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30 january 2007

Marvel-Distribution Reports 2006 Results

Marvel's dealer network currently comprises 2,062 companies in 122 Russian cities. According to Anton Cherepakhin, Marvel's sales director, the partner network covers virtually all Russia's big urban areas. The best dealer's share in the total sales volume dropped from 3.14 percent last year to 2.17 percent. Among the results of 2006 is acquisition by Marvel of ISM Computer's Eastern Express. The deal brought Marvel around 200 new partners and a contract for distributing Acer computer monitors.
There have been considerable changes in Marvel's relationship with its vendors. The company ceased cooperation with four big manufacturers - Intel, Oki, Maxtor and Samsung. According to Marvel's Marketing Vice-President Sergey Patskevich, cancellation of contracts with Maxtor and Samsung was due to the fact that they stopped delivering hard drives as such. The break-up with Intel was caused by some serious changes Intel had introduced in its dealings with distributors. ‘Intel products are just as good’, Patskevich commented. ‘It's just no longer as profitable for us to sell them’. AMD processes have replaced Intel products - Marvel signed a contract with the manufacturer in February 2006.
Besides a contract with AMD, last year Marvel signed a distribution agreement with Dell (for the whole product line), Digi (terminal and consistent servers, multi-port boards, remote access servers), HTC (smart phones and communicators), Sony (digital cameras and video cameras), Supermicro (network hardware), XFX (video cards).
The biggest share among the product groups in the corporate sales volume belongs to components, peripherals and digital equipment; in 2006 these accounted for 48 percent; sales of laptops, PCs and servers added 30 percent to the total sales volume, and sales of networking equipment accounted for 22 percent.
Company offices are located in Saint-Petersburg and Moscow. Over 50 regional warehouses operate throughout Russia on the basis of corporate partners. About one half of the company turnover comes from the regions.

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