Distribution of Non-IT Products (Digital Lifestyle, Smart Communications, Telecom, Consumer Electronics and Digital printing)
Redington has carved out a strong presence in the non-IT distribution space with a product portfolio that encompasses consumer electronics, telecommunication, Gaming and digital lifestyle products. The non-IT business model differs from the IT business model primarily in terms of addressal of Channel that cater Predominantly to the Retail market. The business model varies both between products and between brands.
Overall, the Non-IT business model addresses three distinct channels consisting of:
- Large Format Retailers (LFRs) and Organized Trade Chains (OTCs). LFRs typically distribute products across categories such as IT, Telecom and so on. OTCs trade only products related to a particular category. Both may have a national or regional presence.
- Multi-Brand Outlets (MBOs) are typically spread widely across the country and vary in terms of size and product offerings. In order to scale the distribution reach quickly, MBOs are handled via Redistribution Stockists (RDS).
- Corporate partners of various sizes from small to large.
Product Channel Variation: Telecom products, for example, would be hugely driven by the Multi-brand Outlet (MBO) channel as compared to Digital Printing which is hugely based on Corporate Partners.
Brand Channel Variation: Some brands predominantly sell through the Multi-Brand Outlet channel, whereas the others are driven their own authorized partners and resellers. Redington has the flexibility to customize the Go To Market as per the vendor requirements.
Most vendor engagements with Redington are on an exclusive basis PAN India or for a particular Territory .