Manufacturer and customer.
Using a VAR can ensure that when you’re ready to expand, your inventory is ready to expand with you. Bringing knowledge of supply chain management and OEM lead times, a value-added reseller should be able to navigate you through scaling your on-hand inventory as your business grows in order to ensure you’re not drowning in inventory and debt at the beginning then drying up once demand kicks in.
While OEMs often have a set product that allows for minimal changes, VARs are often able to take the hardware or software offering from the OEM and adjust to meet your specific needs. This will save you time and money in the long run by preventing you from needing to enact these changes yourself and allowing you the freedom to focus on your company’s end goal. In general, VARs will sell hardware and software offerings from a variety of different OEMs making them much more capable of being a one-stop-shop for their clients.
Be sure to keep these benefits in mind as your company grows – for information on how SabeRex can assist you with your VAR needs, reach out to us today!