How to Motivate a Channel Partner

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  mkreppein10/28/08 Report as spam
  1

  RE: How to Motivate a Channel Partner

  I'd also mention competition/compensation vs the direct sales force. While the account exec did not mention if all his company's business went thru the channel, there are plenty of companies that support direct and indirect sales. The rules of engagement need to be well thought out and defined so there's no conflict between the direct sales force and channel partners. In addition, I think your #11, "hot leads" is probably the #1 way to ensure success with your channel partners. If the direct team gets first dibs on the leads and the channel gets what's left over, then your program will die no matter how well you execute steps 1-10.

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  Geoffrey James, Sales Machine10/28/08 Report as spam
  2

  RE: How to Motivate a Channel Partner

  QUOTE: If the direct team gets first dibs on the leads and the channel gets what's left over, then your program will die no matter how well you execute steps 1-10.
  
  At DEC in the 1990, their channel plan was that the direct sales force sold to the Fortune 1000 and indirect channels sold to everyone else. The segmentation drove away resellers in, well, droves, thus opening up the market for other computer firms.

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  dave.stein@...10/30/08 Report as spam
  3

  RE: How to Motivate a Channel Partner

  Good list.
  
  Two additiona points for consideration, Geoffrey:
  
  A big (if not the biggest) challenge in managing a channel partner is gaining and maintaining mindshare--having them equate selling YOUR product or service (above all others) with achieving their business objectives--market share, revenue, profit or anything else. With that top-of-mind position, you both win.
  
  Partners have other products and services to sell. Some may be competitive to yours, others not. Get into your resellers' heads, just as you do with direct customers. Figure out what a win is for them. Make selling your product the shortest path to success for them and their customers...

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  Sid Herron10/30/08 Report as spam
  4

  RE: How to Motivate a Channel Partner

  Years ago when I first got a job managing a network of manufacturers' reps, my employer was smart enough to get me some training in the subject. The bottom line was this: Channel partners have lots of things they can sell, and they don't HAVE to sell yours. Your battle is for their mind share. The way you win that battle is to make your product easy and fun for them to sell. That will nearly always win - even over another product that may make them more money.
  
  Classic example: It's 2:00 on a Friday afternoon, and the channel rep has time for one more sales call before he spends two hours on the freeway driving home. He can make a call on behalf of Vendor A, but he knows that if he can get the customer's attention, it will be like pulling teeth to get a quote to them, and when the quote arrives, it won't be competitive. If he somehow manages to close the deal anyway, the order won't be on time, and will probably be wrong. Customer service will be nearly non-existent. Or...he can make a call on behalf of Vendor B. He knows that if he can get the customer's attention, he can get on the phone and get an immediate quote. It will be competitive and comprehensive. If the customer buys, the order will be right, and delivered on time, and if there are any problems at all, the vendor will move heaven and earth to make it right and delight the customer. Which call do you think the rep will make?
  
  By the way, I've spent the last 20+ years AS a channel partner, and can tell you now from the OTHER side of the table that this advice was right on!

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  Geoffrey James, Sales Machine10/30/08 Report as spam
  5

  RE: How to Motivate a Channel Partner

  QUOTE: Classic example... Which call do you think the rep will make?
  
  I LOVE THIS STORY!!

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  ericanicole00@...02/15/09 Report as spam
  6

  RE: How to Motivate a Channel Partner

  For the experienced Channel Partners - what is the best way to train Channel Partners Globally? Outside of Live Seminars -- which seems tried, true and boring with no true incentive to keep share of mind?
  

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  shuaibgill02/27/09 Report as spam
  7

  RE: How to Motivate a Channel Partner

  Normally companies support, train and create
  business plans with their channel partners.
  Getting organizational focus on your products
  remains a challenge. I am facing similar
  situation of motivating channel partners to
  raise focus on our company products. The reason
  of this motivational gap is due to gap in the
  goals and vision of vendors and channel
  partners, such as my company has higher revenue
  targets as a software vendor then channel
  partners so even though partners are doing
  their job to achieve individual targets but it
  won't accumulate to the overall target our
  company is trying to achieve.
  
  Then few channel partners will have performance
  issues and some will outperform but the gap
  will remain there. So it is important to get
  same level of commitment from individual
  account managers of your channel partners and
  align vision and goals for quarters.
  
  I find it very helpful when i explain them how
  to see an opportunity while selling some other
  product and how do we help you develop that
  account. More easy for partners to identify
  opportunity, more results they will produce.