The channel is continuing to focus on services and looking to ensure it has strong sustainability as it looks ahead, according to new research from distributor TD Synnex.
The research, based on a benchmark survey carried out by Canalys, found that almost three-quarters of partners expect to sell more managed services in the next three years.
With pressure rising to have a story around environmental, social and governance (ESG), the distie found that 40 percent were also looking to offer sustainability/ESG reporting within the next two years, TD Synnex said.
Apparently, 82 percent of European partners expect to report growth this fiscal year, and 43 percent pointing to security, servers and storage as the top revenue-generating areas.
Security was ranked the most profitable technology for the channel to be selling, as rated by the European partners. Services of all kinds are also expected to grow. Hardware also remains a revenue driver and is often key to unlocking further revenue streams.
The survey found that all categories of services are projected to grow:
Managed services by 74 percent
Professional services by 65 percent
Consumption-based XaaS by 50 percent
Packaged services by 44 percent
Product lifecycle services by 38 percent
Researchers felt there might be a missed opportunity was in the channel’s ability to cash in on growing interest in the metaverse. Billions of dollars are being pumped into this area and numerous headlines have been generated by firms wanting to position themselves as potential market leaders.
Despite that, only 17 percent of those partners questioned intend to get involved with augmented and virtual reality in the next couple of years.
TD Synnex, Europe and Asia Pacific Japan president Patrick Zammit said that the TD Synnex Technology ecosystem benchmark report captures how the IT channel is anticipating, and responding to innovations that were transforming interactions.
“By harnessing the potential of emerging trends, the channel will be well positioned to help accelerate the adoption of new technologies that will produce exponential advances in efficiency, connectivity and safety.”
Zammit added: “We are really encouraged to see European technology leaders put ESG capabilities on their roadmap.” He emphasised that this also mattered to the distributor and it had made net-zero carbon commitments.
The survey also found that more partners are increasing their own IP, with more than one-third expecting it to grow as an activity in the next couple of years.
