WHY CHANNEL CLOUD?
Channels in the Cloud business function will become very popular as more businesses choose to focus on core competencies versus building internal infrastructure to support ancillary business processes.
Historically, processes which have been popular to outsource include customer care, human resources, financial, legal and administration resources. In the technology arena, the sales functions has largely been absent from relying on the outside sales force. Now this market is poised to grow at over 20% CAGR according to a recent article published by Selling Power magazine. Research shows that Channels in the Cloud(or supplementing) a sales force with the right partner can boost sales while cutting costs".
The main 3 reasons for adopting Channel Cloud are:
- Market Reach
- Education of Channel Partners
Technology companies look to the Cloud for various reasons. The key reasons among them are new market entry, increased market coverage, lack of internal resources and generation of incremental revenue. Market entrance to new areas - in many cases an outsourced company can add value through existing relationships and market presence in geographies where a company may not have a direct presence or untapped market share.
Through leveraged compensation plans, sales people are geared to produce results. By nature, salespersons will go after low-hanging fruit, leaving much of the addressable market exposed to competition. Channels in the Cloud additional sales resources is a low cost solution to gain additional market coverage, since in most cases; these resources are available at a lower cost and lower risk than most sales team investment within companies' SG&A.
One of the main reasons companies are adopting the Cloud is that it is a prudent business decision for launching new products outside of a company's traditional Go to market model. "For example, a company which has historically focused in layer 2 networking devices, may want to use the Cloud to offer its new layer 3 networking devices since the company has historically not competed in this market. Instead of using its own sales force to sell this new product, a better option might be to contract with a service in the Cloud Company that has a track record in selling layer 3 networking devices. In this way, the company reduces its risk by hiring sales experts in the layer 3 networking market.
The six cloud product offerings from ChannelVission are presented below.
- ChannelCloud® is a virtual channel consortium of products, partners, customers, sales, call centers, marketing, press, research, CRM, ERP.
- Channels As A Service® (CAAS) is offered by ChannelVission as a solution to increase channel product margins, market share, new market entrants and improve the traditional 20% / 80%
- CloudVission® is a cloud based dashboard which will reside on ChannelCloud® to provide an interactive snapshot to new vendors and partners which will be offered as a SaaS model.
- Cloud Customer owned Infrastructure® (CCOI) is a product which takes advantage of customer infrastructure including partner program to offer cloud based channel presence to expand markets and generate ROI through incremental sales.
- MobileVission® is a real time “Mobile in the Cloud” concept which provides the users with real time access to the customers and linking it back to a CRM database in the Enterprise cloud.
- CLOUDBI® is a Business intelligence platform to assist cutting edge business development firms to perform accurate forecasts, revenue projections and pipelines.
For more information please Click Here.
Furthermore, companies wishing to establish themselves in new geographies, Channels in the Cloud sales make good business sense. Companies can partner with a Sales Channels in the Cloud organization to help them get a foothold in a new geography through established business contacts with potential customers and business partners. This reduces sales expenditure and speeds time to market since local Knowledge of market nuances is critical to sales success. Perhaps the most compelling reason to outsource or supplement an existing sales team through Channels in the Cloud is generating net new incremental revenue.
Let us assume that sales resources are maximized within an organization. In other words, the sales force a company has in place today can generate only marginal gains over its quota. In order to significantly increase revenue would mean the requirement of more internal resources. Significant gains in revenue, not only require additional sales resources, but also require additional sales support resources in the form of marketing, management and administration. By virtue of its low-cost, low-risk and speed-to-market characteristics, adding sales resources by Channels in the Cloud to gain net new incremental revenue is a very attractive option for companies that are looking to significantly "move the needle" in revenue generation.