Expertise and specialization will separate successful solution providers from those that struggle, according to a ChannelCon Power Panel of channel executives from four leading IT vendors.
“What I see now are partners with deep expertise doing very, very well,” said Greg Davis, vice president and general manager of global commercial channels at Dell. “Make an investment in your people to build your expertise.”
“The most successful partners have developed a point of view,” Toni Clayton-Hine, vice president of global marketing and value proposition at Xerox, said. “They’re able to invoke a level of confidence and trust with their customers in what they can deliver.”
Clayton-Hine and Davis were joined on the Channel Chiefs Power Panel by Clark Brown, senior vice president of sales, Americas, at NEC Display Solutions of America, Inc., and Zak Karsan, vice president of business development at VaultLogix LLC.
To be sure, there are solution providers that fall under the heading of vintage business that can be successful. But long-term growth opportunities will be more prevalent in specialization, new technologies and expanding engagement with current customers. “Look at obvious adjacencies where you can cross-sell or up-sell in your existing accounts,” Clayton-Hine said.
Karsan echoed that advice, urging channel partners to examine their current customers for existing areas of concentration in a technology solution (security or storage, for example) or market (such as finance or healthcare).
Panelists also examined new opportunities in a world where the numbers and types of devices and endpoints connected to networks are growing at a breakneck pace. “We’re seeing very fast growth in the video display products,” Brown said, adding that the digital signage market is growing at a rate of 10 percent annually.
For the solution provider community, the digital signage market offers recurring revenue opportunities. Casinos, retailers and restaurants are just a few of the markets that are embracing digital signage as a way to communicate with customers. “Wherever there is a need for a refresh of content there is a business opportunity for you,” Brown said.
Clayton-Hine asked the ChannelCon audience to consider their current customers and the number of devices each customer has. “For the more IT-centric side of the business there is an opportunity in managing devices,” she said. “If you have 100 customers and they each have 100 devices, that’s 10,000 devices. How many of these devices aren’t connected, but could be? It’s an amazing opportunity to make money.”
With all these devices connecting to networks, there are also opportunities to help customers keep their data secure and their workforces productive. “Those are great opportunities for partners,” Davis said. “How are you going to store the data? What are your backup plans? Those are valuable services that customers will pay for. It’s a billable, valuable service that customers are happy to pay for.”
Panelists also agreed that there are big changes in the marketplace when it comes to who is making the buying decisions. Karsan said more business is being done with C-level executives than with IT staff. Clark also said marketing departments are getting involved in the process, noting “They’re the ones that want to drive changes in the customer’s behavior.”
“It’s up to us to help our partners sell up the chain successfully,” Clayton-Hine said in response to a question on the role of the vendor. “An appropriate CFO argument is different than a business line argument.”
