Menu
INSIGHT: Key challenges in the channel

INSIGHT: Key challenges in the channel

What are some of the challenges that partners are facing when it comes to doing business with their vendors?

Jan De Bondt is a partner at Devenyn & Partners, a European-based management consultancy firm.

During this Channel Expert Q&A session with Computer Market Research, De Bondt identifies certain challenges taking place in modern distribution channels.

What are some of the challenges that partners are facing when it comes to doing business with their vendors?

Today, the majority of channel partners struggle with vendor management. On average, a partner sells product from between 15 to 30 vendors [or more], which requires signifigant time and resources.

Another challenge for parters is the way in which vendors communicate with their channels. Partners receive a multitude of messages, mostly e-mails sent from corporate offices, regional offices, distributors and from local channel account managers.

Partners tend to get the same message 4-6 times. Add social media into the mix and the amount of messages explodes exponentially. You could argue that more is better, but this tends to have the exact opposite effect.

Channel partners also struggle to comply with partner program rules. The main reasons for this are that programs tend to frequently change, are too complex, or often demonstrate a lack of transparency.

Partner noncompliance almost always leads to less favorable conditions, thus less profitability. On the other hand, complex partner programs can make it difficult for vendors to recruit new partners, even if the technology is worth selling.

What is a challenge that vendors are currently facing?

The amount of Partner-Facing Time [PFT] that channel account managers have with their partners. PFT is the amount of time spent by a channel account manager in the field versus time spent in the office.

In reality, it’s time that can be spent on actual channel sales and development.

How much time should channel account managers be dedicating in the field?

A healthy PFT percentage is above 60 per cent. Administrative related tasks outside of the field should ideally be kept to 20-40 per cent of a channel account manager’s time.

As a general rule of thumb, if it doesn’t immediately relate to partner business, it should consume as little time as possible. After all, the action happens in the field, not in the office.

Subscribe here for up-to-date channel news

Follow Us

Join the New Zealand Reseller News newsletter!

Error: Please check your email address.

Tags distribution channelssocial media

Featured

Slideshows

Tight lines as Hooked on Lenovo catches up at Great Barrier Island

Tight lines as Hooked on Lenovo catches up at Great Barrier Island

​Ingram Micro’s Hooked on Lenovo incentive programme recently rewarded 28 of New Zealand's top performing resellers with a full-on fishing trip at Great Barrier Island for the third year​ in a row.

Tight lines as Hooked on Lenovo catches up at Great Barrier Island
Inside the AWS Summit in Sydney

Inside the AWS Summit in Sydney

As the dust settles on the 2017 AWS Summit in Sydney, ARN looks back an action packed two-day event, covering global keynote presentations, 80 breakout sessions on the latest technology solutions, and channel focused tracks involving local cloud stories and insights.

Inside the AWS Summit in Sydney
Channel tees off on the North Shore as Ingram Micro hosts annual Cure Kids Charity golf day

Channel tees off on the North Shore as Ingram Micro hosts annual Cure Kids Charity golf day

Ingram Micro hosted its third annual Cure Kids Charity Golf Tournament at the North Shore Golf Club in Auckland. In total, 131 resellers, vendors and Ingram Micro suppliers enjoyed a round of golf consisting of challenges on each of the 18 sponsored holes, with Team Philips taking out the top honours.

Channel tees off on the North Shore as Ingram Micro hosts annual Cure Kids Charity golf day
Show Comments