CCC takes steps to counter SimpleTech shortage

Concentration Computer Company (CCC) has freshened up its brand portfolio in the wake of the vendor’s recent takeover by Hitachi Global Storage Technologies

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By  Andrew Seymour Published  April 12, 2009

SimpleTech distributor Concentration Computer Company (CCC) has freshened up its brand portfolio in the wake of the vendor’s recent takeover by Hitachi Global Storage Technologies.

Hitachi’s acquisition of Fabrik — the company behind the external hard drive brand — has led to a lack of SimpleTech shipments into the region, which CCC does not see changing until mid-May at the earliest.

The Dubai-based distributor has moved quickly to shore up its business in the meantime, striking external HDD agreements with Seagate and A-Data.

”We are authorised to list A-Data across all UAE retail channels, while for Seagate we can only focus on a limited number of retail stores,” explained Husam Alif, director at CCC. “We have the aim of using our resources to open up the GCC market for A-Data. For Seagate, we shall use our existing sales channels to offer the products in KSA, Kuwait, Qatar, Bahrain, Oman and Jordan.”

In addition to those tie-ups, CCC has begun distributing HP flash drives, digital picture frames and digital cameras.

“This will add depth to CCC and help us offer a more attractive product portfolio to retail stores,” insists Alif. “While we rely on our component business unit to provide us with a fast cash flow and revenue generation, HP can help us focus on smaller quantities with attractive margins.”

CCC has traditionally been regarded as one of SimpleTech’s main distributors in the Middle East. Alif says the company is keen to maintain that perception, but is waiting to hear details of Hitachi’s channel plans following the current shortage of SimpleTech products in the Middle East channel.

“Hitachi’s acquisition was only finalised earlier this month,” he said. “Prior to that, Fabrik decided not to ship any products to EMEA until Hitachi had taken over. Fabrik’s CEO will be in charge of the external hard drive business within Hitachi, but there will be changes in the product packaging, warehousing and shipping location. We should soon receive a message from Hitachi GST on what changes we can expect, and how we can proceed strategy-wise.”

Meanwhile, SimpleTech’s main channel contact for the Middle East, Payam Dadgar, announced at the end of last month that he was leaving the company. He is understood to be moving to Europe later this year to begin an MBA.

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