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CONTEXT Brings Specialist IT Channel Insight to Argentina

it distribution

CONTEXT Brings Specialist IT Channel Insight to Argentina

CONTEXT Brings Specialist IT Channel Insight to Argentina


At CONTEXT we’re constantly striving to bring insight and actionable market intelligence to the IT channel. Over the past three decades that central mission has seen us expand into 16 Western European countries, and even further afield: to Russia, Dubai, Japan and Brazil. We’re delighted to be taking the next step of our journey in South America by launching the first ever distributor panel in Argentina. It’s been a tough year for the channel there so far, but this is an opportune moment to offer CONTEXT’s unique market analysis, so that channel organisations can make crucial business decisions with greater confidence going forward.

A mixed year
The weak peso has made it a particularly challenging time for most Argentinian businesses so far this year, but the IT channel has been hit particularly hard. This is because most technology hardware is imported and priced in dollars. The result? Skyrocketing prices and both corporate and consumer IT buyers cancelling or postponing purchases.

However, this shouldn’t detract from a more positive trend: over the past couple of years in which we have seen technology prices in Argentina slowly align with the rest of the world. This is thanks to a government elected in 2015 which has sought to open the country’s doors to foreign imports. In decades past, heavy tax duties made it extremely expensive for your average consumer to buy imported tech products.

Looking ahead
Overall, we’re cautiously optimistic for the future of the Argentinian IT market. Although the devalued peso has hit businesses hard, hopefully this will not become a long-term trend. On the other hand, the continued opening of the country to foreign imports is something all channel players will be applauding. We expect growth to return in the first half of 2019.

It couldn’t be a more interesting time to launch CONTEXT in this South American nation. We believe there is a massive appetite for the kind of market intelligence, performance benchmarks and opportunity analysis that helps our clients to optimise operations and accelerate growth. Our unique value add is in providing these B2B and retail businesses with sales and pricing data — including total end-user consumption, margin visibility and channel sales figures — at every point in the supply chain. That’s all backed up by the biggest channel sales database in the world.

In Argentina we’ll be hitting the ground running by partnering with CADMIPyA, the local trade association assembling the biggest distributors in the country, including Solution Box, Stylus, Ceven and Air Computers. That’s around 70% coverage of a distribution market worth about $1bn. Over time CONTEXT will look to grow its footprint in the country to add even more value for channel customers. But for now, we’re excited to be taking the first steps towards a major innovation in the region.


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