Navigating the 2024 Channel: Top 5 Strategies for Vendors and Partners

The podcast "Navigating the 2024 Channel" hosted by Janet Schijns, CEO of JSG, offers deep insights into the tech world's evolving trends for 2024. It focuses on practical strategies for vendors and partners, covering topics like exploring new routes to market, revamping partner programs, and leveraging AI in program automation for vendors. 

For vendors, suppliers ISVs and providers, Janet discusses: 

• New Routes to Market
• Revamping Partner Programs
• Rethinking MDF

For partners, she discusses:

•  Marketing-led GTM strategies
• Professional sales management
• Developing outcome-based services

We know you will find this episode enlightening and informative. To delve deeper into the world of channel strategy and gain more valuable insights, we invite you to visit our website. 

For additional information, feedback, questions, or comments, don't hesitate to reach out to us at info@jsgnow.com. Tune in to Channel Smart and stay ahead in the ever-evolving world of business partnerships.

Transcript

Intro Music

Host (JJ): "Hello and welcome to ChannelSmart the go-to source for cutting-edge insights in the technology and communications channel. I'm Janet Schijns CEO of JGS, and today we're diving into the future - specifically, the top trends of 2024 that vendors and partners in the tech world must embrace. Instead of keeping this high level we are diving deep because after all you need a road map on what to do or at least consider doing vs just some stats and facts that while interesting don’t  help you and your business take action! 

So, whether you're shaping market strategies for your firm, leading the charge in sales and marketing, or brand new to this game called channel we hope this episode helps you to craft your 2024 roadmap to success."

Let’s start with our friends the vendors, suppliers, ISVs, providers with a Top 5 Strategies for Vendors

1. New Routes to Market: "First up for vendors, it's all about exploring new routes to market. Think marketplaces and strategic alliances. The days of the channel being a straight up sales channel for anyone are in the rear view mirror.  Now you have to have a more finessed view of the channel.  As an example - did you know that, as of late 2023, 65% of B2B sales were conducted through digital channels? This shift isn't just a trend; it's the new norm and many of your current top partners are very behind in that trend. So it’s time to select some new partner routes to market AND to have the tough talk with your top partners about their future plans – thinking they will just magically succeed again this year because they did last year might work but then again it might not so why not build a plan to ensure it works by helping these partners either become an alternate route to market  by launching their own alliances, marketplaces, and services go to market OR by acquiring that?."
2. Revamping Partner Programs: "Next, let's talk about revamping partner programs. There's a growing emphasis on rewarding digitally savvy go-to-market (GTM) strategies, co-selling and commercialized alliances.  Sure, you might be very excited that your firm just signed an alliance agreement with let’s say one of the top Carriers…after all everything does have to connect right?  So that alliance should just bring in the new business right?  NO. that’s not what happens. What happens is there is a lovely press release and then the channel is left standing there thinking – but how do we take action on that? What are we selling? How is it marketed? How is it prices? Serviced? You get the picture – you need to truly embrace the commercialization of an alliance to win and that starts by revamping your partner program strategy to work for those alliances!  The other top revamp?  Rewarding digital savvy partners. Why? Because digital-first partners are now driving 30% more revenue growth compared to traditional ones. So long gone are the days where revenue and certification was enough – now you need to have a more nuanced way of looking at partners skills and value.  Finally, services…..it is not enough to say we want MSPs in our program or we have an MSP program – it’s more surgical than that. You have to help partners to create services catalogs and invest in their services GTM in your partner program.  Confused about what to do?  Reach out I am happy to chat through it with you.  
3. Rethinking MDF: "The third key strategy is rethinking Market Development Funds (MDF). It's not just about funding anymore; it's about ROI. Innovative MDF programs can help new partners hit the ground running, especially in penetrating existing customer bases. They are offering creative MDF packages and building funnels for an with their partners"
4. Territory Mapping with Partners: "Collaboration is king. Territory mapping with partners for co-selling is a game-changer. Partners who engage in co-selling report up to 25% faster revenue growth. It's all about synergy!"
5. AI in Program Automation: "Finally, AI is revolutionizing program automation. From predictive analytics to personalized partner engagement, AI-driven tools are not just a luxury; they're a necessity for staying ahead."

Segment 2: Top 5 Strategies for Partners

1. Marketing-Led GTM Strategies: "Switching gears to our partners. Number one on your list should be a marketing-led customer acquisition and engagement strategy. With 70% of the buyer’s journey being digital, marketing isn't just leading the charge; it's defining it. So 2024 is the time to write up that marketing plan and execute on it – and don’t listen to the old guard about what works…instead test new digital strategies and new low cost approaches to capturing leads and market share. Start with a MAP day – market action planning day – that identifies your ideal customer, offers, watering holes, tactics and how to measure success.  Again as always your JSG team is here to help! 
2. Professional Sales Management: "Next up, professional sales management. This isn’t just about managing a sales team; it’s about upskilling them for the digital age. Social selling, digital engagement – these are the skills that will define the sales leaders of tomorrow.  And the reality is about 75% of the current channel sellers are ill equipped to compete in this new arena.  The BEST investment you can make as a partner this year is in sales management – don’t have the resources for a full time manager? Outsource that – talk to our team at JSG and we are happy to make recommendations 
3. From BOMS to Outcome-Based Services: "The third strategy is evolving managed services from Bill of Materials (BOMs) to outcome-based packages. Customers are looking for solutions, not just products. Outcome-based services offer a 20% higher profit margin on average. Work on your outcomes first and your packages and bundles second. 
4. Selective Vendor Investments: "Number four is being selective about vendor investments. It’s about quality, not quantity. Aligning with the right vendors can lead to a 40% increase in sales efficiency. This is the year to get picky – to ask for more  and to give more to the right vendors while reducing focus on others.  Remember, if your vendor isn’t in the pitch with you fighting for leads they are not the right partner! 
5. Defining New Partnerships: "Lastly, defining new partnerships is crucial. This isn’t just about traditional alliances; it’s about tapping into local lead sources and exploring digital marketplaces. Diversifying your partnership portfolio can expand your reach by up to 50%. Think about all the influencers in your customers business and learn how to be the influencer of the influencers…sound like a lot of work, it’s really not and your JSG team can help you build both your influence and new partnership strategy"

Host (JJ): "And there you have it – the top 5 strategies for both vendors and partners to navigate the ever-evolving channel landscape in 2024. Remember, it's not just about adapting; it's about innovating and leading the way. I'm Janet Schijns, and you've been listening to ChannelSMarts. Until next time, stay ahead of the curve!