A good mix of quality product offerings, great service, resilience and the ability to address changing market needs are among the qualities that propel entrepreneurial startups to industry leaders.
Nology is a case in point, having grown from a small family business to a leading specialist value-added distributor of converged IP solutions.
Karel Leuschner, Managing Director of Nology
Managing Director Karel Leuschner relates how the company was established by his brother Riaan in 2001 in his parent’s Pretoria home, initially providing basic Internet connectivity, networking solutions and installation services to consumers and small business.
The first big breakthrough came the following year when Nology signed an exclusive distribution agreement with Taiwanese manufacturer Billion Electric to import and sell their ISDN modems and switches to South African customers.
“The demand for Internet connectivity was growing exponentially, along with demand for our hardware products,” Leuschner says. It was a natural progression to start selling its Billion products to other IT resellers, installers and retailers across South Africa.
The next big breakthrough came in 2006, when Nology won the tender, via an existing supplier, to bring in the first ADSL routers for Telkom.
“We sold over 100 000 ADSL routers through that contract,” Leuschner remembers. “This was huge for a small business, and it provided a significant cash flow injection which enabled us to move into our own offices.”
The ADSL boom continued for Nology in 2007, when it was selected by Internet Solutions and MWeb to supply customised ADSL routers for their end-users.
Then, in 2009, the company signed a distribution agreement with Yealink to become their first official distributor in South Africa. “Today, we are proud to say that Yealink is the number one SIP phone brand in South Africa,” Leuschner adds.
In the years that followed, Nology gradually added more brands and products to its portfolio, evolving into a leading specialist value-added distributor of converged IP solutions. Its customers today are mainly service providers, network operators, systems integrators, resellers and installers across southern Africa.
“We currently distribute 22 top international brands with a strong focus on Connectivity, Networking, Unified Communications, and Internet of Things (IoT) products and solutions,” says Leuschner. “We offer value-added services and pre-configured solutions to simplify the delivery, installation and support of our products.”
Riaan Leuschner, Director of Nology and Business Unit Executive for the Consumer division
Nology has developed its own value-add logistics service for customers, STACK, which includes warehousing of their stock, drop-ship deliveries to their end-users, return logistics and device refurbishing. This is all automated and accomplished through API integration with customers and courier partners.
So what is the secret of Nology’s success? “Our competitive advantage lies in our technical expertise and ability to offer customised and unique solutions according to our customers’ requirements,” Leuschner believes.
The Nology team consists of 70 permanent employees in the Gauteng and Cape Town branches. A dedicated technical support team, walk-in warranty centre, help desk and rework centre all contribute to its ability to deliver professional pre- and after-sales support.
The company is part of the Epsidon Technology Holdings group, and a level 1 B-BBEE contributor.
A changing market
In the IT industry, change is a constant: recognising change and pivoting to adapt to it are crucial for success in the dynamic distribution market.
Leuschner says the South African IT market is currently experiencing a number of ground-shifting technology developments – and Nology is ready to help its partners seize the opportunities.
“Digitalisation and e-commerce are critical for any distributor to survive,” he says. “So we will be launching our brand new e-commerce website very soon, allowing our customers to view current pricing, stock levels, place orders, and make payment online.
“We are very excited about this and think that our customers will appreciate the simplicity and convenience of this platform.”
No conversation these days is complete without artificial intelligence (AI) coming to the fore, and Nology is positioning itself to leverage the opportunities it presents.
“AI is currently the hot topic, and our key vendors are also aligning themselves with this technology, integrating it into their solutions to improve their offerings and customer experience.”
In a dynamic and rapidly-shifting environment, customer education and training is extremely important, and it’s something that Nology takes very seriously. “We have recently set up a new, state-of-the-art training centre at our Gauteng office, and will be hosting more regular training sessions for our customers,” says Leuschner.
“We have also created three brand new demo rooms to showcase our latest products and solutions. So customers will be able to see and experience the products and solutions in a live environment.”
Marc Kushner, Business Unit Executive for the Networking division
Standing still is not an option in IT, and Nology is constantly updating and refining its offerings.
“With 23 years’ experience, Nology has a strong reputation and track record in the industry,” Leuschner stresses. “We have recently restructured our business into separate, dedicated business units or divisions with focused expertise in each. These are: Unified Communications, Networking, Consumer, and Value-added Services.
“Our functional departments like Finance, HR, and Marketing all support these business units as shared services. This structure enables us to be experts in each of these market segments.”
The net result of this restructuring is that customers and vendors will receive more dedicated focus, attention and support, Leuschner adds.
“The industry is very competitive, so we try to build significant value for our customers and not just be ‘box droppers’. One of our mottos is: ‘we aim to take the “hard” out of hardware for our customers’, which is essentially what we strive for and why our customers choose to partner with us.
“We want to make the entire process, from a pre-sales enquiry to after-sales support as smooth and efficient as possible for our customers.”
Nology is also streamlining its system to make the distributor easier than ever to work with. “We are integrating our ERP system and processes with some key customers and online marketplaces, while also improving our STACK end-to-end logistics platform to offer our customers even more value, convenience and peace of mind.”
The team is excited about the opportunities in the market, particularly in the video conferencing and collaboration segment, says Leuschner. “We are confident that this market will continue to show strong growth, and our goal is to become the leading UC distributor in South Africa. We have some great brands in this division and will be adding additional ones where there are gaps within our portfolio.”
Nology is currently expanding its distribution network into Africa to reach a wider customer base and increase its market share.
Extending the business reach with SkyGroup
Nology strengthened its offerings in the video conferencing (VC) market through a merger with SkyGroup, in November 2023.
“Nology and SkyGroup have collaborated extensively in the past and had built a good relationship with the team,” says Nology Managing Director Karel Leuschner.
“We realised that there were many synergies between the two companies and that we can be stronger as one unified team.
“Joining forces with SkyGroup was in line with Nology’s strategy to address changing market needs.”
He explains that Nology has traditionally focused on voice products within its Unified Communications (UC) product range.
“SkyGroup, with its comprehensive Video Conferencing (VC) and Collaboration portfolio, complements our voice focus, allowing us to create a complete one-stop shop for all Unified Communication and Collaboration (UCC) solutions.
“With SkyGroup joining Nology, we now have immediate access to cutting-edge VC solutions and expertise, as well as an extended VC customer base. It also enables us to offer a more comprehensive and impressive suite of UC products and solutions to our customers.”
Dirk Schreuder, Business Unit Executive for the UC division, was previously the MD of SkyGroup, and relates how the merger with Nology made sense for SkyGroup.
Founded in 2008, SkyGroup was a leading importer and distributor of VC equipment, Wireless Presentation tools, and other related conferencing solutions, all of which integrated seamlessly.
“Nology is established as a leading value-added distributor of, amongst other things, Converged IP Solutions which are sold to the largest Voice Service Providers, ISPs, Systems Integrators, MSPs and Network Operators across Southern Africa,” says Schreuder.
“We believe SkyGroup will benefit significantly from the Nology relationships, infrastructure and – most importantly – the financial stability that the merger brings.
“In addition, SkyGroup now enjoys access to Nology’s extended footprint, with offices in Johannesburg and Cape Town, together with its strong drive to develop the African market.”
Logitech partnership key for collaboration
Nology recently signed a distribution agreement with Logitech, gaining access to the company’s extensive video collaboration products.
“We are very excited to partner with a premium brand like Logietch,” says Dirk Schreuder, Business Unit Executive for the UC division. “Logitech designs interoperable solutions that are easy to use and deploy, with the goal of delivering an exceptional user experience.
“With products sold in almost every country in the world, Logitech products help businesses thrive and bring people together.”
Schreuder explains that having access to products like Logitech Sync, Rally Bar and Scribe makes large-scale deployments simple.
“Along with Nology’s expertise, our resellers benefit from Logitech’s simple – yet incredibly powerful – video collaboration solutions for meeting rooms of all sizes.
“Our Logitech stock has arrived, and we’re looking forward to assisting our resellers in deploying these solutions,” Schreuder concludes.
Nology leads in Unified Communications solutions
Unified Communications (UC) is a key strategic focus for Nology, which distributes leading solutions such as Yealink, Logitech, 3CX, Pexip, Neat, DNAKE and Inogeni.
Dirk Schreuder, Business Unit Executive for the UC division
“We are continuously looking to expand our product portfolio, adding more solutions to our offering, that will enable our resellers to provide their customers with a more comprehensive solution,” says Dirk Schreuder, Business Unit Executive for the UC division.
Nology also partners with other companies to develop customised solutions for specific industries, such as finance, healthcare and education. “These partnerships help us to tap into new market segments,” says Schreuder.
“We understand that companies buy from people, and at the heart of our business is a foundation of trust, together with an inherent commitment to service excellence and customer satisfaction.”
Why do resellers choose to partner with Nology? “Our portfolio of market-leading products gives us a competitive edge in meeting the needs of most of the resellers in the UC space,” says Schreuder.
A complete service offering gives partners more reasons than ever to work with Nology, which has a team of 65 employees in Johannesburg and Cape Town.
“Our dedicated technical support team, Warranty Centre and Help Desk deliver exceptional pre- and after-sales support, ensuring that our customers can make informed decisions, and depend on fast professional support.”
In addition, Schreuder explains that Nology provides a host of value-adds, including:
- Superior technical expertise, advice and support
- Customisation and unique solutions according to our customers’ needs
- Value-added services and pre-configured solutions to simplify delivery, installation and provisioning
- Professional training and marketing support
- A successful track record of developing new markets for Video Products
- 22+ years of industry experience
- A large installed base
- A strong African reseller base
- Level 1 B-BBEE Contribution
- 4 000 potential new resellers on the combined SkyGroup and Nology databases
- Value-added solutions and services
- Product customisation and configuration
- A number of complementary and certified solutions
- A high level of customer satisfaction
- Reference sites
- A customer rebate program
- A Microsoft Teams-focused reseller base
- Professional local support
- Warehousing and stock holding facilities
- Financial stability and access to capital
- An existing headset customer base
For more information, contact Nology at
Tel: +27 10 8240040 or +27 82 4004
Email: info@nology.co.za
Web: www.nology.co.za