FEATURED VIDEO

Sponsored By:
SLIDE SHOWS
Our list of the most innovative executives of the year spotlights the people that are pushing the envelope with new products and channel programs to bring solution providers to new heights.
Find out which executives made the grade and held their own, despite the great IT downturn of 2009.
Most everyone loves Thanksgiving turkeys. But IT industry turkeys? Not so much. We look at 10 examples of 'turkeys' that have disappointed the tech industry this year.
INSIDE CHANNELWEB
Everything Channel Affinity Index

Channel Affinity Index: What Drives Loyalty?


CRN logo By Scott Campbell, ChannelWeb

8:00 AM EST Mon. Nov. 24, 2008
From the November 24, 2008 issue of CRN
Page 2 of 4
Key Criteria

Overall, the research shows that a wide variety of factors were deemed more important in different technologies and for different vendors, but Elbaum said three criteria typically received more weight than others: ROI, competitive displacement and services attach rate.

It's important to solution providers that end users can achieve a satisfactory ROI with a vendor's products, Elbaum said. "In fact, ROI is a prime determinant of the overall ranking. If you score low, it's hard to make it up."

"ROI is the name of the game," said TIG's Geier. "The value has to be there, not only from the ability to achieve the results, but in creating a long-term environment with the customer. For us, ROI has become the prevalent reason to sell stuff. If you can't make money selling a product, why sell it."

Regarding competitive displacement , vendors have to have programs that are very targeted and focused to score high, Elbaum said.

"Vendors that don't score very high may not have the special programs to allow the channel to target a specific competitor. Pure competitive displacement based solely on brand is hard to achieve. A corollary of that, co-existence with another vendor, is also a highly desired state, according to Elbaum. "Is it really plug and play? Those kinds of things tend to score very high," he said.

A vendor's cooperation with its solution providers can have an impact on how those VARs can displace the competition, Amax's Huang said. He cited winning a big education deal with a reseller customer because nobody wanted to deal with the support headaches that often came with using the legacy vendors. "Big companies have no personalized service. The support is not there," he said.

The services attach rate was deemed important for more than just the implementation of a product, Elbaum said. Training, re-engineering and other business process changes are also included. "That becomes increasingly important within the solution itself because it offers the channel a major revenue opportunity," he said.

The ability to bring more services into a deal helps make a solution provider more profitable and helps forge a better relationship with the vendor, said Jeff Albright, founder of Albright Consulting Services, an Evansville, Ind.-based solution provider.

"The services are probably most important to us. That's our core business. IBM is a good example with their security initiative with ISS. It's a golden opportunity," Albright said.

 
Channelweb : Promofinder
FEATURED PROMOTIONS
CYA - Cover Your Apps
Cover your customers' apps and earn an additional 20% instantly when selling ARCserve® Backup, XOsoft™ and ERwin® products wi...
More Deals, More Dollars
Make more money with lower minimum deal registration thresholds for ARCserve Backup and XOsoft product deals.
RELATED BLOG >>
Photo
How to prosper from the cloud computing revolution dominated the discussion at Everything Channel's Tech Innovator's 2009 in Las Vegas this week.
ADVERTISEMENT




CHANNEL SERVICES >>