What is an Influence?

1. Introduction

Influence is a critical concept in partner ecosystems. It describes a partner's impact on a customer's buying decision. This happens even when the partner does not directly close the sale. A partner might shape perceptions or guide choices. This indirect contribution is highly valuable to vendors. Effective partner relationship management tracks and rewards these influential interactions.

For instance, an IT consultant recommends specific cloud software. This recommendation influences a company's purchasing decision. A manufacturing distributor educates a client on new automation solutions. This education guides the client's investment in new machinery. Vendors recognize this indirect contribution through their partner program.

2. Context/Background

Historically, channel sales focused on direct transaction credit. Partners earned commissions only for closed deals. This model overlooked significant partner contributions. Many partners generate demand and shape customer interest. They do not always handle the final transaction. Recognizing influence acknowledges these valuable contributions. It encourages a broader range of partner engagement. This approach is vital for robust partner ecosystems.

3. Core Principles

• Indirect Impact: Partners shape decisions without direct sales. Their advice guides customers.
• Early Engagement: Influence often occurs early in the sales cycle. Partners introduce solutions.
• Trust and Authority: Influencer partners build trust with customers. They act as trusted advisors.
• Measurement Challenges: Tracking influence can be complex. It requires robust systems.
• Vendor Recognition: Vendors must acknowledge and reward influential partners. This strengthens the partner program.

4. Implementation

1. Define Influence Criteria: Clearly outline what constitutes influence. This includes activities like product demonstrations or solution architecture.
2. Establish Tracking Mechanisms: Implement tools to log partner activities. This could be within a partner portal or CRM.
3. Educate Partners: Train partners on the definition and value of influence. Show them how to record their contributions.
4. Develop Credit Models: Design a system to assign credit for influence. This might involve points or tiered recognition.
5. Integrate with Deal Registration: Link influence tracking to deal registration processes. This provides a complete customer journey view.
6. Communicate Value: Regularly show partners how their influence contributes to success.

5. Best Practices vs Pitfalls

Best Practices (Do's)

• Clear Definitions: Define influence clearly for all partners.
• Automated Tracking: Use technology for efficient activity logging.
• Transparent Credit: Make influence credit visible to partners.
• Regular Feedback: Provide partners with feedback on their impact.
• Training & Support: Offer resources to help partners understand influence.

Pitfalls (Don'ts)

• Vague Criteria: Unclear definitions lead to partner confusion.
• Manual Tracking: Relies on human input, prone to errors.
• Lack of Recognition: Partners lose motivation without credit.
• No Communication: Partners do not understand their value.
• Complex Systems: Overly complicated tracking deters partner use.

6. Advanced Applications

1. Co-selling Acceleration: Influencer partners pre-qualify leads. This speeds up the co-selling motion.
2. Product Adoption: Partners influence customers to adopt new features.
3. Market Expansion: Influencers help vendors enter new geographic markets. They build early awareness.
4. Customer Education: Partners provide deep product knowledge. This reduces vendor support burden.
5. Solution Design: Influencers help tailor solutions to specific customer needs.
6. Brand Advocacy: Partners become advocates, enhancing brand reputation.

7. Ecosystem Integration

Influence touches several POEM lifecycle pillars. During Strategize, vendors decide how to credit influence. In Recruit, they target partners with strong advisory roles. Onboard includes training partners on influence tracking. Enable provides resources for partners to build their influence. Market uses influential partners for through-channel marketing. Sell recognizes influence leading to closed deals. Incentivize rewards partners for their influential actions. Finally, Accelerate focuses on growing partner influence over time.

8. Conclusion

Influence is a powerful, often overlooked, aspect of partner ecosystems. It recognizes the indirect yet significant impact partners have on customer decisions. By tracking and rewarding influence, vendors build stronger, more engaged partner programs. This approach fosters a collaborative environment.

Understanding influence moves beyond simple transaction-based models. It embraces the full value of a channel partner. This leads to greater partner loyalty and increased overall revenue. Ultimately, acknowledging influence drives deeper relationships and sustained growth.