Distribution models are in significant flux. Companies across all industries are rethinking not only how to utilize new lower cost, direct channels, but also how to leverage partners in new ways to reach more customers. High-growth segments are always in search of the more distribution partners to increase market coverage, while mature sectors are increasingly questioning whether, in fact, their channel alliances are delivering the sufficient value and productivity. 

Constantly expanding product portfolios, combined with margin pressure, is forcing partners to shift their business models.  Traditional resellers are fragmenting into agent, distribution, franchise and other “influencer” roles – each with unique skills, coverage capabilities and loyalty to specific manufacturers.  Even Dell, the long-time face of “direct selling,” has acknowledged the need for hybrid distribution that includes partners in a variety of roles and segments. 

Perhaps one of the most pervasive trends is manufacturers acknowledging that indirect distribution in some cases is neither economically feasible nor productive if treated like “outsourced sales and marketing.”  Instead of defining “hard line” boundaries between the direct sales force and distribution partners, manufacturers are adopting more collaborative approaches to marketing and selling with the channel – finding new techniques and incentives to affordably drive partner productivity and manufacturer loyalty.

MarketBridge is on the forefront of innovating single and multi-tier distribution and alliance programs across its core industry groups.  We are working with clients to identify and build new distribution channels, rationalize existing channels and coverage, drive partner productivity and product adoption, and construct collaborative programs that create a win-win for both manufacturers and their channel partners.

Distribution Strategy

As products proliferate and customers learn and shop with a growing number of partner types, global companies are reassessing the right mix and volume of distribution, resale and alliance partners required to serve target markets.  For those enterprises with significant existing partner bases, the primary challenges may be rationalizing investment around the right partners and finding ways to drive mind share in those partners who provide the greatest market coverage.  For companies targeting new, high-growth segments, the design point is developing a compelling value proposition and supporting  infrastructure to attract and enable new partners. 

As products proliferate and customers learn and shop with a growing number of partner types, global companies are reassessing the right mix and volume of distribution, resale and alliance partners required to serve target markets.  For those enterprises with significant existing partner bases, the primary challenges may be rationalizing investment around the right partners and finding ways to drive mind share in those partners who provide the greatest market coverage.  For companies targeting new, high-growth segments, the design point is developing a compelling value proposition and supporting  infrastructure to attract and enable new partners. 

PartnerProgram Design & Management

Distribution performance increasingly requires manufacturers to understand how their partnering approach drives and enables their channel partners’ business model.  Manufacturers must provide a comprehensive partner program and delivery platform to partners that clarifies the engagement model, incentives, coverage rules, support, marketing, and partner management systems required to go to market – together.  In certain cases, the program must support multi-tier vertical distribution. In other other scenarios manufacturers must implement a program to enable partner-to-partner collaboration. 

MarketBridge has designed numerous programs and capabilities to recruit, tier, manage, support, drive and communicate with partners across a variety of channel structures.  Our design process – collaborating between the manufacturer and key beta partners – is based on innovative approaches to segmenting and recruiting the best partners, creative incentive and investments to drive partner productivity and share, best-in-class tools and marketing to efficiently cover and influence the partner base, and unique lead management and processes that integrate direct sales and partners’ efforts based on the value each deliver in the sales cycle.

Operational Coverage & Capacity Planning

Is 12,000 partners enough?  Do you have the right partners and the right number of partners in each industry segment, major metropolitan area, and specific product or service skill category?  The short answer is that most companies have major coverage gaps they are expecting their partners to fill.

MarketBridge applies the distribution strategy to the local market – assessing the partners’ true selling capacity and focus on the manufacturers’ products, working with clients to recruit new partners, add capacity through additional partner training, or implementing innovative incentives and programs to drive partner productivity and manufacturer loyalty.  The outcome is a more disciplined linkage between indirect channel targets and local market execution, providing management with a more predictable visibility into partner skills and capacity gaps by segment required to grow the business.

Channel Enablement

“Channel enablement” requires the right mix of the incentives, content, training and sales and marketing support delivered to partners to drive channel productivity.  Most companies stop with simple sales collateral and periodic promotions – that generally stack up in the partners’ offices unnoticed.  Leading enterprise recognize the long-term value of partners’ customer relationships and are shifting traditional marketing and sales resources to greatly enhance how they enable their partners’ success. 

MarketBridge – combining its Consulting and Integrated Marketing teams – is developing innovative end-to-end enablement processes, tools and programs that leverage world-class data management and analytics, the manufacturer’s marketing scale, and the partners local customer relationships to improve partner growth and manufacturer share.

Incentive & Performance Management

Technology is dramatically improving manufacturer visibility into the channel.  With more data now available, manufacturers are able to begin understanding the effect of individual programs, incentives, or investments on growth, channel margins and partner share.  Instead of maintaining traditional discount structures and continuing to invest in “23 pet programs,” leading companies are now able to understand the marginal effect of various channel investments, rationalize programs, and adjudicate both leads and incentives to the highest-performing partners.

MarketBridge builds analytic and performance management platforms for global companies and constructs innovative loyalty and analytic-driven marketing programs.  MarketBridge enables clients to shift investment to the highest-performing partners and implement incentive programs that drive new product adoption, cross-selling and overall partner productivity and loyalty.. 

MarketBridge has been a thought leader in indirect and alternate channels since its founding in the early-1990s.  We bring industry-centric expertise to build or redesign the partner business model and channel platform, and then combine with our Marketing Sciences and Integrated Marketing practices to deploy marketing, promotion and loyalty programs that drive competitive advantage.