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Brazil's largest computer maker, Positivo, is changing the way it distributes its products, by canceling or not renewing contracts with distributors and starting to deliver products directly to retailers, news source Baguette reported.
According to the report, at least four traditional distributors did not have their contracts renewed by the company this year. Meanwhile, Positivo added 22 new staff members to handle the distribution operation.
"Since there are no intermediaries in the process, we end up guaranteeing excellent profits for partners," Positivo's indirect channels commercial director, Vincent Soares, was quoted as saying.
Positivo has committed itself to delivering products the same day they are requested. The company is also aiming for the new channels department to sell five times more than the previous distributor structure.
Positivo currently has 2,200 channels, and the goal is to reach 4,000 by end-2012. According to the company, its direct presence now covers 400 cities countrywide.
Positivo is the market leader in Brazil and also has operations in Argentina. The company led PC sales in Q3 in both countries.
In Brazil, the manufacturer accounted for 12.7% of the total PC market in Q3 and sold 25.7% more units than its closest competitor and 52.2% more than the third place firm.
In Argentina, Positivo BGH, a JV between Positivo and Argentina's BGH, accounted for 23.2% of notebook sales in Q3 and is also the leader in sales to the government.