Expand Your Startup Through The Channel

by Jacob Brett, Sr. Distribution Account Manager, Americas @ Citrix

Startups face many challenges on their quest to prove their product or service is viable in the marketplace.

As startup attempts to gain greater viability and visibility, landing an enterprise account can be the key to accelerated growth.

One such challenge that remains constant is resource constraints. This especially holds true in the early stages and continues on well past the first-round investment. However, as the company grows, there is a see-saw
effect that demands more resources between Operations and Sales departments and this can have an impact on this challenge. Looking to the Channel as a solution can help solve it.

The Channel is an ecosystem of people selling technology software, hardware, solutions and services that can consist of many types of partners, and assist with sales and operations. The two most important types of Channel Partners to support these efforts are the Distributor and Value-Added Reseller (VAR). Here are my top tips to help drive enterprise sales through the Channel:

1. Identify a Distributor — Beyond being a liaison between the vendor and Channel Partner and assisting with the complexities of order management processing and shielding credit risk, Distribution can be used to make data-driven decisions by identifying the right VAR to partner with who has the right set of customers that would have the greatest propensity to purchase your solution. Distribution usually takes a smaller upfront, or backend, the margin on the overall deal size.
2. Identify a VAR — When selecting the right reseller, it is important to ensure they fit your business requirements and are aligned to your sales, marketing, and technology expectation and goals. The VAR can assist in introductions to key stakeholders on your target accounts. Keep in mind, VARs generally take up-front, or backend, margins depending on how they are engaged or aligned to the opportunity and overall deal size. Having the right Partner and a targeted set of focused accounts will lead to higher conversion rates.
3. Align Priorities - All large, enterprise accounts will require multiple sales cycles, and aligning the product or service to their priorities will increase interest. Executives are focused on three key priorities: Increase Revenue, Reduce Costs, and Improve Cash Flow. Aligning your sales pitch to these areas, will drive the opportunity forward.
4. Manage the Deal — Enterprise sales is a marathon, not a sprint. With long sales cycles and resource constraints, VARs can help with solution selling and manage the complexities around these deals, leveraging a tag-team sales approach. Frequent communication and follow-up ensures the customer is continuously nurtured through the process.

Enterprise sales can be long and challenging, but also very rewarding. Seeking good Partners can expand your resources and help you achieve your sales goals.