Tenego

Making Sales Channels Work for Cloud/SaaS Solutions – The Summary

Too many SaaS/Cloud Solution companies are stuck on why sales channels don’t work for them, and often the reasons are not based on their own experience. From a sales point of view, SaaS/Cloud is no different than on-premise, so why should sales channels be different?

Bringing our discussion on Partner Propositions for the SaaS/Cloud space to a conclusion, I’d like to summarise the most important elements in making sales channels work for SaaS/Cloud solutions:

1) Market Demand and a Compelling Customer Proposition
Market demand is needed whether direct or through sales channel partners. Developing a Compelling Customer Proposition takes time and many iterations of listening to the market, understanding the needs, understanding the alternatives or competitors, and developing your message on where you win, your unique selling points/proposition.

When selling through partners, this will make everything easier; marketing delivers better leads and sales close faster. Not having a compelling customer proposition relies on greater sales capability, thus increasing costs and challenges in finding the right partners.

2) Compelling Partner Proposition
As a Compelling Customer Proposition makes it easier for the partner to sell your solution, a Compelling Partner Proposition makes it worth they’re while investing in selling your solution. Sales Channel Partners have many opportunities presented to them, why should they consider yours?

3) Credibility in Delivery
Too often we hear that because you’re on the cloud you can deploy anywhere in the world. Yes, but why would someone on the other side of the world buy from you, when they have many other options that are more familiar to them and perceived as less risky.

If you have a fantastic solution that beats the competitors, you will still find it challenging to sell if you do not resolve the credibility in delivery. You can leverage a partners’ local credibility along with references from the market.

4) Partner Fit
Your solution must fit with the partners’ businesses. Are they selling to the right customers and decision-makers, do they have experience in your domain space, do they have the relevant capability in sales, delivery, and more?

5) Partner Supports (aka Partner Management)
How you help your partner is a key part of your Partner Proposition. In sharing your experience and providing ongoing support in helping your partner in Marketing, Sales, Delivery, and Support, you can become a key part of their business. The easier you make it for your partner to sell your product, the more successful you will be.
You are seeking proactive sales, channel partners. You want your product sales to be discussed in your partner’s sales meetings with a steady number of opportunities continuing to grow in their pipeline. You want your product to be part of their growth plans.

There is much detail behind each one of the points above. If you have preconceived ideas on how partnering works for SaaS/Cloud solutions, then I encourage you to re-evaluate, particularly if you are selling to larger companies and enterprise solutions.