Friday, March 18, 2005

Channel Trend: Packaged Services Create Opportunities

Several vendors are making real opportunities for mid-market VARs. SAS is doing it right, taking key VARs from Microsoft with the most direct of value propositions: BPoC (Big Piles of Cash).

IGS's expansion into the mid-market is similar to Cisco's channel recruitment push of the mid-nineties. By targeting VARs with customers in the 100 to 1000 employee range, IBM wants to increase partner revenue from 5% to 40%.

Think of this as equity-free venture capital for the Channel. IBM, Microsoft, SAS and other major vendors are creating multi-billion dollar opportunities for qualified partners. Their success will be driven by how well they develop their programs and strategies, by the ability of their field to have executive conversations, and by the way they address conflict.

The Channel Pro
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