| So many companies sign up third party resellers and | | | | acquiring potential candidates. This can be done by |
| distributors and system integrators and OEMs without | | | | going to trade associations and looking at trade |
| giving proper rigorous attention to the process that's | | | | association directories for resellers, of which there |
| required in order to define the selection criteria, find | | | | are many, to actually get lists of potential resellers. |
| adequate channel partners, and actually go through a | | | | Or it also can come from looking at who your |
| process of due diligence in order to screen them, | | | | competition is using or complementary products |
| select them, and bring them onboard. A well | | | | companies are using in order to get their products to |
| developed channel selection process, a reseller | | | | market. But it certainly includes defining a list of |
| selection process, looks a lot like a very rigorous | | | | potential candidates. You'll never want to select a |
| process for hiring and acquiring members of your | | | | reseller without having multiple options to compare |
| senior management team or your key employees in | | | | against, just like you'd never hire a key sales person |
| sales and marketing. It starts by defining very clearly | | | | without having multiple options to compare against. |
| which markets you're after, which segments you | | | | So, acquiring lists, getting names, also getting referrals |
| want to reach, what types of customers you're | | | | from your best customers is an excellent way to |
| trying to acquire, and then doing research and | | | | identify potential resellers. Who are they buying |
| analysis to determine which companies are actually | | | | from? Who do they like to buy from? Who do they |
| calling on and supplying goods and services to those | | | | view as the most professional reseller vendors in |
| customers day in and day out in your focused | | | | your market? Those are easy questions to ask of |
| market. | | | | some of your best customers and prospects to |
| Once you've defined those customers and those | | | | define who it is that you should be working with as |
| market segments that you're after, then looking at | | | | your channel partner. |
| the different types of reseller organizations that are | | | | The next step is, of course, contacting those |
| available for you to get your product to those | | | | companies and using either referrals or through a |
| customers becomes the next task. This step involves | | | | direct mail process which is very easy to set up and |
| making sure that you understand exactly what sales | | | | do. Then, you establish the actual channel partner |
| and support structures required for your product in | | | | selection criteria that you're going to use in order to |
| order to deliver it as a solution to the end customer. | | | | make sure that you understand what it is that you're |
| Some companies use manufacturer's reps that are | | | | looking for. After developing that selection criteria, |
| just basically commissioned agents. Other companies | | | | you're going to want to develop a questionnaire or |
| use value added resellers, others used stocking | | | | an interviewing guide, if you will, and process and |
| distributors, and yet others use system integrators | | | | steps to gather the information that you need from |
| that actually build their products into complete turn | | | | those channel partners in order to match that |
| key systems for their customers. So you're going to | | | | information against a selection criteria that you've |
| want to make sure that you do some analysis to | | | | established. Then, of course, from there, after |
| figure out which kinds of reseller channels you need | | | | you've gone through the due diligence process, |
| in order to most adequately provide your product to | | | | gathered their performance history, understood their |
| your customers in a solution that they're willing to | | | | sales organization, looked at how much they're selling |
| buy, and then make a decision about that type of | | | | for each of their principal vendors and understood |
| channel structure. Many companies use multiple types | | | | who their customers are and why they win against |
| of resellers to reach different types of customers as | | | | their competition, you're going to want to go into the |
| well. | | | | process of actually negotiating an agreement. |
| The next step in a channel selection process is | | | | |