European distribution group wound up

Ingram Micro and Tech Data have one fewer pan-European rival to worry about after European Wholesale Group disbands

Europe’s third largest IT distribution organisation behind Ingram Micro and Tech Data has disbanded after its three members decided it was time to go their separate ways.

The European Wholesale Group (EWG), which operates in 16 European countries and boasts net annual sales of €6.1bn (£4.9bn), has dissolved itself after claiming it had achieved the goals it set out upon its foundation in 2002.

The EWG comprises Italian giant Esprinet, Dutch powerhouse Copaco and Dach region kingpin Also. UK broadliner Westcoast was a founding member of the EWG, but left the group in 2003 following its failed attempt to buy Actebis.

The alliance, which enjoyed the backing of HP, FSC and Canon, was designed to hand its members critical mass in the eyes of vendors, as well as allowing them to share best practices.

But with each member having bought their way into neighbouring territories and gained critical mass individually over the last six years, one of the EWG’s central tenets had become redundant. Esprinet has expanded into Spain, Also into the Nordics and the Baltics and Copaco into Belgium, and the trio have almost trebled their combined sales since 2002.

Alex Sozonoff, chairman and president of EWG, said: “I am very proud of EWG's success. To realise growth through expansion along EWG’s four axes strategy “vendor partners”, “customer segments”, “product areas” and “geographies” was very successful.

“Last but not least I’m very pleased, that our strategic vendor partners, our customers as well as the alliance partners have benefited equally from EWG.”

Esprinet confirmed in its first-half statement that the economic impact of the winding up of the group would be negligible.