Taking Note Of Channel Loyalty

As a result, channel loyalty has become a more critical issue for vendors and their prospects for sales growth. But data from CRN's Channel Satisfaction Survey reveals that several vendors have a long way to go when it comes to instilling loyalty in their channel partners.

The problem is particularly acute for Check Point, Dell and Veritas. The percentage of their partners indicating a low or very low level of loyalty is much higher than that of the other vendors covered in the survey. For example, 33 percent of Veritas partners surveyed between March and August indicated a low or very low level of loyalty, with similar figures for Check Point and Dell. This was more than double the average of 14 percent for all 21 vendors.

Oracle and ViewSonic also need to take a closer look at channel loyalty. For them, the problem is not a large percentage of partners with low loyalty. It is a relatively low percentage that have high loyalty. Forty-four percent of ViewSonic partners surveyed between March and August cited a high or very high level of loyalty, 11 percentage points below the average of 55 percent for all vendors.

These results contrast sharply with those for vendors enjoying a high level of channel loyalty, including AMD, Cisco, 3Com, Intel and Microsoft. For example, 65 percent of Cisco partners surveyed between March and August cited a high or very high level. For AMD, the figure was 75 percent.

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