Pricing has never been an easy issue for most companies. Most of the companies I know have lost some, if not many, customers when their product or service got up to more than what their customers can afford for in their budget. Companies usually get backlash from this sort of minor setback especially when it balloons due to the reason that customer has opted and switched to the competitor’s side.
As one who manages things like this in the company, I do believe that not even a good channel sales strategy can prevent this predicament from happening after your merchandise has increased its price. Although, a creative channel sales strategy can be a good solution to this, in my opinion, it doesn’t hurt to set a few preventive measures from letting the customers lose their attention to your product or service. Here’s my own list on what to do just in case you are in need of increasing your price without loosing your customers:
1. Avoid Sudden Increase – of course, as any customer would hate, the one thing that people hate are unpleasant surprises. For customers who strictly depend or follow their budget plan, the first thing that would turn them away from your product is a surprise that their favorite, if not often bought, merchandise hiked up for a price they couldn’t adjust to conveniently. Not even a good channel sales strategy would salvage that.
2. Gradual Increase – If you intend on increasing the price for at least half of what it’s bought today, at least make it easy on the customers. Increase it ever so slowly, like hiking it up an eighth every month for the customers to expect the changes.
3. Value Your Partners – This is when your partners will do special roles. If there is an urgent need to increase significantly, then the relationships of your partners to the customers will handle and ease off the shock. Loyalty will be your greatest weapon.
4. Provide leeway – You can’t please everyone, so at least please those who pay. If it’s unavoidable, you should keep what you should among the target customers. If even those customers quit, you may want to reconsider and think if your price really is justifiable.
Showing posts with label channel sales strategy. Show all posts
Showing posts with label channel sales strategy. Show all posts
Monday, September 13, 2010
Thursday, July 22, 2010
Partner Portal Matters: What to Look for in an Ideal Channel Partner?
Channel partnership is a relationship and just like every relationship in your life, there is a list of qualities that we would like the partner to have. The good news is that in a channel partner relationship, you can dismiss the partner who does not meet your qualifications without the emotional upheaval. Imagine sharing you partner portal with a technologically-challenged partner, for example. It would require additional training to get them up to speed with your business process. So, what would you typically want in a channel partner?
Customer access – For one thing, you’d want this partner to know the target customers for your product. It would also be a plus if they are established and well known by their loyal customers.
Complement your product – I would recommend you choose a partner who is already selling a similar product. This eliminates the need to train and explain your product to the reseller.
Technically savvy - In the IT industry, especially, you’d need partners that know what they’re talking about. They should be competent enough to answer inquiries from customers. Technically inclined resellers would also be able to adapt easily to your channel portal when you send it.
channel sales strategy
Experienced – It is important to have an experienced reseller. An experienced sales rep knows his way around the business and is more likely to close a sale.
Financially Stable – This is an important quality of the reseller. They must have a good credit standing and their financial reputation must be impeccable.
Customer Support – Resellers, especially those selling new technology, must have customer service capabilities. Customers seeking assistance must have someone to call in case there are problems with the products they bought.
Coverage of Territory – It is imperative that you know how many sales representatives a reseller has. If your product is a typical consumer’s products, then you’d need to have more sales reps to promote your product. If however the product is for a vertical market, then you don’t need that much sales representatives because few people would really want to but the product.
Good Impression – Channel partners must be professional and respectful to the customers; otherwise, the product would never sell.
I think that there is no such thing as a perfect channel partner but it doesn’t hurt to try.
Customer access – For one thing, you’d want this partner to know the target customers for your product. It would also be a plus if they are established and well known by their loyal customers.
Complement your product – I would recommend you choose a partner who is already selling a similar product. This eliminates the need to train and explain your product to the reseller.
Technically savvy - In the IT industry, especially, you’d need partners that know what they’re talking about. They should be competent enough to answer inquiries from customers. Technically inclined resellers would also be able to adapt easily to your channel portal when you send it.
channel sales strategy
Experienced – It is important to have an experienced reseller. An experienced sales rep knows his way around the business and is more likely to close a sale.
Financially Stable – This is an important quality of the reseller. They must have a good credit standing and their financial reputation must be impeccable.
Customer Support – Resellers, especially those selling new technology, must have customer service capabilities. Customers seeking assistance must have someone to call in case there are problems with the products they bought.
Coverage of Territory – It is imperative that you know how many sales representatives a reseller has. If your product is a typical consumer’s products, then you’d need to have more sales reps to promote your product. If however the product is for a vertical market, then you don’t need that much sales representatives because few people would really want to but the product.
Good Impression – Channel partners must be professional and respectful to the customers; otherwise, the product would never sell.
I think that there is no such thing as a perfect channel partner but it doesn’t hurt to try.
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