Croc changes vectors of regional expansion

As TAdviser knew, one of the largest Russian system integrators "Croc" refused direct presence in Perm, Novosibirsk and Rostov-on-Don: the relevant regional representative offices Croc Prikamye, Croc Siberia and Croc South or already refused a brand Croc, or are in a stage of settlement of the legal issues connected with it.

At the same time Croc South (Rostov-on-Don), one of the first tried on on himself the similar partner scheme of work, was under a brand Croc since 1999. As the CEO of branch Valery Shishkin told TAdviser, in due time the initiative of cooperation with CROC proceeded from them. The initial 5-year agreement was then is prolonged for equal term, during 11 years' cooperation Croc South implemented several significant projects, for example, for the Novocherkassk elektrovozny repair plant.

"In spite of the fact that Croc has some individual share in our company, we were always an independent player and did not need anything, - Valery Shishkin told. - Participation Croc in our projects came down to supervision of erection and control, and we, in turn, were responsible for high-quality and timely implementation of implementations. Now Croc asked us to remove the brand from the name, but actually for us the little will change". According to him until for itself the Rostov company selected a new name, process of change of a brand will be not fast as a lot of changes in agreements and documents is required.

The Novosibirsk regional representative office Croc worked under the Croc Siberia brand since 2002, it was headed by Vadim Krasnov. The largest customers of the company in the region are the Municipal Department of Internal Affairs of Novosibirsk and the Novosibirsk region, Siberian Coast company, a number of large banks and insurers and also several strategic state structures of the region (the Ministry of Emergency Situations, the MFA, Arbitration court and others). Now this system integrator already works under the name of Haytis.

Respectively Croc Prikamye with the headquarters in Perm in due time opened under the project in the Perm administration on system implementation of electronic document management is also closed. All staff of the company is transferred on a full-time basis the IVS regional integrator which the second year cooperates with CROC on the terms of subcontracting on local projects.

Boris Bobrovnikov's company refused direct presence in Perm, Novosibirsk and Rostov-on-Don

According to TAdviser the CEO Croc Boris Bobrovnikov, providing Croc of the brand "for rent" is the typical scheme of presence in regions for the system integrator. "Presence in regions can and should develop, at us ten partners in each region (the partner network Croc totals about 200 participants – TAdviser). Sometimes, being guided first of all by wishes of customers, we go further and we provide the brand to local players. Other possible option – opening of representation or presence of certain representatives on places".

According to him, closing of a number of regional representative offices is not sign that Croc hands over regional positions. "Gain happens in Chelyabinsk, Yekaterinburg, St. Petersburg, Khabarovsk where recently based on local integrator the Croc the Far East", apart from already known companies was open ". All now about ten such structures belonging to us in parts or in full. Presence Croc in regions steadily extends", - he concluded.

Nevertheless, the deputy CEO for regional development of Croc company Alexander Lopukhov reported to TAdviser that not all from these regional companies "appeared to conform comfortably to certain formal requirements which were imposed by the brand of Croc company. Modern economic conditions – "not that time when this framework can be mitigated", - he explained. "Therefore with some regional companies we continued work, but without brand Croc. Thus we save the relations with professionals with which we already worked well together, and those receive big freedom of action that sometimes happens it is necessary", - Lopukhov explained.

By data Croc, volume of regional projects in revenue of the company decreased – from 45% of turnover in 2008 to 40% in 2009. Sales volume in 2009 was reduced by 6.4% to 20.009 billion rubles.