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FAQ: Some Definitions

Posted by Joe Caponi on Apr 10, 2009 11:18:52 AM

First-time visitors to Channelweb can find themselves at sea with some of the terms we throw around. Here's a quick guide:

 

What is the Channel?

When we talk about the channel, it is that great ecosystem of people selling technology solutions and services. These organizations range from single-person consultancies and storefront computer shops, to global organizations like Accenture and CSC, and even the services businesses of IT manufacturers like IBM and HP. While other channels exist -- manufacturing, chemicals, and automotive, for instance, also embrace thousands of vendors, distributors, integrators, and customers -- we're talking about the technology channel.

As this post noted, in 2007 we estimated that the North American technology channel consisted of as many as a quarter-million solution provider organizations, generating $370 billion in annual sales.

Although independent businesses were selling technology products decades earlier, the modern channel began with the personal computer revolution in the early 1980's, In 2000, CRN published this timeline of some of the important events in the early years of the channel.

 

What does CRN stand for?

CRN was launched as Computer Reseller News, focused on that hot segment of the channel involved with purchasing hardware from manufacturers and distributors, and, wait for it... reselling those items to end-user organizations and customers. Times have changed, and reselling is less central to most channel companies, and our coverge has broadened to take in consultants, integrators, independent software developers, all of whom we usually group together with the term technology solution providers. In 2000, the tabloid newspaper Computer Reseller News was reborn as the magazine CRN.

 

What's a VAR?

Why, a value-added-reseller, of course! Value-add is still the core mission for most solution providers, but reselling, not so much. In an earier post, I went into greater detail on what VARs do, and I quoted Bob Venero, Founder of Future Tech Enterprises, on what makes a true VAR:

"A true VAR is architecting solutions—-not just selling equipment. A true VAR walks into his customer with no particular agenda or intent to sell the latest and greatest gadgets and gizmos. A true VAR sits and listens to the customer's needs, and then leverages technology to create solutions."
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