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June 2016

How to change up your channel business model

Sponsored by SearchITChannel.com

"It seemed if we didn't invest heavily in growing our services organization, then we’d end up behind the curve." That was said by Barry Shevlin, CEO of Vology, about his company’s decision to transition from its product-centric focus to an IT services business model.

Vology, like so many other channel firms today, was faced with tacking its sails in a new direction, resulting in a shift in its overall channel business model. According to consulting firm PartnerPath, partners make business model transitions at least three to four times in their careers. Making that transition can be difficult -- and often expensive -- because not only does it demand a new skill set and pricing strategies, it can involve different approaches to sales and marketing and managing vendor relationships. It's a task that can potentially touch every aspect of your organization.

In this three-part guide, we offer insight on what goes into channel business model transitions, whether it's a switch from selling products to selling services, a move into managed services, or a cloud play. You'll get an overview of the main considerations that go into a transition. You'll also learn how Vology, a $200-million solution provider and integrator, transformed to stay ahead of the curve. Finally, we'll show you the key differences between managing traditional vendors and cloud vendors. Get ready to tackle the big changes.

Table Of Contents

  • Get ready to make the switch
  • Vology's shift from products to services
  • The cloud model: Managing a new set of vendors