In the fast-paced world of Managed Service Providers (MSPs) and consulting firms, forging strong vendor partnerships is crucial to delivering exceptional value to clients. At the recent Channel Focus virtual event, industry leaders Georg Dauterman, John Kampas, Ojay Malonzo, and Kayvan Yazdi shared their perspectives on what makes vendor partnerships successful. Here’s a closer look at the key elements that define valuable vendor relationships.
1. Service Attach vs. Margin Points: What Really Matters
When vendors approach MSPs and consulting firms, they often offer extra margin points on products. However, the panelists unanimously agreed that service attach is far more valuable than a slight boost in profit margins. Service attach refers to the additional support and resources vendors provide to help partners effectively implement, manage, and enhance their solutions.
“Service attach aligns with what we do best—providing value through excellent service. It’s about having the right resources and support to drive real outcomes for our clients, which is far more critical than just margin.”
2. The Power of Marketing Support
Effective marketing support from vendors can make a significant difference in a partner’s ability to generate leads and build brand recognition. The panelists highlighted the importance of tailored marketing resources that resonate with their target industries and clients.
Kayvan shared a game-changing experience with co-marketing: “We never did educational webinars before, but a vendor approached us with a co-marketing initiative. They offered to help us create and run webinars, providing all the resources we needed. This initiative boosted our lead generation significantly and opened new revenue streams.”
The panelists also noted that having access to industry-specific marketing materials, case studies, and sales enablement tools helps them better communicate the value of vendor solutions to their clients. George pointed out, “Tailored marketing, especially when it’s segmented by vertical, can be a game-changer. It makes the content more relevant and engaging, leading to higher adoption rates.”
3. Onboarding Excellence: Laying a Strong Foundation
A successful onboarding process is critical in setting the stage for a productive partnership. The panelists emphasized that vendors must provide a clear, structured onboarding plan that outlines the time commitment, required resources, and expected outcomes.
Georg explained, “Onboarding is the single most important phase beyond the product doing what it’s supposed to do. Transparency around the time commitment and the steps involved helps us align internally and set the right expectations.”
Kayvan noted that vendors often hesitate to charge for onboarding, fearing it may deter partners. However, the panelists agreed that they are willing to pay for quality onboarding that provides real value. “We’ve been burned in the past by paying for onboarding that turned out to be just a bunch of YouTube videos,” Kayvan said. “The best vendors have a process involving client success managers, regular check-ins, and a clear roadmap.”
John added that flexibility in the onboarding process is key. “Some vendors offer both a DIY onboarding option and a full-service option where they handle everything. We almost always choose the full-service route because it minimizes our internal workload and ensures the product is set up correctly from the start.”
4. Building Lasting Relationships: The Role of Dedicated Support
Strong, ongoing support from vendors was highlighted as a critical factor in successful partnerships. The panelists value regular check-ins, dedicated account managers who understand their business, and a commitment to continuous improvement.
John stressed the importance of having a single point of contact, saying, “The most successful partnerships are those where we have a dedicated person we can rely on. We don’t want to be bounced around from one person to another. Having a consistent, knowledgeable point of contact makes a huge difference.”
Georg agreed, adding, “It’s about that ongoing, one to one connection. Our clients crave dedicated support, and we expect the same from our vendors. It’s this level of commitment that turns a vendor into a true partner.”
5. Aligning on Goals and Mutual Benefits
The panelists emphasized that successful vendor partnerships are built on mutual understanding and alignment of goals. Vendors that take the time to learn about their partners’ business models, challenges, and objectives stand out as true allies.
Kayvan summed it up well: “We’re in the business of solving problems, and so are our vendors. The best vendors are those who understand our challenges and work with us to create solutions that drive real value for our clients. It’s about being partners, not just vendors.”
Prioritizing Value-Driven Partnerships
Successful vendor partnerships go beyond transactions. They are built on a foundation of service, support, and shared goals. By focusing on service attach, providing valuable marketing resources, ensuring excellent onboarding, and maintaining strong, dedicated support, vendors can transform their relationships with partners from ordinary to exceptional.
Key Takeaway: To build lasting partnerships, vendors must prioritize service, tailored support, and a deep understanding of their partners’ needs. It’s this commitment to value that drives success on both sides of the relationship.
