EDITOR’ S QUESTION
F5 Networks relooks at channel base using converged dipstick
Channel partners selling converged solutions across networks, applications, security are better suited for its solutions, explains Nasser El Abdouli at F5 Networks.
As a datacentre solutions and security vendor, describe the product portfolio, regional partner programme, and desired strengths of channel partners.
F5 Networks as a vendor started 10-15 years ago, in the traditional load balancing solution segment, and evolved into the service delivery platform spanning applications and networks. While its growth in the traditional load balancing business is a modest double digit, it is growing 100 % YoY in the security solutions segment. The key differentiator for F5 Networks is its single, centralised platform that sits in the heart of the datacentre with different features and functionalities added to that.
While the primary sales driver for F5 Networks is security, it has adapted its solutions to be available in all environments.“ We are available physically in the datacentre, we are available in private and public cloud, and we are available through hybrid solutions,” explains Nasser El Abdouli, Channel Director for Middle East, Turkey, Africa at F5 Networks.
Solutions from F5 Networks are available through subscription from external or local service providers. The current approach is to offer flexibility
Nasser El Abdouli, Channel Director for Middle East, Turkey, Africa at F5 Networks
to the customer to choose any scenario.“ We have adapted our solutions and our approach and now we are available everywhere.”
The regional F5 Networks channel organisation covers 70 countries including the complete African continent, Turkey and the Gulf countries. It has four offices in Dubai, Riyadh, Istanbul and Johannesburg. In each of these offices it maintain sales and channel facing teams as well as local management.
Across the above region, 80 % of F5 Networks sales revenue is delivered by around ten Gold and Silver certified channel partners. 50 % of the sales opportunities are created by the vendor and sold out by these ten channel partners. The remaining 50 % are new opportunities created by channel partners and brought to F5 Networks.
“ Anyone who has the trust of a customer is welcome to shake our hand. But at the same time, the very important message that we share with the market is, we want to reduce the number of certified partners that we have,” says El Abdouli.
The large number of channel partners who contribute to F5 Network’ s 20 % of sales revenue are transactional partners. While these enterprise partners are not small in terms of their own sales turnover, for F5 Networks their contribution is however much smaller.
Which channel partners are likely best suited to the technology and solution platforms offered by F5 Networks? Those channel partners who have gone through the process of transforming themselves to adapt to their customer requirements, and can articulate a converged approach of networking, applications, and security, would probably fit in here.
F5 Networks follows a two-tier distribution structure. Other than its core group of system integrator channel partners, F5 Networks includes regional distributors Exclusive Networks, Westcon, and Arrow as its tier-one channel partners. These distributors manage the long tail queue of transactional partners. Distributors sell-through only to enterprise focused channel partners. F5 Networks does not conduct business with channel partners selling to small and medium businesses.
The most important market segment for F5 Networks is service providers.“ Service providers are probably one of the most exciting transformations that is going to happen very soon.”
53