There are no one size fits all channel management solutions.
For each company, one program may not work for another, regardless if they are of the same size, structure, product or location.
Each company needs to refine or customize a solution that works for them.
And if that's not enough, channel partner programs at the heart of the solution also needs intensive study and customization.
In designing channel programs, the fist thing to establish is the compensation.
Channel partners are not employees and should not be treated as such.
As the name suggests, they are partners.
Equal opportunity seekers joined together by a business relationship that is mutually beneficial to both parties.
What the channel partner or reseller wants is the same as the vendor and that is profit.
Profit means growth and development for any business and profit determines the longevity of the partnership.
Incentives are not just counted in finance.
Marketing materials, effective advertising, and sales training are important elements in a channel partner package.
It shows the commitment of the vendor to their channel partners.
From the perspective of the partner, the vendor is serious and appreciative of the work the reseller does.
The program as a whole has to work with aligned interests.
Resellers or channel partners should be aware of the company's goals and work to attain that goal without sacrificing their own firm's vision.
To achieve harmonious work cycle, there has to be feedback and open communication between reseller and vendor.
How can vendors assess the reliability of the partnership? 1.
Evaluation of performance per region - In determining the strength of the partnership per partner, the channel manager has to assess how the reseller is performing in one territory.
The numbers will clearly speak of itself.
2.
Comparative analysis of partners in a segment or region - Is one partner performing better than another? If not, why? What could one partner be doing better or worse? Channel managers need to look beyond what a partner is reporting and see the complete picture of the sales activity in a market segment or region.
If a non-performing reseller is doing poorly for a long time, then maybe its time to prune your channels.
3.
Loyalty check - While loyalty is optional in a business relationship, it certainly is an asset to have a loyal partner that would stick with your company in bumpy times.
In this down economy, this is where you can determined the loyal partners who are understanding and patient enough even if their checks get delayed or some other problem eventually comes up.
What is it that makes them stick with you? If you can identify that, then maybe you can apply it to all partners to inspire loyalty.
4.
Effective training - Channel management solutions relying in technological advances like clouds can be accessed by resellers.
Training in selling as well as technical procedures is channel management solutions necessary in ensuring streamlined channel sales activity.
Channel partner programs need effective management and comprehensive planning.
Proper attention and nurturing by vendors will ensure success and profitability not only for partners but also resellers.