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What are the most common models for channel sales?

I'm beginning to sell our services through channel partners and would like feedback on the most common models used for channel sales. For example, some channels simply take a percentage of the retail price as their revenue for the sale.

We sell a SaaS service that is currently focused on aiding companies with making better decisions about Microsoft products (if this is helpful for the discussion).

What are models have you used to sell to channel partners as well as any pros or cons of this approach?

3 Replies

Dax Hamman
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Dax Hamman Entrepreneur • Advisor
Founder at Project GORDON (currently raising funds)
Can you give some examples of the types of channel partners you are thinking about?
Logan Kleier
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Logan Kleier Entrepreneur
Founder/CEO at SecondSight. We tame application sprawl with simple, actionable SaaS application usage data.
We sell an application analytics service that helps companies make better decisions about their application portfolio, in particular Microsoft software and services. We are beginning to use some Microsoft resellers as a primary distribution channel for this service.

Given this, I'm curious what kinds of arrangements others of struck with channel partners like this in terms of financial compensation or other typical aspects (exclusivity vs. non exclusivity).
Jens Gadegaard
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Jens Gadegaard Advisor
Business Development Manager
Hi Logan, a successful way is to add value to your channel partners existing products/services. And have their products/services be presented to your existing channel/direct customers. This way of Shared Channels are an advantage for both parties but it needs a kind of holistic view on all business models and how to merge them. And if keeps focus on creating value both ways.
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