Identifying third-party organisations with vast numbers of your target clients with the goal of making them resellers of your item or service in exchange for a profit share is referred to as channel sales. It is a one-to-one selling but thinks of it as one-to-many selling, which should lead to a lot faster go-to-market plan and faster revenue growth.
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7 Steps to Channel Sales Success
Follow these 7 steps to success, if you’re now interested in learning how to start up your own channel sales campaign.
Set desired partner criteria
The first step is to identify what a good relationship is to you. Narrow down some broad categories for possible companions, as well as some important questions that they must answer if they have to get selected as a good match for you. A strong channel partner programme should be organised in such a manner that both parties benefit and are financially motivated to see it thrive.
You’ll also need to work out how to arrange the programme so that channel members aren’t stomping on each other’s toes by phoning into the same firms. However, before providing someone exclusivity, set a sales objective for them to achieve in order to gain exclusivity in their location, as you won’t know if they’re a solid channel partner for bringing in new customers for you for months after the partnership begins.
Partner prospecting list creation
Now that you’ve established the requirements, you’ll now need to create a target list of firms that contacted you to fulfil requirements. If you wish to approach large consulting companies to become channel partners, you may locate listings of the largest consulting firms on the internet. You’ll have a firm name now, but you’ll still have to locate the perfect individual to pitch your concept. If your product has the potential to become a billion-dollar sale for their company, it’s time to present it to the CEO or CFO. You can also find someone from inside of that company to assist you to sell it inside their company. Maybe you’re looking for the leader of a certain industry group who can solve your problem.
Selling & acquiring partners
You’ll have to pitch the advantages of the channel collaboration to the partner in addition to your product or service. You should emphasise how much money they will get as a result of the partnership, as well as how you will assist them and their customers in the future. As a result, make sure you have a solid pitch deck, a solid calling and follow-up technique, and a copy of the partner contract that clears out everyone’s responsibilities and responsibilities. Because your product or service will not sell itself, it is extremely vital to outline how they intend to provide sales and marketing support.
The next step is the most difficult. To support their success, the partner will need to be onboarded. This involves having training resources on hand and putting out a training programme based on your goods and procedure. The idea is that in order to attain the desired success, you will need to invest in your companion. It takes far more than simply signing a contract.
Partner marketing & support
Now comes the difficult phase for your new companion. They’ll have to put in some effort in sales and marketing to let their consumers know about your new products. The marketing strategy is outlined in the contract, and now is the time to put it into action. You must provide your outside channel partners whatever you would give your inside sales staff in order for them to be successful. You’ll also need to provide them a phone number to call if their clients have queries that you can answer.
Revenue sharing & reporting
We now need to give the channel partners the agreed revenue split, assuming they were successful in bringing you clients. If you have an online business, you may offer individual partner a unique Link to market, and then they receive credit for the transaction if it closes. If they’re marketing your product to their consumers, they may offer each of them a unique reference ID, which they’d then provide you at the point of sale. These revenue sharing estimations, on the other hand, should be conducted on a monthly basis, with the findings being reported and paid to the partner at that time. The sooner they see money coming in, the more eager they will be to market your goods or services. As a result, make sure there’s a clear mechanism in place for tracking, reporting, and paying earnings to partners.
Partner nurturing & upselling
You can’t conceive this as a “one-and-done” approach. Quarter after quarter, it is permanent. Arrange quarterly business meetings with your partners to ensure that everyone has clear objectives and can report on their success. Your channel sales manager should also reach out to partners to keep them informed about new items or services that have been launched since the collaboration began, so that the partner may promote those things to their customers. Your channel sales manager must handle these partner connections.