C2000 considers charging new accounts

News

C2000 considers charging new accounts

UK resellers could face the prospect of an administration charge for opening new trading accounts with distributor Computer 2000.

The company's UK managing director, Julian Klein, said he had yet to make a decision over whether or not to follow the lead of its US parent company Tech Data, which introduced a $100 (£70) start-up fee on 1 February.

He revealed there were "many small resellers" which would like to trade with C2000, but it was often "unclear from the outset whether there is a profitable trading relationship to be had".

He added the distributor could cover its costs by asking them to pay up front "on the basis of a refundable deposit".

Steve Raymund, chairman and CEO of Tech Data, pointed out the scheme had been successful since its introduction in the US.

"There are a lot of costs associated with setting up an account. In the US, we were setting up a couple of thousand a month, only to find three quarters of them never bought anything after the first order," he added.

Rivals Ingram Micro and Bell Microproducts said they had no plans to introduce fees on new accounts.

Email Alerts

Register now to receive ComputerWeekly.com IT-related news, guides and more, delivered to your inbox.
By submitting you agree to receive email from TechTarget and its partners. If you reside outside of the United States, you consent to having your personal data transferred to and processed in the United States. Privacy
 

COMMENTS powered by Disqus  //  Commenting policy