Navigating the demand for innovation this EOFY

As part of the Federal Government’s Digital Economy Strategy and support of businesses building pandemic recovery and digital workforces, the Instant Asset Write-Off and Loss Carry-Back schemes have been extended to June 30, 2023. To learn about your EOFY entitlements read our recent blog here.

With growing demand for technology solutions, the IT industry is experiencing larger than normal backordered stock resulting from supply chain constraints and the global semiconductor shortages. Gartner predicts the shortage will be over by the second quarter of 2022, while IDC forecasts worldwide semiconductor sales to grow by 12.5 percent and reach $522 billion in 2021.

Vladimir Mitnovetski, COO at Dicker Data said, “While the industry continues to navigate shortages, the reality is stock will continue to be manufactured, become available, and eventually delivered. As Australia’s leading IT distributor, we are working closely with over 80 of the world’s leading technology vendor partners to manage and track market share to ensure our resellers receive their stock as soon as possible.”

Here are four tips to navigate the current chip shortage in time for EOFY.

1. Plan ahead for EOFY benefits

IT stock is in high demand. The number one strategy to navigate delays and obtain EOFY tax rebates is to double down, work closely with your customers, assess their tech needs and plan. Give your IT distributor visibility on your customers’ requirements and place orders as soon as possible so they are loaded, processed and invoiced before June 30. This enables your distributor to work with vendors to forecast, secure your stock and support you in setting expectations with customers on estimated time of arrivals.

2. Your IT distributor is your strategic partner

Partnership is key. Think of your IT distributor as a strategic partner and trusted advisor. To deliver on your customers’ expectations, align with your distributor and work closer than ever. Leverage their expertise and clearly understand your customers’ needs, their technical challenges, and what solutions are essential for their success. Your distributor’s technology expertise and knowledge around vendor stock allocations will enable you to offer the foresight required to build and package end-to-end solutions that your customers need. This will help you close deals and secure revenue in time for EOFY tax incentives.

3. Seek advice and explore your options

Technology is the backbone of digital transformation. Factoring in stock allocations, shortages, and delays, we recommend you critically analyse and understand your customers’ technology environment, challenges, and business requirements so you can package solutions that meet their objectives. Work with your IT distributors and explore alternative tech products and solutions that are capable of meeting expectations.

Vladimir Mitnovetski said, “If for example a specific model isn’t available, we help our partners navigate the next best alternative or viable solution to meet the brief. Additionally, we feature a vendor line up and in house expertise that supports our partners across the entire technology value chain. We are therefore well placed to equip them with the tools required to understand the benefits and opportunities of various vendor technologies.”

4. Future proofing and new opportunities 

End users are shopping around and want a partner that can truly deliver. There is an opportunity for partners to deliver above and beyond for their customers and capture new business by demonstrating the value they can deliver.

By working closely with their IT distributor, partners can provide the transparency and honesty on stock availability and order fulfilment. From problem solving, recommending product alternatives, offering assurances, regular stock updates and setting expectations, work with your IT distributor to find the right alternative.

Yasser Elgammal, Head of Sales & Vendor Alliances at Dicker Data said, “Dicker Data is managing inventory very closely and, in many cases, has reserve stock available to service resellers. We also work closely with partners to develop future proof strategies to ensure we build their tech advantage, maximise profitability and facilitate growth. Our intrinsic understanding of the current landscape and stock allocations have enabled us to work with our partners to ensure they achieve their full potential. We help support them in positioning their strategic value in that chain.”

Remember, plan and place your orders as soon as possible, so your invoices meet the June 30 deadline, and you obtain the tech you need and Government incentives you want.