IT distribution is a cornerstone of modern business, facilitating the efficient flow of information technology, software, and hardware from manufacturers to end consumers.
In a fast-evolving market with increasing competition, companies must adapt quickly and leverage cutting-edge technologies and methodologies. Aleksandr Buinoi, an IT and entrepreneurship expert, explains how innovation drives business development and transforms industries.
Aleksandr, you have over a decade of experience in IT and entrepreneurship, including key roles at ELKO Group and Skysales LTD. What do you think is the most critical factor for success in today’s distribution market?
I believe the key to success lies in a company’s ability to innovate. Digital platforms, for example, help expand geographical reach and attract global clients.
Emerging technologies like blockchain and the Internet of Things improve supply chain transparency and efficiency, reducing costs and speeding up delivery. Artificial intelligence and machine learning further enhance operations by automating tasks, minimizing errors, and cutting costs.
These innovations not only increase efficiency but also improve customer engagement, ultimately boosting profitability and competitiveness. Today, adopting innovative solutions is not just an advantage—it’s a necessity.
Can you walk us through your professional journey and how it shaped your leadership in the IT sector?
My career began with ELKO Group in 2014. As one of the largest distributors of IT products and consumer electronics in Europe and Central Asia, ELKO provided me with diverse challenges, from conducting market research and managing logistics to implementing B2C delivery services and automating client orders.
These experiences helped me develop technological and managerial skills, laying the foundation for my career growth.
Your projects, such as Markit and Arvutitark, introduced innovative approaches. Could you elaborate on their impact on ELKO Group’s strategic development?
To maintain competitiveness, we launched the ELKO Meetup 2018 as part of the Markit project. This event brought together key IT industry players to discuss pressing issues and forge valuable partnerships.
My role involved selecting participants, organizing meetings, negotiating with vendors, and facilitating deal closures. This initiative significantly boosted sales, strengthened market positions, and expanded our partner network.
The Arvutitark project focused on creating personalized product group recommendations for clients. By developing reports on popular items, we enhanced IT distribution efficiency and increased sales.
I designed a Java and React-based application to analyze product popularity, which remains in use today, streamlining client decision-making and reducing inventory turnover days.
How did these innovations influence ELKO Group’s market standing?
Both projects had a profound impact. The Arvutitark tool continues to help clients optimize stock levels, while the Markit initiative bolstered ELKO’s market position by increasing sales and procurement shares.
The unique event format of ELKO Meetup became a benchmark in the Baltic region, inspiring competitors to replicate it.
Before leaving ELKO Group in 2021, you trained a successor to manage your portfolio. What challenges did you face, and what lessons did you learn?
Transitioning client relationships is always delicate. Clients accustomed to a specific service approach might feel uneasy, potentially impacting sales. My task was to transfer knowledge about 80 companies in just four weeks.
This required an intensive training program, close collaboration with various departments, and hands-on guidance. This experience not only ensured a smooth transition but also underscored the importance of sharing knowledge effectively—a skill distinct from acquiring it.
You co-founded Skysales LTD. Can you tell us about the company’s achievements?
Skysales LTD specializes in trading consumer goods, supported by a robust logistics network that ensures faster deliveries than many competitors.
We rank among the top 500 European sellers in turnover and hold leading positions on Amazon across Germany, Spain, Italy, and Estonia. A key milestone was developing our proprietary Skysmart software.
What role did you play in the Skysmart project?
Previously, we analyzed market trends manually—a labor-intensive process. I automated this using marketplace APIs, reducing analysis time from 250 hours to just two. Skysmart now enables in-depth product evaluations, optimizing stock procurement strategies and boosting operational efficiency.
How have these innovations driven Skysales LTD’s growth?
Digital transformation has significantly enhanced productivity and scalability. From an initial investment of €5,000 in 2014, Skysales LTD’s annual sales now exceed €15 million. By integrating advanced IT solutions, we’ve maintained competitiveness and achieved rapid growth.
What does the future hold for the IT distribution market?
The industry faces challenges like rising costs and potential recessions. To stay ahead, distributors must embrace digitalization, optimize supply chains, and leverage data analytics for strategic planning. Greater digitalization and personalization will open new avenues for growth and innovation.
Finally, what advice would you offer to newcomers in the distribution and sales market?
Don’t skimp on automation. Invest in technologies like artificial intelligence and machine learning to streamline operations and reduce errors.
Adapt quickly to market changes, leverage data analytics to understand customer needs, and embrace innovation. Stay open to change and experiment with new approaches.
