Management

1. Managing Channel Partners
Submitted by :- Abhijeet V. Tiwari
PGDM–IB
3rd Sem

2.  A channel partner is a company that partners with a
manufacturer or producer to market and sell the
manufacturer's products, services, or technologies.
This is usually done through a co-branding
relationship. Channel partners may be distributors,
vendors, retailers, consultants, systems integrators
(SI), technology deployment consultancies, and Value
Added Resellers(VARs) and other such organizations.
Who are Channel Partners ?

3.  The firm's marketing department needs to design the most
suitable channels for the firm's products, then select
appropriate channel members or intermediaries. The firm
needs to train staff of intermediaries and motivate the
intermediary to sell the firm's products. The firm should
monitor the channel's performance over time and modify
the channel to enhance performance.
1. Channel Motivation
2. Channel Conflicts
Channel Partner Management
Process

4.  Channel motivation
To motivate intermediaries the firm can use positive actions, such
as offering higher margins to the intermediary, special deals,
premiums and allowances for advertising or display.On the other
hand, negative actions may be necessary, such as threatening to
cut back on margin, or hold back delivery of product.
 Channel conflict
Channel conflict can arise when one intermediary's actions prevent
another intermediary from achieving their objectives.Vertical
channel conflict occurs between the levels within a channel and
horizontal channel conflict occurs between intermediaries at the
same level within a channel.

5.  This Channel Management Process gives companies
an opportunity to an organization to evaluate their
present strategy , to reach new markets , to cover
vast geographical areas , to manage cross channel
communication and conflicts as it deals with each and
every part of selling process . Distribution of product
and services is totally dependent on this.
Insight

6.  Improve the effectiveness of your channel
relationships
 Implement a method to maximize the ROI(Return on
investment) from your channel relationships
 Increase loyalty from your partners
 Differentiate your organization from your
competition
Why Channel Partner Management?

7.  Achieve long-term, win-win channel relationships
 Reduce overall cost of sales
 Maximize your return on your investment
 Increase “mind share” and build partner loyalty
Benefits of Channel Partner
Management

8. Thank You You