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Vendors Dropping the Ball on Channel Partner Strategies

By Kimberly Koerth
April 23, 2014 - News

The majority of technology vendors are falling short on their channel partner strategies, leaving sales on the table.

The vendors reported, in a new survey by parago, a global incentives provider, that execution of their most important channel partner strategies — including lead generation and deal registration — is not as successful as it should be.

The report revealed that this gap in goals vs. results is tied to ineffective incentive programs. Eighty percent of vendors are still managing partner incentives both internally and manually. In addition, 74 percent of vendors cannot implement more complex incentives, even though they would like to.

“In the past, rewarding sales was sufficient to motivate channel partners. Today’s complex ecosystems must also incent sales-driving behaviors like lead generation, deal registration, MDF, training and business planning, too, when they result in sales," said Dan Hawtof, parago VP of business solutions, global channel. “If you believe an activity generates sales, you should incent it. However, our research shows that most vendors don’t have an effective incentives program in place to do so."

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