Independent telecom distributors have been around for almost twenty years but there still seems to be some confusion about what “independent” means. My background is with Nortel equipment so my perspective is colored by that, but in general the principles are the same no matter the manufacturer.
There are generally three distribution channels, OEM-authorized distributors, independent distributors and the grey market.
Authorized distributors have an agreement with the manufacturer. They sell software and hardware that is warranted by the OEM and generally sell maintenance contracts for supporting PBXs or IP-PBXs. If you are wanting to buy a large system or upgrade software, look to these organizations.
The independent distributors are exactly that, independent. They have no contractual agreements with the manufacturer. Frequently they sell products from more than one, offering choices and many times a lower price than the authorized channel. These organizations offer their own warranty, often two years, but this comes from them and not the OEM. If you have a problem with something you purchased, simply return it and they will either repair or replace it. Most independent distributors do not sell maintenance contracts. Because they are generally smaller companies than the authorized distributors you are likely to get better service when buying smaller items such as phones and line cards. This happens because they are small and more flexible than most large organizations. While small, they are serious about their business. A few are ISO-certified, assuring they have quality standards in place that are strictly enforced. Many belong to the North American Telecommunications Dealers Association (NATD) which has a strict code of ethics. Anyone found in breach of that code is denied membership.
Now we get to the grey market. These are the folks to be leery of. They often claim to be authorized dealers when they are not. They claim to have relationships with and offer OEM warranties when they do not. The existence of a distributorship agreement with a manufacturer can be verified at most OEM websites. If you suspect that some organization claiming to be an authorized distributor is not, check it out. Another thing to check is that you are ordering the correct release of almost any electronic product since interoperability can be an issue. A grey marketer might not have the expertise to assure that you are getting the correct product. They are simply concerned with moving inventory. For that reason you might think you are getting a great deal. Always be suspicious of one that looks too good to be true.
The best way to protect yourself and your company is to be educated. Read ads carefully. Are all products protected under warranty or just some? Look for product knowledge and tech support. Are they able to offer either? Ask about internal training for sales staff, and product training. Does it take place and how often? Look for history. Have they been in business for a while? If not, can they offer customer references? Look for membership in associations like NATD which have rules and regulation regarding the conduct of members. Look for quality controls. Are they ISO-certified? Ask about stocking capacity, financial stability, and Dunn and Bradstreet ratings.
As an educated consumer you have choices which will probably depend on exactly what you need to buy. Be careful to work with reputable companies which have invested significant time and resources into supporting their customers and products.
Reach the author at mpowell@a1teletronics.com.
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