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CDW Pilots Strategic Partnerships with Technology Solution Providers
VERNON HILLS, Ill. - Sept. 10, 2004 - CDW Corporation (NASDAQ: CDWC), a leading provider of technology products and services to business, government, and education, today announced it is testing a new strategic partnership concept called CDW SolutionEdge™. This pilot program involves working with fewer than 10 carefully selected technology solution providers (SPs), which are companies that have historically provided both information technology (IT) products and professional IT services to customers. The combination of CDW's broad range and availability of technology products and the SPs' high quality professional IT services expertise will enhance both CDW's and the SPs' ability to deliver value to their customers.
Under the CDW SolutionEdge program, the SP introduces its customer to CDW, which in this program will serve as the SP's product procurement partner. CDW provides the customer with the right technology for their needs, when they need it, and the SP receives a fee and continues to provide the professional IT services to the customer. Early focus group results indicate considerable solution provider interest in the program. The recruiting and selection process is currently underway and expected to continue into the fourth quarter. Pilot testing of CDW SolutionEdge is expected to continue at least into the first quarter of 2005.
"CDW has been raising the bar on the technology buying experience since the day it was founded, and, like many in the industry, we believe that strategic partnerships with selected SPs are one step in the evolution of the way customers buy their technology," said John A. Edwardson, chairman and chief executive officer, CDW. "Rather than wait for the industry to evolve, we've chosen to act now."
"Like CDW, the solution provider's primary focus is the customer," Edwardson said. "No one in the industry can match the unique package of strengths the two of us together can bring to every customer - a broad selection of technology products delivered quickly, plus high-quality professional IT services expertise."
CDW's SolutionEdge also offers benefits to the SP partners. "The solution providers are able to streamline the product end of their businesses, concentrate on higher margin services, and reduce working capital requirements," said Norm Lillis, vice president of sales - new markets and small business, CDW. "As for end-user customers, they will continue to use their trusted SP advisors and receive products quickly and efficiently through CDW. And at the same time, CDW SolutionEdge offers CDW another way to expand its market share and grow its customer base," Lillis said.
"I think the CDW SolutionEdge program looks very promising. It would give me a cost-effective alternative for handling the product end of my business in a manner where I know my customers will be served well," said Poco Sloss, president of Bellwether Technology Corporation, a New Orleans, La. solution provider. "It also would free us up to concentrate on services, which is what we know best and where we can be more profitable."
About CDW
CDW® (NASDAQ: CDWC), ranked No. 376 on the FORTUNE 500, is a leading provider of technology solutions for business, government and education. CDW is a principal source of technology products and services including top name brands such as APC, Apple, Cisco, HP, IBM, Microsoft, Sony, Symantec, Toshiba and ViewSonic.
CDW was founded in 1984 and today employs approximately 3,700 coworkers. In 2003, the company generated net sales of approximately $4.7 billion. CDW's direct model offers one-on-one relationships with knowledgeable account managers; purchasing by telephone, fax, the company's award-winning CDW.com Web site, customized CDW@work™extranets, CDWG.com Web site and macwarehouse.com Web site; custom configured solutions and same day shipping; and pre- and post-sales technical support, with more than 100 factory-trained and A+ certified technicians on staff.
Additional information can be found by visiting CDW.com.
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