Network testing and security vendor Ixia is moving to boost its channel presence by launching a new program for distribution partners and providing discounts for resellers working on multi-year support contract renewals for the company's network visibility solutions.
The two initiatives, launched Tuesday, expand the Calabasas, Calif. company's channel presence by expanding its distribution capabilities worldwide and providing more incentives for resellers to secure multi-year contracts.
“Our customers have been asking for this for a long time. It will increase the net revenue for my company and theirs,” said James Blanchard, president of Ontario-based security reseller Click Networks, when asked about Ixia’s support contract renewal discounts.
Blanchard said giving discounts for multi-year contracts is an industry standard practice and is "absolutely required," noting that without the discounts, Ixia was leaving opportunities on the table. With the new discounts, end-users are more than willing to commit to a longer contract, which will give both Ixia and its partners a bump in revenue, he said.
Blanchard also said Ixia's distribution program, as it expands in Latin America and Europe, will be helped along if local resellers can get assistance from local distribution partners. "Having local, in-market distributors will be a great thing for them," he said.
The program, called the Xcelerate Distributor program, is an invitation-only opportunity that gives distributors price discounts and marketing assistance.
"It gives our resellers more options," said Lori Cornmesser, vice president global channel and alliance sales at Ixia. "We want them to have an option in terms of where they can align, and what fits their business model best. From a reseller standpoint [working through a distributor] will provide more technical ability, more understanding of Ixia, more understanding of the integration and it will be easier to sell at the end of the day," Cornmesser said.
By making the program invitation only, Ixia can target and add distributors that carry technologies that are complementary, while operating in geographic locations that fit well with the company’s expansion goals, Cornmesser said. "We don’t want to oversaturate the market. We want to be specific about where we put our bench strengths," she said.
The Xcelerate Distributor program is a two-tiered, with both levels getting training and discounts on fulfillment that encourage distributors to reinvest in the business. The top tier, called Value-Added Distributor, allows for deeper discounts on Ixia offerings and access to advanced Ixia services, like pre-sales support and regional stocking.
However, this is not the company’s first move into distribution. Only six months ago, the Ixia struck a distribution deal with Arrow, adding the company as its second distributor since its initial deal with Synnex in 2014.
The new distribution program is being introduced today alongside a new pricing structure for the Ixia’s reseller partners, which will give partners new discounts on multi-year support contract renewals for the vendor’s network visibility solutions.
Ixia is making a point to focus on increasing the work that the company does in the channel, Cornmesser said. "I am proud of the fact that Ixia set out with a deliberate strategy around channels. We recruited partners and we are enabling them now. Ixia is doing the things that we said we are going to do," she said.