Selecting Your Ideal Partners for Revenue Growth
Partnering for Success
You’ve identified an indirect channel as a key route to market. Now, you need to select the right partner organizations to drive revenue growth. Partner selection is an essential step in driving channel sales.
Alexander Group can help you choose the best partners that will provide value to your business. Accurate information and analysis will help you select partners that are the right fit for your organizational goals.
How to Choose the Right Channel Partner
An indirect salesforce can significantly impact revenue growth – given the right partners are chosen. Alexander Group can help you in the selection process and ensure you have the proper partner criteria in place.
What to consider when choosing a partner:
- What type of partners do you need? Whether it’s a strategic alliance, distributor focused on logistics and delivery or value-added reseller to provide additional services, identifying the suitable partner types is the first step in the selection process.
- Do they have the ability to support your customer types? Ensuring that the partner can support the entire sales process and provide post-sale services when needed is essential to consider when choosing partners.
- Do they have the capabilities to sell your products? Whether they are selling your entire portfolio or selected products, the right partners will be able to close the deal.
- Is this partner investing in their commercial model? The ideal partners are dedicated to building their commercial capabilities, whether they have a new or mature sales force.
Partners are treated differently based on their expertise, specialties and capabilities. That is why implementing a partner segmentation or tiering model will help you prioritize and reward your channel partners for the value they provide and manage the cost-to-serve. You will evaluate partners across multiple criteria to determine their value, including:
- Financial: What is their financial performance? What are their sales volume and growth with your products?
- Strategic: Are they exhibiting behaviors linked to your business strategy? For example, are they selling your portfolio, driving high customer satisfaction, embracing new products and completing your training?
- Structural: Does the partner’s operating model align with your needs? What resources and headcount do they have to support you?
- Engagement: How involved is the partner in your company and community? Do they attend your events and actively participate in your programs?
These quantitative and qualitative metrics help determine how much value a partner is providing and how you segment and reward them through rebates, discounts and other investments.
Alexander Group leverages our experience, frameworks, research and benchmarks to help you choose the right partners for sustainable growth in revenue and profit.