Nortel banks on `Partner Source' to double channel revenue

Cyber News ServiceP>

BANGALORE: In a major drive to increase its reach in the country and double its revenue from channels, Bangalore-based Nortel Networks has added yet another distributor to the existing two and introduced its online business resources initiative `Partner Source' program to channel partners in India.

While Ramco Systems and Ingram Micro, which it appointed in September, will distribute all its products, Datapro Infoworld, with which it teamed up recently, will only distribute Nortel's niche products like Webcache Server, Instant Internet and router through some of its large network of 1,200 resellers.

A part of its worldwide initiative, `Nortel Network Partner Source' , through www.nortelnetworks.com/partnersource, offers a unique marketing on demand capability that allows channel partners to generate free, custom made, co-branded Nortel Networks marketing material online. It also enables the channel partners to add their logo and other distinctive information such as telephone numbers, web address etc to specific Nortel Networks brochures, guides, advertisement, direct mail posters and other sales support tools. This extranet program helps channel partners to leverage and benefit from Nortel Network's brand recognition.

According to T.R. Srinivasan, Head-Marketing, Nortel Networks, "The extranet program provides us with the necessary tools to reach ahead of our competition. Attaching our logo `Nortel Networks' shows clients that they (channel partners) have partnered with a world class organization. No other company offers anything like it." Currently, Nortel has 200 plus channel partners. Through this initiative and by taking on one more distributor (in all probability before end December), the company is expecting to double the number. Says V. Venkataraman, Area Manager-India, "Currently channel business is contributing 15 percent revenue; we are expecting to double this in an year through Partner Source."

Nortel, which has been operating in India since 1993, has around 25 per cent of the WAN product market in India. It expects to end the calendar year 1999 with a revenue of $16 million (Rs 688 crore), up from $9 million (Rs 387 crore) in 1998.