Project Logo: Branding your Channel Marketing & Channel Incentives Programs

May 29, 2013 by

Today I felt moved to tell you how you can brand your channel marketing programs & events with the highest quality graphic design work at a shockingly affordable price.

I usually don’t blog about specific products or services, but Project Logo is so unique and salient that I felt compelled to share it with the entire Move the Channel community.  Project Logo was very much surprised when I asked if I could mention their name in this post.

project logo

As channel professionals, we work tirelessly to build the perfect partner program. We deliver channel incentives to our partners, provide them with a top notch enablement program, and try to position them to be as successful as possible in their respective markets.

Project Logo is a company and a website, but mainly it is an idea: to provide companies with a polished logo and theme at a cost that won’t break the bank. If you’ve greatly invested in the development of a partner program or event, then don’t you think it should be branded with the same quality as your own organization? After all, your channel activity is still a reflection of your business, is it not?

For a long time, channel marketing departments didn’t have additional budgets for such a branding effort.  To achieve a quality, professional look while incorporating a company’s high standards was a very expensive job.

But then along came Project Logo, offering a cost-effective design strategy for channel-related initiatives. Here’s how it works:

1)      Project Logo streamlines the design process through a 14-question online interview.  (you can view the questionnaire here and answer the questions for free).

2)      After you complete the interview, Project Logo analyzes your answers and develops unique insights into your business.

3)      From there, they begin designing multiple concepts for you to consider, after which you may choose your favorite and request any refinements to it that you may have.

4)      Finally, you will be armed with a logo and theme that can function in any newsletter, partner portal, or reward program.

If nothing else, you will find great value in simply going through the interview process (unbelievably, this is a free part of the service).

With as much effort, thought, and resources that often go into marketing your channel programs and events, it just makes sense to go the extra mile. Think about bringing a fresh look to your idea by branding and framing it in the light that it deserves. And make sure you’re doing it for the right price, too.

Does your channel marketing program brand and logo appropriately represent your efforts and the investments made into the program?

Filed Under: Channel Incentive Programs, Investing in Your Channel, Tough Economy - Smart Channel

Channel Conduit of the Week: When Should We Recognize Each Of Our Channel Partners? Early & Often!

May 28, 2013 by

Channel Conduit #10 of the Week

  • Small gestures that make big impacts on channel behavior
  • Commonsense reminders that make the difference b/t you and your competition
  • Elements that should be considered in a Channel Incentive Programs

When Should We Recognize Each Of Our Channel Partners?  Early & Often!


recognitionEven though studies have shown that consistent praise and recognition are important keys to building loyalty and motivating your partners, I still sometimes get the question, “but if we give too much recognition, won’t it become watered down and dilute the meaning?” To be fair, I used to ask this question myself from time to time. However, I know more now than I once did, and so today when I hear this question, I quickly come back by asking “how often do you tell your loved ones that you love them? “  Here, their answers usually range from “often” to “every day.”   You’ll notice that none of them say twice a year!

Obviously, I’m being a little tongue-in-cheek, and I know it’s easier said than done to give praise and recognition consistently when we are talking about hundreds or even thousands of partners.  But while the handwritten note, personal email, or individual phone call are all great quarterly or semi-annual methods of recognition, the leading channel incentive platforms (I am most familiar with http://www.hmiaward.com/) have begun to incorporate additional features that make it quick and easy to offer consistent ad hoc praise and thanks to your valuable channel partners.  These include gifting modules and team communication features.  With that being said, if you think your competitors are offering gestures of gratitude to their partners, do you really want to be the one that seems unappreciative? What other ideas do you have for consistent channel partner recognition?

Filed Under: Channel Conduit of the Week, Soft Benefits

5 Simple & Shocking Ways to Increase Loyalty with Your Channel

May 21, 2013 by

These five simple yet shocking tips will help to increase loyalty and better engage your channel partners.

shocked! Home Alone1.)     Don’t ask them what they want…  or need!   By being the manufacture or distributor you have the insight and best practices of your most successful partners.  Share with the Silver partners how Platinum Partners became platinum.

2.)    Reward them more for non-revenue activities.  This may not make much sense on the surface, but it works.  Remember those best practices of your platinum partner from the first point?  If you know that the partners with the most training sell more and are less maintenance, reward everyone in the channel for training completions.  If X number of deal registrations or demos equal an increase of Y in sales, reward for registration or demo goal achievement.   Almost all of my clients’ Reward Programs include STTS (Steps to the Sale) components.

3.)    Share their competitive advantages with their peers.  In certain cases, this is not always appropriate, but hear me out…  Instead of just giving an award at the partner conference for most revenue, announce that “this partner also has the most certified engineers of any other VAR”  or  “this partner has engaged our sales team for demonstration more than any other partner.”  Not only will they appreciate the honor, they will also get other Channel Partners thinking about the ways they can be better leaders.  Pat these standouts on the back by putting them on pedestal.

4.)    What are you going to do this year? Sell more!  It amazes me how many companies don’t set goals for their channel partners to achieve.  What an amazing opportunity to have a business meeting with your partner. Tell them why you value them and why you are counting on them to grow their business.  Once you do, let them set the goal… chances are it is much more ambitious than you would have suggested.

5.)    Go fly a kite.  Or maybe a plane. Once your channel partners have achieved their goal (which you decided with them), take them and their spouse on a President’s Club or Group Trip (no, conferences don’t count!).  You asked them to achieve a goal and they worked on it all year, so put your money where your mouth is and reward them for a job well done. These high quality group trips can range from $2000-$5000 per person, but they couldn’t be a better use of funds, and if your channel partners hit the high goals you set for them, the extra revenue from the higher sales will more than pay for the trip.  Think about enjoying a mai tai with your best partners and see how appreciative they will be while mingling with your upper management and executives.  Nothing creates more loyalty than recognition and appreciation through an incentive trip.

Filed Under: Channel Incentive Programs, Distributor Prospective, Key Performance Indicators, Return on Investment, Steps-to-the-Sales STTS, Trackable Marketing Initiatives

Channel Conduit of the Week: Book It!

May 14, 2013 by

Channel Conduit of the Week

  • Small gestures that make big impacts on channel behavior
  • Commonsense reminders that make the difference b/t you and your competition
  • Elements that should be considered in a Channel Incentive Programs

 

Channel Conduit 9 Book it!

Believe it or not, the most motivating rewards I’ve ever received have been handwritten notes.  For whatever reason, I’ve always appreciated the time and thought that goes into putting pen to paper. It’s a personal gesture that feels far more meaningful than, say, an email. Of those notes that I still cherish and read often, most have been written on the inside of a book. I have a library full of business and leadership books, but the ones that have a special place on the shelf are those with personal messages written in them by a boss, business partner, or person I just greatly respect.

Is there a book that your leadership is reading that could apply to any business? Is there a personal favorite book that has shaped your personality and how you do business? Have you written your own book? One of the better ways to align your channel distribution partner with you and your organization is to have them read the same book as you. You can encourage this process by sending them a title with a personal message inside. It’s a terrific gesture of respect and inclusion in your go-to-market strategy.

What book would you give to an important business partner?

Filed Under: Channel Conduit of the Week

Channel Conduit of the Week: Long-term Loyalty is never achieved through Short-term Spiffs

May 9, 2013 by

Channel Conduit of the Week

  • Small gestures that make big impacts on channel behavior
  • Commonsense reminders that make the difference b/t you and your competition
  • Elements that should be considered in a Channel Incentive Programs

Channel Conduit 8  Long-term Loyalty is never achieved through Short-term Spiffs   

WateringTreeYears ago I moved into an older neighborhood and bought a house with a lot of “charm” (I think we all know what “charm” really means in the lexicon of home ownership).  One of my many projects and challenges was maintaining a beautiful 60-year-old Ash tree that had become a fixture of our home.  We even had for our Christmas card a picture of the family sitting on a large swing that hung from the tree’s enormous branch.

But during one summer, our region was hit by a particularly destructive breed of insect called the emerald ash borer which devastated a number of trees in the area.  We eventually noticed that our tree was becoming similarly ravaged, so we did what we could to save it. Year after year we threw money at the problem, hoping to cure green with green.

For a while it worked. The tree managed to hang on, to the delight of us all. But finally it became evident that the expensive treatments were not having the desired effect, and I decided that the project I held near and dear to my heart was unfortunately no longer worth the investment.  For all of us it was a difficult experience. We had wanted the tree to flourish so badly, but in spite of our best efforts we simply couldn’t sustain it in the long run.

Throughout my career in performance marketing and sales, I have come across similar emotions from my experiences with channel marketing leaders. Desperate to earn the immediate business of their channel partners, they offer money bonuses, SPIFFS, discounts, or rebates. While these expensive tactics can succeed in the short-term, after the spiff ends, the business always seems to fall back to pre-spiff levels. These professionals want their channel partner business to flourish so badly, they have a hard time realizing that long-term success can rarely be achieved with short-term strategies.
Today, try and take a look at how you are capturing the long-term mindshare and loyalty of your partners. Instead of offering them cash that they’ll spend at the grocery store or bills, why not give them the opportunity to attain a longer-term goal, like earning enough points to finally take their family on the vacation of their dreams?

Filed Under: Channel Conduit of the Week, Channel Incentive Programs

The Business of Harmony: Getting Your Sales and Marketing Teams Onto The Same Page

May 7, 2013 by

The divide exists in every company.  Marketing thinks Sales is here to execute their strategy.  Sales thinks Marketing exists to support their sales efforts.  You have probably heard thing like “Sales people don’t get big picture” and “Marketing people have no clue about the end-user’s unique needs.” In a way, they’re both right.  But don’t worry—the occasional dissonance between the two branches of your organization is to be expected.  That’s because the sales team is tasked with closing the business right in front of their noses, and the marketing team is challenged with casting a vision that creates future opportunities down the road. Spending time in both departments, I have been on both sides of this dissonance, and what it really is is a matter of long-term planning versus short-term action. Both approaches ultimately work toward the same goals, but they each go about it in very different ways.

Business Harmony

Business Harmony

Today you can see various attempts by organizations to foster better internal harmony.  For example we see both department rolling up to on Sr VP of Sale & Marketing or Channel Chief.    One proven solution I have come across that closes this loop between sales and marketing has to do with your channel incentive or reward program. First off, it should absolutely be designed and communicated by a marketing leader.  A program that casts a wide net throughout the channel ecosystem needs the continuity and foresight of a well-crafted, long-term approach.

But there also needs to be an olive branch. Why not allow the sales leadership to determine what behaviors are rewarded for in the program? The salespeople are clearly the most qualified to identify these behaviors, things like Steps-To-The-Sale (STTS) and Key Performance Indicators (KPI).  Chances are your salespeople have been examining and fine-tuning these behaviors over years of an evolving sales process.  They are how management measures the success of individual salespeople outside of a closed deal.

In addition to encouraging synergy within your organization, this approach achieves one of the 5 most important components of a successful incentive program:  the “Sales Buy-in”. Without Sales buy-in your incentive program is dead in the water.  Salespeople are the front line of marketing’s message, and also the most penetrative.  When the sales team has a hand in developing the program rules, the program becomes a sales tool that can help them close more effectively.

I call it the Business of Harmony.

Filed Under: Channel Incentive Programs, Key Performance Indicators, Steps-to-the-Sales STTS, Trackable Marketing Initiatives

Channel Conduit of the Week: Get the Award Right

May 2, 2013 by

Channel Conduit of the Week

  • Small gestures that make big impacts on channel behavior
  • Commonsense reminders that make the difference b/t you and your competition
  • Elements that should be considered in a Channel Incentive Programs

Channel Conduit 7:  Get the Award Right

Q.)  When is a toothbrush an appropriate award for closing big deals and shift share?  A.) When the participant picks that award.

Stick with me here. The first impactful reward program I ever participated in was the Kodak Rewards Program. When I say impactful, I mean it actually made me focus on selling Kodak and caused me to actively recommend Kodak over similar or equal products. As a result I earned many Kodak Points that I could spend on a few hundred different merchandise items. I ordered a few items including an iPod, Canon Camera, and even a TV. But the one that probably left the most lasting impression was a toothbrush. Yes, a toothbrush. I’m probably dating myself now, but this was when Oral B had just come out with the dentist recommended electric toothbrush. I would have eventually gotten around to buying an electric toothbrush regardless, but I certainly wouldn’t have been on the cutting edge of mouth hygiene. The OB Electric Toothbrush changed everything. I remember the enjoyment of brushing my teeth, of looking in the mirror and thinking, “Thank You, Kodak. Thank You, Kodak….”.

 

brushing-teeth

 

If Kodak had given me cash, would I be telling you about the Kodak Reward Program today? Would I even remember what I had spent it on? Would I have spent it on something as cool as a toothbrush? No, I would have probably taken it to the grocery store or something. See, you can pick great rewards for program participants depending on their demographic. Usually a group trip reward or individual experience rewards are can’t-miss, and have both an immediate effect and terrific staying power. But by far the best reward of all is the one that your participants pick for themselves. So give them lots of choices and you will be on the right track.

What are some of your favorite rewards from Rewards Programs?

Filed Under: Channel Conduit of the Week, Channel Incentive Programs, Investing in Your Channel

What the Tough Mudder Taught Me about Channel Partnerships

April 30, 2013 by


Everest

On Saturday my team (Team AB) completed the Tough Mudder event in Mansfield, OH.  The Tough Mudder is probably the toughest event on the planet.   Don’t ask me to compare it to running a Marathon because it’s just different.   Marathons are individual competitions and a Tough Mudder is all about camaraderie.  Tough Mudder events are hardcore 10-12 mile obstacle courses designed by British Special Forces to test your all around strength, stamina, mental grit, and camaraderie. With the most innovative courses, 700,000 inspiring participants worldwide to date, and more than $5 million raised for the Wounded Warrior Project, Tough Mudder is the premier adventure challenge series in the world.   At the end of the course you are handed a beer and crowned with an orange sweatband.

Final SurgeWhy would anyone willingly subject themselves to something like this?  Well, personally I’m generally up for a challenge that pushes me to my limits.  The fact that this event has raised over $5 million for such a wonderful cause like the Wounded Warrior Project helps, too.  But the main inspiration was my good friend and fraternity brother Adam Black (AB) who continues to battle cancer.  Hence the team I ran with was called Team AB.

On the course I realized how important each of my teammates was to the collective unit.  Each person brought different qualities that enabled us to not just finish the challenge but destroy the course altogether.   Some might have been tempted to push ahead and finish before the group, but instead we all ran across the finish line with locked arms.

Our goal was clear: Team AB would complete the course together.

The channel could benefit a lot from this type of attitude.  If each partner, all the way through the channel, showed that level of commitment to the collective unit/solution, it would be an unstoppable force in the market.  I imagine the most successful channel partnerships have experienced some Tough Mudder-level adversity at one point or another.  Maybe sticking with each other through tough economic times or a strategic redirection is the Tough Mudder of channel adversity.

As a Tough Mudder, I pledged to:

  • Understand that Tough Mudder is not a race but a challenge
  • Put my teamwork and camaraderie before my course time
  • Not whine – kids whine
  • Help my fellow Mudders complete the course
  • Overcome all fears

Can a channel program learn something from the Tough Mudder Pledge?  What would be your Channel Program Pledge?

post mudder

Filed Under: About Travis, Channel Incentive Programs, Soft Benefits, Tough Economy - Smart Channel

Channel Conduit of the Week: Incentives, Recognition for Tomorrow

April 23, 2013 by

Channel Conduit of the Week

  • Small gestures that make big impacts on channel behavior
  • Commonsense reminders that make the difference b/t you and your competition
  • Elements that should be considered in a Channel Incentive Programs

Channel Conduit 6

You think channel incentives and recognition are centered in the past. But it’s really all about the future. 

It’s all about having your channel partner build equity in your company and your channel programs. The other week I stayed on the opposite end of town from my meetings just so I could stay at a Marriott. The kicker is I paid $20 more per night than it would cost me to stay across the street in a newer Hilton. Why in the world would I do that? In a word: “Equity.” I have 260,000 Marriott points and my sights are set on a Disney Vacation for my entire family.

Your channel partners do the same thing. The more equity they have in your company and program, the more likely they are to behave positively toward you in the future.

Although we are rewarding for last week’s sale, we really see our return when our partners stretch for their goal-like a Disney Vacation-at the end of the quarter. We reward for a certification completed today, but the yield actually comes later on, when our partners decide to better represent our company and products during the next opportunity.

Incentives, recognition, and future equity. It’s not about what our partners have done; it’s about what they will do. 

Filed Under: Uncategorized

Boston Love

April 19, 2013 by

Boston Love

My current hometown of Columbus, OH is showing its support with this billboard above my favorite Vietnamese joint.  I thought that was pretty awesome!

As most of you know, Boston is the Home of my company HMI Performance Incentives and many of my friends and family.  Also Boston represents our second largest demographic in Move the Channel Group with almost 200 members from bean-town.   You all continue to be in all of our heart & minds.

My Very Best,
Travis

Filed Under: Uncategorized

Vendors throw money at the channel, but they don’t know what sticks (ROI)

April 17, 2013 by

Last week a Move the Channel member started a discussion in the LNKD Group.  “I am looking for some best practices on measuring the ROI on MDF generated leads. Currently it’s quite a manual job checking it from one system to another. Any suggestions/recommendations?”

Return on InvestmentI’m sure that by asking the leading channel minds at Move the Channel, this member will be offered many good ideas and best practices on how to better track the dollars that are being provided to the channel partners.  Quite honestly, in this economic climate I’m surprised this isn’t a more popular topic amongst our group. 

This has been a challenge for a long time, but now more than ever vendors want the ability to link marketing activity & investment to their product sales.  Because the distributors have a hard time proving the link between monies they spend on marketing, and actual product sales, the Return On Investment is based, more often than not, on educated guess work.   

There is incredible pressure on non-channel marketing to provide an ROI for every penny spent.  We should probably expect the same weighty expectations for the channel pros this year more than ever, if we don’t already. 

So do I have a solution for this inevitable ROI problem?  No, not exactly.  But I can think of a couple of ideas.

1.)   CRM Capabilities: I know that many CRM systems are doing a much better job of tracking channel campaigns and events and linking them to and incorporating them into the sales cycle.  SalesForce.com is the one I have had experience with.  The key there has been to eliminate the divide between these two business development departments.  It’s why we are seeing more SVP of Channel Sales & Marketing. 

2.)   Implement “Trackable” Initiatives: If you don’t have a refined system in place, one way to improve measurement methods of your channel marketing investment is to include initiatives in your strategy that can be easily tracked.  Introducing and funding Distributor Performance Incentive programs that target the Reseller/Dealer customer can be an easy way to track ROI.  Only “reward” (fund) when key performance indicators (KPIs) are achieved. These KPIs might include incremental sales goals, product sales, training achievements, deal registrations, etc.  All the things that you know turn into revenue and a transaction. 

I know this doesn’t solve all the challenges with tracking marketing monies through the channel (especially end-user campaigns), but it’s a good place to start.  If you can show clear, positive ROI on your Channel Rewards Program, you might find yourself with greater leeway when it comes to your more creative–less “trackable”–initiatives. 

Filed Under: Channel Incentive Programs, Return on Investment, Tough Economy, Trackable Marketing Initiatives

Channel Conduit of the Week: Trading Places

April 16, 2013 by

Channel Conduit of the Week

  • Small gestures that make big impacts on channel behavior
  • Commonsense reminders that make the difference b/t you and your competition
  • Elements that should be considered in a Channel Incentive Programs

Channel Conduit 5

If empathy is the key to good partnerships and sales, then try trading places.  As channel marketing & sales pros, it’s important that we are always trying to put ourselves in our channel partner’s shoes.  This helps us get out of the vendor vacuum and design channel programs that help our partners become more successful. 

Let’s take that concept and flip it on its head for a moment: Why not have your partner stand in your shoes for a lunch or dinner meeting?  Too often we ask, “What else can we be doing to help you grow your business?” Don’t get me wrong, we should be asking this question–and often!  But we might be amazed if we also asked:

 “If you were me…”

  •        …Which opportunities in the market would you attack?
  •          …What would you use your channel program to be a differentiator and get the mindshare of the channel? 
  •          …What gap in the market would you be well positioned to bridge? 

Not only will they be honored you asked, but more importantly, you will also learn unexpected valuable lessons. 

 

Filed Under: Channel Conduit of the Week, Soft Benefits

Channel Conduit of the Week: Serve Up Your Channel Partner

April 12, 2013 by

Channel Conduit of the Week

  • Small gestures that make big impacts on channel behavior
  • Commonsense reminders that make the difference b/t you and your competition
  • Elements that should be considered in a Channel Incentive Programs

Channel Conduit 4

Your partner served up their flagship client and introduced your team and solutions.   Maybe you should serve them up too?

If it was the partner’s sales person that went the extra mile to get you in the door, maybe you should serve them up a year’s worth of the “desert of the month” or, my favorite, the salsa of the month.  There are solutions that make this gesture very turnkey.  Send me a note and I will point you in the right direction.

If it was the partner principal’s decision to finally bring us in, let’s serve up her whole team with a Monster Grill.  And then show up with your apron, spatula, and enough fillets to feed the team over lunch.   Maybe the grill doesn’t have a home at the office but the company could give it away to a deserving team member or even make a contest out of it.

While you’re serving up steaks, don’t forget to close the deal that’s been presented on a platter.

Filed Under: Channel Conduit of the Week

Distributor Prospective: Out of Control SPIFFS!

April 4, 2013 by

Distributor Prospective:  Out of Control SPIFFS!

As many of you may know, I spent 7 wonderful years at a North American Distributor where I oversaw the business, sales force, and partner relationships in the Mountain and Pacific Time zones.  In the IT space (and many others) SPIFFS are part of the sales channel culture. I considered these vendor spiffs to be a great sales tool, and successfully leveraged them to motivate my sales team and grab the attention of the VAR dealer channel.  It was a win-win-win all the way down the channel.  The Vendor obviously got the mindshare of the distributor sales, which led to increased engagement with the VAR dealers.  As the distributor in channel I was pleased with the success of the SPIFFS, (although our CEO never cared for them), because I was ultimately able to leverage vendor monies and incentives to achieve the goals of our sales team.  All was in balance.Wild West

Yes, that worked for a medium sized distributor that was laser focused in Document Management and Enterprise Content Management (ECM).  We had a minimal number of vendors to manage and that was by design. What works for small- and medium-sized distributors, however, does not always translate into success for Larger Distributors.
Today I work with businesses that distribute hundreds or even thousands of vendor brands. With SPIFFS coming from every direction, how on Earth, as the distributor, am I supposed keep my sales team focused on MY company’s goals?  And how do I benefit or build goodwill with the SPIFFS that target my personal VAR partners?
One option is to adopt the Wild West attitude of SPIFF management and allocate an army of marketing managers each with their own vendor focused on communication and goals. More often than not, this is how the system is managed.

Option number two is to build a SMART brand Reward Zone that you, the distributor, own and can invite the vendors to participate in and fund.

But don’t worry vendors!   You can have your own promotion and rule structure under the distributor Reward Zone umbrella. Ahhhh…..Can you feel the channel universe falling back into balance?

Distributors Only beyond this point:

Here’s the best part.  You now have a Distributor-branded Incentive Platform where YOU control the messaging to your sales team and channel partners.  Vendors will be excited to help fund the program and make sure they are getting the mindshare of YOUR channel!
Beautiful.

I would love to see your thoughts and comments below, or contact me directly here:  http://movethechannel.com/?page_id=70.

Filed Under: Channel Incentive Programs, Distributor Prospective, Smart Channel

Channel Conduit of the Week: Drop By For Big Events

April 2, 2013 by

Channel Conduit of the Week

  • Small gestures that make big impacts on channel behavior
  • Commonsense reminders that make the difference b/t you and your competition
  • Elements that should be considered in a Channel Incentive Programs

Channel Conduit 3

Drop By For Big Events

“Big Events?  I make sure to stop by eveCelebration 2ry year to my annual Partner-Palooza conference, especially when we hold it in Vegas”

No, I’m not talking about your mega annual partner meetings and conference.  In fact I’m not talking about events held by you at all.   I’m talking about the events that are BIG to your channel partner.  These are events that are critical to your channel partners business and in turn important to you.  Most likely, your most successful channel partners are executing marketing strategies that include events that bring many of their end users together to foster new relationships and longer customer retention.  Some events that you might consider dropping in on include:

  • End-User Conferences
  • Customer Appreciation Events
  • End User Advisory Round Tables
  • President’s Club Incentive Travel
  • Company Board Meetings (Or even better sit on the board)
  • The Summer Picnic Event
  • 10 Year Anniversary Celebration
  • The Founder’s Retirement Party

Sure not all of these events are appropriate, but one or some of them should be.  This type of gesture is so rare that it will go a long way in building trust and loyalty at the partner’s executive and sales levels.  The on problem with this type of rare gesture is your partner might not even know you would be interested in receiving an invite to one of these events.

How to get invited to the BIG Event

One way to make it known is to include this as a soft benefit in your channel incentive program.  One of rewards for hitting a certain partner tier might be “Dinner with our CEO”.  This is what we call a “Soft Benefit”.  By integrating soft benefits into your Channel Incentive Program you differentiate from your competition and deliver a personal touch that leads to deep relationships with your partners.  Not all soft benefits are published but act as a qualifier for gestures like the “Drop by for the Big Event” incentive.  You only have so many high profile people at your company and only so many days in the year.  So you want to have system in place that selects the partners that deserve these valued soft benefits.  By making it part of your channel incentive program you identify the right partners.   This gives your channel marketing manager or regional channel managers the opportunity to review your partner’s BIG event calendar and start to schedule with the appropriate person at your organization.  The channel manager then can say, “If appropriate, our Channel Chief or VP of Global Channel Marketing mentioned she would be honored to come and help celebrate your company’s 10 Year Anniversary Party!”

Do you have a success when you wisely did a “drop in for a Big event”?  Are you implementing “Soft Benefits” into your channel incentive programs?

Filed Under: Channel Conduit of the Week, Channel Incentive Programs, Soft Benefits

IBM Loves Its Channel–And It Shows

March 28, 2013 by

Sports FansEarlier this week I talked about how companies that have continued to invest in their channel despite the down economy have wisely adopted a big-picture attitude in the face of potential cost-cutting decisions. I’d like to point to IBM as one example of a company who has evolved into a leader of channel dynamics, the very same dynamics that are promoted daily here at Move The Channel.

A recent article published by Larry Walsh in the portal Channelnomics discusses how IBM has begun to establish itself as a forerunner of holistic channel behavior. Despite its stature in the tech world, the company felt it could maximize its value in the channel more completely as a component player rather than as a one-stop solution. As Walsh remarks, “IBM sees value in driving business to solution providers who won’t necessary lead with the IBM brand.” He continues, “As the theory goes, IBM will gain sales if it [is] providing marketing support, lead generation and technical solutions to business partners who develop solutions based on IBM’s technologies.”  This all-for-one, one-for-all channel strategy has allowed IBM to establish valuable, intrinsic bonds with its partners, and helped contribute to the overall evolution of the business.  It must be tough as a leading innovator to accept the fact that conventional technology and cloud services will quickly become a commodity.  Since its products are a component, they have wisely found partners that specialize, overlap, and provide complimentary solutions built on an IBM platform. And with this approach they have added new incentives, certifications, technologies and marketing programs that continue to enable their partners to grow their businesses, to the benefit of all. As Walsh concludes, “the more business partners grow, the more they’ll consume IBM products.”

This is the new foundation for IBM’s channel strategy, along with its more than 130,000 business partners worldwide. Think they might be onto something?

Filed Under: Global Channel Incentive Programs, Investing in Your Channel

Investing in your Channel in Tough Economic Times is Smart Business

March 25, 2013 by

Channel Conduit 2

In a down economy, a company’s first instinct is to cut back. And the “soft side” of business – including channel incentive programs – is often the first to be slashed.

But when you cut your incentive programs, you are sacrificing your future and missing a HUGE opportunity.

The fact is in a tough economy there is an amazing opportunity to build immense loyalty with the channel.  Profits aren’t where they were three years ago for anyone.  But your channel marketing rebate and marketing Development funds have helped your channel partners stay afloat.  (And it’s why they’ll still be devoted when things improve.)  Your partner’s sales people’s compensation is down about 20%.  (Think how much more those rewards means to them today)

That’s why more and more companies are choosing to step up channel incentive strategies in the tough times, rather than stepping away from it.  The ones that stepped up their channel incentive programs 5 years ago have taken market share and increased loyalty.  I’m not saying it’s too late.  It’s never too late to invest in your channel wisely.

Remember channel incentive aren’t soft, they’re smart.

Filed Under: Channel Conduit of the Week, Investing in Your Channel, Tough Economy - Smart Channel

About Travis

March 21, 2013 by
New Zealand South Island Fishing Trip

New Zealand South Island Fishing Trip

I love to move the needle!  There is nothing quite like guiding your business partner to achieving new heights while triumphing record highs for your own organization.  Sure it’s great to hit your bonus and impress the company’s shareholders but helping your partner organizations, hundreds of them, do the same is whole new level of fulfillment.

Over the past 15 years, I have specialized in Channel Incentive Programs and multi-tier distribution business strategies. My many experiences working with manufacturers, distributors, and resellers have given me a unique perspective and understanding of what drives and motivates channel partners. Through these experiences I’ve developed a passion for moving products and services through distribution channels and helping clients design, implement, and administer B2B customer loyalty/growth strategies.

I started the Move The Channel group back in April 2010 in order to find others who shared my excitement about channel marketing and sales. During this time I have realized that, through innovation and the sharing of resources, we can really move the needle and transform the way business is done in the channel. My vision with MTC is to cultivate just such a community, composed of passionate channel chiefs and industry leaders who, like me, are always looking for ways to get the most out of their channel partnerships.  I have found home and spent the last three years designing channel incentive programs for HMI Inc., a Performance Improvement Company based out of Norwood, MA.  www.hmiaward.com

When I’m not designing channel incentive programs for my clients or blogging on MoveTheChannel.com, I’m maximizing time with my Wife and two boys.  I still get on the hardwood twice a week and love planning fishing trips with my 4 brothers.

Thanks for being a part of Move the Channel!

My Very Best,

Travis

Filed Under: About Travis

Channel Conduit of the Week: Tell your Channel Partner What is Important (other than sales)

March 19, 2013 by

Channel Conduit of the Week

  • Small gestures that make big impacts on channel behavior
  • Commonsense reminders that make the difference b/t you and your competition
  • Elements that should be considered in a Channel Incentive Programs

Channel Conduit  1

Channel Incentives must be focused on the right behaviors.

Our partners want to make us happy and to be recognized for being an import piece our strategies.  Yes we do a good job of telling them what their yearly growth goal is or what it’s going to take for them to achieve “Gold” status.  Don’t get me wrong these are important behavior to define and recognize.

But there are other behaviors that should be recognized too.  And almost always these other behaviors lead to more sales.  Make sure they know what behaviors are valued and then make sure to recognize for them.  Here are some key behaviors that are often included in a Channel Incentive Program:

  • Deal Registrations
  • Early introductions into the sales cycle
  • Sales and technical certification or accreditations
  • Customer service – End User tells brags about the support from the partner
  • On-time delivery
  • Integrity
  • Quality
  • Innovation
  • Teamwork
  • Case Study worthy clients

Take some time today to identify your company’s key values and communicate them to your partner.  Then use those values as the foundation of your channel incentive efforts.

Filed Under: Channel Conduit of the Week Tagged With: , , , , ,

Here are the Top Reward Redemptions for Channel Incentive Programs

March 7, 2013 by

images

After many years in the Channel incentives industry, I still get asked the same questions over and over. Though I could fill many pages with those questions and their answers, two of the most fundamental questions are: 1). Which rewards are the most motivating? and 2). Which rewards are the most popular? The first question has a range of responses and varies based on target audience, length of program, etc. and is far too complicated for a blog post (although if you’re interested in the cash vs. non-cash awards debate click here to read a blog post by my colleague Matt Slane).

The second question, however, changes by season and is prone to trends in other industries. After taking a look at our redemptions across all programs, here are the latest trends we are seeing:

Merchandise (out of tens of thousands of items available on our website): 

#1 – Electronics – 12% of program participants choose electronics, and Apple products are leading the way.

#2 – Housewares – 11% of program participants are choosing housewares, with Alclad pots and pans at the top of the list.

#3 – Toys & Games – these pick up even further around the holidays, but about 8% of redemptions are for toys and games.

Travel and Events (including airfare, concert or event tickets, hotels, etc.):

#1 – Real-Time Hotel Bookings – Orlando, San Diego, and New York are the top domestic destinations.

#2 – Travel Packages and Vacations – particularly all-inclusive trips to destinations like the Caribbean, Mexico, and Hawaii.

#3 – Sporting Events – though summer is a great time for things like baseball games, this summer there is a rise in not only travel to London, but requests for tickets to Olympic events.

#4 – Concerts – many participants are redeeming tickets for Justin Bieber, Bruce Springsteen, and more.

Many of my clients want to select the “hot” product and build a promotion around the reward. Themes featuring certain products can be very successful, but they do have a shelf life.  Remember, even the most popular category (electronics) only accounts for 12% of redemptions.  My advice is you can feature certain products, but don’t try and guess what motivates your customers.  Let them make that decision!

Filed Under: Uncategorized
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