Xerox Channels Group SA is appointing the Square One Solutions Group to distribute its range of network laser and desktop printers, multifunction devices and personal copiers. Donald Goldfain, newly appointed FD at Xerox SA, says the appointment follows the recent acquisition of Tektronix' colour printing and imaging arm and is consistent with the global move to bring existing Tektronix distributors into the fold. "We have found the distribution channel created by Tektronix to be focused and effective - particularly for high-end network laser printers."

In addition, he says XCG is restructuring in order to take advantage of the extensive service and support infrastructure built locally by Square One. Another factor was the success Square One has enjoyed locally - BMI-TechKnowledge gives the company over 50% of the colour laser market whereas the Tektronix brand enjoys only about 26% globally. "As XCG is relatively new to SA we felt it most efficient to reduce the scale of that operation and let distribution piggyback on the highly successful and focused Tektronix business here," says Goldfain.

Square One will therefore be appointed master XCG distributor while current distributor, Siltek Distribution Dynamics (SDD) will - at its own request - scale down its role to focus primarily on consumables. Dereck Hindry, Director of SDD, says the company has an excellent working relationship with Square One vis-à-vis the supply of consumable products for the Tektronix range and views this move as a logical extension of that.

Describing Square One as a value-added solutions provider, Steve Berryman, joint MD of the local firm, attributes its outstanding success with the Tektronix brand to a single-minded focus on providing quality and a dogged determination to maintain integrity in the channel.

"We have a reciprocal association with our resellers. They bring the relationships with their customers to the party while we provide the products as well as the installation and support expertise needed to maximise the investment in technology," he says.

Angie Samuel, Divisional Manager at XCG SA, says the model is suited to the company's new structure. "We will concentrate on marketing XCG products to ensure 'pull' from the market while Square One takes care of the logistics involved," she says.

Berryman says: "The perpetual call for greater functionality is manifested in increasingly complex product design. This stimulates demand for specialised installation and support services which justifies the move toward value-added distribution in niche areas."

Looking ahead, Goldfain believes the stage is now set for a major upheaval in the established order of office printing. "We have taken the strength of the Xerox brand and fortified it with Tektronix' product line and distribution capacity - creating an office printing powerhouse that no one can match," he concludes.

Xerox SA

(011) 928 9346

angie.samuel@zaf.xerox.com

Square One

(011) 321 5900

steveb@sqm.sql.co.za