2 min read

Bruce Stuart: Lost sales may fuel cloud transition

Cloud

Industry research is beginning to show that that growth centric resellers in the market that “get it” are using their newfound cloud and SaaS capabilities to generate new business from existing clients, and new business from new clients.  For the 25-30 per cent of reseller businesses that are cloud/recurring revenue ready their cloud/SaaS story is already a growth story.  Channelcorp is finding that “the ready group” has made cloud and SaaS investments that are clearly focused on driving growth and increasing business value.

For example, in a group of resellers that was engaged in the cloud and SaaS business last year, approximately half expected sales growth to exceed 50 per cent next year. Reselling organizations that have done the lost sales analysis research and then moved clearly and decisively to build a business plan and establish a growth-oriented cloud/SaaS business have grown decisively.  Those business owners that have developed an investment plan and invested properly to execute it are defending and expanding their installed bases while acquiring customers that are net new to them.

The development of the growth plans and the execution of the investment in the infrastructure and skills required to acquire new cloud and SaaS clients has made them better at defending and expanding their installed base.  It turns out that in the cloud/SaaS business the best defense is in fact a good offense.

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About Channelcorp

Margaret and Bruce Stuart founded Channelcorp in 1989.  The firm is a global leader in the assistance of reseller, distributor and vendor clients. Channelcorp specializes in the business model transformation that is required in the face of the structural changes to recurring revenue driven business models in the worldwide IT business (www.channelcorp.com/services.php).  Channelcorp publishes and sells four industry- leading books and 12 white papers (www.channelcorp.com/publications.php).  This independent firm has delivered consulting and executive education to vendor, reseller and distribution clients in more then 40 emerging, developing and mature markets around the world. (www.channelcorp.com/workshops.php).  More than 25,000 channel professionals from around the world subscribe to the newsletter Channelcorp intelligence (www.channelcorp.com/newsletter.php).