1. White Label Your Cloud Offerings
According to strategy consultant Paul Dippell of Service Leadership, channel partners who resell the cloud offerings of other companies will need a white labeling strategy in order to retain acceptable profit margins. Dippell told the gathering that as soon as an end customer learns the identity of the service provider, partners are typically played against one another to secure the lowest price. "No one has ever figured out how to hold high margins on identical stuff that is also sold by someone else," said Dippell. "Be loyal to your vendors, but don't talk about their brands. Their brands don't add to your margin. Their brands reduce your margin."