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Building High Value
       Partners in the
   Software Industry




            A White Paper by
Stu Garrow – CEO of Tech Inject
The Partner Challenge

  • Most software companies will have
    one or more partner programs over the
    life of the company, with many failing
    to achieve the high expectations of
    revenue, growth and profitability
    expected from them
Alignment of Goals

  • The single most important factor in
    ensuring a successful partnership is
    the alignment of goals, yet this is often
    overlooked
  • By understanding the core
    characteristics of any partner, we can
    recruit partners that share common
    goals
Partner Classification Example

         Mixed Product & Services Business
                       Product Focus
                          5
    Transactions per      4               Service Focus
          Year
                          3
                          2
                          1                       Presales
     Customer
                          0                     Enablement
      Success
                                                 Required


        Partner                            Postsales
       Generated                          Enablement
      Opportunities                        Required

                       Self Sufficiency
Guaranteed To Fail

  • If goals are not aligned, then the
    partnership is unlikely to:
    • Achieve the targets that each party has
    • Last long term
    • Justify the investment that each party
      must make in the partnership
A Common Example

 • A software company has a product
   quota ($$) to achieve
   • The product margin offered is so low that partners cannot
     build a viable business out of product sales, assuming
     partners will make money from services
   • The companies that want to be partners make most of
     their money from services, so have little incentive to push
     product sales
   • The goals of the two parties are not aligned and the
     partnership is unlikely to be successful
White Paper

  • The full white paper is available from
    www.techinject.com and covers the characteristics
    of partners and how to select the right ones to
    achieve long term success
  • The white paper will benefit anyone wanting to
    review their current partner programs or setup a
    new partner program for software
    resellers, distributors or consulting partners
About The Author

  • Stu Garrow is a 20 year industry veteran, having
    built and managed software partner businesses in
    the Asia Pacific region for multi-nationals, Silicon
    Valley startups and also built his own reseller
    business
  • His wide variety of experience provides a unique
    set of guidelines for building long term, viable and
    successful partnerships in the software industry
About Tech Inject

  • Tech Inject is the world’s leading venture
    technologist, providing early stage startups with the
    unique ability to “turn on” a global sales and field force
    that can generate the revenue that startups so
    desperately require for growth
  • Providing new products to a global sales force has
    traditionally been the domain of the global enterprise
    software companies that acquire startups and
    immediately make them available to their sales force
    world wide. Tech Inject now brings this capability to
    startups that are looking for growth
Visit our website
         for more
      information




  www.techinject.com

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Building high value partners in the software industry

  • 1. Building High Value Partners in the Software Industry A White Paper by Stu Garrow – CEO of Tech Inject
  • 2. The Partner Challenge • Most software companies will have one or more partner programs over the life of the company, with many failing to achieve the high expectations of revenue, growth and profitability expected from them
  • 3. Alignment of Goals • The single most important factor in ensuring a successful partnership is the alignment of goals, yet this is often overlooked • By understanding the core characteristics of any partner, we can recruit partners that share common goals
  • 4. Partner Classification Example Mixed Product & Services Business Product Focus 5 Transactions per 4 Service Focus Year 3 2 1 Presales Customer 0 Enablement Success Required Partner Postsales Generated Enablement Opportunities Required Self Sufficiency
  • 5. Guaranteed To Fail • If goals are not aligned, then the partnership is unlikely to: • Achieve the targets that each party has • Last long term • Justify the investment that each party must make in the partnership
  • 6. A Common Example • A software company has a product quota ($$) to achieve • The product margin offered is so low that partners cannot build a viable business out of product sales, assuming partners will make money from services • The companies that want to be partners make most of their money from services, so have little incentive to push product sales • The goals of the two parties are not aligned and the partnership is unlikely to be successful
  • 7. White Paper • The full white paper is available from www.techinject.com and covers the characteristics of partners and how to select the right ones to achieve long term success • The white paper will benefit anyone wanting to review their current partner programs or setup a new partner program for software resellers, distributors or consulting partners
  • 8. About The Author • Stu Garrow is a 20 year industry veteran, having built and managed software partner businesses in the Asia Pacific region for multi-nationals, Silicon Valley startups and also built his own reseller business • His wide variety of experience provides a unique set of guidelines for building long term, viable and successful partnerships in the software industry
  • 9. About Tech Inject • Tech Inject is the world’s leading venture technologist, providing early stage startups with the unique ability to “turn on” a global sales and field force that can generate the revenue that startups so desperately require for growth • Providing new products to a global sales force has traditionally been the domain of the global enterprise software companies that acquire startups and immediately make them available to their sales force world wide. Tech Inject now brings this capability to startups that are looking for growth
  • 10. Visit our website for more information www.techinject.com

Editor's Notes

  1. The chart above shows the characteristics of a partner that can be measured to quantify the alignment with the goals of the principal.