ScanSource has a limited line card by design, and we represent only the key suppliers in our specific technologies. Our approach to potential suppliers is multi-faceted with input from the sales, merchandising, technical support, and finance departments.
Criteria for supplier consideration includes:
- Technology leadership is one of the most important criteria. We try to have the top two or three suppliers in each of our chosen technologies.
- An active reseller channel is an equally important factor. This critical component proves that a product or technology has demand in the market and that there is a core of resellers who understand it and have had some success in reselling it.
- An exclusive distribution relationship with ScanSource is preferred, although it's not required.
- Rapid material revenue is important in order for ScanSource to invest in a new vendor relationship. When we launch a new supplier, we invest a great deal of resources—from inventory on the shelf all the way to the training of our sales and technical teams.
- The executive management of a potential supplier must demonstrate support for, and understanding of the role of two-tier distribution in the supply chain.