To build a successful reseller channel, you can’t take anything for granted. Provide the channel program structure, products, and support your resellers need.
Full-service Digital Marketing company OTM attributes much of its success to establishing a successful reseller channel. DevPro Journal asked OTM’s CEO Karina Singer to explain how her company built a sustainable channel early in the company’s history. She shared four mistakes ISVs should avoid to make a reseller channel succeed.
- Don’t Give Your Resellers More Than One Simple Task When First Starting Out
Karina: “In the presence of confusion people do nothing. If your product is difficult for you to sell it, imagine how much harder it will be for a reseller who cannot invest the same time as you learning the product and training their employees. OTM, which provides scalable digital marketing solutions for companies in nearly every industry, simply asks its reseller maintain more than one active account. The reseller can provide the customer something much better than they have today in their hands quickly with no time or dollar investment. If you can convince people about the value of a product quickly and get them interested quickly, it works.”
- Don’t Expect Your Reseller Channel to Know Everything Right Away
Karina: “Regardless of a channel partner’s expertise, there will always be a learning curve with a new solution — not just how to use it, but also how to sell it. OTM starts each new reseller relationship by partnering the reseller with a dedicated OTM resource that participates in sales early on with the reseller to ensure their success and facilitate their ability to sell and support the product on their own quickly. Once the reseller establishes a successful track record, there are more willing to invest internally, and OTM then offers additional financial incentives once our resources are no longer needed.”
- Don’t Allow Your Resellers To Rebrand Your Product
Karina: “To protect your brand, you should reconsider allowing resellers to white label your product. We require resellers to make OTM a part of their solutions and allow them to white label OTM trying to be their own digital marketing company. It’s never unsuccessful. They don’t have the expertise on the product or the support needed to address normal product issues. “The OTM brand is so well known that people are beginning to refer to the digital marketing white label dashboard as ‘OTM,’ and businesses have job descriptions that include developing OTM. Resellers can benefit from the brand’s reputation, rather than trying to establish their own.”
- Don’t Make It Only About the Recurring Revenue
We want to enable resellers to make money a lot of money. It keeps them motivated and continuing to invest in our future.”
A well-planned reseller channel strategy is just one component of OTM’s success. Along with a scalable product, right-sizing your organization, and defining your position in the market, an ISV can achieve competitiveness and success that benefits both your ISV and your resellers.