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Lenovo: The challenge is to focus on moving towards the PC+ era

Sathya Mithra Ashok | April 7, 2014
As Lenovo pushes into the consumer market in the A/NZ, Matt Codrington, MD of Lenovo A/NZ talks about the shape of things to come.

Lenovo is gearing up for a consumer push in the A/NZ region. In an interview with Reseller News Matt Codrington, MD of Lenovo A/NZ describes the shape that drive will take, the products the region might soon see in retail stores and the changes the company foresees in an increasingly commoditised hardware market.

Q: Can you give a brief on the Lenovo business in the region?
Matt Codrington: I joined Lenovo A/NZ about a year ago. I have been with the company for around eight years now. It is a healthy business in this region, especially the commercial segment. In Australia, in a given quarter, we are either number one or two in the commercial segment. ThinkPad is a very strong product.

Here in NZ we do good business with a number of enterprise customers. We have very strong partnerships with key resellers here. From NZ perspective we have an opportunity to grow. In Australia we have got opportunity to grow in the consumer segment. We have not got a consumer business as yet. That leaves us almost half the market unaddressed.

Lenovo has been a very successful vendor in the consumer space globally but in A/NZ it is an expensive business to be in. We want to make sure that we do it the right way. So part of my strategy in the coming period would be to look at how to enter the consumer space both in Australia and NZ, and achieve that market addressability.

We are traditionally quite strong in the education space in both countries, but more so in Australia. As concepts such as BYOD or CYOD come to the fore, that would be a good play for us to be in the retail presence, because that will serve as part of that volume.

Traditionally we have had a more direct relationship with the boards of education with schools - we would continue that. We have got some very strong partners in the education space, but I think we also need to consider the BYOD element. Although we have been very successful in the PC business over a period of time, the intent of the company is to be a connected devices company. So it is about what happens next in terms of tablets, smartphones and so on.

That's really the focus, to build that part of the business, and branching to the high growth areas for long term success.

In A/NZ we have around 150 people along with support structures.

We have people in Auckland and Wellington. Our head office is in Sydney and we have around a distributed sales force across Australia.

Q: Describe your partner network in the region.
MC: Lenovo is partner centric organisation. We do have some direct relationships driven by our global business. But on the whole, it is more of a heavily weighted channel business than a lot of other hardware vendors.


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