In today’s highly competitive environment, understanding the different partner types and channel models is the key to enjoying a winning partner-mindshare. In our blog this week, we explore the various channel models and discuss what vendors should be doing to connect effectively with them.
A traditional deal registration model: In this sales model, the partner’s leads are registered/reserved in the pre-lead stage for some designated time period, usually, around 3 to 6 months. In the traditional deal registration based model, it is mostly the partner who is responsible for getting the lead and its closure. The vendor needs good visibility into their partner’s customer base to be able to make an impact in this kind of a sales model.
Lead Registration/ Co-sell model: This sales model is what we call low-to-medium-touch. In this case, the partner is responsible for bringing in the lead. They register it in the vendor’s PRM or CRM system for approval. Once the lead is approved by the vendor, the obligation is on the vendor to convert it into an opportunity and close it. Partners that fall into the co-sell model need end-to-end lead visibility and this is often provided via a partner portal.
The high-touch partner model: In the high-touch model, the partners are responsible for the sale from getting a lead, registering, converting it into an opportunity, down to closing. Vendors need to provide high-touch partners with all kinds of marketing and sales support such as co-branded marketing and sales materials, proposals, quotes, etc.
Referral based partner model: This is a very low-touch partner sales model with the partner generating and passing referral leads to vendors with proper lead attribution. The leads could be generated via Social Media, PPC or banner ads, email marketing, etc. Vendors 100% responsible for closing and providing referral commission to partners.
Collaborative selling with alliance/strategic partners: In the collaborative selling model, opportunities are shared between vendor-partners who can complement each other’s solutions. This involves forming strategic alliances with channel partners. For example, an automotive vendor and a tire dealership or an automotive servicing brand.
So, what do these multiple partner sales models all require to be successful? A need to have different sets of partner relationship management (PRM) tools that cater to every partnership model. Vendors cannot deploy the same PRM model for all channel partners regardless of their persona and expect to succeed.
