The Swiss company ALSO Holding AG (ALSN) has successfully transformed itself from a traditional distributor into a leading B2B marketplace and technology provider. In a dynamic and competitive IT market, ALSO has cemented its position by focusing on a comprehensive ecosystem, value-added services, and a strategic acquisition strategy. ALSO has grown its market capitalization from 500 Million Swiss Francs in 2014 to more than 3 Billion CHF.
ALSO operates as a central B2B marketplace for the IT industry. Its business model is built on three pillars:
- Supply: This segment handles the transactional distribution of hardware and software, ensuring efficient logistics and product availability for its vast network of resellers. The rapid pace of change and innovation in the IT market is shortening hardware and software renewal cycles, forcing businesses to upgrade more frequently.
- Solutions: This pillar supports customers in developing customized IT solutions, including high-growth areas like IoT, AI, cybersecurity, and virtualization.
- Service/Cloud: This segment focuses on recurring revenue streams through subscription-based cloud solutions and other "as-a-Service" models (XaaS), such as Device as a Service (DaaS) and Software as a Service (SaaS).
This three-pronged approach allows ALSO to offer a full-service experience, connecting over 800 vendors with more than 135,000 resellers in over 30 countries. The company's proprietary Cloud Marketplace is a key differentiator, providing global access to a wide range of solutions and services.
Did you know?
- A Long History: ALSO was founded in 1984 and has been solidifying its place in the IT distribution sector for over four decades.
- From Boxes to the Cloud: The company successfully transformed its business model from a "transactional box mover" (a traditional distributor of hardware) into a leading technology provider focused on digital platforms and as-a-Service models.
- Global Reach, Swiss Roots: From its base in Emmen, Switzerland, the company operates in over 30 countries in Europe and has a global presence through its platform-as-a-service (PaaS) partners, extending its reach to over 140 countries.
- An Acquisition Machine: ALSO has a long history of strategic acquisitions, having completed more than 30 transactions in the last 15 years to expand its market presence and expertise.
ALSO’s strategy is guided by two core principles: "MORE" for business growth and "LESS" for sustainability. The “MORE” Strategy focuses on sustainable profitable growth through four key activities:
- Maintain: Securing and expanding its market position
- Optimize: Continuously improving business models and processes
- Reinvent: Increasing the share of revenue from solution- and service-oriented business models
- Enhance: Strengthening its position through strategic acquisitions
While the “MORE” strategy works towards profitable growth, the “LESS” strategy represents the company's commitment to sustainability and responsible corporate management, encompassing a reduction in CO2 emissions, efficient waste management, and a focus on cybersecurity and social commitment.
Growth through acquisitions has been a cornerstone of the "MORE" strategy. The company has a proven track record, with over 30 acquisitions in the past 15 years. The planned integration with Westcoast in early 2025 is a prime example of its proactive approach to market expansion, aiming to bolster its position in key markets like the UK, Ireland, and France. This forward-looking strategy positions ALSO to capitalize on the ongoing digital transformation and the increasing demand for cloud, AI, and cybersecurity solutions.
The company’s market position and focus on high-margin business models have earned it a place in the Obermatt Swiss Pearls Index (OMSP1).