PARTNERS ’ PERSPECTIVE
software and services world . Particularly , if a partner is offering solutions that are part of a platform and , or that require some handholding in order to be fully optimised . In fact , it is common for customers , end-users to invest in a particular subset of
It is common for customers , end-users to invest in a particular subset of solutions within a platform , and later in time expand their investment into other areas .
solutions within a platform , and later in time expand their investment into other areas of need . “ Landing and expanding by means of bundling and cross-selling is a path to embed a partner as the customer ’ s trusted advisor ,” says OPSWAT ’ s Porro .
“ Software sales are getting more and more complicated . Add to that , the many ways for customers to transact with the partner ecosystem via resellers , MSPs , CSPs , and GSIs . What we are seeing more and more is multi-partner engagement during an end-user engagement . The partner that resells or transacts the sale may not be the partner that is providing professional services ,” says Anna Wilkins , VP Global Sales Execution , SolarWinds .
Rebates and incentives
As Epicor pivoted from an on-premises to a cloud world , its channel programme has evolved to enable partners to participate in that journey in a way that supports the significant changes in P & L , cash flow , working capital , and margins in that move to an annuity-based business model . Fundamental to this are the rebates and incentives Epicor offers that improves their margin when they successfully secure larger deals .
In today ’ s channel ecosystem , where software and services dominate , traditional incentives have evolved to drive partner engagement and sales growth effectively .
“ At Liferay , our incentive programme is designed to support this shift . Partners are rewarded based on their tier , Silver , Gold , and Platinum , with benefits extending to new business , ongoing managed services , and project sizes ,” says Liferay ’ s Binedell .
According to Mindware ’ s Azzi , traditional volume rebates and incentives have evolved to fit new business models in today ’ s channel world of software and services .
These now take the form of usage-based incentives where rewards are linked to the volume of service used or the number of active users or tiered pricing models where incentives increase with higher subscription levels , encouraging premium commitments . Incentives increase with deeper specialisation in specific technologies such as security , automation , artificial intelligence . “ What we also see is performance metrics extending beyond sales featuring incentives that are based on certifications , resources , customer acquisition , customer retention , and other metrics . Flexible rebate structures stand out for its feature of flexibility with credits for future purchases or additional services ,” says Azzi .
Cross-selling and up-selling incentives encourage expanding the project scope or integrating complementary hardware , software or services . This adaptation ensures incentives align with long-term engagement and the recurring revenue models prevalent in software and services . The concept of volume rebates and incentives is equally applicable to software and services .
“ I am not a big believer in so-called automatic rebates . Rather , I am a big believer in strategic , focused rebate programmes that drives partner behaviour and partner success , based on specific
Alessandro Porro , VP Global Channels , OPSWAT
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