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What is a value-added reseller?

Posted by Kristen Norris on Jul 6, 2017 11:13:44 AM

A value-added reseller (VAR) is a company that takes an existing product and adds extra features and/or services to it. This is typically in order to sell an integrated product to end users as a turnkey solution. Value-added resellers can do just as the name implies- add value- by providing complimentary services, additional hardware, extended warranties and support, and other bundles that provide a much better deal for the end user than simply buying software or a system directly.

VARs are common in markets that cater to specialized tasks that require specific computer components and entire systems to be built using them, such as for medical imaging or video editing. Buying direct may seem like it will save the purchaser money, but not if further assistance is needed in setup, assembly, training, consulting, integration, removal or upgrading of obsolete components, and other services that the end users are likely to need.

In addition to vital professional services, VARs also save end users money and hassle in not having to buy custom hardware, and have their own IT staff be unnecessarily burdened with assembling new computer systems or software packages.

Many companies sell relabeled versions of their products through VARs in order to reach more clients, and have the VAR provide a level of support and service that they can't directly provide. These channel relationships are extremely important for the seller to maintain a healthy ecosystem of VAR partners who cater to different markets, and can do outreach in niches and areas that they wouldn't have thought of. Channel partners can provide different features and services that others may not, and offer great value to the end user who may be in need of them.

At Cadre Information Security, our value-add is that we work with the acknowledged leaders across the information security industry giving our clients a one stop shop for solutions that meet their unique needs - once size does not fit all. We are consultants to our clients and can provide strategy, design and implementation. We also provide services such as support, consulting, and assessments. 

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