By Leah Allen, VP Growth Marketing
Now more than ever companies should be looking at ways to tighten up revenue operations to stay agile and be ready to bounce back when things return to normal.
For most high-tech companies, channel sales typically represent 70% of an organization’s revenue. Companies strive to design innovative and effective channel programs, but they don’t have access to the data and tools that will make these programs successful. Unfortunately, this reality means that channel programs are usually ripe with a high level of manual oversight and mismanagement.
With the impact that channel sales have on top and bottom line revenue, it’s time companies optimize their channel programs – and approach this important source of revenue with the same level of care and attention that they give their direct business. Doing so will require a new form of action, one we like to call:
(v) To accelerate your channel potential
When you channel-celerate, you can boost channel sales by 5% through automation, compelling incentives and rebates, and data accuracy.
Ease the channel management process with automation
According to Forrester, 22% of global marketers consider managing channel partners to be one of their top challenges. It’s a balancing act. You need to find ways to give channel customers what they want, while protecting your company’s resources and profitability. And one way to accomplish this is through eliminating manual and error-prone processes in channel management.
By using modern automation and standardization technologies, you can:
- Improve data collection and increase visibility into channel operational performance
- Track sales forecasts and revenue goals
- Ensure correct and on-time partner payouts
- Decrease operational costs for partner management by up to 70%
Make incentives work as intended
By their very nature, incentives are designed to accelerate sales, improve customer relationships, and build loyalty with distribution partners, OEMs, and others. But that’s only beneficial if you’re not cannibalizing your revenue by paying claims on expired rebates, giving discounts a partner wasn’t entitled to, and not enforcing contract commitments.
Only by deploying the right mix, level, and cadence of incentives can you effectively improve the revenue and profit you generate from your channel sales. Being able to view, in real time, incentive and discounting information will enable you to better manage your price waterfall. “The Guide to Revenue Execution: Managing Gross-to-Net for High-tech Manufacturers and Semiconductor Companies” provides insight into how companies can accurately execute on their revenue execution moments while effectively managing the complexity associated with sales channels and incentive programs.
Instill trust in your data
Data is only valuable if it’s accurate, consistent, and actionable. Channel data management software provides sales teams with valuable insight into channel metrics and inventory levels, enabling them to make real-time and informed decisions. You’ll also be better equipped to develop and implement the sales and marketing incentive programs that reward high-performing partners and maximize your profitability.
Every channel offers opportunities for improvement. With automation, the right mix of incentives, and data accuracy, you can better manage your channel, improve business decisions, and accelerate success for you and your channel partners.
If want to learn how you can channel-celerate, schedule a free revenue assessment today.