Kingston points dealers at corporate margins

Kingston Technology is looking for channel support to help establish it in the corporate market.

The memory vendor will use a combination of push and pull channel programs to target the lucrative server DRAM market. It has embarked on a market education program and will transfer its recently announced notebook DRAM sales dealer incentive program to servers.

The program, which rewards resellers with gift vouchers, has seen its notebook DRAM sales increase by 40 per cent in two months, according to country manager, Keith Hamilton.

After a slow response to its initial launch, the company is also ramping up its KingstonCare program, which extends free onsite memory support to server and workstation customers.

Hamilton said the initiatives would make the most of opportunities in the growing server market.

"Server farms and virtual server software - where one device is split into multiple servers - all need a lot of memory," he said. "We are also trying to get buy-in at a corporate level to get them onto higher capacity modules so there are better margins for resellers."

Greater use of the KingstonCare program would also provide new service opportunities for resellers of its branded DRAM, Hamilton said.

"The program will also help service providers to meet SLAs and address risk management because they now have additional choice and better supply," he said.

Combined with ongoing market awareness campaigning, the programs would also work to dispel credibility issues the vendor was facing in the corporate space, Hamilton said.

"There is a lot of fear, uncertainty and doubt in the market, especially around warranty issues," he said. "These initiatives are all about getting corporate customers to feel comfortable about Kingston."

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