Anixter Touts Selling to End Users

We haven't lost any people, but we have done a fair amount of cleanup jobs after "self-integrators".

It happened to us at my old company, SecureNet. It happened more than once, each time with large clients; in many cases we looked at this as strengthening our relationship since most of them still depended on us to provide services for major installs and our former employees were tasked with the moves/add/changes and preventative maintenance tasks.

I mean, can't I cast unlimited votes? lol

I agree with pretty much everything you've said, but I do think it obscures the point that makes this post newsworthy - and that's that Anixter has gone on record many times over the years claiming that they "didn't sell directly to end users any more". I will diplomatically refer to this as a "consistency issue".

Other than the ethical question, this consistency issue wouldn't matter, right? Except manufacturers are basing their strategies - or at least their arguments in support of their strategies on the idea that Anixter is designed to support the integrator, who is required to keep certain levels of staff, training, and activity to represent and support the product.

This affects pricing, marketing, and ultimately, the reputations of the brands involved when channels and markets get tangled.

In theory, you are correct. However, the Manufacturer <=> Distributor relationship is a little more complex.

Many manufacturers like to sell through distribution because they do not want to extend credit to integrators, chase integrators for payments, and setup shipping and warehousing operations to fulfill orders. In some cases the warehousing part can be managed, either internally, or by using a 3PL company, but the credit part can be a little more risky.

For the most part, I do not think many manufacturers truly care who the "customer" is, in the sense of integrator, end-user. As long as it is a good sale and not going to be a support nightmare, a manufacturer is happy to cash the check (maybe even more so now with Hikivison/etc. pulling prices down).

At this stage though, manufacturers do not want to sell direct to end users, it will cause too much chaos in the channel. But if the distributor sells direct, the manufacturer can claim that is not supposed to happen, they are not aware of it, etc. This may not always be true, and if it gets out of hand it may cause problems, but up to a certain level it can be managed.

In this sense, the distributor is a combination bank/warehouse/fallguy for the manufacturer. It is not a glamorous business, but it can be profitable.

If direct end-user sales become accepted in the industry (either fully accepted, or just so out of hand that integrators can no longer complain about it and get anywhere) then I think you may see manufacturers cut out distributors, but that is still not likely to happen for several years.

My take is this: there are indeed some end customers who are highly capable of adding on to an existing surveillance system. If they are going to self install, then let them. A distributor should still find a reseller to pass through the sale IMHO.

I don't view this as circumventing the system in this circumstance, and in fact I see it as providing what the end customer needs- and by executing a pass through sale preserves the channel model.

Distributors who sell direct, again, IMHO, are just trying to clean up a few extra points. I personally wouldn't trade channel integrity for that. I am no longer/ but used to be in distribution.

Just looked up the requirements to get an alarm license in North Carolina, and I have to say, this is BS.

The application requires you to list and give details for your mother, father, spouse, and children, your spouse's employer, all home addresses going back ten years, all jobs going back ten years, if you've ever been sued by a debt collector, if you've ever been fired from a job, if you've ever been fined more than $50, and if you have any mental or emotional problems. The real fun, however, is the form your five references have to fill out, which asks if the applicant is "family oriented" and asks if the reference has ever done anything "illegal or questionable".

I find your questions intrusive and irrelevant to the business of surveillance and security, North Carolina Department of Public Safety.