How to find Channel Partners to Accelerate Business Growth?

Once you have a critical mass of customers that you have acquired directly, further scaling growth may require leveraging channels. As we discussed in our last blog on should you build a channel?

Now that you have decided to build a channel strategy, the big question is how to find the right fitment of channel partners who can articulate the value proposition in a consistent way to your prospects. Before we share tips on how to select the right partners, let us baseline who are Channel Partners.

Who are Channel Partners?

Channel partners are businesses that help take you Go To Market. They essentially sell your products or services to their own customers. There are many different types of channel partners, each with its own strengths and focus areas. Here are a few of the broad channel types:

• Resellers: They buy your product and merely “resell” to their own customers.
• Value-Added Resellers (VARs): Similar to resellers, but this type wraps and creates value by offering additional services like customization, training, deployment, and other ways to create value for customers.
• Distributors: These partners act as intermediaries, overseeing logistics and order fulfillment for resellers or VARs. Notably, distributors are one step away from direct interaction with the end customer.
• Managed Service Providers (MSPs): These partners offer IT services, support, and may include your product as part of a bundled solution.
• System Integrators (SIs): These partners combine various technology products and services into a unified solution for clients, handling complex projects with consulting, project management, implementation, and support.

Now we know the broad types of partners, the question still remains how to find the Perfect Partner Match for your business.

How to Find the Perfect Partner Match

Just as you develop your product based on customer insights, building a channel network requires working backwards from the customer. One of the key reasons channels fail is due to no fitment in your customer target and the target of the channel. Thus, the key to a successful channel strategy is finding partners that are a good match for your business and your target market.

Here are 4 specific steps to get you started:

1. Know Your Customer and Define the Persona: Before seeking partners, understand your ideal customer profile. Identify who you're trying to reach, their needs, and buying behaviors. Consider factors like turnover, location, IT maturity, customer base, industry vertical, and more.
2. Walk a Mile in Your Customer’s Shoes: Identify the channels your target customers prefer for purchasing. Do they rely on resellers, VARs, or online marketplaces? For example, a large ITES company might prefer buying from a global SI, while a mid-sized company might favor a relationship-based channel offering good credit terms and a single point of contact.
3. Research Makes Perfect: Don't go in blind. Look for partners with a strong reputation, industry experience, and a reach that matches your target market. Tools like P2P Connect can help you gain valuable insights and refine your research.
4. Network Like a Pro: Use industry events or platforms like P2P to connect with potential partners and learn about their offerings.

To tweak your search, these are additional checks that you may apply to find your perfect partner:

Key Factors to Consider:

• Complementary Solutions: Do their products or services complement yours, creating a stronger value proposition for customers?
• Proven Track Record: Do they have a history of success in selling similar products or services?
• Marketing Scale: Do they have the resources to effectively promote your product through marketing and sales?
• Value & Priority Alignment: Do you see an alignment with the partner's overall business goals and their values?

We at P2P Connect help product companies, ISVs, SaaS Partners to find their Perfect Match through our Platform.