Tech data - Reduce server downtime

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Marketing proposal for Tech Data

Marketing proposal for Tech Data

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  • 1. Senior E-Marketing Specialist By: Michael Hudson
  • 2.  Help reseller partners cost-effectively support the technology needs of end users of all sizes. Provide logistics capabilities and value-added services that enable technology resellers to deploy powerful IT solutions. Access to a vast array of tech products, including networking devices, server and storage, computers, printers, HDTVs, as well as security devices. Provide financing, technical training and marketing support.
  • 3.  Founded in 1974 by Edward C. Raymund Original charter was to market data processing supplies directly to end users of mini and mainframe computers. In 1983, the company changed directions and moved into the wholesale business to service microcomputer resellers. By the mid 1990s, Tech Data moved into South America and Europe.
  • 4.  Small and medium sized businesses account for the majority of the job creation worldwide The Small and Medium sized Business, SMB for short, requirements on average encompass less than 5-6 servers for the entire company. Server growth is continuing this year, but at a much slower pace compared to only a few years ago.
  • 5.  I conducted a survey asking people what their primary fear was regarding both solutions. Pain points owning servers:  Cost of equipment and upgrades  Cost of competent I.T. employees to run the network Pain points owning servers:  Cost of equipment and upgrades  Cost of competent I.T. employees to run the network
  • 6. Expand warehouse distribution centers to ensure a 4 hour emergency response time forSpecific shipping server parts to reseller partners. Review in Q4. Ensure the time from order until delivery confirmation on any server downMeasurable emergency is being fulfilled in a 4 hour window. Review current partners’ locations and current response times from order until delivery.Attainable Develop an infrastructure expansion model to target partners currently outside this planned 4 hour response time and begin the warehouse distribution growth plans accordingly. This plan is certainly attainable as it is simply reproducing the same construction plans set inRealistic place by Tech Data with their current distribution centers. The main deviation is to target key locations that will allow Tech Data to reach its reseller partners and fulfill their needs in a faster window. Dell and HP have similar 4 hour response guarantees with their server products, so the concept for such a window is already shown to be doable, both logistically and fiscally. The research and development of this expansion should be finalized by Q2 2013 with plans inTimely place to break ground and begin construction of the first new distribution centers by Q4 2013.
  • 7.  *Scene opens to a server room and a puff of smoke coming out of one of the servers* Tech: “Oh no! Our network is down. This is going to cost us so much money if I can’t fix it fast” *The tech walks over to the server smoking and looks down to find a magic lamp. He rubs it and a magical genie appears* Genie: “Well well you have set me free so I shall grant you a wish. Name anything you can imagine and I will give it to you” Tech: “Is this a joke or am I just hallucinating?” Genie: “I do not joke my good man, just ask for something and it will come true” Tech: “Ok then I wish that this server smoking would be fixed so I don’t lose my job!” Genie: “Silly boy you don’t need a genie to grant you such a thing. You need Tech Data!! They can get this server up and running in 4 hours or less GUARANTEED!!” Tech: “Wow that is amazing” *Tech dials the phone and the genie disappears in a puff of smoke* *Tech Data website and phone number are displayed as the picture fades*
  • 8. Budget and Sales Forecast The expansion of Tech Data’s distribution center infrastructure will cost a considerate amount initially, but with investments into green initiatives the costs will offset over time. Sales will be projected to remain steady through heavy marketing campaigns regarding the 4 hour service window. This is going to prevent the sharp decline in sales expected because of the growth of Cloud services. The Customer Life-Time Value Calculation is expected to increase substantially as this service initiative plan goes into effect. Customers will be tied to Tech Data during the entire lifetime of the server hardware that they purchased because Tech Data will be solely responsible for receiving and shipping out replacement parts.Controls Tech Data will know when the projects goals have been met after quarterly reviews result in every reseller partner receiving every item they ordered in 4 hours or less during emergency “server down” situations. The biggest risk to achieving these goals is if Tech Data’s reselling partners are located far enough apart that strategic placement for 4 hour response times become impossible without adding additional distribution centers. This risk can be offset provided our shipping partners are able to establish routes to the farthest reaching reseller partners specifically with the 4 hour window in mind.
  • 9.  The market growth for server hardware is declining as more and more people believe that Cloud services is the ideal solution. It is our responsibility to show them that we have a solution in place to allow companies to keep their infrastructure in-house without sacrificing quality or service!