Thoughts on the Channel in 2013

Peter : On Rad's Radar?
Peter
| Peter Radizeski of RAD-INFO, Inc. talking telecom, Cloud, VoIP, CLEC, and The Channel.

Thoughts on the Channel in 2013

There is this article with four opinions about the Channel in 2013. Reading them, I am almost certain that they are not only viewing the channel from differing sides but that they are discussing different channels.

I do like the statement from Ian Moyse, "We are seeing the same swathe of change as we have seen in other industries with providers who ignored the changes in customer buying choices (take Kodak, Blockbuster Video and the big record shop chains such as Tower Records and HMV). This change will be a contributor but not the only cause to the start of a new re-shaping and re-sizing of the channel with resellers facing new competition from Telco's, Xsp's and a new breed of reseller and potentially vendors themselves."

I also find it interesting that after VZ re-boot sits channel, Verizon's Executive Director Cloud and IT Services Product Managment and Product Engineering (big title) is quoted on twitter at an expo: "Joe Crawford confirms that SMEs are not self provisioning. Sales channel critical #telcocloud"

In the Wall Street infused pressure cooker that is the C-Suite at many vendors, the channel is tolerated today because they have to increase sales any way that they can. The CEO's stock options depend on it. (I am only being a little witty there.) The debt load that many vendors carry is heavy. It is dependent on sales revenues since the debt is tied in some ways to the stock price. The stock price is tied to revenue and dividend. So the channel is looked at as a tool - a sales tool.

Unfortunately, right now, agents, VARs, inter-connects and even MSPs are worried about getting their own ship in order as the changes occurring around them are affecting their business models. So while they try to keep their own plates spinning in the air, the last thing they can handle is another desperate vendor who doesn't understand the channel nor truly wants to support the way it needs to in order to be successful.



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