B2B sales cycles are notoriously convoluted and competitive. And while there’s plenty to be said for sales and marketing with the goal of customer acquisition, customer retention is a hidden goldmine and significantly cheaper than acquisition. Once you’ve landed a customer and established a relationship, a vital part of retaining them lies in effectively managing your channel partners. Here’s how to keep your channel partners engaged and your customers coming back.
The channel's role in customer retention
TV channel? The English Channel? Not quite. A channel partner refers to the businesses and intermediaries that help distribute your products and services. They bridge the gap between you and your end customers. In the B2B sector, these partners play a pivotal role in retaining those end customers by providing added value, personalised service, and localised support.
When there are so many competing organisations vying for the same clients, your channel partners have both options and distractions. The good news is that there are steps you can take to keep them engaged and invested in you. The key is creating a partnership that stands out through trust, rapport, and convenience– as well as compensation.
Staying relevant beyond compensation models
Money talks, but it’s not the only thing that matters to your channel partners, and it won’t buy their loyalty to you. Other contributing factors include consistency, fairness, and quality training and enablement.
Consistency
Interacting regularly and reliably will show your channel partner that you’re dependable and build trust. It’ll make them feel like a valued partner, demonstrate your robust internal processes, and reassure them that if at some point they do need support from you, they’ll get a prompt response. Consistent communication also helps keep you top of mind and reminds your partner of all the reasons they enjoy working with you, which protects you against losing your partners to competitors putting in the effort to win them over.
Fairness
Treat your partners with fairness and respect, ensuring that the terms of your partnership are mutually beneficial. When partners feel valued and respected, they’re more likely to stay engaged. Any hints of favouritism will breed dissatisfaction and resentment, and they’re likely to drop their own quality of service to you or even leave. Fairness and equity involves transparent communication, fair contract terms, and an open dialogue to address any concerns. Fair practices create a stable and trusting environment, which is crucial for long-term collaboration.
Quality training and enablement
If you want your relationship to be mutually beneficial, don’t just sign the contract and leave it at that. Equipping your partners with the knowledge and tools they need to succeed could include providing training programmes, ongoing support, and open channels of communication. Plus, if you invest once in creating educational assets, you can reuse them again and again and again.
Keeping your channel partners informed about new developments, changes, and opportunities helps them feel connected and valued. Couple this with quality training and you’re well on your way to ensuring your partners are well-equipped to represent your brand effectively.
Empower your partners to leverage your brand assets
Think of your channel partners as an extension of your brand. Your brand assets are incredibly powerful tools that can greatly increase your partners’ effectiveness. It’s up to you to make sure they have what they need to do so. Spend time educating them on your brand guidelines and the strategic use of these materials. Examples of well-executed brand asset usage can serve as inspiration and provide a clear standard to aim for. Finally, set them up for success by making sure you provide them with all the materials, files, or guidelines they need.
Nothing breeds frustration faster for channel partners than being provided a stack of assets that they simply can’t use, while the provider is off happy, thinking they’ve done their part.
Understand their USP
Every channel partner has a Unique Selling Proposition (USP) that distinguishes them from the competition. By taking the time to properly understand and support their USP, you can create a more effective and mutually beneficial relationship. This might look like some co-branded marketing efforts, joint promotions, or tailored support that aligns with their strengths and skill gaps. Remember, co-branding a product or service requires more than simply putting your two logos next to each other. It takes analysis of the two brands, then finding a strategic way to link the two that shows off your complementary strengths and reaches a wider target audience.
Conclusion
In summary, engaging and retaining your channel partners requires a multifaceted approach. Beyond just financial incentives, focus on building fair and equitable relationships, maintaining consistent communication, providing quality training, and leveraging your brand assets effectively. By understanding and collaborating on your partners' unique strengths, you'll not only retain your channel partners but also create a strong, reliable network that contributes significantly to your overall customer retention efforts.
Take a moment to assess your current channel engagement strategies. Are you providing the support and resources your partners need to thrive? If you’re ready to get more out of your channel partnerships, book your free 30-minute consultation today!