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Issue Date: August 2002

Autodesk posts record sales

1 August 2002

Design technology company, Autodesk, has posted its best design software sales in Africa since it began trading here 20 years ago. At the close of its financial year at end January 2002, its sales in Africa topped R50m, coming back from a double setback in 1999.
Managing director of Autodesk Africa, Errol Ashwell, who is the sole senior Autodesk executive stationed in Africa, explains that 1999 was the company's worst performing year. "Like everyone else in the shrink-wrapped software industry, we took a knock as clients sank their IT budgets into 2YK solutions." A nonperforming distributor further exacerbated the company's already difficult situation.
Things started to turn around, though, when in November 1999, Autodesk released its African distributor, Silgraph, a member of the Siltek group, and appointed start-up company, WorldsView Technologies, to handle distribution and channel development responsibilities. "While our decision to part company with Silgraph was vindicated when Siltek closed its doors last year, our decision to appoint a start-up company might be described as a leap of faith," says Ashwell.
"It certainly paid off. Despite the dotcom fiasco in 2000, we made a good recovery recording a 28% growth rate. This was followed in 2001 - our best sales year ever - with 25% growth. All this, despite the fluctuating rand dollar exchange rate experienced during the second half of the year." Ashwell attributes these successes to the value that WorldsView is adding to the distribution process as well as the leadership and passion for business excellence of the company's managing director, Craig Yeatman.
A rationalisation and optimisation strategy implemented following WorldsView's appointment, trimmed away resellers who were not adding value. Today the Autodesk channel comprises 26 focused, knowledge-rich reseller partners in Africa - this is about half the size of the pre-WorldsView channel. With exchange rate impelled price increases in the region of 100% averted by intervention from Autodesk's Europe, Middle East, and Africa (EMEA) region, Ashwell is confident about the way forward.
"In our current presentations, though, we are demonstrating the advantages and capability of internationally developed Autodesk technology platforms, enhanced by SA developed design software applications tailored to cater for local conditions," he adds.
"We pose the question whether locally developed CAD drawing and drafting packages or internationally developed Autodesk platforms best equip SA companies to bid for work, particularly in the international marketplace. During the next six months, Autodesk is offering powerful pricing options to built environment professionals who migrate to AutoCAD or Autodesk Architectural Desktop design technology from competing CAD and drawing products.
For more information: Errrol Ashwell, Autodesk Africa, 012 664 8115, geo-south-africa@autodesk.com


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