Apple’s Channel Sales Strategy

Arrogance in channel partner relationship is rare but is not unheard of. Companies like Apple for example has the “cajones” (let me borrow from Mrs. Sara Palin’s colorful vocab) to be arrogant and shall we say, less than accommodating to some of their resellers because Apple knows their products are highly coveted and in some cases, revered.

In most cases, channel sales strategy includes pleasing the channel partners as much as the client because vendors know that majority of their sales come from their network of channel partners. Vendors, especially the lesser known ones, have to build their brand in order to be successful and in order to build a reputation for quality, they need their channel partner’s cooperation.


partner profiling

I wonder how Apple’s channel sales strategy differs from the regular hardware and software manufacturer. How are the partners compensated and motivated? How much incentives are given? Do they have access to a partner portal to make their jobs easier? How is conflict averted in their network?

With Steve Jobs visionary and detail-minded approach to business and technology, I’m sure that majority of channel partners are satisfied with the vendor’s partner program. Although the company was criticized for lack of commitment to resellers, and lack of communication, the company is still trying to enhance their channel distribution.

In one unique aspect, Apple has gotten away with much conflict even though they are selling their products directly through their websites and stores. But even the great company is aware of their limitations. They could not for example, build stores and reach millions of customers all around the world. The company realizes the importance of channel partners in bringing their products to the greatest number of people.

Is it right to be arrogant knowing that millions of people consider your products iconic and thousands line up to buy your latest gadgets? I think Apple should check their egos out the door. The company is not perfect and has had their fair share of flops in the past. Treating channel partner fairly can only lead to better sales performance and the company should acknowledge their contributions to the success of the company.

Why Bother with Partner Loyalty?

If you are a business owner like me, then you should understand the importance of your channel partners. Basic knowledge of channel management strategies will tell you that a channel distribution network depends on partners to transport goods and services down the pipeline from manufacturer to end consumer. In other words, they keep the flow going so that you enjoy more profits.


partner profiles

However, knowing that they’re important is not enough. You have to take the time to analyze and invest in a channel management solution and a partner portal so that partners are well-managed and taken care of. This way, you can inspire loyalty amongst your channel members. But why even bother with partner loyalty?

Believe it or not, loyalty is a big part of a channel’s success. If partners are loyal to a company’s channel, then that implies that they are committed to making the business work. That is to say, they will work hard to make more sales and become more productive for you and for themselves.

To inspire loyalty in your partners, you need a good channel management strategy and a partner portal. A portal is a web based application that grants access to those who have been provided with authorized logon credentials. Once logged on, members can enjoy the benefits of accessing important information, pricing details, channel programs, training, support, trends and other resources that are pertinent to the enhancement of their performance. They get to know about various incentives which will push them to perform better. Furthermore, they will get to know your company and your product line more which gives them increased confidence to make sales and interact with the end consumers.

The bottom line is that you should not be complacent with just knowing that partners are important. You should do your part as a parent company to provide them with the knowledge, training, and support, so that they will know that you are a credible leader who deserves their utmost effort.

RelayWare Channel Management Partner Portal Review

The problem with other partner portals is that they don’t really create solutions for vendors with complex business procedures. Portals are created for vendors and resellers to provide: 24-7 open communication and support, complete and up to date product information, simple and user friendly interface, integrated database, and finally, reliable CRM (Customer Relationship Management) and CMS (Content Management System) modules.

I highly recommend Relayware for vendors seeking solutions for their channel management needs. This web-based application can be integrated with the vendor’s database or file management system. Content management is easier; it supports multiple languages and also can support a number of sites. Distributors, VARs (Value Added Resellers), DMRs (Direct Marketing Resellers), Administrators, etc. have their own customized interfaces. This is especially helpful to not so savvy members of the partnership. Training time will be minimized with a system that is direct to the point and easy to operate. I commend the developers for the simple but logical design of the interface.

The system can be customized by the Systems Administrator to reflect only what they want the resellers or other partners to see. This way, they system protects data that a partner, for example, is not privy to. No programming or html skills are needed to integrate the system to the company’s site and database. Using the file management system, partners can create their own database of customers. They can input the information using any browser as long as they are registered users.



partner channel

Relayware includes a deal registration that is integral to the partnership. Resellers can upload potential leads that the vendor can deny or approve at real time so no time is wasted. By entering the data into the sales pipeline, the application will be able to compare the deal and reject duplicate deals preventing channel conflict.

All these conveniences means that channel management will be a smooth process for the vendor. Resellers will be motivated to register deals and customers, and vendors will be able to facilitate the sales which will result to increase revenues for both parties.