Recession? What Recession? Target’s record year demonstrates the strength of the channel

January 29, 2010 | 16:16

Companies: #target-components

Yorkshire based distie, Target Components, claims that its 2009 performance demonstrates that independent retailers and system builders are beating the recession and out-performing the rest of the economy.
As Target MD Paul Cubbage explains “Our customer base and primary focus has always been independent retailers and small to medium size SI’s and resellers. After 12 years in the channel, the unprecedented growth we’ve seen in 2009 clearly shows that our customers are stronger than ever, and not only surviving the economic climate, but really thriving.”

Target has enjoyed a record year with sales, orders and spending customers all showing above 40% growth on 2008, the company’s previous best year. They have also expanded the Target workforce by 40% in the same period despite the worst economic climate in living memory.

Whilst Target has continued to introduce new and unique innovations in 2009 – such as Flexible Product Feeds, the Automated Business Catalogue, and the Technology Skill Share Programme – Cubbage believes that Target’s success in 2009 is down to two main factors: continued investment in customer service and the underlying strength of their customers.

“We’ve invested heavily in development of our customer service, communication and feedback systems, we’ve introduced our Customer Focus Group and significantly expanded our Open Day (Target’s 2009 Open Day attracted over 250 resellers), but without a shadow of a doubt we could not have achieved this level of performance without the underlying strength of our customers’ businesses.”

Cubbage believes that tougher times for indies in recent years, with increased competition from high street multiples and e-tailers, had already forced retailers to evolve into far more resilient business models. He also refers to the economic downturn as a “Robin Hood recession” because: “Whilst we’ve seen some major high street names fail over the last year or so, independent retailers are thriving as customers turn to the expertise and exceptional customer service that indies can offer their local communities” and believes that Target’s unprecedented growth in 2009 is further evidence of the strength and resilience of the channel to significantly outperform the wider economy.

Notes to Editor:

Target Components LTD is one of the UK’s leading trade-only distributors of IT products. Based in our central UK location in West Yorkshire, we deal directly with the worlds leading manufacturers to bring our customers an extensive range of quality products and pass on our economies of scale through extremely competitive trade pricing.

For all sales enquiries please call our dedicated sales team on 01977 739295
Alternatively visit our website:
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