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Avaya Gray Market Defined

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Avaya Gray Market Defined

About the Gray Market


Gray Market Defined

Avaya products represented as new or unused and offered for resale by non-authorized resellers are Gray Market. Avaya products sold by non-authorized resellers are not warranted or supported by Avaya. Avaya further defines these products as not new because of product tampering, conversion, and original Avaya serial number removal.

Avaya goes to market globally in a managed authorized resale environment. Products are gray market when offered for sale by 1) non-authorized resellers, or 2) by authorized resellers in violation of their agreements. All Avaya distribution and resellers agreements are managed to ensure authorized products reach end-users in their intended markets. It’s when these managed distribution agreements are violated and the products find their way to non-authorized resellers that gray marketing takes place.


Avaya BusinessPartner Sales Pledge

Avaya has ZERO TOLERANCE for any Gray Market activity. Avaya’s goal is to protect our customers and our authorized sales channels from the negative impact of non-authorized (Gray Market) products.


Gray Market Goods Cause

  • Price deflation
  • After market erosion
  • Weakened Avaya brand and company integrity
  • Dissatisfaction & disloyalty with:
    • Customers
    • Dealers
    • Associates


Avaya’s Gray Market Prevention Actions

Strong contractual requirements for Authorized Distributors and Resellers Serial number tracking to identify and shut down sources of gray goods Updated Certification Procedures (e.g. Avaya’s policy of not installing Gray Market products or adding "gray" products to existing Avaya service agreements) Process for reviewing and blocking suspected gray orders Termination of associates and BusinessPartners engaged in gray activity Legal action taken when appropriate
Continued communication and education about the risks of dealing in the gray market and the advantages of purchasing through Avaya’s authorized reseller network Licensed software and firmware protections


How do BusinessPartner Resellers violate their agreements with Avaya?

Reseller’s violate their agreement when any of the following occur:
  • BP sells to other than end-users and violates by selling to non-authorized resellers or gray marketers.
  • BP purchases or resells Avaya managed product obtained from other than their Authorized Distributor or Avaya.
  • BP uses the Avaya Licensed Mark (BP logo) in a manner that implies endorsement or authority to resell, other than what is consistent with their product authorization agreement.


Customers considering purchasing equipment on the gray market should be advised of the following points

The benefits of buying from an Avaya Authorized Reseller

Buyers need to beware! Gray market goods are often:

  • Tampered international versions that are not UL approved
  • Used equipment misrepresented as new
  • Stolen equipment
  • Equipment with the original Avaya serial number removed and replaced with a counterfeit


Avaya’s policy is not to support, install, certify, maintain, warrant or place under Avaya Service Agreements known gray market product

Avaya provides warning labels on packaging similar to the following:
If this product or component has been purchased from a non-authorized source, Avaya can not guarantee its authenticity, provide certification or include it in an Avaya maintenance contract. If such a product causes a system failure, the failure will not be covered by an Avaya warranty or an existing Avaya maintenance contract.

You can help identify and stop the growth of the gray market by reporting suspected product serial numbers, along with the company name and location (city and/or state) to the Avaya Gray Market Prevention Team at graymarket@avaya.com.

If you have any questions about gray market, contact the Avaya Gray Market Prevention and Compliance Manager, Don J. Peterson, at 908-953-2256, email at djpeterson@avaya.com, or call your Channel Account Manager.