I’ve helped a lot of companies develop channel programs over the years, from some of the largest vendors out there to some very boutique players. What always impresses me most is the complexity and constant diligence it takes to effectively create and run a successful channel program. Creating a MSP channel can be even more daunting as most channel vendors have to sometimes radically change their view of a channel partner when dealing with MSPs.
In recent years, I’ve witnessed some very haphazard approaches to channel programs and seen a lot of companies (both vendors and MSPs) think that creating a MSP channel should be easy. Lots of time and money later, they find that things aren’t going as well as they should. So, I thought I’d jot down a few of my observations on what makes a really good MSP channel program.
Product/Solution: You have to begin with something that is compelling, not only to the channel partner but also to the end-user. Reselling something that is of marginal value to begin with will almost never become a successful channel play.
- “Re-saleability”: Just because something has value and can be delivered efficiently to a customer does not necessarily mean it can be delivered through a channel. Some products/solutions lose their appeal and value the more they are washed through the channel. High value consultative managed services offerings tend to fall into this category.
- Channel is a Full Time Job: So many companies think that building and running a channel is a part time job. It isn’t! A channel is a living, breathing entity that requires almost constant attention and care. Like a shark, if your channel is moving it is likely dying.
- Channel Experts: The channel has created some true experts. I’m not talking consultants here, but actual employees who understand what it takes to run a channel, who are veterans with plenty of experience in marketing, sales, pricing, and product development; all necessary components to a good channel program. If you are serious about your channel effort you need experienced leaders on your team!
There are probably a lot of other important factors but these are the glaring ones I most often see missing. A channel program can be an impressive thing when don correctly. Just make sure you are ready for the challenge and can put all the pieces together before you embark down the path. The channel is not for the faint of heart. Tread carefully!