“The software industry is no longer a distribution business that sells products. It is a service business that supports customer success.”
Sangjun Kim, CEO of Dow Data, said, “Amidst the rapidly changing IT market, we want to establish ourselves as an entry point for all domestic IT issues and a company that provides optimal solutions in a diverse and flexible manner. The recently grand opening of the Digital Zone will play a key role in that vision.” The following is a Q&A with CEO Sangjun Kim.
What is Dow Data’s ultimate vision in the rapidly changing IT market?
In the past, Dow Data’s core competency was in distributing and distributing leading domestic and international software products. However, with the spread of the cloud-based SaaS (Software as a Service) model, the role of intermediate distribution has been reduced, and profit margins have decreased through simple license distribution, limiting growth. Nowadays, beyond simple product supply, the ability to provide end-to-end services that encompass the customer’s entire IT environment is essential. The software industry is no longer a distribution business that sells products, but a service business that supports customer success.
Accordingly, Dow Data seeks to establish itself as an entry point for all domestic IT issues and a company that provides optimal solutions in a diverse and flexible manner under the firm vision of being an ‘IT comprehensive service company focused on customer success’ amidst the rapidly changing IT market. The slogan ‘Any IT, Any Way, Daoudata’ is an expression of our strong will to ensure that all of our customers’ IT needs in the Korean market are resolved through Daoudata.
Is there a special strategy to leapfrog from the existing distribution business to a comprehensive IT service company?
First of all, we are focusing on expanding our solution categories to meet the diverse IT needs of our customers. In addition to existing design, virtualization, and security software, we are strengthening our capabilities by viewing the cloud (MSP) and data & AI fields as key new categories. In particular, as the importance of data is increasing in the AI era, we judged it important to secure data and AI-related solutions and consulting capabilities. In addition, strengthening IT services is an essential part. In addition to technical support by solution, we will actively provide consulting on specialized technical support by category, commercialization of in-depth educational content, and introduction of innovative technologies such as AX, DX, and security.
Furthermore, we aim to contribute to solving customer problems and business growth through AI Contact Center (AICC)-based help desk operation and customer success management. This will go beyond simply introducing rapidly developing AI technology and will lead to providing integrated solutions optimized for customers’ business environments. And the key differentiated service is IT rental service. We plan to provide not only hardware but also software as a comprehensive service by applying financial services such as installments/rentals/subscriptions to all IT solutions.
A grand ‘Digital Zone’ was recently opened. What is this platform and what does it mean under Dow Data’s vision?
‘Digital Zone’ is a core platform that realizes Dow Data’s vision. Existing IT solutions, especially software purchases, were still predominantly offline. Digital Zone is an innovative platform that solves these inconveniences and allows users to compare, analyze, and purchase various IT solutions online. Digital Zone goes beyond a simple purchasing channel. Currently, more than 90,000 domestic and foreign software are displayed and sold, and even overseas software that is not distributed domestically is procured through a purchasing agency service. We are also pursuing partnerships with global software distribution companies to introduce more products to Korea.
In addition, we provide services throughout the entire customer process, from consulting at the purchasing stage to training, technical support, and maintenance services. Ultimately, Digital Zone will establish itself as a true ‘one-stop IT solution hub’ that manages the entire IT asset life cycle of customers and provides integrated online sales channels to partners.
How do you see the growth potential of the Digital Zone business?
The outlook is very bright. According to Gartner, 80% of B2B buyers transact digitally, and Microsoft Marketplace is growing at an annual rate of 230%. In particular, as Korean companies’ IT spending in 2025 is expected to increase by 7.6% compared to the previous year, the digital zone will become a key platform to absorb this demand.
Starting next year, we plan to showcase the power of a true marketplace by supporting partners’ entry into digital zones as well as D2C’s own mall function so that partners can unify their online sales channels.
Reporter Lim Min-ji minzi56@etnews.com
