Product Distribution Thoughts

Whenever people ask about our sales and marketing strategy, I always tell them we focus on direct sales with a small percentage of revenue coming from indirect channels like value added resellers (VARs). Inevitably, I’ll get the question asking why we don’t do more with distribution partners. We’ve worked hard in the past at setting up reseller and OEM relationships only to never have them work out as well as both parties initially expected.

I think distribution partnerships are a good idea but I wouldn’t bet the farm on them.

Partnerships, like any other part of your business, take serious time and energy to cultivate well. My recommended approach is to take baby steps with distributors and build small wins over time. Once you have some simple wins under your belt, only then would I recommend taking the next step toward a deeper relationship.

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