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Salesforce updates ISV partner program with revenue-sharing

Channel StrategySoftwareSalesforce

Salesforce seems to be living up to its claim that it “can’t ever get enough” of ISV partners.

Today, the Software-as-a-Service giant introduced an update to its ISV partner program to accommodate its growing ecosystem, which the company says has produced some 2,700 apps on the company’s AppExchange.

“As we’ve grown, our partners have asked for more clarity on the program, more enablement tools and support, and more ways to distinguish their unique capabilities in the marketplace,” said Tyler Prince, executive vice president of worldwide alliances and channels in a blog post.

The changes Salesforce is making to its ISV partner program mirror those made to its Consulting partner program in February, Prince said, and will include simplified program offerings, a new tiering structure, new resources and benefits and standard revenue sharing model.

Specifically, the simplified program offerings will see more features, security, infrastructure enhancements, components and benefits. As Neeracha Taychakhoonavudh, Salesforce’s senior vice president of partner programs and marketing told CDN in May, Salesforce is also working on transparency, and partners should expect a more standardized and consistent experience.

In tiering, Prince says the new model features the registered, silver, gold and platinum levels based on a partner’s annual revenue contribution to Salesforce.  Platinum level partners must deliver more than $1 million in revenue annually.

The software vendor is also looking to add benefits in areas such as technology access, dev support, marketing and resources.  To do this, it’s included additional licenses to Heroku and Desk.com, marketing toolkits, training and ISV-oriented technical content.

Partners already under Salesforce’s revenue-sharing model will see little change, but the company is expanding the practice – where partners only pay Salesforce once they start generating revenue – into the ISV program.  According to Prince, it has seen success where it has been implemented.

“ISVs are the lifeblood of Salesforce, extending our platform in new and exciting ways,” Prince said. “Much of the program changes were driven by partner feedback, and I’m confident we’ve put the right structure in place to support their success, while recognizing the unique value each partner brings to delivering customer value.”