Dell EMC – a Story of Growth, Driving Profitability for Partners

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Video Interview |

Dell EMC has registered extraordinary growth when it comes to its Client Solutions and Infrastructure Solutions businesses. The company is building on this growth momentum to enable greater opportunities and ultimately, greater profitability for the channel ecosystem.

Darren Sullivan, SVP Global Partner Strategy and Business Operations at Dell EMC sat down with at the Canalys Channels Forum APAC 2018 in Hong Kong to talk about the company’s channel strategy and how it is driving growth for the channel community in this region.

“I wanted to share with you our performance today and some of our focus areas and – what we are doing with our Partner Program , to drive the priorities of the business, and how we are making our program “Simple.Predictable.Profitable.” for our partners.

So far this year, we are seeing terrific performance – double-digit growth across Client Solutions and Infrastructure Solutions businesses. We are seeing six consecutive quarters of double-digit growth in Server and Networking. We have seen triple-digit growth in our Hyper-converged portfolio. We have just surpassed the one-billion-dollar revenue mark since that product was originally introduced and we are growing faster than the market from a unit perspective in Desktops and Notebooks. So across the board, we are seeing terrific performance this year,” said Darren in the video interaction.

“From a program perspective, one of the focus areas that we are keen on this year is driving storage acceleration. And so, in addition to our Partner Program, which focuses on encouraging partners to sell across our lines of business – done through incentive structures that are based on a certain base rate for the tier that our partners have achieved – we also incentivise on other aspects, like achieving growth targets, finding new business, and attaching services. All of these elements are part of the core of our program. But this year, we wanted to take it further and introduce several programs and incentives focused on storage, and so we’ve introduced our Tech Refresh Program.”

Riding High on Tech Refresh

“Tech Refresh is where we look at the assets that have been installed for our customers that are coming up on for maintenance expiration, and what we do is share our mid-tier storage asset intelligence with our partners nine months before those maintenance contracts expire, which gives them an opportunity to have a conversation with their customers to potentially refresh that technology.

And if the customer prefers to renew their maintenance contract, we will do that as well. But providing that intelligence to our partners is really a critical demand-generation and lead-generation opportunity for our partners.

We provide an incentive on closing deals through the Tech Refresh program as well as an additional two percent on top of the existing program. We’ve also introduced incentives around competitive swap. Like I said earlier, we have a new business incentive that provides an additional incentive for partners to break into new accounts and execute new business with customers. We are also now providing that same incentive for competitive swap, where our partners displace competition in a particular account. So that is an important addition.”

Preferred Program

“We’re also looking to find new areas for our partners to expand our reach as a company. So we have introduced the Preferred Program, and what that does is, across all segments of our business, we have identified certain accounts into which partners to can drive more business. What we do in those accounts is have joint account planning with our sales teams. We provide an additional front-end margin opportunity for these accounts, knowing that some of these accounts are potentially harder to break into, and so we want to provide more incentives up front in the form of a front-end margin. When partners break into those accounts, they achieve the partner-of-record status, and as new opportunities come forward, we are going to work with that partner to expand the businesses on those accounts they’ve acquired,” he added.

The full video interaction can be accessed here.

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