Commentary - Channel Insider
Empowering the next generation Channel
 

Bull’s Eye Awards
Nominations Open for Channel Insider 2009 Bull’s Eye Awards
Nominations are now open for the Channel Insider 2009 Bull’s Eye Awards, which recognize excellence in customer service, technology prowess, business acumen, channel leadership, communications and community building, and innovation among vendors, solution providers, distributors and channel services companies.



Sponsored Links
  • Control VM Sprawl, What You Don’t Know Can Hurt You
  • FREE Sophos Encryption Tool: Encrypt, compress and share files easily
  • LSI 6Gb/s Portfolio Expands to Include SATA+SAS HBAs
  • Reduce the cost of managing your mobile workers.
  • Find out 7 Ways to Drive Data Center Efficiency
  • SonicWALL breaks through network and email gridlock
  • Save up to 40% on calling costs with Avaya Aura™



  •  

    CA's Channel Strategy Gets on the Right Track at Last

    in Commentary


    Article Rating:starstarstarstarstar / 0
    Article Views: 1272

    Rate This Article:
    Add This Article To:
    Opinion: To hear executives at CA World, you might think this is the first time the company has found the channel. The good news is that CA finally seems to get it.

    A lot of goodwill seemed to come out of CA's annual event in Las Vegas this week. Promises were made and partners seemed content.

    Executives at the Islandia, N.Y., software maker vowed during CA World to work with the channel, promising to push the company's percentage of indirect sales to 20 percent in the immediate future from a current estimate of 10 percent.

    To accomplish this, CA now compensates its direct sales representatives an extra percentage for working with partners.

    Salespeople receive 115 percent of their base compensation for including partners in a deal and 130 percent if that deal is for enterprise-class products.

    "We are never going back," James Hanley, CA's senior vice president of worldwide partner services, told The Channel Insider. He was referring to the company's previous direct-sales strategy.

    George Kafkarkou, CA's senior vice president of SMB (small and midsize business) and consumer sales, said the company's executive team "finally gets the channel."

    Resource Library:
    It's about time.

    CA has stumbled along in the channel for years, never quite getting it right. At times, reading the reports coming out of Las Vegas, it was as if I were reading about a company that for the first time had decided to pursue a channel strategy.

    Perhaps that is what CA executives want us to believe. Perhaps in talking up the work they have done in recent months to embrace the channel, they hope we will forget the mistakes of the past.

    For instance, executives talked about the company's Enterprise Solution Partner program, which offers partners benefits such as qualified sales leads, as if it were a new initiative. But the program has existed for years and was simply neglected.

    That the vendor is reviving this worthy program is a good sign.

    Read more here about Computer Associates' change in name and strategy.

    Another good sign that CA understands partners' needs will be when it ends a program that requires VARs and integrators to buy SMB products, not from distributors, but from CDW Inc., PC Mall Inc. and TigerDirect.com Inc. These companies sell high quantities at low prices through their Web storefronts, and effectively compete with the very VARs and integrators that CA expects to source product from them.

    I understand CA will end this bone-headed practice after the first of the year, and will instead allow partners to buy the products, which include anti-virus, backup and data migration software, from distributors. Partners will continue to have the alternative of downloading the software from CA's site.

    Why it will take until next year to change this policy is a good question, especially since sources tell me it has proven rather unsuccessful.

    But this is CA, so let's not push our luck.

    Click here to read more about CA's new professions of commitment to the channel.

    To its credit, the company said a lot of the right things during CA World in regards to the channel, and partners who attended reacted positively. Presumably, partners who only a few months ago were running into competition at customer accounts from CA's direct sales representatives stayed home.

    To those partners, relief is on the way. The vendor's new compensation structure for direct sales representatives should bring the practice of trying to steal partner accounts to a halt. No tune sounds finer to a sales rep than the prospect of making more money, so CA made the absolute right decision here.

    The company's channel team seems to have received an infusion of energy from the hiring of Hanley, who joined CA in May. Hanley, who had worked with the channel at EMC Corp., appears to have a good handle on how to deal with partners.

    At CA World, the company unveiled a marketing slogan to promote its redefined vision: "Believe Again."

    As it relates to the channel, a more apropos slogan might have been, "We really mean it this time."

    Pedro Pereira is a contributing editor for The Channel Insider. He covered the channel from 1996 to 2001, took a break, and now he's back. He can be reached at ppereira@ziffdavis.com.



    Discuss CA's Channel Strategy Gets on the Right Track at Last
     
    >>> Be the FIRST to comment on this article!
     

     
     
    >>> More Commentary Articles          >>> More By Pedro Pereira
     


     


    [ci] feeds
    XML
    Add Channel News, Product Reviews, Trends and Analysis to your RSS newsreader or My Yahoo!


    HTML PLAIN TEXT

    Keep on top of news for VARs and Resellers with CI's Weekly Newsletter and Alerts.

     


    CHANNEL RESOURCE CENTER
     
     
    Enterprise Mobility Zone
    The Enterprise Mobility Zone (EMZ) blog is a tool designed to help senior IT executives discuss, create and deploy next-generation mobile strategies in their organizations.
    Go beyond yesterday's tactical approach to mobility!
     
    Build A More Efficient Data Center
    Demands are growing but budgets are not. Solve your pressing IT issues using the resources you already have. Determine which technologies can help you drive efficiencies and how they are applied. Gain a quick ROI on new initiatives
    Find out how
    Let Enterprise TechBrief do the work for you. Aggregated content, tech news, product reviews, vendor updates, how-to’s—all you need to boost your efficiencies and cut costs, all from one place.
    enterprisetechbrief.com