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Brocade Eyes Cisco With New Channel Program


By Andrew R Hickey, ChannelWeb

8:00 AM EDT Wed. May. 27, 2009
Page 2 of 2
At the outset, Brocade will align with several key distributors. Avnet and Tech Data have already signed on, and a deal is in the works with a third, Spicek said, noting that the distributors have strong IP practices to help Brocade partners grow their businesses through ex-Foundry gear.

"We're putting in tiered distribution because we have to consolidate the number of resellers because we're going from a single-tier to a two-tier model," she said.

Additionally, Spicek added that traditional Brocade partners and traditional Foundry partners shouldn't feel pressured to take on new product lines right away. Instead, Spicek said, it will be up to partners to decide where they want to play.

"From day one, the basic philosophy was we can't just go and combine the Foundry partners and the Brocade partners and give everyone access to everything or we would've been completely over-distributed," she said. "We want to give partners the ability to be true converged players."

"Don't think you need to sell IP switching technology right now," Spicek continued. "I want to offer them the path to be a true converged player. We're going to be enabling a lot of free education and training, or easy accessible education and training, because we want to differentiate from the other players. We're going to introduce the path to qualify and certify on the other product lines, but I'm recommending they see where they want to play."

Spicek said Brocade has set different revenue and certification requirements around the SAN and IP product lines. For example, elite partners are expected to generate $6 million in revenue to maintain that status. Additionally, Spicek said, the top 15 ex-Foundry partners have been invited to join at the elite level, while another 10 or so have been invited to join as premier partners with a little bit of leeway.

"The program from a benefits perspective is going to be very compelling," Spicek said. "You know most Foundry partners didn't have much of a channel program or benefits, so they've very much embraced the new program."

Other partner benefits include two percent MDF for elite and premier members, free education for elite members, demo equipment benefits and more, Spicek said. Brocade also is putting substantial investment behind sales enablement, certifications and bringing partners up to speed.

"We actually do marketing," Spicek said, adding that under the 2 percent MDF program, partners can split them 60 percent and 40 percent, with 40 percent for true marketing campaigns and 60 percent for reinvestment into equipment and training. "They're actually taking the dollars they make and reinvesting them. We're rewarding them and they can reinvest them toward building the skill set."

 
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