Dell Technologies' Cheryl Cook: 5 Latest Channel Takeaways
Dell Technologies’ SVP, global partner marketing, Cheryl Cook, reveals the latest updates for channel partners.
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Dell Technologies recorded another record quarter for channel growth.
In the second quarter, Dell’s order revenue growth in the channel was up globally 45%. That closes the first half of the year at 29% growth.
Cheryl Cook, Dell’s SVP, global partner marketing, described the growth as “phenomenal.”
“It’s just phenomenal performance, really balanced growth across the globe geographically as well as across all lines of business,” she said.
Cook said Dell continues to see robust demand in its client solutions business. Despite concerns about Dell going direct, channel revenue growth was up 84%. This puts growth at 49% for the first half of the year.
There was also growth in Dell’s server business, which was up 42% last quarter, and 27% for the first half of the year. In its storage business, the firm saw global growth of 4%.
“We would just love to see this kind of momentum continue through the back half of the year. We think the demand climate is robust. We think the world needs more technology, not less … The world needs [partners’] help and our customers need their help. So I think the growth opportunity in the horizon for them is going to continue to be robust,” said Cook.
Global alliance partners’ contributions grew 15% in the second quarter, putting them at 16% growth for the half-year. Meanwhile, Dell’s OEM business was up 32% for the quarter.
This growth has led to a 20% bump in rebate payouts our partners, said Cook.
Cook said Dell’s messaging around upsell and cross-sell opportunities across its portfolio is paying off for partners.
“We continue to see phenomenal growth of new customers and new buyers from the channel. In Q2, they delivered 63% of the company’s new and reactivated buyers,” said Cook.
Dell’s definition of this is a new “logo,” or a customer that hasn’t purchased in four or five quarters. It also includes expansion of lines of business. This is providing a “tremendous opportunity” for partners, said Cook.
“For example, they might have been a client customer but they’re now purchasing servers or storage in the data center. We think it’s a key differentiator for partnering with us at Dell Technologies, because of the breadth of the portfolio.”
Those partners that sell more than a single line of business outpaced those partners that don’t, she added. Partners that sell all three lines of business grow eight times the revenue than that of a partner only selling one or two lines of business. If they also sell VMware, they grow at 100 times revenue, added Cook.
Elsewhere, Cook confirmed Dell’s Apex everything-as-a-service offering will be available in the U.S. starting Oct. 13 for presale.
Then, at the end of the year, the vendor will expand Apex in international markets. That will focus on Apex Dell Storage service offerings, as well as custom offerings it has labelled and branded under Apex. These are available now but referral and resale will be the end of the year, said Cool.
“[We’ve had a] good response and receptivity from our partners around Apex,” she said. “You’ll see us continue to integrate Apex offerings and the proposition we have for our partners.
Cook indicated that Dell fares better than its competition when it comes to managing supply chain issues and product shortages.
“It’s a reflection of the agility of our supply chain, so I give tremendous credit to our operations team,” she said. “The scale of Dell Technologies, we have tremendous purchasing leverage. That’s showing itself. We are living in the same constrained environment as our competitors. But if you compare these results to some of our competition, it’s highlighting our ability to execute, get regional supply, be flexible and responsive.”
Cook said Dell is being “creative around logistics and shipping.” The vendor “is doing all [that’s] necessary to ensure that we can meet the demands of our customers.”
Cook revealed that at the upcoming Dell Technologies Summit will focus on the opportunities around edge computing.
“You’ll see us elaborate in a little more detail around some of our strategic efforts around telco and edge,” she said. These are “very integrated into the partner ecosystem, [and] are solution opportunities that our partners can leverage.”
The exec quoted figures from IDC that today edge deployments comprise about 20% of all workloads. By 2024, it will be 90%.
“We actually see the growth opportunity in the edge, almost bigger than maybe public cloud,” she added.
Cook revealed that at the upcoming Dell Technologies Summit will focus on the opportunities around edge computing.
“You’ll see us elaborate in a little more detail around some of our strategic efforts around telco and edge,” she said. These are “very integrated into the partner ecosystem, [and] are solution opportunities that our partners can leverage.”
The exec quoted figures from IDC that today edge deployments comprise about 20% of all workloads. By 2024, it will be 90%.
“We actually see the growth opportunity in the edge, almost bigger than maybe public cloud,” she added.
Dell Technologies has another record quarter in the bag. Here, Dell’s Cheryl Cook reveals where its channel growth is coming from. She sheds light on launch dates for Apex and maintains that Dell is handling supply chain problems better than its rivals.
Dell’s Cheryl Cook
Cook also explains how edge computing might be a bigger opportunity for partners than public cloud.
Check out the slideshow above for five key channel takeaways from Dell Technologies.
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