Italian SME and the global market

Villa Fenaroli, Brescia, Italy

Italian SME and the global market

26th September 2008,Brescia, Italy

The “Italian small and medium enterprises and the global market” was the subject of a conference organized by “Friisberg Klab” at Villa Fenaroli a magnificient splendide eighteenth century Villa, only  5km away from Brescia’s centre, in Italy.  Villa Fenaroli was a private Villa where  Avogadro-Fenaroli’s family lived for centuries.   Is one of the most prestigious  congress centres and hotel  in Italy  (www.hotelvillafenaroli.com)  Major speakers were Antonio Pier Francesco (Nino) Patane’ and   Mario Gibertoni,  President and Managing Director at consultant company StudioBase.

Nino Patane' (left), Mario Gibertoni (right)

Mario Gibertoni founded Gruppo StudioBase in 1983 after gaining long management experience at home and abroad in companies such as Fiat Iveco and Beretta Armi Spa. At the same time he studied the most advanced managerial theories in the USA and Japan. The audience was a selected group of  CEO,  Managing Directors and General Managers of  Italian companies in various sectors.  Mario Gibertoni presented in the morning the subject of  “business management in the internationalization process“.  In the afternoon Nino Patane’ presented the subject   “the entrepeneur in the global competition” and cases histories based on his experience.

Antonio Inches

Nino invited to the session Antonio Inches,  his associated  business partner, also Ceo and President of  Idata Group (Turin, Italy):  a real “internationally minded” entrepreneur that described his own wide and  deep experience in:  international markets, international tenders and know how transfer.

Chairman of the event was Lorenzo Bombardini, CEO of Friisberg Italy. J. Friisberg & Partners Executive Search is part  of  IIC Partners Executive Search Worldwide – one of the world’s top 8 Executive Search organisations consisting of successful, locally owned Executive Search businesses in America, in Asia/Pacific and in Europe.  In Europe you will find J. Friisberg & Partners offices in 14 locations.

Nino Patané interview in Top Trade Informatica

Please below attachment the article (PDF) part of the dossier about security that has been published in the supplement to the October issue of Top Trade Informatica. They presented 119 companies that are present in the Italian security, storage and Ups markets. Buffalo has been presented through the interview with Nino Patané.

Here below the details of the article:
Country: Italy
Date of publication: October 2008
Publication title: Top Trade Informatica
Journalist name: Carla Rampi
Target market: Channel media

Publisher: Business Media 24

Click here to see the article

Nino Patané interviewed by ICT Trade Magazine on Storage Market

ITM ICT Trade Magazine  interviewed the companies that they consider the leading players in the storage market in Italy: Buffalo Technologies, Fujitsu Siemens Computers, Hp, Ibm, Imation, Iomega, NetApp Italia. Buffalo has been presented through the interview with Nino Patané. Nino Patanè has laucnhed Bufallo Technology’s operations in Italy.

Click here to see the article.

WiMax Italy – Guidelines are now officially released

As previously stated, during the Broadband Access Forum Meeting held in Naples, on 16th January 2007, AGCOM (the Communications Regulatory Authority - Agcom - is an independent Italian authority, established by Law n. 249 of 31 July 1997) declared their intention to define during June the guidelines for the allocation of rights for users of broadband wireless frequencies operating at 3.5 Mhz.

It actually happened and had its maximum expression in the drawing up of Resolution n. 209/07/CONS. This resolution plays a key role and the way that led to it’s drawing up has been long and tortuous: first of all, some frequencies that previously belonged to the Defense Ministry had to be set free, then AGCOM had to analyze the approximately 70 inquiries sent by Operators belonging to that field. In Italy, Wi-Max aroused a growing interest because it is expected to solve the hoary issue of digital divide, and also because a relevant number of operators had already declared an interest to enter this market, which looks like a great opportunity, at least on all appearances.

In a context like the Italian one, where the telecommunication market competition is strictly controlled by regulations, a call for bids to allocate the rights of users is unavoidable, or at least advisable: “The number of interest displays”, quotes the Resolution, ”widely exceeds the band availability “.

From a technical point of view, the Ministry of Telecommunications, in the 27 March 2007 note, reported to the Authority that, thanks to the agreement signed up with Ministry of Defense, a band of total amplitude of 150 MHz, situated inside the 3,4-3,6 GHz band, can be split in two blocks of MHz 75 since the beginning of the procedures of selection. This band can be free enough from interferences to be destined to civil use, provided that in some geographical areas this band of 150 MHz can be set progressively free from interferences deriving from the last Ministerial usage. In addition, the Ministry makes available 2×75 MHz of 3.5 GHz. Band for public services.

To define the number of rights for users that can be granted according to availability, the Authority, in the first place, asserts that a right of a user of at least 2×21 MHz is the essential requirement to provide high quality services. Public calls for bids should have begun in July 2007, but it seems to have been delayed once again. As it already happened for other calls for frequencies allocation, the possession time will be determined in 15 years in order to allow Operators an adequate return on the investment. The call criterion will be based on the best economic offer. One of the risks of a similar procedure, as already underlined, is the fact that existing operators can buy up all available frequencies and delay the realization of alternatives broadband networks. For this reason, the Authority suggests “to reserve a preferential treatment to the operators that do not have other spectral resources to offer broadband services comparable to BWA. The aim is to develop new networks of access to broadband and to improve the number of operators deeply- routed on the territory, maybe on a regional base, so that they can offer a variety of services more aimed at the citizens’ local requirements”.

In the past months, one of the most discussed topics was the settlement of geographical areas. The hypothesis of “creating small homogenous geographical areas or provincial allotments” was rejected because “in some areas of the country the call could have failed due to a reduced business interest and therefore force the Administration to repeat the allocation procedures”. The final decision is to proceed on a macro-regional base “by putting together only regions that are territorially adjacent and by stating a minimum number of two and maximum number of four regions that can be grouped together. The Italian islands are not bound to this aggregation rule”.

To sum up, a report that underlines the Authority’s farsightedness establishes that “if after 30 months from the release of the rights for users, the assignee (or person to whom the frequency has been adjudged) does not demonstrate concrete possibilities of direct or indirect use of the frequencies to provide services of broadband wireless access, than every reasonable demand for access to the same frequencies in different areas from those indicated in the initial cover plans will be satisfied on the basis of business negotiation and fair non-discriminating terms. Such restriction can be justified by the necessity to guarantee an efficient use of the frequencies for the aims they were intended for, in case of shortage of accesses to broadband networks”.

Italian ICT Market Q1 2007 – Information Technology Italy

Italian ICT Market Q1 2007 – Information Technology Italy.

The Market Data for Q1 2007 have been published by Sirmi Spa the leading Italian Market Reasearch Company focused to ICT trade channels: IT market growing by 4% compared to Q1 2006, TLC stable, Consumer Electronics growing by 8%.

To see more details click here: Italian ICT Market Q1 2007 or send an email to info@trendeurope.com.

Nino Patane’ launches Buffalo Technology in Italy. Agreement signed with Esprinet.

Nino Patané launches Buffalo Technology in Italy. Agreement signed with Esprinet.

After six months from the startup of the operations in Italy, 650+ Italian resellers have already traded Buffalo’s products. On 6th June 2007 the Japanese Company Buffalo Technology (www.buffalotech.com) has signed a distribution agreement with the leading Italian distributor Esprinet SpA (www.esprinet.com). 

Esprinet (Italian Stock Exchange: PRT) is a major European player

in the wholesale distribution of IT and consumer electronics. Esprinet is the number one distribution company in Italy and Spain (40.000 resellers served, 500+ brands).
With a consolidated sales of €2.22 billion in 2006, using its unique internet-based business model, Esprinet is mainly addressing the small-medium-enterprises market (SME).Esprinet sales rank as the distribution company No.1 in Italy and Spain, the No. 4 in Europe and No. 9 worldwide.

According to the Strategic plan 2007-2009 the Key Strategic Goals of Esprinet are:

• In the next decade aim at becoming the European leader in Technology Distribution via both reinforcing the leadership in South Europe and entering at least one other Western European Market within the next three year

• Financial Targets for the next three years:
  • Consolidated sales growing up to:
  • € 2.62-2.71 billion in 2007
  • € 2.87-3.00 billion in 2008
  • € 3.10-3.24 billion in 2009
  • CAGR ’07-09: +9%
• EBIT expected in a range of
  • € 89-97 million in 2007 (3.5% on sales)
  • 102-111 million in 2008 (3.6% on sales)
  • € 113-123 million in 2009 (3.7% on sales)
  • CAGR ’07-09: +13%
• Net profit estimated up to
  • € 47-52 million in 2007
  • 58-64 million in 2008
  • € 68-75 million in 2009
  • CAGR ’07-09: +20%
• 3-year cumulated net cash flow2 in excess of € ~220 million – Esprinet considers compatible with the expected available financial resources cquisitions up to € 2.0 – 2.5 billion of sales in Western Europe with no need of a share capital increase

Buffalo Technology is a global manufacturer of innovative wireless networking, storage and multimedia solutions for the home and small business environments. The company is recognised as the Number 1 total PC peripheral manufacturer in Japan, and was the worldwide consumer NAS market leader in 2005 and 2006 (In-Stat).

For more information write to: info@trendeurope.com

PRESS RELEASE

Buffalo Technology Signs Distribution Contract with Esprinet S.p.A.
06/06/2007

Milan, 6th June – Buffalo Technology, leading global provider of innovative wireless networking, storage, multimedia and memory solutions, and Esprinet S.p.A., leading distributor of consumer IT products in Italy and Spain, announce today their commercial partnership aimed at the immediate distribution of the whole product portfolio of Buffalo Technology in Italy.

“Buffalo’s worldwide leadership is already consolidated (being the rising star of worldwide Distribution, wireless technology leader and Number One of the consumer Network Attached Storage (NAS) market), but the company’s activities in Italy started just recently. The great results achieved in the first 6 months of activity with our partners (650+ resellers) allow us to share an optimistic view about the development of our presence in this market” said Nino Patané, responsible for Italian Market Development for Buffalo Technology. “Esprinet S.p.A. fills a key position for the development of Buffalo’s channel in Italy: this distribution contract will boost our presence in this market to a new dimension.”. Buffalo Technology put their trust in Esprinet for their excellent logistics, the efficient IT infrastructure and their outstanding capability to address and support the channel through a winning mix of a highly appreciated online platform and a wide portfolio of reseller services.

“We are very proud that Buffalo selected Esprinet to support them in this strong expansion phase of their brand on the Italian market. Our interest towards Buffalo arises from the requests of our customers, asking for new, not devalued, high quality solutions with competitive pricing. Our partnership with Buffalo Technology allows us to strengthen our offer, targeting both the SME and the digital living application markets” comments Matteo Restelli, Country Manager Esprinet Italy.

Buffalo’s product portfolio includes its award-winning AirStation™ line of easy-to-use, high-performance wireless networking products for SME/SoHo and home users. With industry leading AOSS™ (AirStation One-Touch Secure System™) technology, users can simply build a secure wireless network at home or in the office at the push of a button.

The Award wining line of Storage solutions include the Network Attached Storage (NAS) – TeraStation for SME/SOHO and LnkStation for Home users ; external storage offer DriveStation for desktop solution and MiniStastion for portable solution. Also for the digital home environment, Buffalo offer LinkTheater a multimedia player.
Products on the Buffalo line can combine to offer a unique integrated WLAN, Storage and multimedia solution.
About Buffalo TechnologyBuffalo is a global manufacturer of innovative wireless networking, storage and multimedia solutions for the home and small business environments. The company is recognised as the Number 1 total PC peripheral manufacturer in Japan, and was the worldwide consumer NAS market leader in 2005 and 2006 (In-Stat).

Buffalo’s product portfolio includes its award-winning AirStation™ line of easy-to-use, high-performance wireless networking products for SME/SoHo and home users. With industry-leading AOSS™ (AirStation One-Touch Secure System) technology, users can simply build a secure wireless network at home or in the office at the push of a button.

The company’s storage solutions are addressing the needs of both the individual and the business, providing a versatile line of USB flash drives, portable and desktop hard drives and cost-effective network attached storage (NAS) solutions. Including its multimedia players, Buffalo is unique in offering integrated WLAN, storage and multimedia solutions for the digital home environment.

Buffalo’s strong international industry alliances with companies such as Intel, Broadcom™, Nintendo and Microsoft have allowed it to lead the industry in the development of the latest technologies into practical tools for the business and the home.

Italian ICT Market Q4 and Full Year 2006 – Information Technology Italy

Italian ICT Market Q4 and Full Year 2006 – Information Technology Italy

In February 2006 the Market Data for Q4 2006 have been published. To see more details click here: Italy ICT Market 2006 Full Year (pdf, 294K) (suource Sirmi) or send an email to info@trendeurope.com

PTT approvals – Requirements for Datacom Italy and Europe

The European Community went through a strong deregulation process in 1999 for all Telecommunications devices subject to regulatory requirements. As a result of that, the local PTTs offices stopped to requesting compliances to country’s specific PTT regulations and related local process of getting approvals, and moved to 1999/05/EC (R&TTE) directive. In those European Countries, EC compliance is now fulfilled in the following way: the manufacturer of the datacom product submits the device to only one of the Official Notified bodies for a conformity check. The Notified Body will perform a test cycle on the product and once the test is passed, it will keep the complete test report and release an Approval Conformity Certification to the manufacturer. A copy of the certification is usually translated and shipped together with the product (e.g. printed in the user guide) and is valid across all the European Countries.

In Italy as well as a few other Countries, the Ministry of Communication has transposed/adopted the European 1999/05/EC (R&TTE) directive into national laws, and there is a national specific procedure to fulfil. For Telecommunication and Datacomm manufacturers, there is an important difference to consider in order to understand what kind of approval procedure the product is subject to. If the device is intended to be used by the end user, in their home, and is a product such as a phone or a modem, it will not need any extra approval action to be taken into Italy. The European Certification released by the Certified Body be valid in Italy with no need further to engage other local PTT Approvals. If the Telecommunication or Datacomm device is intended to be installed in the Telecom exchange or in any other place rather than the end user’s home, it has to be locally approved according the law (law “D.P.R. nr. 507, 9th December 1998). If this is the case, the device is seen as a “network terminal“. As a consequence of that, the Manufacturer that is willing to perform an Italian PTT approval, should prepare all the necessary documentation (electrical schematics, bom list, application form) and two test units to submit to the PTT Lab’s test. If the entire test is passed, the Certificate of Approval will be issue in around one month. The Manufacturers of products subjected to PTT approvals that are not submitted for the test procedure, will be considered as shipping an illegal product and prosecuted by law. Regarding the, a specific Italian PPT approval process must be followed. Products category such as Wi-Fi devices, Hyperlan2, MiMo, WiMAX, still need to be certified according to the art. 6.4 Directive 99/5/CE and DLgs 1.8.2003 n. 259 art.104 and D.M 28/5/03. This process is called “Immissione sul mercato” (translation: “entry in the market” or “release in the market”). There are no real hw tests performed on the device but the paperwork is generated by the Italian Ministry of Communication who certify the test report released by the European Body. Also in this case, the “Immissione sul mercato” certificate will be available in a month or so after the testing. The “Immissione sul mercato” is mandatory and products without that Certificate could be removed from the shelves of the shops by the Postal Police. For more information on PTT approvals, regulations, conformity certifications, lab tests, CE marking, ROHS, WEEE, RAEEE, etc. – please feel free to contact me info@trendeurope.com

Ecommerce in Italy B2C – Status mid year 2006

Ecommerce in Italy B2c (IT, PC, Consumer Electronics) – Status mid year 2006 online sales – IT and consumer electronics online sales B2c, which in 2005 accounted for approximately 310 millions €, would close in 2006 with a growth of 40% a little more of 430 Millions Euro, being in Italy at the second position (in online sales revenue) after the Tourism, that is the leading component of the eCommerce B2C in Italy: almost 11% of the whole market is represented by B2c IT and CE.

The penetration rate, compared to the total retail sales, is equivalent to 3% and offers considerable opportunity of growth especially if comparing with international levels. In 2006 almost 2,5 million of online orders will be executed by ecommerce websites for IT and CE products. The average “cash slip” (average sales value per order) will be slightly higher of 180€, a drop of 15% compared to 2005 also due to the rise of the “E-bay computer shops”, which average sales is much lower to other online sales companies and due to the rise, in sales, of consumables and accessories.

In 2006 the major part of the market stays concentrated on the hands of the “dot com pure players” companies, running the business according to the “virtual reseller” model and of the few operators of the major retail distribution who invested in online channel.

During 2005 “Monclick” entered the market as the first operator “pure player” but not “dot com”, having the support of the leader of IT and CE distribution in Italy (the distributor Esprinet who owns Monclick at 100%).

In the “virtual resellers” category, the dominant companies, have an aggreagetd market share that is the lowest between all principal sectors of the online sales in general (when considering the market share of the major players). The online sales business is NOT concentred yet. For the major virtual resellers, is more and more difficult to keep a sufficient margin. Only the few initiatives with a dominant market position, e.g. MrPrice and ePrice are able to reach a volume which allows them to have, even if low, a contractual power in front of the suppliers (vendors and distributors).

There are at least three the development directions on facing this phenomenon:

• don’t rely completely on a pure reseller virtual model but try, as much as possible to operate following a mixed logic, accepting to not purchase only after the order has been taken from the final customer, but taking purchasing opportunities with interesting margin;
• extending the range to the product categories not strictly linked to IT, PC and consumer electronic, e.g. the sport and spare time products, bricolage, health, beauty, jewellery, which could grant margin profit definitely higher;
• more focus on “margins generators” cross & up selling (like foreign companies – e.g Pixmania – which are more advanced in this area does.

Major retail organization, even if they can count on better deals and margins, are still struggling to get success in the online sales with the exception of MediaWolrd (Mediamarket) that is already well established.

Until now the competition in online sales has been mainly on price. As consequence the role of “comparators” website (Kelkoo, Trovaprezzi, Costameno, etc.) has been critical to get orders but also further compressing the margins. The competition and success in the coming years will be driven instead by the overall service provided to the customers. And a lot of effort is being placed in this direction by the major players.

Italy ecommerce major players: click here to read the document “ecommerce_Italy.pdf (1 page in english – pdf, 7 KB)”

For more information on Italian and European markets write an email to TrendEurope (European IT Sales and Marketing Agency) info@trendeurope.com and see www.trendeurope.com

Source: Osservatorio B2c Politecnico di Milano Click here to download the full doc (51 pages in Italian – pdf, 2 MB)

Italian PC Market Q3 2006 – Information Technology Italy

Italian PC Market Q3 2006. At the end of October 2006 the quarterly figures regarding the PC Market in Italy have been released. The Italian PC  market continues to see a two digit growth. In units the growth accounts for +12.2% compared to the same quarter of 2005; in value the growth  is +6.1%. Major growth for notebooks: of which 25% overall, 28.4% consumer and 21.7% business configurations. Outlook for full year 2006 – expected number of PC shipped in 2006: 4.7 million (+12.5% vs 2005).

Source: Sirmi