A recent report from Canalys confirms the crucial role that the IT channel sector plays in the tech industry. Suppliers rely on partners to deliver solutions and expand their reach, while end-user organizations depend on their expertise to support operational needs. However, there are instances where supplier decisions raise concerns about their dependability.
One such example is Broadcom’s decision to scrap the VMware partner program, which has had a significant impact on the channel. The new requirements for joining Broadcom’s Advantage Partner Program, which includes a minimum annual VMware revenue of $500,000, may pose challenges for smaller and mid-sized channel players. These partners may struggle to switch to another supplier due to financial constraints and lack of expertise, leaving them and their customers in a difficult position.
This situation serves as a reminder for channel colleagues to carefully select technology providers based on various criteria such as toolsets, business size, target markets, broader strategy, and organizational culture. It is essential to ensure that the chosen supplier aligns with the business approach, values, and customer base of the channel partner. Evaluating suppliers’ medium- and long-term goals, acquisition strategies, stability, and product development roadmap is crucial in making informed decisions.
In addition to selecting the right technology providers, staying updated on channel industry news and analysis is important for navigating challenges and opportunities in the market. Building relationships with suppliers who offer flexible support, regional assistance, and effective account management can enhance the overall customer service experience. Partners should look for vendors who provide cost-effective co-marketing financing to support business growth initiatives, without imposing rigid criteria that may limit opportunities.
Ultimately, the goal of the supplier and channel partner relationship should be centered on acquiring and retaining satisfied customers. Aligning business models and customer service approaches is key to mitigating risks for both parties and ensuring customer satisfaction. Relying solely on the largest suppliers in the industry does not guarantee success, as integrity and alignment of goals are essential for a successful partnership.
Article Source
https://www.itpro.com/business/channel-partners-vendor-trust-and-client-expectations