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Cloud Services May be Best with a Co-Sell Approach

Cloud Services May be Best with a Co-Sell Approach

February 5, 2018 by Robert Hayes

Cloud services channel partners often benefit from a co-sell approach, which helps them get profitable quickly.Many small and mid-size businesses are embracing cloud services, recognizing the opportunities that come with a better end-user experience, cost savings and scalability. For channel partners, this means a lot of opportunity for sales growth as they work with clients to implement cloud solutions.

The problem is that the channel partner model isn’t always as compatible with cloud services as it was with older solutions. For those partners trying to adapt to the new offerings and begin selling cloud services, the time to get up to speed can be daunting.

The speed to market is critical for success in selling cloud services, and some cloud providers offer better programs than others for their partners.

This information was made more powerful by the results of a survey conducted by Concur-Wakefield Research, which found that channel partners believe that offering cloud services could help them grow their business.

The current specialty of partners is the cultivation of the entire process, from marketing to implementation and service of the installed solution. From the very beginning of the process to the maintenance of the selected and deployed solution, the channel partner is alongside the customer, offering guidance and support.

The challenge is that it’s hard for channel partners to assume this same level of expertise in an entirely new sphere of technology. To develop the kinds of marketing, sales and support competencies that they already have for on-site solutions would take a lot of time and experience. With the pace of companies adopting cloud solution, there isn’t time for partners to develop the expertise they have for on-site software.

A new approach called a co-sell model, is enabling some partners to adopt cloud services in their offerings. In this approach, channel partners offer cloud services, but are not forced to get up to speed on technical sales for a cloud solution.

The survey finds that this approach is effective, with 77% of partners participating in a co-selling arrangement reporting that they are profitable, or at least seeing an indirect profit increase, since using this model.

The thought is that, as software providers and partners share their combined expertise and reach in the market, both companies can see growth in their cloud services segment and improve profits. It’s becoming clear that in order to outpace competitors, cloud providers and partners need to work together to create a standard, repeatable business model for capturing a good share of the market.

The cloud offers a cost-effective alternative to on-site systems. To learn more about offering cloud services to your clients, contact us at eXemplify. There are a number of benefits to implementing a cloud solution, and we can help you navigate these conversations with your clients.

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Filed Under: Cloud Tagged With: Channel Partners, Cloud, cloud computing, cloud sales, Cloud Services

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