Sales Channel and Partner
Development
Once you have a product to sell, it is important
to determine what sales channels and partners are suitable to aid in building and growing the
business.
Direct Channel Sales
Development is usually accomplished at first to obtain the first sales for a company. It is
very dependent on the product whether direct sales are the most cost effective channel, as they are very
expensive. With direct sales, the company is on the hook for prospecting, actual sale, service, billing
and own the accounts receiveable. In addition, there is the cost of sales reps themselves including
salary and benefits. Your product might require a 1:1 relationship with the customer and this might be
the best channel for you long term, or as you grow your business, you might want to investigate indirect
channels to market.
Indirect Channel Sales Development can be be built to either supplement direct
sales channels or can replace direct sales over time depending on the product and channels selected.
Indirect Channels can include Referral Partners, Sales Agents, Resellers, Distributors, OEM, Affiliates, or
Managed Service Providers to name a few. Understanding your product and the market aids in helping you
determine what channels will be best for your product.
Partner Development includes other partners which will aid in moving your business
forward. This could include a technlogy vendor who has a product that makes sense for you to use with or
embedded in your product to get you to market sooner. It could also include a co-marketing partner that
you just do marketing together or a strategic partner where there are many synergies between the two companies
and partner on many levels.
Goal of Service
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