TDK pops Portable in PPCP's place
Who dropped who, why and when?
Portable Add-Ons has joined TDK's UK distribution channel, just weeks after the exit of mobile distributor PPCP. TDK has taken on Portable Add-Ons as its niche distributor for PC cards in portable devices. And in the long-running dispute over who-dropped-who in the PPCP saga, TDK says it sacked PPCP because the distributor did not fit in with TDK strategy. Keith Marsden, TDK Systems Europe MD, said: "We dropped PPCP. Occasionally you have to review your distribution strategy, and PPCP wasn't growing at the same speed." But Marsden denied Portable Add-Ons, the Datrontech subsidiary, was swapped for PPCP, saying: "PPCP didn't fit into our strategy, but we didn't drop one for the other." However, Marsden added: "We only feel we need one focused portable distributor." PPCP still sustains it dropped TDK. Mike Nolan, PPCP MD, said: "We were happy to quit. We have replaced TDK with Option International. Margins were too tight on TDK products for all except the broadliners." This claim was refuted by Clive Girling, Portable Add-Ons' MD. "There is more margin in TDK than other mobile CE product, and definitely enough margin to be made," he said. Girling put margin on TDK product at between ten and 20 per cent. Nolan said PPCP was having difficulty scraping five per cent on certain products. Marsden refused to comment on margins, saying the matter was between him and his distributors. Portable Add-Ons is TDK's sixth distributor in the UK, joining Computer 2000, Ingram Micro, Micro Peripherals and Hugh Simmons. ®
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