The Partner Channel Podcast

Kevin O’Brien, Vice President of Strategic Alliances at JazzHR, joins me, Jen Spencer to discuss challenges when starting a channel program, scaling and tiering, creating a culture of partnership and more on this episode of The Allbound Podcast.  Jen: Hi, everybody, welcome to another episode of The Allbound Podcast. I'm Jen Spencer and today I am joined by Kevin O’Brien who is Vice President of Strategic Alliances at JazzHR. Welcome, Kevin.   Kevin: Welcome, Jen. It's great to be here.   Jen: Well, I'm so glad to have you on the podcast today. I think it’d be great if you could just tell us a little bit about JazzHR just so we have a frame of reference of what you do every day.   Kevin: That's great, yes. So JazzHR is a recruiting solution for small businesses. Small businesses all over North America are having the same challenges that a lot of larger businesses have in terms of how do they find talent, how do they get applicants to new roles that they're trying to fill, how do they screen them and interview them and ultimately bring them through to an offer. And Jazz has built an end to end solution that helps them get exposure onto a lot of the well-known job boards that are out there like LinkedIn, Indeed, Glassdoor and more.   So, it allows them to power their own careers page so that they can actually get visibility into their open roles and then provide a series of tools and solutions so that they can easily screen and identify who to call, who the candidates are going to be and then bring them through in an interview process in a very collaborative manner. So, we've helped tens of thousands of small businesses hire about 300,000 employees over the course of our existence. And we're seeing great success in the market today.   Jen: That's wonderful. It's really wonderful to hear. Hiring, recruiting and onboarding are such big business challenges for organizations, so it's great that you're helping them alleviate a lot of those pains. I want to dig into JazzHR’s partner program and also kind of frame the conversation. You and I met at that small business Web Summit and I was sitting in your session.   You were speaking about how to really grow a partner program and how to enable and support partners. So, I immediately went to your partner page on the JazzHR website. And first of all, it's great, it's so thorough, it spells out everything perfectly for any prospective partner hoping to work with you. I mean, it seems like that partner program is very well established. So, can you share a little bit about how long it took to ramp up to where you are now and what had to be in place to get to where you are?   Kevin: Yeah, happy to, happy to. Yeah, the program at JazzHR has been around for just about a year, coming up on a year in May or June. To us a small business is a company that has up to 500 employees. So generally, small businesses have anywhere between 20 and 500 employees to be able to have the need to use JazzHR for their system.   And what we found was a lot of these companies are already working with trusted advisors for their HR needs, so maybe they're working with HR outsourcers, maybe they're working with compensation consultants, maybe they're working with other technology providers like HRIS systems and so forth. And those companies and organizations tended to be in a great position to not only introduce their clients to sort of the next wave of technology that they needed to bring onboard, but also they needed to be able to answer the next question that their clients had which is, ''Hey, can you help me with my hiring needs and help me get my hiring needs from offline to online.''   And so, when we saw this at JazzHR, we knew that we had to have an indirect strategy. And so, we built out a program that was tailored to local consultants who had one-to-one relationships and face-to-face relationships with local businesses. We put a program in place so that it was easy for them to get educated on what are the challenges that their customers have with hiring and have Jazz help to solve them.   And then we also have an indirect strategy around integrations where we built out an API so that we could tie in some of the technology systems that we’re bringing these solutions down to small businesses as well. And so, we had to have all of that in place and then we had to build in sort of a partner portal with a marketing portal so that they could get access to this information and track their customers and then get rewarded for bringing new customers into Jazz.   So, it took a good three, four, five months to get the infrastructure set up and then it's been in place since around May or June of last year. And so, we're 9 or 10 months into it and the program is really growing very quickly and we're having a lot of success in helping these partners bring hiring and recruiting solutions down to their customers.   Jen: Well, you guys have been really busy. You have accomplished quite a lot in a very short period of time.   Kevin: Yeah, yeah. I mean, luckily the solution set for Jazz has been built out over a lot longer period of time than that. So, Jazz is what was founded as a company called the Resumator in 2009. And so, it's a fully functioning end to end suite for recruiting solutions. The whole company really rallied around it and we had support from our executive leadership all the way down to our product, marketing and sales teams. There's definitely a need in the market for these local consultants and technology providers to help their clients move their hiring from offline to online. So, the opportunity was there, the solution was there and we were able to build up the infrastructure to connect the two and really start to ramp the program.   Jen: That's great. Not to go down like a memory lane with you, but you look at your career and you definitely have had a general focus. You were the VP of Partners at HootSuite, you were Senior Director of the app partner program at Constant Contact. I'm just curious, what do you feel you've really been able to bring with you from company to company as you work to scale a channel partner program? Because I see a lot of individuals, a lot of channel professionals and they go and they build something we create something in and they move on maybe to the next company, and I'm just curious from your perspective what you feel you really brought with you?   Kevin: Yeah, that's a good question, Jen. Thank you. All three of these companies have all been focused on delivering solutions into small and mid-size markets. And one of the things that I really developed an appreciation for at Constant Contact from being there as it was able to grow from 100 customers up to 600,000 customers was an appreciation for how small businesses really leverage their own networks and their own trusted advisors in terms of what they need to be focusing on next.   And so, building out channel in partner programs that are able to empower those trusted advisors to be comfortable with your solution to understand how it's going to solve their client's needs and to be able to easily fit it into their existing workflows is something that I think we were we were able to solve really well at a Constant Contact, and I also took that into HootSuite and now into JazzHR and that's the key. It doesn't just have to be a solution that they believe that their customers are going to be successful with, but it also has to have the features and functionality that make it easy for them on a day in and day out basis to see how their customers are operating with it and to understand the challenges they have, so that if they can help overcome certain areas of the product they're able to add value themselves.   And then to also achieve some status with the brand that they're working with so that they can get early access to the content or features or insights and so forth that they can bring it to their clients, and it helps them to strengthen their relationship there as well. So, I think bringing in an appreciation for how small businesses need to be hearing about these solutions from their trusted advisors, as well as some of the more traditional direct marketing that happens in terms of software today is something that I've leveraged and tried to bring with me so that we can scale these programs with different companies.   Jen: That makes perfect sense. I mean you really understand the day to day of that small business, the end user, end customer and you also can put yourself in those partnerships. So, it makes perfect sense to me. I want to dig in and get more nitty-gritty with JazzHR’s partner program because whenever there's a successful program we want to look and see, “Okay, what can we learn from this and how can we apply it to other people’s organizations?” You guys have three tiers of partners and it seems like those are based on the number of bookings. So, can you tell us a little bit more about the tier structure that you've built out at JazzHR?   Kevin: Yeah. Yeah happy to. So, a booking for Jazz is the total cost of a contract that a small business is signing up for. When you think about hiring and recruiting, and this is different than some of the other companies I’ve been at, some of the other companies have been more month to month, but at Jazz we look at it as a more annual contract because hiring is something that you have a hiring strategy for the year and so you need the software for the whole year and the value of that year is the booking. And what we want to establish we put these goals in tiers out on our website so you can see them at jazzhr.com.   And partners are able to come in and understand how much business that they would traditionally need to be bringing to JazzHR in order to be at a certain tier. That typically translates into how many new customers do you think you will be able to introduce JazzHR to? So, whether it's two, three, four or five throughout the year we have a tier for that, whether it’s 20 to 50 throughout the year we have tiers to that, or if it’s a 100 plus we have tiers for that. The goal is to really set the expectations for ''Hey this is what we think you need to be signing up for when you come to JazzHR, and here's the reward you are going to get for doing it.''   So being really transparent is important when you scale any channel program or partner program and it's something that we found to be helpful in getting the Jazz HR channel program off the ground as well.   Jen: Is it safe to assume that those same KPIs that you're using to measure partners are similar to what you're using internally for direct sales or is there a good alignment there as well?   Kevin: Yeah, there is and that's a great point because with any partner program it's always being measured against the direct sales initiative because you really need to be outperforming what a traditional single sales rep can do for the partner program to be successful. So, you really need an apples to apples comparison. So, you're right. The sales teams are measured by bookings, and the partners are measured by bookings, so that the company and the teams at the company are really able to see how one is performing against the other and what efficiencies are we getting through the channel strategy that we don't see necessarily in a direct strategy for this particular product set. And so, that does give us an easy way to measure how each of the programs are working.   There is a lot of cross promotion within the programs, like the sales team is very comfortable if they think that they're talking to a prospective partner of introducing them into the partner program so that they can be serviced a little bit differently and rewarded a little bit differently. But at the end of the day, we are looking at both programs to be able to accelerate the growth of Jazz, so we do try to keep the way that they're measured consistent across the two programs.   Jen: Excellent. Excellent. These are the types of questions that when someone is just setting out to build a channel partner program, these are the things that they've got floating around in their head. And so, I love being able to talk to people who are in the trenches like yourself and share that knowledge forward. Speaking of that, when you think about an organization that's just really embarking on building out a partner program, what do you think are some of the most critical elements that a channel leader should consider, particularly when they're really starting from scratch?   Kevin: Yeah. When starting from scratch, there's internal things and then there's external things that you really need to be looking at. So, externally you really need to identify if the product that you want to develop an indirect strategy for is something that the people of the ears of a small business can easily articulate to their client because that's really what's going to determine whether they're going to align with your product or not. And what I found is most small businesses business applications fall into that category. And so then it's really trying to identify who are the pockets of these different partners that you can easily go after so that they can adopt your solution for their customers.   The bigger challenges tend to be internally focused when you're getting a program off the ground. I think a lot of times people run into headwinds in a new program if they don't have the buy in and the visibility of the program that you really need. And what that means is a lot of people would want to take a program put it in a corner and give it some time to mature a little bit and keep it out of the way. But with a channel or an indirect strategy that's going to be a big part of the business, it really needs to be top of mind across the exec team and top of mind across the product team, the marketing team and the sales organization.   So, having top-level goals that are measured weekly and that are constantly in front of the functional leaders of each of the departments in the company is critical to keeping it at the forefront of everybody's mind. Now recognize it's going to take 12 to 18 months for a program to really start to achieve scale. But if it doesn't have the visibility throughout that period it’s going to get left behind by product, it’s going to get left behind by marketing and it's never going to be able to get that sort of the foundation under it that it needs to achieve the scale. So that's number one.   Number two would be investing in infrastructure early and I think a lot of it is easier now than it was say 12 or 13 years ago when we were doing it at Constant Contact. Now there are a lot of tools out there built specifically for indirect programs so that you can easily set up a partner portal or you can integrate it in an API set into the back end for companies to take advantage of it if you're looking to integrate your system. But investing in that infrastructure to be able to measure and help the partners manage their business with you is critical because if you don't it's going to be a lot of email and wait and email and wait, and they'll just get frustrated and move on.   So those are some of the key things that we try to do when we’re setting up programs with high-level goals that are visible across the whole organization. We also measure them weekly so everybody can see how it's doing and invest in the infrastructure before the program actually launches. So you're really setting it up for success because you're trying to pull that 12 to 18 months data as quickly as you can, and that's the point at which it will start to drive and really accelerate sales for the business going forward.   So those are the things that I've tried to work on in the different programs that I've built. For the folks who have challenges, I think they tend to try to keep it outside of the limelight at the beginning, but it just gets a lot harder to integrate it later on as the program starts to mature. So, doing it right out of the gate is critical.   Jen: I think that's such great advice. When I look at partner programs that never really produced any real results, they were siloed. The organization has to have a culture of partnership, it has to embrace that, and that comes from the top. Right? That comes from the CEO, CFO and trickles down into every single person within an organization.   Kevin: Yeah, and being hand in hand with the sales team is critical as well and making sure that they understand it's a friend, not a foe is going to ensure that it gets the support it needs as well.   Jen: Yeah, and I know that could be challenging, but sales people we like to fight for our turf. So, it's a cultural wave to bring everyone together and work together collaboratively, which actually leads me to my last question for you about collaboration. I'm just wondering if you can talk a little bit about some of the challenges that you see vendor organizations face when they're trying to collaborate with their partners? And then this is kind of a bonus question, but I'm just curious if your partners have an opportunity to collaborate with each other? We're starting to see these partner programs really become ecosystems where different partners might be able to collaborate to solve a business challenge. So, I’d love to hear any feedback you might have on that as well.   Kevin: Yeah, let’s take the first part of the question first, collaborating with the partners is critical. And it's such a great way to get access to new content, new ideas, new case studies and really get behind them and showcase them. In most cases with an indirect partner strategy, you're going to have access to probably more marketing resources than your partners are. So really pointing them out there and leveraging the partners expertise is a great option that we have.   We have a webinar that we're going to be running this Thursday. I don't know when this podcast is going to be accessible, but Thursday is 4/20 and 4/20 is a moniker for pro-marijuana and the partnership is actually with a partner who focuses on what are the rules around marijuana in the workplace for states where marijuana is legal. So, there’s the fun play on sort of timing and content but it's really leveraging partners to bring their expertise so that you can educate the rest of your customers. And if you're open like that, more partners are going to be a lot a lot more interested in working with you if they can see that you're open to helping them demonstrate their expertise in growing their pie as well as growing your pie. That's critical.   And to the second point of your question, you're absolutely right, when your partner programs get big enough you can facilitate this sharing of ideas amongst your partners so that now you can get two, three, four partners involved in helping to solve a single customer's problem. At Constant Contact we saw this where we would have partners who would partner up together. If one was a web developer and another was a content writer they would work together to solve, and we would actually be building up the local networks of those partners through local directors we had. Those directors would work with all these partners and understand skill sets and who to refer customers to for what, but also build a working group so that they could team up and attack customer problems together.   We saw the same thing at HootSuite with technology partners. There are partners who are really good at deep listening and analytics and others who are good at content management and how that all works with the HootSuite platform and then bring them in to solve customer problems. We are not big enough at JazzHR where it's happened yet, but it's certainly where we're going and that’s the point when the word gets out to partners that they can not only be rewarded for bringing in business, but also get new business from participating in your program, that's when it really starts to take off. So, that's another reason why it takes 12 to 18 months to get these things moving, but once they get moving it's like rolling a ball downhill, it'll pick up speed and start to manage itself on its own.   Jen: Oh, that's great. And that's very, very true. I think it's the changing buyer that's also dictating a lot of these collaborative partnerships that are happening because the customer has a challenge and partners can learn from each other and collaborate together. And with the Internet, you can't hide a partnership very easily right? So, the days of this is this exclusive partnership and we don't work with anybody else, today buyers have so many more choices, so, I think that the sun has set on that type of partner program.   Kevin: Yeah. In the small business world we like to say they are time starved and task focused these small businesses, because they also don't have a lot of time. So, if they are very comfortable working with someone and that person can bring another person in it just makes it easier for both for both companies. So, developing that trust is critical early on for sure.   Jen: Well, this has been so great. I've loved digging into this with you and hearing about what you’re working on over at JazzHR. But before I let you go, I like to end the podcast with asking a couple of more personal questions so our listeners can get to know you a little bit better. Nothing too challenging as long as you're open to it. Does that sound okay?   Kevin: Sure, sounds great.   Jen: Okay. All right. So, first question is what is your favorite city?   Kevin: What's my favorite city? Well, outside of the city I live in, I live in Boston, but the one city that I've traveled to multiple times and I would love to relocate to at some point is San Diego. I love the culture and I love the location, so that would be the city I would prefer over Boston.   Jen: That's a great city. Every time I go there, and every time I land and I walk outside and I'm at the airport, I go, “Oh, this place is so beautiful.”   Kevin: Exactly, right.   Jen: Question number two, are you an animal lover?   Kevin: I'm an...   Jen: Is that a no?   Kevin: I have zero pets. How's that?   Jen: You have zero pets, all right.   Kevin: I’ve taken my kids to the zoo before.   Jen: That's awesome. Question number three, Mac or PC?   Kevin: Mac. I was a PC guy till 4 years ago, but now I'm Mac all the way.   Jen: They have a way of rewiring your brain, huh! It's unbelievable.   Kevin: It’s more just how many times I've had to repair the PC and how many times I haven't had to repair the Mac, that was enough for me.   Jen: Yeah, absolutely I agree. Okay, last question. Let's say I was able to offer you an all-expenses paid trip, where would it be to?   Kevin: That's a good question. An all-expenses paid trip probably Australia, I've never been to Australia, I've always wanted to go. And assuming that you can also carve the time off for me to get there for a month that's where it would be.   Jen: Yeah, but this is like a magical pretend land, so yes, I can do that for you. If I had unlimited money to send any podcast episode guest on any trip. So yes, in that world you can take as much time off as you'd like.   Kevin: Great.   Jen: Well, thank you. Thank you again, it's been so great spending some time with you today. If any of our listeners would like to reach out to you personally, what's the best way for them to do so?   Kevin: Yeah, that's great. So, they should reach out to me through my work email. It’s kevin.obrien@jazzhr.com and I'm happy to collaborate on partnerships, make personal connections and help anyone out if I'm in a position to do so. I really appreciate the time you gave me, Jen, this has been great.   Jen: Wonderful. Well, thank you and thanks, everyone else for joining us for an episode of The Allbound Podcast, and we'll catch you next week.   Announcer: Thanks for tuning into The Allbound Podcast. For past episodes and additional resources, visit the resource center at allbound.com. And remember #NeverSellAlone.      

Tony Fox, Vice President of Sales and Development of Channel Partners at bswift, joins me, Jen Spencer to discuss protecting your brand by choosing the right partners, solutions partners vs channel partners, business acumen and more on this episode of The Allbound Podcast.   Announcer: Effective selling takes an ecosystem. Join host, Jen Spencer, as she explores how to supercharge your sales and master the art of never selling alone. Welcome to The Allbound Podcast: The fundamentals of accelerating growth with partners.   Jen: Hi everybody, welcome to The Allbound Podcast. I'm Jen Spencer, Vice President of Sales and Marketing here at Allbound. And today, I'm joined by Tony Fox who is Vice President of Sales and Development of Channel Partners at bswift. Welcome, Tony.   Tony: Hi, Jen. How are you doing?   Jen: I am doing great. I'm so glad to have you on the show, and I thought we could maybe kick things off with having you share a little bit about bswift for listeners who maybe haven't heard of the company before.   Tony: Yeah, well, thanks, Jen. And first, I do want to thank you for inviting me on your podcast, so thanks for that. A little bit about bswift, so bswift is primarily known in various industries as what we would call a "benefit administration platform." I think we go a little bit beyond that, and we offer potential partners a great deal in terms of connectivity, so the ability to link out to different vesting class partners and giving the channel partner the ability to take back to their end user. And we really have a top-in-class decision support tool as well. So, again, benefit administration on the whole with a healthy dose of connectivity thrown in for good measure.   Jen: Great. And, so, when we look at your partner program, I know that bswift has two main categories of partners. So you guys have solutions partners, then you have channel partners. So, can you just explain the key differences between those two groups and the role that they play in your sales ecosystem?   Tony: Yeah, sure. So, really, we have, like you said, two different types, and the one I'd probably describe first are our channel partners. And it's really a fairly simple relationship where we reach out to an entity or they reach out to us and we end up licensing our software. It ends up acting for bswift as a distribution channel, we license our software, and then our channel partners take on the effort of selling, implementing, and monitoring the software in an ongoing basis as they deliver it to their end users. End users in this scenario are usually employer groups but can be individuals, but again, mostly employer groups. So that's a channel partnership.   Aside from the distribution pathway, it also acts like, kind of a, I don't want to say free, but it really is a business laboratory. So as we further develop our software, and ours is an evergreen technology that has three full releases per year, we like to take input from our channel partners as they interface with the market, and then they bring back recommendations and suggestions for really how we should innovate going forward. So that's really a channel partnership right there.   Our solutions partnership is slightly different, and really it comes down to aligning ourselves with what we call “best-in-class vendor partners.” So what we would do is identify maybe a best-in-class medical partner, for example, Aetna insurance. We could align ourselves with MetLife, Unum, or, perhaps, Guardian on the ancillary and work-type products. And when we have a solution partner, it has the effect of stocking the shelves, so to speak, for an end user employer group. So as they enter on to bswift, our channel partners have the ability to select from our portfolio and solutions partners and bring their product to their employer groups. It makes implementation much easier, it makes price negotiation much simpler, and it really just enables everything to work properly and as a whole. Does that make sense, Jen?   Jen: No, it makes perfect sense, and it's definitely a true ecosystem that you've got there. And I absolutely love that concept of your channel partners being part of like a laboratory. I think that is so cool because the sales experience, is an experiment. You're constantly experimenting and trying new things, and that's such an awesome way of thinking about how your partners can help contribute to the growth of your organization. Not to put you on the spot, but are there any anecdotes? Is there any story of something that's emerged out of a channel partner engagement from your experience?   Tony: Yeah, absolutely, Jen. Yeah, absolutely. And I'm sorry to talk over you there for a second.   Jen: No!   Tony: But I think, maybe the biggest example is more and more of this grouping of channel partners has informed bswift’s evolution in really our recent interfacing. And I'll talk about this probably a little bit later, but you have to know who your best customers are going to be. We identified very early on that payroll vendors were going to be a pretty good partner for us. Largely speaking, with the advent of the ACA reporting necessity, payroll plus Ben Admin equals compliance. So, as we began to partner with these different payroll companies, we found that, as opposed to our traditional carriers and brokers, payroll companies were much more advanced along the technological spectrum specific to connectivity.   So again, we fancy ourselves very much a connectivity vendor in addition to Ben Admin. And so what we were pushed to do is really accelerate what we call our API interface. And I'm not going to remember what API stands for, but really what API consists of is a real-time data exchange which makes everything look and feel more cohesive with where your partner is in the market, if its a payroll company, or the brokerage, or even with an enrollment firm. So that's an example of how payroll companies on the whole push us to accelerate our API timeframes, and we're going to be releasing a full API published spec in our August release of this year. So that's a perfect example of how channel partners have pushed us to do something, maybe outside of our normal pathway.   Jen: Awesome. And bonus definition for everybody, API stands for "Application Program Interface." So, "Oooh, ahhh."   Tony: I feel like you got points on me for that one. That's fine.   Jen: The information that's in my head...the technical information about web services and APIs that I have in my head from over the course of my career is baffling to me, as somebody who got a degree in English.   Tony: Whenever Jeopardy releases a technology-type of episode, I'll make sure we getcha on it.   Jen: All right, all right. Well that's really cool, thank you for sharing that example. Let's talk about a couple other things. You've been working to grow bswift’s channel program for the last two and a half years or so, but when you look at the course of your career, you've been collaborating with partners even in a more traditional direct sales role. So I'm curious, what do you feel you've brought with you as an individual contributor that you've applied to helping scale a channel partner program?   Tony: Sure. Now, Jen, that's a great question. Without too much back-patting on my part, I think what I bring to the bswift spectrum is really an understanding of, maybe the broadest possible concept at the benefits industry. As I mentioned before, it's not just brokers and it's not just carriers that comprise the, call it the benefit administration spectrum or the universe. Really, you have to understand that payroll companies are in there. Brokers naturally have a very strong presence within that, but you also have things like PEOs and large-scale enrollment firms, and other types of entities that are firmly connected to the employee benefit sphere.   My understanding of that enabled me to come into bswift and really understand what our channel partners need. Now, we have been a very successful company prior to me coming onboard, but what I think I brought was in addition to understanding what we offered, I know why we offer that. And I know why it applies very well to a distributed system. So again, for example, when you have a channel partner, it's one person selling on your behalf. I understand how that works, I understand why that works, and I understand the profit motivation of the different folks within the employee benefits universe. I think that's really what has led this to be a pretty good fit both for me and bswift.   Jen: You've kind of hit on this business acumen that you have. So, you understand the impact that the solution has on the end user, the customer, what it can have on the partner’s business. We're seeing this more and more where channel professionals have to understand the entire business, all the challenges, all of the different levers to pull to increase efficiencies in revenue. And, yeah, I think you've really articulated very nicely how you've been able to kind of translate that over into this channel program at bswift. That's great.   Tony: Yeah, Jen. There's another thing, too, and it kind of goes back to the earlier question you talked about. And if you understand the business as a whole, you're able to utilize the feedback you get from that business, as that kind of laboratory scenario, like we talked about earlier. If you don't understand the industry on a whole, you're not going to understand the small little bits and pieces that come back to you and really how they fit into the bigger whole. If you are a software company dealing with the employee benefits industry and you don't use your channel partnership distribution as a lab, I think you're fooling yourself. I think you're really passing up on a massive amount of potential information that can inform your development process.   Jen: I'd love to see more and more organizations treating their channels that way, and maybe we'll get some feedback from listeners. If anyone is doing that, we'll want you to reach out to us. We'll share some information at the end of the podcast because I'd love to hear more stories just like that. Speaking of kind of thought leadership and new ideas, you'd written a blog fairly recently called "The Unexpected Benefits of a Channel Partnership," and one of the benefits in that blog that you state is "simplify the pivot," and I really love this philosophy. So, if I'm looking to engage in a partnership with another organization, how might the partnership help me simplify the pivot?   Tony: So first, I feel I should probably apologize in advance if I've coined a new corporatism, "simplify the pivot." I figured that's worth at least thirty points in a great corporate-phrase buzzword game. So, my apologies in advance. But by definition, a pivot is changing the way you do business. It doesn't mean you have to move away from what got you to the level of success where you are.   So let's use an example, maybe, a broker, or an enrollment firm, or a payroll company, when you become a partner with a successful channel partnership organization, in a broad sense, or bswift in specific, what you should be entering into is a certain level of market expertise, a certain level of operational expertise, and, without using the word "expertise" again, really knowing how the process works. What it can do if you're a channel partner, and let's say you're a broker, it can ramp up your learning curves, it can help your investment, because we all know that distributed software systems are not free, it can help your investment pay off a lot more quickly.   Now, you have to partner with somebody who has a good product and a good process to go along with it, but your partner also needs to be able and willing to deliver on your organizational expertise. They can know how they're doing it and how to do it successfully. If bswift doesn't pass that on to each and every one of its channel partners, again, there's an opportunity for success there that we've missed.   Jen: So, if I'm an organization... I think these are really good pearls of wisdom, but if I'm an organization that's just embarking on building out my channel partner program... I'm just trying to kind of wrap this all up together, thinking about this idea of experimentation, the idea of the benefits that partnership can bring. I guess, can you maybe summarize for us what you think some of the most critical elements are that a channel leader should consider? You know, really put yourself in the shoes of someone who is really just getting going, starting from scratch.   Tony: Yeah, it's funny. I think probably the two biggest pieces are, you have to understand your audience...and again, these are going to sound strident, they've been repeated a couple of hundred times, but the fact that they're basically synonymous with channel partnership and there's something to that. You have to understand who your audience is and who you sell to, and you have to understand why they should want your product. So, along the lines of who you sell to, benefit administration is a perfect example of as you grow a company and as you grow your channel partnership line of distribution, early on in the process, you want to get ink on paper. You want to get contracts signed. You want to focus on your immediate top-line revenue.   Over time, and as you move away from that immediate urgency to get revenue in the door, you're going to find that there are partners that are better suited to tell your story, than some of those early ones, the ones that you just kind of signed in a mad rush. And maybe they're better at operations and deliverables, and they're going to lessen your chance of brand damage. Because if you damage a brand in the market place to your third-party, you don't have a lot of recourse, and it's very difficult. Probably another facet to that, I call it “over-targeting”, or being so specific in your perceived market that you kind of ignore the rest of the ecosystem to use your word.   And, for benefit administration, the perfect example is focusing so heavily on the brokerage market that you ignore those, I would call them tangential partners, like enrollment companies, and payroll companies, and PEOs, and carriers that need to set up exchanges. The universe is a big thing, and you don't need to focus, or really, over-focus on just that brokerage group. So if you understand what you have and why a certain group wants it, it can come in upon you when you're developing a channel partnership system to mentally try to broaden that out as much as possible. The more targets you have, statistically speaking, the more you're going to land.   Jen: No, that makes perfect sense.   Tony: Does that make sense, Jen?   Jen: Absolutely. Even in your final point there about keeping those options open for the type of partner, it's still grounded with, "Okay, but who is your buyer?" Right? Who is the person who's going to benefit most from using this product? And as long as that's consistent...I mean, there's new technologies, there's new categories, there's new types of companies that are being created every day. And so, to your point, if you kind of keep your head down focused on this one type of entity, like a broker, you might miss out on other complimentary solutions that could be just as beneficial, if not more, to helping you achieve your goals, so yeah, I agree. I think it's a great strategy to keep in mind.   Tony: Yeah, and it's funny, Jen. One thing you hit on there, kind of reminded me of this. You see what your competitors are doing in the marketplace, and obviously, you need to know what your competitors are doing. I don't think you should feel obligated to follow what they're doing. For example, a lot of benefit administration companies start by heavily trying to penetrate that up-market, in that 10,000, 20,000, those big brand name clients. Having said that, there are also newer arrivals on the Ben Admin stage that have done very well in that small group exchange stage.   You have to understand that when you have a potential market or a potential industry that's so deep and broad, there's going to be room for a lot of other people at the table. And your goal is just to make sure you definitely have a seat at the table and then maybe knock over a couple people that are sitting to your left and right.   Jen: Right, sounds good.   Tony: Unless its too aggressive.   Jen: Well, we'll let all of our listeners decide what's too aggressive or not. I think everyone's going to have a different threshold for that. I'd love to know from you, what do you think is the most exciting thing about working in indirect sales? And the reason why I'm asking that question is because, well, I think we could really go backward and say, okay, no kid grows up going, "I want to be in sales." You know? And certainly no kid grows up saying, "I want to be in channel sales." It's not something we go, "I can't wait until..." There's not necessarily a degree that you can get in it in college, but yet, here we are. Right? My day 100% revolves around indirect sales. What do you think is the most exciting thing about doing what you do?     Tony: Well, I think aside from seeing one of your channel partners land a big one or really kind of hook into a fourth gear or something like that, I mean, that's going to excite most people because that's more revenue in the door. Everybody gets excited by revenue. I think, maybe on a smaller scale, when we talk to a channel partner, and maybe even in the discovery phase or when we're contracting or something like that, and you just hear the penny drop, and you just hear it click with that channel partner and...I'm trying to remember what my intro to psychology class back in college called it, I think it was a cognitive flash. That “aha!” moment.   I love when I'm talking to somebody on the phone and they say, "Whoa, that makes a lot of sense, Tony. So you mean not just A, B, and C but maybe D through R." And they start to see that scope expand, and they start to see maybe it's not just software. Maybe it's a way of realigning how their entire business model reports on the business model itself, for example, on a brokerage. Or maybe they perceive a way, if they're a broker, to drive new broker of record letters. Or if they're an enrollment firm, maybe they see a way to lessen their operational investment on a medium size client by using our divisions support tool.   It's really just when what you offer just absolutely clicks with somebody, that's what kind of gets me excited about stuff because I know that we're not a mature industry quite yet, although we are getting there. Eventually, it's going to be a mature industry. And the more that we can kind of form that discussion as we go, both through our product and our discussions with people, the better off bswift and Aetna, our owner, are going to be. So that's what really gets me going, is when they kind of get it.   Jen: I love it, I love it. Because I know the feeling. I can certainly empathize, and I'm sure a lot of our audience can as well. This has been so much fun, and before I let you go, whenever we do the podcast, I have people answer some more personal questions so we can get to know them a little bit more. So, are you ready to answer just four simple questions? Sound good?   Tony: Absolutely. Yes, absolutely.   Jen: Okay. So, first question for you is, what is your favorite city?   Tony: Well, I'm born and raised in Chicago, so it's difficult for me to say anywhere but Chicago. I will say that recently I've become acquainted with the charms of Manhattan. I'm a big city guy. I like the excitement. I like the energy. I like the buzz that a big city brings. So, if I had to live somewhere other than Chicago, it might be Manhattan or oh gosh, pick some island off the coast somewhere because if I'm not in a big city, I probably want to get away from it entirely.   Jen: Great, sounds good. Okay, next question. Are you an animal lover, yes or no?   Tony: I'm absolutely an animal lover. I have two dogs, I have a Border Collie and a suspiciously tall Dachshund, and they take up a lot of my day. So, they're awesome.   Jen: A suspiciously tall Dachshund. Really?   Tony: Yeah, yeah...   Jen: Just a tall guy?   Tony: Yeah, my wife and I only buy from shelters, but they said that she was a Dachshund mix, and she ends up looking a lot like a small German Shepherd, so I'm thinking whatever they use for their DNA might be slightly lost.   Jen: That's great. Next question for you, Mac or PC?   Tony: I'm a PC guy. Without divulging too much of my age, I will say that decades ago at the University of Illinois, Macs really weren't a thing. I guess that the Apple IIe and the Apple IIc were starting to come on.   Jen: Yeah.   Tony: I was born and raised on a PC, and I started learning computers before Microsoft even existed. So, I've been a PC guy, I'm going to be a PC guy. It's just the way it works.   Jen: All right. Sounds good. And my last question for you is, let's say I was able to offer you an all-expenses paid trip, where would it be to?   Tony: As long as it's not within the United States on business, you could tempt me pretty much anywhere. It's funny, there's this TV show, and I forget what channel it is, but it's called "Alone." And the concept is that they take a bunch of survival experts and they kind of dump them on different parts of the globe, and they're expected to kind of make their way to their life for approximately two months and all that good stuff.   The last series of episodes were in Patagonia, South America, down in...I want to say it's in Argentina, it might be Chile. And it was starkly beautiful, and I would just love an opportunity to travel down there with my wife. Maybe do some hiking. Maybe do some fishing unless there's some weird disease I don't know about, and just generally do the "get back to nature" thing. I do love that.   Jen: Very cool. That's awesome. Well, some other time I'll have to have to tell you about my trip to Pucon, Chile, which is at the very, very, very bottom of the country. Let's just say, I was the only individual who exited the bus with a rolly suitcase. Everyone else had a camping backpack and I had a suitcase on wheels, but it was good fun.   Tony: That's hilarious!   Jen: Give you a sense of who I am. But thank you so much. Thanks for sharing your insights with us today, Tony. It was so great. If anyone listening would like to reach out to you personally, what's the best way for them to do so?   Tony: I think probably the best way to reach out to me would be through LinkedIn, initially. I'm Anthony Fox on LinkedIn, and I'm currently at bswift so I should be easy to find. And I would welcome any questions for, "Hey, how about an opportunity?" That would be great too. So, feel free to reach out to me whenever.   Jen: Perfect. Well again, thank you, and thanks everyone for tuning in. We'll catch you next week with an all new episode of The Allbound Podcast.   Tony: Thanks, everybody.   Announcer: Thanks for tuning in to The Allbound Podcast. For past episodes and additional resources, visit the resource center at allbound.com. And remember, never sell alone. #NeverSellAlone

Anjali Menon, Head of Growth Operations at Magic, joins me, Jen Spencer to discuss integrations with complementary technologies, listening to data, being honest with your community of partners and more on this episode of The Allbound Podcast. Jen: Hi everybody. Welcome to The Allbound Podcast. I'm Jen Spencer, Vice President of Sales and Marketing here at Allbound. And today, I am joined by Anjali Menon, Head of Growth Operations for Magic. Welcome.   Anjali: Thank you so much. Happy to be here.   Jen: I'm really happy to have you. And I'm excited to talk about your career but, before we get into that, I want to talk a little bit about Magic. Because for all the times I've ever thought, "Man, I wish I just had this like personal assistant." You guys are kind of helping solve that problem for me, right? What's the scoop? Tell me a little bit more about the company.   Anjali: Absolutely. So thank you for having me, first and foremost. And I’m really excited to be here. Magic is a text-based platform that allows you to, just as you said, get personal assistants on demand. So the scope of what you can ask is really sort of infinite. You could ask for things as simple as somebody getting you lunch, to perhaps helping with your office needs and things that are much more grandiose in scale, planning a significant other's birthday party or something like that. But the idea is that you get manpower on-demand to increase your productivity. We launched in 2015, February of 2015. Actually, when it launched, it just went viral. I mean, we had a massive waiting list and it was really validation that people want personal assistants. They want more time in their day.   Jen: Yeah, I'm telling you, it's like as soon as I learned about it, I'm like, "Okay, what should I ask?" Like, "What should I ask for help with?" right? So, it's just such a cool concept. And you're Head of Growth Operations there. What does that entail? I'm starting to see Directors of Growth. I think this I the first time I've seen Growth Operations. What does that mean? What's your role like?   Anjali: Yeah, definitely. It's a really interesting one because we are a growth team, first and foremost. But because we interface with operations so closely, just by nature of the work that we do, we're constantly having to fulfill the requests that our clients put in. That's ultimately how we end up with Growth Operations.   So under this umbrella branch of what we call Growth Operations, there's a few sort of subcategories. We've got a sales team, which has historically been focused on sort of inbound leads as a main source of acquisition. Then we've got an activation team that interfaces with our operations team quite frequently to ensure that sort of consistent quality of service. And this team is critical because Magic's end product is ultimately defined by the user. You tell us what you want and we deliver it. So the activation has to be really customized. And that's in part where a lot of the operations work comes in with growth. And then the third piece which is pretty nascent in its start, but we now have a B2B and partnerships team as well, so those are kind of the three.   Jen: So let's let's dig into that a little bit, you're just getting started with it, but when you think about the plans, this go-to-market strategy for Magic, how important do you believe those strategic partnerships are going to be in your success? What kind of plans do you have in the works?   Anjali: This is such an interesting question because partners can add so much value to our type of business. But it's really a matter of finding the right fit because Magic has so many complexities. You can ask for anything as simple as lunch to something as complex as carrying out a whole sale cycle for a business using Magic. So because it runs the gamut of things that you can do, we really have to evaluate what partners make sense for us. But for Magic, like many other businesses, I think success for our customers comes in the form of efficiency gains, obviously, cost savings, and value-add. And partners can add all of these things.   Some examples of partners that we're exploring right now are things like verticalized partnerships. So, if we can sit on top of other services that already have domain expertise, it's a win-win for us, i.e., if I already can use a cleaning service that I know is good and I can just recommend that to my clients, then I'm saving them and us time by doing so.   Other sorts of partners that are interesting for us are ones that sort of epitomize our values. We have two really interesting values at Magic. Yet, their concepts that are sort of known in the startup community but I'm not sure how widely they're known beyond that. And the two concepts are called yagni and plow.   Yagni is a term that means “you ain't gonna need it.” It's one of those things that in the startup community, people will say it all the time. But it's a term that really signifies when we work with you, we want a partnership that understands that we're working under constraints, and you understand that, and I understand that. And we don't go build things that we don't really need at the moment. We'll build them when it's absolutely necessary. So that's something that we might look for as a value in terms of partnerships. And then this other concept is plow, which you'll hear almost every day in our office. And that's a concept, particularly for a personal assistant kind of concierge company, it's the concept that you don't give up. You keep plowing to make sure that whatever the client wants, you try to get. And so we would hope that our partners sort of share those values as well, maybe on these sales or affiliate side for example.   So really, I think partnerships are key for us, but they need to align strategically both in what we're doing as well as what our clients needs, as well as, finally, what the partners themselves need. And the reason I emphasize this is because when we went viral two years ago, we had major, major brands coming to us, asking us to do partnerships with them. And we turned most of them down. And the reason is, we had to sort of be true to what our capabilities were, and you've got to be honest with what you can deliver and what the partner expects. And so at that point, we hadn't even really figured out who was our right customer profile and did this major brand make sense for what we were doing. Just because they're a major brand doesn't mean they're a good partner for you. So, I know that's a long-winded answer, but I think, in short, partners are very, very useful particularly for our business. But I think that the key is really making sure that there's alignment on both sides for what that partner can do.   Jen: It's very, very sage advice. And it can be very tempting for organizations to just bring on those partners that have me with those big brands. But, if there's not that alignment...and especially for a very quickly growing young company, you got to have that focus, right? So, I think what you're saying you guys are doing is you're definitely going down the right path. I absolutely love hearing it. And those strategic partnerships just make perfect sense.   How about integrations? Are you looking at other complementary technologies as a way that they might play a role in your growth goals? One of the things I'm thinking about, just kind of off the top of my head is like different apps I might be in on a regular basis like Postmates for delivering food or supplies or what have you. I mean, are you thinking about technology, and in that respect, for partnership?   Anjali: Totally. So, this is such a great question for two reasons. One is because we actually just launched a Magic version for Slack. So this Magic-Slack integration allows teams and businesses to more easily and more transparently use Magic as kind of like an office manager. So Slack has been really useful for us as the first step to growing our business in sort of a different category. And so, I think when we think about these partnerships, for example, I sort of alluded to value being very similar. Slack is one whose whole value prop is to increase productivity with teams, and we have a very similar value prop, it's a Productivity Tool. So there's synergy here. And if we can reach more of our target audience through a medium that allows teams to interact more collaboratively like Slack, that's exactly the kind of thing that's good for our business but even better for our clients. So Slack is the major one that we've been focused on.   You kind of alluded to Postmates. And that's a whole other category of sort of partnerships that we'd also be thinking about. Basically these other sorts of niche services that we can kind of sit on top of or that they can kind of sit on top of us, either way. And we can just kind of use them as our clients come in and say, "Hey, I need a burrito." well, the fastest way to do that is through DoorDash or Postmates or something like that. So those are the other kinds of partnerships that we would look at as well. And so, absolutely. That's definitely something that increases productivity and efficiency for us.   Jen: I know I can speak on behalf of the Allbound #AllStars, we try to make Slack do everything. So we try to run our whole business through Slack. Things that are important and all of the shenanigans as well.   Anjali: That's awesome. Well, what's interesting is with the Slack integration, we're finding different use cases for Magic just by virtue of being on a different platform other than text. Because when you're suddenly on a platform that allows for different teams to interact with one Magic as if they were an office manager suddenly Magic becomes the office manager, and it's booking appointments for people, it's bringing vaccines on campus, it's booking team outings, and suddenly the use cases are becoming very different in the way that they interact with Magic is different too, just by virtue of the platform. So it's actually a key growth initiative for us to be thinking about these other kinds of platforms, because they increase the ways in which folks use Magic, increasing their own productivity. But it's also, of course, then expanding the reach of who can use us as well, which is really good for both sides.   Jen: I want to ask you a little bit about some of your past experience. Before you were at Magic, I know you were at Twitter. Before that, you led marketplace operations at TaskRabbit. And marketplaces and partnerships and communities of engagement, there's a lot of similarities there. And you helped launch the TaskRabbit Elite Program. So, let me know how did that concept for that program come about originally? And I’d love any feedback on how it helped really grow the company since its inception.   Anjali: Definitely. So, I am proud to say that the TaskRabbit Elite Program still exist today. So when you go to TaskRabbit, despite the business model having changed from one that was traditionally like a bidding system to one that's now more automated with algorithms, the TaskRabbit Elite Program's still maintained. And the reason is because it actually does really impact the business goals and growth.   The reason it came about was mostly for two sides. And it's two sides in parts because TaskRabbit is a two-sided marketplace. So, on the client side, when we were back in the bidding system, clients would put in a request for something like, "Hey, I need a cleaner." And it was possible that hundreds of taskers could bid on those requests. And clients would sort of face this paradox of choice kind of paralysis because they wouldn't know who to choose.   And so, the concept of the TaskRabbit Elite for clients specifically was, can we give them a sort of value set that allows clients to choose who is the right TaskRabbit for me for this particular job set? And then, on the Tasker side, on the community side, which was the side that I was most closely involved with, we had never created a systematic, defined program that really supported workers in the sharing economy. It was not something we had done formally. And so this was our first attempt to say, "Hey, there are a lot of people hustling on this platform to make it a great one. We should reward them in some way." And so for folks who delivered, who had great ratings, who consistently performed, we thought this is a great way to reward them and get their earnings up by showcasing their work more to the right kinds of people.   Similarly, it also helped new Taskers sort of ingratiate themselves on the platform because now new Taskers had a sort of defined path towards something that they could work to. And so, it was possible that within a month of becoming a new Tasker, you could actually become an Elite TaskRabbit when I launched this thing. And so, it motivated a lot of newer TaskRabbits to do a lot of work and get promoted and get more work. So ultimately, it was kind of a win-win for both sides. On the tasking community, it supported them by giving them more visibility and giving them more work. And on the client side, it helped them narrow their choice to the right Tasker for their job.   And ultimately, we switched the whole model to actually emphasize that specific point, finding the right Tasker for your job. So now, if you go to TaskRabbit, nobody's bidding anymore. You're just sort of shown the right TaskRabbits for you and you just pick the one that's good for you. It's a much easier process now but that concept really sort of originated with that Tasker Elite program. And the reason it exists today, again, is because both of those sides of the community are still served in the same purpose.   So it's been something that was strategic for the company. It ended up ultimately making Taskers more money, which is why we kept going with the program because it was giving them more money and was giving them more incentives to get more work on the platform. And so, yeah, it's something that I'm really proud of because it allowed us to build a community in a way that was very positive for both sides.   Jen: To take sort of a page out of Tiffany Bova's book, she talks about making your customer the true north, like the center of your universe, right? And in every decision that you make in your business, like thinking about it from the perspective of that customer. What's going to be best for that customer? Because people ask, "Should I sell directly? Should I sell online? Should I sell through channel partners? Should I do X, Y or Z?" And the answer should be, well how does your customer want to...right? How do they want to buy? How do they want to be served? What's going to be best for them? And ultimately, if you do what's going to be best for them, that will end up being best for the business and for all the business partners that are part of that ecosystem.   Anjali: Exactly.   Jen: So, it’s great to hear.   Anjali: A quick side note on that. We actually spotted the problem of clients not getting what they wanted and not identifying the North Star through data. Because I think folks don't know this, but the reason TaskRabbit changed their model is because a lot of tasks were being put into the system, that is to say, clients were asking for things to be done, but then they weren't always choosing TaskRabbit to get them done. And the reason was in part because of bids. It was because a lot of TaskRabbits could put in bids and then people would get so overwhelmed that we would see this long-tailed distribution of tasks that got bids, but then the client didn't do anything with them. So this effort was to give them exactly what you said, that North Star.   Jen: We talked to a lot of people, and they're building partner programs, whether they're reseller programs, referral partners, affiliates. But they're not just trying to build a program just to get leads or just for top of funnel. They're really looking, "How can I build a true community for my partner ecosystem?" Maybe it's to get partners collaborating with each other, or to get partners and customers collaborating to get shared visibility and really a shared experience. And I'm just wondering, over the course of your career, whether you want to speak to something from being at Twitter or TaskRabbit or even at Magic now, do you have any advice for people who are setting out to attempt to create a community?   Anjali: Yeah, definitely. That's such a cool question because I look at building communities or partner communities or whatever form of community you're building, like a two-sided marketplace because that's the background I come from. So the relationship needs to benefit not only your clients but the partners themselves. So for a business like Magic, that's so dynamic where the scope of what we offer is pretty much sky's the limit, we in particular need partners who understand this and can be flexible enough to work within the constraints of that model. So I would really say for folks who are interested in building this kind of community, define and qualify the ideal folks in the community and how do they fit into what you're building?   Because if you can't define that, then you're not in a good position to set up the community and your partners for success. And I think, and again this is what I alluded to earlier, but when we had major brands coming to us, we didn't even know who was a good partner for us and who were our right customers. But now we're in so much of a better position to do that, so we can start thinking about that. So definitely being able to understand who those right partners are for your community is key. The other thing I would say is honesty is everything, be honest with your community of partners. Because then, the expectations are set correctly. Don't over play your capabilities because you think that's what your partners want to hear. You are the partner in the partnership, and for it to work, I think really, really being able to transparently lay out the scope of what you can do, why you're doing it, and why it's important as it relates to your values are all very key. So that would be sort of my best advice.   Jen: I think that’s some really great advice and such a great way to wrap this up. But before I let you go, I always ask some more personal questions just so folks can get to know you a little bit better. You shared so much awesome stuff with us today, but I'm going to dig in a little bit more if you're up for it.   Anjali: I am, of course.   Jen: Okay. So easy questions. First one is what is your favorite city?   Anjali: Oh, okay, Cape Town, South Africa.   Jen: Oh, I have not heard that one yet. So why is that your favorite city? Tell me.   Anjali: So, I'm somebody who loves to travel. And I think that when you travel, you can often find places that you can call home, that are often not your true home. And you just know it when you're there. And so when I went to South Africa, I immediately felt this sense of home. Because South Africa is a lot like San Francisco, where I’m from, in the sense of scenery is very beautiful, there's a lot of nature, Table Mountain, a lot of ocean. People love surfing over there, but then the culture was also just very, very friendly and people were very welcoming. And I also love animals and wildlife. So being surrounded by all of that with a very sort of gracious culture, it felt like home. So that's my favorite city.   Jen: Well, you kind of hinted at my next question. Are you an animal lover?   Anjali: Yeah, I am.   Jen: Do you have any pets?   Anjali: I grew up with two dogs, Larry and Lucky. One was a German Shepherd and one was a tiny little Pomeranian. And they were best friends. But no, I do love animals. So South Africa made sense.   Jen: Great. Next question, Mac or PC?   Anjali: Mac.   Jen: And my last question, if I was able to offer you an all-expenses-paid trip, where would it be to?   Anjali: Well, the next place that I want to go to is Iceland. Because I'm a nature lover. I love exploring. And tickets are cheap right now so it wouldn't cost you too much probably.   Jen: Remember, this is a magic land where I have all the money in the world and I can send you anywhere you want to go. But I appreciate you thinking about me.   Anjali: Well, in that case, I probably just need the money, still in Iceland, but I'd probably go on some kind of luxury retreat, looking at the Northern Lights or something like that. But yeah, I think if we had all the money in the world, the place would be Iceland.   Jen: All right. Awesome. I love the practical fantasy, it's fantastic. Well, I just want to thank you again. Thank you for sharing some of your time with me and our listeners today. If anyone would like to reach out to you personally, what's the best way for them to connect with you?   Anjali: Sure. So they can connect with me via email and it's just 0-7, my first name and my last name. So that's Anjali Menon @gmail.com. I can spell that out as well, would that be helpful?   Jen: Sure, sure.   Anjali: Okay. So it's 0-7-A-N as in "Nancy" J-A-L-I as an "igloo" M-E-N as in "Nancy" O-N as in "Nancy" at gmail.com. So that's 07anjalimenon@gmail.com.   Jen: Perfect. Well, it's been great getting a chance to learn a little bit more about you and talking about partnerships and communities. So, thank you so much.   Anjali: Thank you for having me.   Jen: Yeah. Absolutely, absolutely. And thanks, everyone else for tuning in and we'll be back next week with an all-new episode.   Male Announcer: Thanks for tuning into The Allbound Podcast. For past episodes and additional resources, visit the resource center at allbound.com. And remember, never sell alone.

Joe Schramm, Vice President of Strategic Alliances at BeyondTrust, joins me, Jen Spencer to discuss refining your focus on specific partners, channel growing pains, understanding the win for your partner and more on this episode of The Allbound Podcast. Jen: Hi, everybody, welcome to The Allbound Podcast. I’m Jen Spencer, Vice President of Sales and Marketing here at Allbound. And today, I’m joined by Joe Schramm who is Vice President of Strategic Alliances at BeyondTrust. Welcome, Joe.   Joe: Thanks, Jen. Good to be here.   Jen: I'm glad to have you. I think the best way for us to get started first of all is maybe if you can tell us a little bit about BeyondTrust and your organization.   Joe: Sure, sure. So BeyondTrust is in a segment of cyber security focused on privilege access management. We're also in another segment called vulnerability management. Both segments are pretty well defined in the cyber security landscape, but I would say that privilege access management is probably growing at a higher rate, and that's where we're seeing, a lot of our new product growth, net new logo acquisitions, and so forth. So we're very much focused in the cyber security domain, and it's a very hot market. It's something that we're doing really well in and are very happy to be participating in.   Jen: You have a history of working in business development, strategic alliance roles at very high-tech companies in security. And, I don't know if you have a byte of information or a hard and fast rule, something that you've really taken with you as you've gone from one organization to another to really help grow your channel program at BeyondTrust. How do you help it really run smoothly?   Joe: Yeah, that's a great question. So I think probably my favorite hard rule that I like to live by I learned some time ago now...this goes back several years and a few different organizations ago. But really, my favorite thing to think about and to focus on is what I call “partner profiling”. So a lot of organizations, when they start to build their partner program, they tend to gravitate towards easy wins, meaning if a partner came to you and said, "Hey, I'm interested in working with you," you'd rush to sign them up without really stepping back and understanding, "Are they the right partner for us, right, based on the type of company we are and the products we sell and how we sell them?"   So partner profiling, for me, is one of those almost religious experiences where I sit down and set out to really define the top three or so attributes and partners that we want to proactively engage and recruit and bring into our partner program. And it's easy to get this wrong, right? A lot of organizations, like I said, will gravitate towards easy picking, sign up lots of partners without stepping back and understanding, "Are those partners really aligned to your market? Are they in business for a sustained period of time?" To me, that's an important attribute is length in the market.   If an organization has been around 10, 20, 30 years, it's a very good leading indicator that they've got a big customer base and that they've had to reinvent themselves along the way a couple of times, and pivot as technology changes and continue to sustain and grow their business. That's an important attribute. And then certainly, things like a good go-to market capability, so having sales people, having pre-sales people, having perhaps delivery capability or at least very good technical competence within your domain.   So profiling and identifying what those key criteria are is really, really important. And then making sure that as you engage and as you seek out partners that the ones you're engaging with proactively, even the ones that you're reacting to based on inbound interest, you're qualifying them against those criteria pretty firmly to ensure that your chances of success, once they're up and running, is going to be a lot higher.   Jen: I think that's such great advice, and it should really resonate with a lot of folks who are focused on this account-based movement right now that's happening on the direct part of business because that's what we do, right? That's what we do with an account-based strategy is we identify who's a good target for us looking at those profiles. And, I know it can be challenging when you're building a partner program and you've got that inbound interest in joining your program. It almost like reminds me of if you've got someone volunteering their services, right, they are volunteering to sell for you or sell on your behalf, and you've got to say no to them sometimes. So it could be really hard to do, for sure.   Joe: Yeah. It takes some practice, for sure.   Jen: Yeah. Now, you have launched several key initiatives really to grow the channel at BeyondTrust. Can you share a little bit about the areas that you focused on so far in the organization?   Joe: Sure. I'll touch on maybe a top three that I would want to share here in the context of this discussion. So the first one is that we decided to embark on a global distribution strategy for our company. If you look at the way we were organized from a distribution perspective, it was very localized, so specific countries. For example, in the U.S., we had a distributor. In Canada, we had a different distributor. Throughout Europe, we had many different distributors, throughout Asia Pacific, many different distributors. And what we found was that there was a lot of inefficiencies, a lot of inconsistencies with that model.   Furthermore, we found that not all those distributors were doing much more for us than facilitating transactions, which is important, right? You need to have an ability to transact business. You need access to different kinds of resellers that distributors oftentimes have access to. And you obviously need access to certain kinds of procurement vehicles, which again, distributors often have access to either directly or through their network of resellers, so state and local contracts, for example, GSAs, too, and the federal site to name a couple.   So it's really important that you have some measure of a strategy there. But what we did was we set about to consolidate our distribution strategy and align ourselves to a distributor that we felt was very focused on the security domain, which is what we participate in, and also one that we felt could help us scale the business and generate net new opportunities through their network of resellers.   And so we decided to join a program that Westcon-Comstor offers called Accelerate. And it's a very selective program. We're one of like, I think, five or six different vendors that belong in that program, and that's really the extent of it. This gives us a lot of focus with Wescon, gives us an ability to wide up each region in a sequence. So we're very active with them in AsiaPac. We are now writing up North America and Latin America. In Europe, we'll be coming online later this year, in fact in Q2.   So it's provided us with a nice way to rationalize, streamline, drive more efficiency, drive more consistency with our distribution business, have one, well, not one entirely because we do have a couple of distributors that we're maintaining, but it helped us rationalize and reduce the number of distributors that we've had on a global basis. That's one initiative that we embarked on.   Another one that we embarked on last year was our Technology Alliance Program. So we wanted to have an opportunity to provide our technologies, provide our open APIs to potential technology partners as well as potential consulting partners who would want to or need to develop custom integration in their product or on behalf of our customers. We launched the Technology Alliance Program last year, and that's been great. We signed a couple of very strategic technology relationships through that technology program, SalePoint, McAfee being a couple in particular.   But we also have some others now coming to us and saying, "Hey, we want to build an integration to this product, to that product." We can do that very easily now. We can provision not-for-resale software. We can provide them with the APIs. We can provide them with some simple instructions on how to leverage them. And we're finding that some of these partners that are coming to us are now able to build these integrations very quickly.   And the third area that I would highlight is that one of the things that I thought was missing for the company when I joined really late 2015 or early 2016 timeframe, was that we didn't have a partner strategy centered around consulting partners and system integrators. We had been talking to a few and have been having some conversations with some. But I saw that as really a missed opportunity to align ourselves to some very well positioned, very focused consulting organizations that are really centered on the identity access and privilege access domains in particular, and for us to align ourselves with them to create new opportunities for us and for our salespeople, as well as scale our delivery service capability.   So as we're growing, one of our constraints or one of our challenges has been keeping up with demand for consulting services to implement our technologies. And so we aggressively recruited and onboarded about a half dozen or so boutique consultancies last year, and that's paying off for us really well. They're getting certified and getting consultants out there in the market who can implement our products and create bench strength and scale for us on the delivery side. And just as importantly, they are also identifying net new opportunities for our technologies with their clients that we didn't know about previously. So that's creating some net new business for us through that effort as well. Those are the three things that I'd call out.   Jen: You've been busy. That's quite an undertaking in a fairly short period of time, which is really commendable. I want to dig into some of the results that you've been able to see. You shared with me previously kind of what happened in one year. Your channel business is up 100% year over year. Business through the channel has grown from 15% of the business to between 25% and 30%. I mean, is this the result of those initiatives? And also, is there anything else, any other great results that you've seen because of work that you've done in 2016?   Joe: Yeah, I think there's a couple of forces in play here, right? One is that we're in a high growth market, right? Our market segment's growing at over 30% per year. And so there’s always going to be organic growth with what you've been doing. So that's definitely attributable to some of the growth. But I think moreover and more importantly is that we've really aligned ourselves to not only the right partners that can help us, but we've also really narrowed our focus down.   So when I joined the company, we literally had hundreds of resellers in our system, and I couldn't get my head wrapped around how we had so many. And then of course, you look back at the history of our company, and for a long time, we were a growth-by-acquisition company and we came together as BeyondTrust four or five years ago through the acquisition of four or five different companies. And with each acquisition, it brings a different partner base with it, right? And we never really rationalized that partner base.   So this year, actually, last year, we started this process and we're going to continue to do it this year, but we've really started to refine our focus on the partners that we really want to proactively manage. That's not to say that we won't work on an opportunistic basis with any partner, but what we're doing with those other partners, what I call the tier-two partners, is we're rolling them underneath Westcon to help us manage and grow those partners so that we can take my direct team, right, the alliances people that we have on the team and have them spending the bulk of their time really building business with the core set of partners that we want to focus on.   So I think those are a couple of contributing factors that have really played a role in our success and the growth that we've achieved. We expect this year to again significantly grow the channel business. So we're excited about the prospects, excited about the opportunities. I think we've got many of the key things in place to enable that growth, and it's really just going to be a question of our ability to execute.   Jen: That's awesome. Anytime an organization grows, and especially when you're in channel and you grow so exponentially, it's exciting and it's amazing, it's great from a revenue perspective. It can also be a little bit painful. Just there's challenges anytime that you do grow. I'm wondering, could you share maybe some of the challenges that you faced or maybe some challenges that you're anticipating and how you're going to mitigate those?   Joe: Yeah. So there's always challenges as you highlighted when you are growing, and these challenges that are good problems to have. And I like what our CEO says. He says, "We don't run away from problems or challenges, we run towards them," right? And so that's the attitude of our company, which I love and I embrace that philosophy. Every time he says that, I kind of smile because that's kind of how I operate. I want to attack things and get after it, right?   But that being said, yeah, there's certainly growth pains. Now, there's a couple things that we did early last year in anticipation of the growth that we were expecting and wanting to drive, right? One was we needed to launch a partner portal. We had a large number of partners, some of whom were very active with us, some of whom were occasionally active with us. But we did not have a good vehicle for disseminating content, and for addressing the educational needs and the content needs of both our sales folks that work for the partners, as well as the technical folks that work for the partners.   And so we stood up our partner portal last year, which has been very widely adopted, and I would say it allowed us to centralize a number of the processes, chief among them, our deal registration process. So that's been fantastic. And that's a key metric that we want to measure as you get your registration volume year over year, and even at a granular level by partner or region or what have you. We can measure how that's building. It's an important leading indicator as to what's going to come out the back end of the funnel, one, or two, or three, four quarters later, right? So that's been great.   And I think that the usability of the portal and the intuitive nature of the portal has been great. We see very sticky behavior, very good evidence that a lot of our partners referenced the portal. They referenced it frequently and not just to do deal registration. We obviously can report and track on what artifacts they're accessing, how frequently those pieces of content are being accessed. We can look at that and kind of analyze, what's valuable, what's sticky, what's being consumed the most. And so all that's really, really important for us. And so that's been great.   Another challenge that we've had to deal with has been training this new class of partners that I spoke of, right, the consultants and the systems integrators. Having training in education capabilities, certification capabilities was a really important driver to help us scale. And we launched our BeyondTrust University early last year as well. And that, too, has been extremely well received. We probably have over 500 partner individuals across the globe that are engaged in BeyondTrust University either from a sales enablement, pre-sales enablement, or technical consulting enablement perspective. And we're now starting to turn out certified consultants who can actually help scale on the delivery side.   So those are a couple of highlights and things that we've had to overcome. And we're not done yet. We're never, I think, fully satisfied. We can always do more. But, those were a couple of really important foundational components that we needed to get in place to help scale.   Jen: Well, with all of those individual partner users, you were talking about those partner entities, you weren't talking about the companies, right? You're talking about actual individual people who are engaging with that content or who are phase two, your end customer. You've got all those folks. You've got over 4,000 organizations as customers. You’ve got half of the Fortune 100. I mean, I'm just baffled. Like how are you able to dedicate time to your individual partner entities? I know tiering's got to be a big part of that, not just the segmentation of types of partners but also tiering within. Is that something that you guys are doing as well?   Joe: Yeah, yeah. We did that last year for North America. We just completed our first pass of it for Europe, and we're in the process of doing it now for Latin America. And I think AsiaPac is a little different for us. We've kind of been working through a two-tier distribution model in AsiaPac from earlier points in our history and so there is less rationalization needed there, I believe.   But certainly, if I take North America for an example, we looked at the entire pool of literally over 300 reseller accounts that we had in our CRM system and we started winnowing that down and looking at it different ways. We said, "Okay, over the last two years, how much new business has been booked by each of those partners," right? And obviously, you typically see a 80/20 kind of formation there, where 80% of the revenue comes from the top 20% of the resellers. And we quickly realized that we've got literally hundreds in our system who haven't done any business with us over the last two or three years.   We also looked at how much renewal business is being handled by that pool of resellers, and we found that there is some that do a large number of renewals for us but there's an awful lot of onesie-twosies out there, right? Literally, we have a reseller that handles a couple of renewals for us a year, and that's the extent of it. So we value that. We don't want to just throw that out the window, but we look at the volume of it and we look at the alignment to the partner profile that I spoke of at the top and say, "All right, who are the top 12 that we want to focus on, or the top 15," and really zero in on those resellers and say, "Okay, how do we sit down and build a business plan that's meaningful for both companies?"   And for us, we're kind of looking for anywhere from half a million in net new product license bookings or more from those kinds of partners, and whether they've done that historically or not may not necessarily be the critical decision factor. Maybe a partner has only done 250,000 with us but they've only been working with us for six months and we believe that they've got the right DNA, the right profile to really take that up to the right level.   So that's kind of how we've done some tiering here in North America. And I'd say that we're really focused on probably the top 10 or so resellers, and then there's a cadre of consulting partners maybe 15 or 20 in total that we’re either on board with or working with in some capacity to try to figure out whether they belong in that bucket or not. But taking it from literally 300 down to 15, 20 is a much more manageable number, and we believe that by providing that focus that we're going to see more benefits coming out of those relationships.   Jen: Thanks for sharing that. I think it's really, really helpful to a lot of people who are in a similar situation that you're in. And on that note, the last question I really want to ask you is if you have any sort of concise piece of advice that you can give fellow business development professionals who might be in a situation similar to the one that you embarked upon when you joined BeyondTrust, any words of wisdom that you can share?   Joe: Yeah, I'd piggyback on the first point about the partner profiling, and say that it's really important that you understand what your targets looks like. And then the second thing, which is really important, once you start getting into discussions and conversations with potential partners, you really need to understand what the win is for the partner. And it kind of amazes me that a lot of times, people don't step back and ask that question or even understand that and they may assume that, "Oh, these guys are VAR, therefore, they're only interested in margin on the sale of products."   Well, the landscape is changing out there, right? I don't really believe that organizations that may have historically survived and thrived on just being product-resale companies are going to survive, right? We're seeing a lot of evidence that traditional resellers are morphing into what I call a solution provider, and they're trying to solve problems for clients that includes products, that includes services, and it may include managed services.   So the landscape is shifting a little bit, but the point being is that it's really important for you to understand what the win is based on the partner you're talking to. And, one partner may say, "Hey, I'm only interested in selling product." Fine. Another partner may say, "Well, we do some product resale but we're really in the consulting business." Or it might be obvious from the onset that they're in the consulting business but, they like referral margins on the back end of deals, too, right? So trying to be flexible, trying to frame and understand the win for the partner is equally as important as understanding what the win is for you. So that's my piece of advice.   Jen: I think that's great advice. We can always be better listeners. Really listen to what our partners need and what's going to make them successful. That's fantastic. You know, Joe, before I let you go, before we totally sign off here, I always put people through a little bit of like a fun personal speed round, so ask some questions that kind of dig in a little bit, get to know you as a person a little bit more. Are you up for it?   Joe: Yeah, sure, why not. Sounds like fun.   Jen: All right, all right. So easy questions. First one is what is your favorite city?   Joe: My favorite city, oh, that's a good one because I've been to so many great cities. Honestly, my heart belongs to New York.   Jen: Good. What do you love most about New York?   Joe: I grew up in the New York area and I've always loved it. It's a city that, honestly, you can pretty much do anything within the bounds of law, of course.   Jen: Right, right.   Joe: Do anything, see anything, experience, any kind of entertainment, any kind of cuisine. It's just an amazing city to me. I've always loved it. But I’ve got to tell you, I do love London and I love Tokyo. I got to Tokyo last year and I am absolutely amazed by Tokyo and I'm dying to go back. I was only there for two days, and if I can figure out how to go back for 10 days, I think that'd be like my first choice. And I may come back with a different opinion about what my absolute favorite city is after some real time in Tokyo I think.   Jen: That's a really long way to travel for two days. Wow, wow. You need to go back.   Joe: It was a total of a 10-day trip in Asia but we only had 2 days in Tokyo.   Jen: Yeah, okay. That makes more sense. Okay, second question, are you an animal lover?   Joe: Oh, yeah, definitely.   Jen: Yeah. Do you have any pets?   Joe: We've had some pets from time to time, cats, hamsters, fish those sorts of things. I'm an absolute dog lover. But here's the thing, I travel so much and my kids are getting older and heading off to college. And, it's always been one of those things that we’d love to do, but at the same time, we've always felt that owning a dog would be unfair to the dog because you need to be around to spend the right time with them and treat them like any other family member quite frankly.   Jen: Yeah, I hear you. I hear you. Okay, next question, Mac or PC?   Joe: Oh, gosh. If I ever had the choice of having a Mac for a work tool, I would say Mac. But I never seem to get that choice so I have to go with PC. I'm using a Microsoft Surface and I actually love it. It's great, very lightweight, very reliable. And you can use it as a tablet as well, so it's got some nice flexibility.   Jen: Yeah, everyone who I meet who has one absolutely loves it, so that's great. My last question for you is let's say I was able to offer you an all-expenses-paid trip, where would it be to?   Joe: It would probably be Italy, and I'd have to say Tuscany in particular. For me, Tuscany is kind of the perfect balance between my need to see things and do things, but you can kind of find the peace and tranquility to relax when it's time to do that, too. It also has that phenomenal food and wine aspect to it that I love. So Tuscany, I'd take it any day.   Jen: Wonderful. Sounds lovely. I was picturing myself being there as you were talking about it with a glass of wine, of course. So thank you. Thanks so much for sharing your time with me, with us today, Joe. If any of our listeners would like to reach out to you personally, what's the best way for them to connect with you?   Joe: Find me on LinkedIn. It's Joseph Schramm, S-C-H-R-A-M-M. Easiest way to find me. There's not too many of me out there that I'm aware of at BeyondTrust. So yeah, I would welcome the opportunity to chat with anybody or kick any of this stuff around. It's good fun. I'm passionate about it. I enjoy it and would welcome the opportunity to talk to people.   Jen: Wonderful. Well, again, thank you so much. I hope you enjoy the rest of your day. And thanks everyone else for tuning in, and join us next week for an all-new episode.   Announcer: Thanks for tuning in to The Allbound Podcast. For past episodes and additional resources, visit the resource center at allbound.com. And remember, never sell alone.

Jeff Ernst, co-founder and CEO at SlapFive, joins me, Jen Spencer to discuss to discuss customer success and the channel, opposing the customer testimonial, and more on this episode of The Allbound Podcast. There are a lot of folks in the SaaS industry specifically talking about customer success and see that as a result of higher customer engagement. Can you share with us where you think customer success can really meet that channel and generate a sort of kind of partner proof?   Most of my clients are SaaS spenders and as you know in the world of SaaS, it's all about renewals and what your renewal rate is because if you're churning customers faster than you can win new ones, you're just treading water or losing money. One of my SaaS customers does more than 70% of their business through the channel. Another one about 50%. And some of the issues that these companies face is one, the vendor gets so removed from the end customer because the channel partner, the reseller has the relationship with the customer. So, the vendor is getting less feedback from the customer, they're having less impact themselves on the customer success, and they just don't have as much opportunity for engaging the end customer directly.   And then on the flip side, you get the resellers that are competing on their value-added service, sometimes competing with other resellers for the same vendor, but they're always competing with other software vendors and their resellers. So, they've got a double challenge of proving why the vendor solution is better than others as well as why their own value-added service is better. And, let's face it, sometimes there's not much difference between the two.   I think that's where customer engagement and customer voice comes in. I'd like to say that it's probably the only thing that your last bastion of competitive differentiation is your customer engagement and customer voice because competitors can copy your messaging. They can copy your product, they can even try to steal your channel partners. But what they can't do is steal your customer success and the voice of what your customers have to say. I'd love to hear some more of your perspective on what is really going to help a company thrive when it comes to customer engagement when you're thinking about that entire sales ecosystem. One of our customers has an actual person in the organization whose job is to be the voice of the customer. He is in every meeting that has to do with a product or any services, so they constantly remember the customer's in the room. What other advice do you have?   I commend that company that has the voice of the customer role because that's just so important and not enough companies actually do that. And if it doesn't come out of the customer's mouth, it's just an educated guess, right? In too many companies they're just making educated guesses as to what's really on the customer's mind. The more you can have your customers sharing their experiences and speaking up for you, the better you're going to be able to persuade people to buy. But one of the biggest questions I get is well, my customers don't want to participate, or they're not allowed to. It takes way too long for them to get PR approval. And so, that's a real challenge.   When it comes to capturing stories, one of the biggest pieces of advice that I have is to don't ask for your clients for endorsements recommendations or testimonials. And this might sound counterintuitive because this is what we as marketers have always done. We get all giddy when we get a quote from a customer that says, "A.B.C. Company rocks. I recommend them to everybody looking for a UFO widget,” right? I've gotten all giddy when I've gotten quotes like that and I've said "Let's put this on our website, let's up this in our sales presentations." And CEOs love it too. But those types of quotes don't really help buyers. I say don't ask for endorsements, recommendations or testimonials because for many reasons. One is generally there's not much in it for customers to give you an endorsement and oftentimes their hands are tied, they're not allowed to give endorsements. And if they do, sometimes they have to go through rounds of PR approval before you can use them. Whereas instead, I say ask your customers to share their experiences, advice, and knowledge.   This is very different. This is what I did at Forrester in my customer voice program. I would ask customers to share “What advice do you have for other marketers?” because they were selling to CMOs who are looking to get the most value out of working with a research firm. Or “Tell me about some of the major initiatives that you've done better with the help of the Forrester analysts.” Questions like that, people love. Your customers love to talk. They want to be heard, they love to give advice, they want to look smart, and they want to show how much knowledge they have.   You want their experiences and advice because in the end, that's what's really going to help a buyer. If a buyer is worried about whether they're going to get executive-level support for their initiative, they're going to care more about the advice that other customers of yours have about how they got executive-level support.   Just some advice for people working with the channel. You know, there's a lot of benefit in companies that have a channel to think about how you can generate customer proof that your channel can use as well as how you can enable your channel partners to develop their proof as well. And do it in a way that they can bring together both short customer stories that pertain to the vendor and their product and reliability and service and things like that. As well as some stories and customer feedback and advice that pertains to the reseller's value add, and then the service that they provide and the ongoing training or the implementation support because you've got to remember that to the buyer, they're buying a single solution.   The fact that the service and implementation and training might be coming from afar and the technology and maintenance might be coming from the vendor, they don't really care. To them it's all one solution. They want that one experience to be unified, and so they want to hear proof that relates to the whole solution.

Jay McBain, Global Advisor at Channel Mechanics, joins me, Jen Spencer to discuss shadow channels and the shift from IT buying power, verticalization (or hyperfocused vectorization), the future of the channel and more on this episode of The Allbound Podcast. Jen: Welcome to The Allbound Podcast, I am Jen Spencer, Vice President of Sales and Marketing here at Allbound. And today, I'm joined by Jay McBain who co-founded the company ChannelEyes, currently serves as Chairman Emeritus of the CompTIA Vendor Advisory Council and Managed Services Community. He is a Board member of the Channel Vanguard Council, the Ziff Davis Leadership Council, and CRN Channel Intelligence Council. In short, this man knows channel. Welcome, Jay. Jay: Thanks, Jen, really appreciate it. Glad to be here. Jen: Absolutely. Well, it's good to have you. And especially, really wanting to get caught up with you and what's going on in your world and I'm sure our listeners are also really interested about five months ago, you took on a free agent status. You said, "Okay, I'm leaving ChannelEyes," which was the channel tech startup that you helped co-found. So catch us up, what's had your attention the last year or so? Jay: Yeah, absolutely. I had spent the last while at ChannelEyes as CEO and they're working on some really interesting stuff around predictive analytics and artificial intelligence. And I think in the next three to five years, most of us in the channel will be using computers to help us do our daily tasks...help us with our daily tasks and get us to the finish line faster. And I think now that the company transitions to a CEO that can better position the company with some of the leading CRM players in the market like Salesforce and Microsoft. And who knows, further down the road, to really make something happen. Jen: Great, great. So what are you focused on right now as a channel professional in your world? Jay: That's a great question and I was at CompTIA last week and probably answered the question at least 100 times so... Jen: I'm sure. I'm sure. Jay: One of the answers is I spent almost 20 years working at IBM and Lenovo in different channel roles including channel chief roles. And they were always Americas based, either North America or full Americas, and I never really got a lot of exposure to Europe and Australia and Asia-Pacific. And what I've decided to do in the last five months is work closely. I've been to Australia and going back again working with a very large telco there, I’m working with this great company in Ireland which is where I'm sitting right now in Ireland. The company is called Channel Mechanics and they've really looked at the channel management space and they've done some really innovative things. So looking internationally but also looking obviously to work with some very interesting challenges, which I'm sure we'll touch on on this podcast. Jen: Great. So let's, dig in to some of that. I’ve followed a lot of what you've been writing about specifically around channel, something that you previously called out, is that a large number of channel programs that tend to get stuck in the exact same place. And you wield it down to two key conclusions. So one, that some vendors will simply win because their product wins. And then two, that other vendors will win because they know how to influence the channel. So I'd like to know, what do you mean by that? Jay: Yeah, this is one of my kind of personal passions and I think it started when I read the book "Tipping Point" by Malcolm Gladwell. He's got this great chapter early on in the book. I think it's chapter 2, about Paul Revere. What a great connector Paul Revere was in 1776 and why that won the day more so than riding a horse through all these towns, and why the other person who left on horseback that night wasn't successful. And this idea of influencers or connectors and super connectors, when I moved to the United States from Canada in 2009, I looked at the market and looked at the millions of people that participate in the channel and I didn't have 15 years to catch up to the relationships that I had in Canada at the time. So I kind of boiled it down and said, "What is this influence and how would you measure it?" And in 2009, I generated a list of the top 100 most influential people in the global channel and I did it again, actually, about 4 months ago on my blog. And seven or eight years had passed and it's interesting to see people have changed positions and everything else. But it's a very analytical numeric way of assigning scores for people's influence. And just to give a quick synopsis is back in 2009, I figured out that there are 16 magazines that channel people read. There's 150 trade shows globally that channel people go to. There's thousands of vendors. There's dozens of distributors. There's bloggers, thought-leaders, associations, analysts. When you look around this web of influencing sites, what people read, where they go, and who they follow, it's across different mediums but they're all available. So I took and read every magazine. I wrote down every name of everyone in the magazines. I went to most of the trade shows in my first year and took note of who the keynote speakers, and the advisory council, and the board members, and all the key people at these events. I did the same for peer groups. I did the same for the associations and analysts. And as I came around, I came to about 1,000 names. But what was more important to me is how visible they were across multiple different communities. In our channel, it's so wide and diverse. But more importantly, it's decentralized. Channel partners don't have the time to go and read 12 magazines. So they tend to focus on one community and at most, maybe two to get their information to reinforce their expertise and to really peer network. And we look at these organizations, there's about 30 of them in North America that they're a part of. And I was really looking at how many people influenced in more of these 30 communities. And really, for me, reach was more important than maybe... that's all I could find out on Google. I couldn't find out how important they were in each community but I could definitely measure their reach. And so, I just added this really simple spreadsheet, and I just started adding check marks beside each name every time I saw them more than once. And after 1,000 names and thousands and thousands of check marks, I just sorted by whoever had the most check marks. And interestingly enough, in 2009, Larry Walsh, who was long time CRN editor, kind of patriarch of the channel, but he ranked number one and I didn't know who Larry Walsh was but I knew I had to go meet him. And then, all the way down the list I wanted to meet. And as I met probably 20 to 30 of the top 100 people, the other 70 came rushing to me. Not because I was important but because they sensed that I was doing this and talking to these important people and maybe I was important. But to a connector, they don't want to be left in the dark. So it's really important to them to know what's going on and to be able to kind of stay on the inside of things. So it was kind of really fascinating and over the last seven or eight years, I've written a lot and I've studied the level of influence that people have in the channel and there's a direct correlation between people having a high influence and carrying their company to great new heights. Jen: I think that holds true, regardless of what sort of industry or what segment of the market you're in, especially from that leadership perspective. I think it's also interesting, we talk to a lot of folks who are not your traditional type of channel organization, not your traditional enterprise IT company. Maybe they're a small or more mid-market size organization, software company, ready to kind of build a channel. A lot of folks are looking at an agency-based program. Upcoming on a future podcast episode, I'm going to be interviewing Pete Caputa from HubSpot who's now at Databox and has assured us that he's building the agency partner program to end all partner programs. And so when I think about influence, I think about an individual like that. So would you say that this concept of influencing the channel is just as strong in the evolution of where channel is going? Is it even more important than ever? I mean, what is your take on it because looking at 2017 compared to 2008, not that much time has gone by but there's been a lot of change in that time period? Jay: Well, there absolutely has, and some of the things I wrote about later last year, I call them shadow channels. But I've got this personal belief that your average vendor, their channel program is going to grow by at least 5X in the next three or four years. And the reason really goes back to the customer buy-in journey. And people at HubSpot know this very, very well but over the last 10 years, 90% of all IT decisions 10 years ago were made in the IT department. Makes sense, CIO. And today, it's flipped completely where 72% of all decisions are made outside of the IT department. It's now the VP of sales and marketing, operations, and finance, and HR, and all the way down the line that are making big technology decisions that are business decisions. And what's happening to traditional vendors is sometimes they're not in the room. Well, most cases, they're not in the room. When a VP of marketing like yourself is making a technology decision, a lot of times you don't have the person who's fixing your printer in the room. Jen: Wait, wait, hold on. Jay, I'm the person who fixes the printer here, so should it be someone else fixing... Jay: Oh. Jen: Just... Jay: That's right. Startup life, you know. Jen: Startup life. Yeah, I know, I’m sorry, I had to insert that. I had to insert that. But no, no, I agree with you 100% what you're saying, right? So I buy technology all the time and we do have someone here who's responsible for overseeing all technology and he has a zero influence on what I choose to buy to run our sales and marketing team. Jay: Right. And so, in the sense of if you put yourself under traditional vendor's space and you're trying to install traditional hardware, like you're selling software or other services, and now you need to get in front of Jen Spencer and, you know, who are you using to influence you. You might have somebody from HubSpot or Marketo in the room. You probably have somebody from your industry in the room that's a tech expert on your industry. In some cases, this could be accountants. They could be legal firms. They could be digital agencies. In your case, it might be a digital agency in the room. You could also have other ISVs in the room that play in ecosystems like a Marketo or HubSpot or Pardot or whichever one you play in. They're going to be in there because they know how to drive more leads for a company specifically like yours. You may have a startup in the room that's built with piece of technology and you're going to be one of their early customers so they want to make sure it succeeds. But you look at the five people in the room and it's not the printer person. It's not the person that installed your phones. So in other words, it's not the IT department. And so, if you're a traditional vendor spending all your time trying to recruit MSPs and solution providers and VARs from days gone by, guess what? You just missed out of a technology decision because your influence isn't in the room when it was made. Jen: Right. Jay: Now put yourself in the shoes of...let's talk VP of marketing and let's talk ambulatory care...healthcare clinic, midsized, 50 doctors, in the Northeast U.S. And in the room with that VP of marketing, again, it's probably that person from Marketo, HubSpot, Pardot, whatever it is, Eloqua, probably somebody that is an expert in healthcare driving leads for midsized clinics who's had success in the past, with five other clinics of the same size and scope. But these five people are different five people than what the IT department would have in the room. And so, you're not talking about routers and PCs, and you're not talking about, traditional licensing and everything else. You're talking about driving more leads or you're talking about a marketing problem. And to be relevant, vendors either a) need to train their current channels to be valuable to the VP of marketing in the clinic, which is less likely to happen. It's more likely that they then have to go and recruit and nurture these five other types of partners, and you call them alliances. You can call them whatever you want but the incentive is different, the way you manage them and measure them is different. The entire relationship is different. But the point is, there's so many more rooms that you have to be influencing now that your channel program is just invariably going to grow. Jen: So, you call these “shadow channels”, and when I think about like shadow marketing, shadow IT, usually, it's a very negative connotation to it. There's work going on that's outside of your viewpoint, that is in most cases negatively-impacting whatever the core function is. But what you just described doesn't sound negative, right? So are these shadow channels, is this the future? Is this a good thing for these organizations? Jay: Yeah, well, there’s good and bad. And depending on the audience that I talk to, is which one I'll start with. The good news is businesspeople are now making business decisions around technology. All companies are becoming technology companies and all other professional organizations and industry, association, everything else, are becoming technology-based just because that's the way world works. All 27 industries now are pretty much 27 tech industries depending on agriculture, fisheries, or whatever they do. You know, that's become such a big role. So, the world has changed. And the reason it was called shadow IT or rogue IT is back in the day, where 10%, and then it became 20%, and then 30% of decisions are made by these people who have no idea what's going on with technology and they don't understand security and they don't understand backups and disaster recovery and they're not of the adult in the room which, you know, the CIO or IT department would claim to be. And so they were rogue, they need to be stumped. Well, the fact of the matter...and these are Gardener numbers, by the way, 72% of all the decisions today are now made outside of IT, so it's no longer rogue or shadow. It is literally the new normal. And the prediction by 2020 is that 90% of all decisions will be made outside of IT. So in 10 years, there's been pretty much a 180-degree turn in terms of where the decisions are made. And this isn't changing. And businesspeople are making business technology decisions and that's the way the world should work. It's been a big boom for SaaS companies. And it's been pretty hard for technology companies and hardware companies, specifically, because they're trying to still find their place in these conversations when these decisions are being made outside of their normal feasibility. Jen: It makes perfect sense and it's a good opportunity for consultants, for people like yourself to let you go in and really help some of those organizations along this evolution of the way that channel and selling today, tech buyers today has definitely changed. I want to ask you now about another topic that you've written about, that you spoke about. You talked about channel vectors or vectorization. And you said that verticalization is being replaced by hyperfocused vectorization. So I'm hoping perhaps you can clarify what you mean by that. And then, I want to explore, what today's executive needs to consider as he or she is scooping out plans to grow through channel over the next 5 years, because there are a lot of these organizations that maybe they've hit $10 million in annual recurring revenue and they're looking at, "How do we get to $100?" And they're looking at channel as a way to do that. So what do they need to know from this new vectorization perspective? Jay: Yeah, it's another example of me making up a word and then all of a sudden... Jen: I love it. Jay: It's really good for Google SEO if you actually make up your own word. It's actually pretty cheap, first of all. But all kidding aside, let's go back to the healthcare VP marketing in a midsized clinic. And you're looking at the 5 people in the room and 10 years ago, for an IT provider, it was okay to say, "Hey, I got to move from being a generalist to a specialist." "Well, what are you going to do?" "Hey, well, I'm going to specialize in healthcare." "Well, that's fantastic." So what they do is they go out and read HIPAA and HITECH, and, they get a couple people certified, and they can talk their way out of a paper bag when it comes to patient records and compliancy and even some legal. But again, the world in this journey has changed things for them. So if you're that VP of marketing at a midsized clinic and you have somebody in your office that says, "Hey, I know a lot about healthcare." You're like, "Well, that's great. That's one of the vectors. What would be even better is if you knew not only healthcare but midsized clinics, so the sub-industry. The fact that you put in a solution for a 500-doctor firm probably doesn't have a ton of relevance to me because I don't have those resources. So that's another thing. The fact that you installed in Colorado may not be as relevant as it is in New York because of the different statewide bureaucracy and everything else. I mean, there's just that 50 different systems in 50 different states. So if you start asking these questions, there's actually five vectors. And as a VP of marketing in a midsized clinic, you're not going to ever get that perfect person who has all five. "Listen, I've just done the last five clinics exactly your size, just down the street. I've just done your competitors. They're the guinea pigs. I know exactly what to do. Here's my price. I can get started right away." That would be perfect. That doesn't work. So all you only end up doing is, "If somebody knows healthcare that's better than not knowing healthcare." I put that in quotes, air quotes. But that's one vector. So, flipping it aside, "I want somebody who knows my business. I want somebody who's been successful in my sub-industry. I want to know somebody who's been successful in marketing. I don't care if you put in an accounting app, or I don't care if you put in an IT solution. I need the drive leads. I need you to be focused on my line of business. I need you to be focused on my sub-industry. I need you to focus on my region." So these are the types of things that you push back on. And if you can get two or three out of five, it's much better than just getting that generalist in the room who might have one out of five, or none out of five. Jen: I think that's such a good kind of point to make and maybe even to end on here, because we've talked about how the channel is no longer just a channel. It's no longer just kind of a one-way street or even a two-way street. I mean it is a complete ecosystem. The story you just spun about healthcare IT, about being able to plug in to Salesforce to really put that on steroids to make it work for somebody to do their business, I mean that is absolutely our present and our future of the way that sales ecosystems are growing. And organizations that embrace it, organizations like Salesforce, organizations like Microsoft, that embrace that type of channel environment are reaping the rewards of it, the benefits of that in addition to their partners as well. So I love it. I'm glad you invented the word vectorization. I'll have to start using it. Jay: Great to participate. I've actually wanted to do this since you started. But one of the key things is you asked me to look forward five years. Jen: Yeah, absolutely. Jay: Vendors need to look at the toolset that they're using. And many of the tools that they're currently managing the current triangle of gold and silver and bronze partners they have the same program they built 20 years ago, they need to refresh their tools. If they're going to grow their channel by 5X, they need to seriously look at a tool like GoalBot, take collaboration to a completely different level. They need to look at a tool like Channel Mechanics. They need to look at new, fresh thinking around how to do this because if you try to force-fit your old ecosystem, your old infrastructure into this new world, it's going to be very, very difficult. And many vendors are now realizing that and looking for those right SaaS companies and others to plug together, to kind of manage these new channels, measure these new channels and set these new channels. And in the end grow with these new channels. Jen: Absolutely. I mean, it's that old saying that, "What got you to where you are today may not be what's going to get you to where you want to go tomorrow." And so, I agree wholeheartedly with that assessment. Thank you so much. I'm not going to let you go just yet, though, Jay. So since you said you listened to the podcast, you've been excited about being on it, then I'm going to ask you some other questions. So you already know this is coming. Jay: I know it. Jen: Okay. All right. So, yeah. Well, I'd like to ask some more personal questions just so we can kind of shake things up and get to know a little bit more about you as a person. So first question I want to start with is what's your favorite city? Jay: Oh, that's a good one. I have traveled to 27 countries now. All of that spent on vacation, one of the blogs I write is "Rollerblades and Red Bull," the idea is to get to every country in the world. Right now, it would be tough to say the absolute but I would say Prague. Jen: Prague, awesome. I haven't been there but I've heard amazing things about it. So I heard it's a really beautiful city. Jay: Very, very difficult to rollerblade in, by the way. Jen: Okay, I won't try that, at least not the first time I go. Okay. Question number two, are you an animal lover? Yes or no? Jay: Yes, we have...we just actually...we had two dogs and one cat. And they were all 13 or 14 years old and we lost them all within 6 months. But, we're kind of in that mode now. We've got two young daughters as well I've got two daughters in college. But we're thinking about the family pets now and looking at different breeds so very excited to rescue some new pets. Jen: Oh, good. Well, you have to keep us posted. We love pets at Allbound. Our pets have an Instagram account called "Allbound Critters." So when you do have a new pet join your family, you have to let me know so I can give you guys a shout-out there. Jay: Will do. Jen: Okay, next question for you, Mac or PC? Jay: Well, being a 20-year IBM and Lenovo guy, the answer's going to shock you, I'm 95% Apple. So from iPhones to Watch to the laptop I'm on right now, everything, except for real work, is on an Apple. When I talked about analyzing the thousands of people that run this industry and running all these AI and macros and heavy, heavy lifting, I have one super-powered, liquid-cooled, top-end gaming machine at home that I do serious work on. But everything else is Apple. Jen: Everything else is Apple. All right. All right. There you go. And last question. Let's say I was able to offer you an all-expenses paid trip, where would it be to? Jay: That's a good question. So back to visiting every country in the world, the next, probably Middle Africa. Jen: Oh, what interests you about Middle Africa? Jay: A) that I haven't been there. Jen: Okay, yeah. Jay: I've been to most regions... You know, when I see the weather report that has 50 or 60 cities, most of them...well, almost of them I've been to. So now, I'm in the mode of, "I've got to go to dangerous places now." You can't go to the Middle East. A lot of Africa is off-limits. But it gets much harder to travel once you've knocked off the easy ones. Now you've got to start knocking off ones that have government warnings, or can add a little bit of risk. So that's what entices me about going to Middle Africa and maybe at Uganda, or Kenya, and help build schools or do something good for the world. Jen: Sounds wonderful. Well, thank you so much. Thanks for joining me, for sharing some of your time with us, especially calling in from Ireland where I know it's late at night. If any of our listeners would like to reach out to you personally, what's the best way for them to connect with you? If folks want to talk about going to Kenya with you, or they want to talk about fixing their channel, how should they reach you? Jay: Absolutely. My website, my blog that most of what we've talked about today, is jaymcbain.com. It's jaymcbain.com. There is at least 50 ways on there that you can contact me through every social and my cellphone and everything else. If you just want to hit me with a quick tweet. It's the letter "J" mcbain, M-C-B-A-I-N, so jmcbain. Hit me there and we can go from there. Jen: Perfect. Well, thanks again, Jay. Thanks, everyone else, for tuning in, and catch us next week for an all-new episode of The Allbound Podcast. Announcer: Thanks for tuning in to The Allbound Podcast. For past episodes and additional resources, visit the Resource Center at allbound.com. And remember, never sell alone

Kyle Burnett, Chief Technology Officer and co-founder of Allbound, joins me, Jen Spencer to discuss the birth and growth of the partner portal, navigating channel tech, integrations, SaaS partner programs and more on this episode of The Allbound Podcast. Jen: Hi everybody. Welcome to The Allbound Podcast. I'm Jen Spencer, Vice President of Sales and Marketing here at Allbound. And if you're a regular listener of the podcast, you know I don't typically sound quite this froggy. I'm getting over a cold, I actually sound way worse than I feel. And I'm actually in a pretty great mood, and one of the reasons why is today's guest is none other than Allbound's own Chief Technology Officer and co-founder, Kyle Burnett. Welcome, Kyle.   Kyle: Hi Jen. I think your voice sounds awesome and after this, we're going to karaoke because I think you've probably got a pretty good voice for it right now.   Jen: Oh my gosh, I think if I do that I'll have no voice at all in the coming weeks. After this podcast, I think I'm going to go on a vocal rest. Is that what artists call it? Vocal rest? So this is going to be super fun. Typically on the podcast, we have folks in sales or marketing and always with a channeled focus, of course. But I want to add your voice to the mix because there's a pretty big role that technology plays in the channel. And, also I think you're pretty awesome.   Kyle: Well, thank you. Yeah, I think it's gonna be a fun topic, too, because technology in every sector of business is kind of at the forefront. It's hard to turn on news and not see stories about technology, technology companies, what they're doing, what's trending. And what I do love about your podcast is you're a great resource and support for sales and marketing people because it's not the headlines that you see every day. Technology winds up being the focus. So it'd be kind of fun to swing this back around a little bit and see if we can really focus on the cross section of those two.   Jen: Absolutely. So let's just dive right in. I want to start with a Channel Partner word that I honestly kind of have a love/hate relationship with. It's the word "portal" or "partner portal," and I can explain a little bit later on why I have this love/hate relationship with it. But Kyle, can you put on your professor hat for us here and kinda walk us through the birth and the growth of the partner portal? Because every person who I have on the podcast, almost all of them...they either have or want to have or talk begrudgingly about their partner portal.   Kyle: I'm sure. Yeah, I'm kind of like the wiki on that, and I think that sometimes the word's so loaded and we can take pieces of it and maybe think about it positively or negatively. But I think if you just back up the story and where the portal came from, it's really no different than every other portal that exists on the internet.   You know, pre-internet, how did you communicate with partners, with business partners? You printed and mailed things to them, newsletters, for example. And you had to print and mail other collateral and information that you needed them to have - data sheets, board papers, case studies - whatever you needed your partners to have, and that was print and mail.   Pretty soon that turned into digital files that are online, so instead of sending a newsletter you can email a newsletter. Instead of sending files, you can email files or links to files. And pretty soon you start aggregating that into one location online into, well, a portal.   And now you can actually switch and have that be more of an on-demand scenario where partners can come and get it when they need it. And it pretty much just follows the history of the internet in general, having information that you wanted to share and how do you just get it all congregated, aggregated to one location so that it's there on-demand, and that's kind of where the portal came from and actually where it just ends to where it exists today.   And I think to hone in on the love/hate piece of this, what we don't like about where portals exist today is that still implies that it was the portal that came in 1997 when the internet started to really take off. It feels like it got left in time, vs. software, which is ever evolving, changing, and growing. And I think that's kind of where Allbound sits is right there, and where a lot of companies, you know, what they're looking to in the channels to try to figure out how to actually use technology and how to actually use software and they still call it a portal. And so we look at that and we want to address that and say, "Wait, are you thinking the portal? Or are you actually just thinking software?" But that's where it came from and it's, to some degree, better or worse, where it still largely sits today.   Jen: So, when I think about why I have this weird feeling about partner portals is, I love the idea that organizations are investing in making a resource, allocating a resource for their partners, and providing their partners with the location to go to to be able to access information, I love that. What I hate is that I feel like portals are this place where marketing collateral kind of goes to die.   And the other thing is I don't think I've ever talked to anybody who says, "Oh my gosh. We have the best partner portal ever. It's amazing. I love it." It's like, not to follow this house or room theme too much, but it's like this room. And there's all this furniture in this room and artwork, and none of it really goes together, but it's all there. Is it better to just to have the room? Would it be better not to have it at all? And so, that's where my conflict, I think, comes into play.   Kyle: Well, maybe there's a bunch of gothy millennials who have moved into the channel now and they really like this idea, and they like the idea that there's this really dark portal that's like a cemetery of marketing content and so they just want to hang out there and smoke some cloves. Maybe we're onto something. Maybe we should keep going with the portal because it'll become trendy and cool again.   But you're right, it is that feeling that it is a wasteland. And to some degree, it's kind of true. It's like you put content up there, you make it accessible to somebody. And that's great. The first time they go get it, they pull it up, they're like, "Awesome, great. This served this need that I have right now." But it does become very transactional. And it kind of lives and dies by the need of the transaction. And it doesn't really take on any other life form of its own. It just sits there, it just waits. And that serves its purpose, but that is, in scale and in scope, a very limited purpose and that's painful for the business-minded marketers, such as yourself, that actually want to invest your precious resources in something that's got a bigger, longer, more valuable life span than just transactions.   Jen: And there's this other piece about it that kind of leads me into the next question I want to ask you about, and it has to do with technology. And I want to ask you about integration. But before I do that... So, the other way that portals are used, besides just to hold content, right, it's almost like a place to go to then access other systems.   So maybe I go into the portal and then I can access a lead or deal registration system, or then I can access a marketing campaign type of system. And I start thinking about from the user experience perspective, like how do you make sure that you're able to maintain a consistent user experience? Or are you leading someone through this portal and they're, like, literally going through this magical kind of realm and then they end up in this other system? And how can they cleanly get back to where they started? And I think that's one of the other challenges that I've seen come into play besides just the content piece.   Kyle: Yeah, it's like they need a treasure chest map, a crayon to help work their way through it. But when we invest in technology, especially in the channel largely for two reasons. I think the other challenge is that the channel leaders are looking to bring systems together and perhaps portal is kind of this place where they start to think, "Well, I've got a portal. Can I also add this there? Can I also add that there?"   But if you simplify it, back up to, like, two commonalities there, one is, they are looking to simplify process. And they're also looking to speed up and simplify their own lives and that of the lives of their partners. And so, once they move beyond, "I've got content," and things to share with them, they do start to say, "Well, I also have this process. I've got this."   So it starts to balloon out from there and it's tricky. I mean, as a person who likes to build systems and tie systems together, I know that it's very easy to engage in that scope creep and engage in that idea creep to go, "Well, just one more thing, just one more thing, just one more thing," but that is how most people's portals and systems were built, was just one more thing over a couple of years, over a couple of different regimes, over a couple of different technologies. And pretty soon you do have, as you've alluded to, that house of horrors and rooms and things tied together and no one even remembers why they got added on and why that was put there. It just becomes very weird when the guest shows up and is not quite sure how to navigate it. So it can definitely become legacy very quickly. And those challenges exist, but that was born out of great intentions, and that was born out of great promise and it was born out of great opportunity, but it does need to be revisited. It can have a very limited lifespan if you're not careful.   Jen: So, when you're working with a customer and you'll come into the conversation because there are systems that need to communicate with each other, at their core, what are some of those challenges? You mentioned aligning different processes. Let's lay it out there. Like, what are those processes that the majority of channel teams are looking to overcome by integrating their systems?   Kyle: That's a good question. So, what I think is consultants...what you always like to do is focus on the business objectives. You really try to back the story up and say, "All right. So how is your business? What's the state of your business? What's the size of your business? What are your objectives to help grow that business? What are your metrics where you gauge?" You are trying to back that up to the investment they're looking to make and the resources that they need to accomplish their job and then what would they use to measure success, what constitutes success.   Well, the ROI of business technology using channel is pretty much about simplification of process and maximizing of their limited resources. So that's definitely a commonality. And the problems that kind of prevent you really trying to help focus on simplifying that is that they have lots of systems, they're disconnected, there's too many features. In the channel it's really easy to say, "I also need this, I also need this, I also need this." So if your feature list gets really long, that's a challenge that channel chiefs face.   Then, because there's the waft of technology kind of takes together those repetitive feature sets or competitive feature sets, then you get different technical stakeholders of each of those systems, and you've got all of this that you're trying to maximize and make the most out of with budget constraints. And that's quite a challenge. And it's a lot of a challenge for somebody to face who, inside of their own channel, has kind of their own core values in what they do and what they bring to the channel. And it's probably not navigating all of those problems to achieve this technical outcome when really they're like, "I'm here to lead people and lead teams towards business objectives, not figure how to get this system to talk to that system and get past the people who own those things."   So that's quite a challenge. And that's actually a fun one. What I really enjoy and what my team really enjoys as technical consultants is working with smart marketers and smart business people to analyze what they've got, and just sit down and draw it out, and draw up the process, and draw up the flow, and keep focusing on kind of their core business objectives and their metrics for success, and really focusing in on the ROI that they need off of their investment. And that ROI more often than not, is simplified down in terms of that it takes less resources to accomplish the processes that they need to show that what they're spending then works.   Jen: I know when you're integrating systems, you're typically integrating with an organization's CRM. What is the typical use case that you're looking at? What type of data are organizations needing to move from one place to the other? So, what's kind of standard? And then maybe can you share something really cool that either you've seen someone do or that you're anxious to see someone do? That would be kind of neat to hear.   Kyle: Sure. I think that really what the channel's trying to accomplish is the same thing that direct sales is trying to accomplish. And sometimes we lose track of that. We lose focus of that because of the disconnect, because instead of my sales people being right across the aisle, and instead of us all being in the same break room, we're in different locations. Well, big organizations have lots of sales teams working across cities, across countries even. So it's actually not all that widely different, except that technology hasn't really kept up with that style of relationship. So CRMs haven't kept up with that.   The cost of growing through your channel, doesn't align with the way that you can scale a CRM with your business. They figured out the CRM price point based off businesses scaling, and the market teams to be okay with that. That doesn't carry over to the channel. And so I think what winds up happening is the channel is kind of stuck there needing, essentially, a lot of the same CRMish functionality, specifically since they're sharing leads and registering deals back and forth and co-selling with partners. Whether that happens on one side or the other, leads being referred in for the supplier to be working through to a successful sale, and then just kind of reporting back to the partner where it is, or asking them out, letting the partner work and report it back in. Either way, they just need this collaborative effort going and sharing of information along the way of "Where is this? How is it going? How can I help?" CRMs haven't really helped with that when you're having people outside of your organization performing those activities with you.   So largely, what channel teams that we work with need is, they need the ability to collaborate with their partners on prospects from gathering them, to educating them, getting them up to speed, moving them along through the process, converting them to customers and then supporting them after they become customers, and keeping that relationship alive with all three of those parties involved. And that's what they're trying to solve for with a handful of different systems, and not necessarily the resources in house, not necessarily the descriptions that they needed the technology to help with that, and possibly not with the technical resources they need.   So that's what we see. And when we get to come in and help with that, it is to help them understand what it is that they've got now with tools they could be using now and how they could augment that tool set and fill in some of those gaps and really leverage a handful of different technologies to accomplish what they've got, some of those technologies they already have, and maybe some of them they have and don't even need. It's a fun discovery process. But you process-flow that out with them and it really helps them wrap their head around this data that's moving between systems and between organizations that is largely invisible otherwise.   Jen: And I threw two questions at once, which is annoying, so kind of the second part of that was just if you have any kind of anecdote, like anything really nifty, like a really cool example of something that you're seeing folks do with integration or what you'd like to see someone do?   Kyle: Oh yeah. So I guess there's kind of a positive and negative I'd throw at that, which is that technology, where it sits today and where integration sits today, gives all of us this idea that it can all be done. I think we were visiting a client here recently and they were talking about their technology being "not Hollywood-ready." So they have opted to focus on selling into businesses because businesses understand what the reality is of technology right now, vs. the rest of us who go watch a film and just think that Iron Man could build his suit very quickly over the weekend to be ready for the aliens coming in.   So we have this expectation that everything is horribly complex and really terrible and really important and all of these, like, superlatives, all of these really strong words, but then can also be really accomplished very simply and just, "I'll get this system and talk to that system and do that," so there's a lot of magic inside of there that should just happen. So I think the work implies that the best thing is when they have this realistic understanding that anything is possible, but also understanding what you really need to be doing and focusing on that.   The things that I really love is when we see simplicity, something as simple as tying together your marketing automation system - and I won't use the word portal - and tying in your channel software that you may not even need to necessarily have APIs talking to APIs and moving a ton of data back and forth, because there just may be simple stuff that you can do with existing tracking technology that your marketing automation system already does. Like, if you can track all of your leads and see that they're visiting a page of your website, why can't you track your partners and your partner's leads using the same existing technology? This is already there. It's been proven out. It works really well when you have really smart, skilled marketers using that technology. That can permeate through your partner software and through your partner relationships and actually give you all of those great data points that you use in direct sales, you can use it in your partnerships and your indirect sales as well.   And so I get super geeked by working with teams to tie some of this stuff together and find these really elegant, simple solutions that accomplish what you need with what you already have. It doesn't mean you have to reinvent the wheel. It doesn't mean you have to invest in new R and D. It doesn't mean to buy more software. Sometimes there's just really, really simple answers, and you feel really good about it when you stumble upon those working with your customers.   Jen: It's such a good message about simplicity, and technology's so funny because most of us have these pretty powerful tools at our disposal, and yet, because they are powerful and they're complex in their nature, we can very easily overcomplicate them.   And, I'm just kind of laughing in my head because one of my team members was working on a project, and it was taking her like a lot longer than I anticipated it was going to take her. But then when I checked in with her on it, I looked at what she had been doing and she had overcomplicated it for herself like times five, there was a much simpler path from A to B than she had taken, because the technology was so great, because the technology was awesome. But she missed it, and I saw how very, very easy it is for even sophisticated sales and marketing and channel professionals to follow down that path and start overcomplicating a system that's already kind of there and alive and working for them.   Kyle: Yeah, we talked a lot about giving people too much rope. I think that's probably an analogy you use when raising kids. You're like, "Give them too much freedom and what's gonna happen?" So it's kind of the same thing, that just because you can add more features and just because you can do more stuff doesn't necessarily mean that you should.   I think the flip side is a really interesting scenario is watching what Apple's doing. And I'm not a fanboy, so when I say this, this is with a ton of objective respect. I love that they're hitting delete on things. I love that they're removing items, that they're removing stuff. That simplicity is hard. I mean, can you imagine that have to happen within that organization to convince everybody that it's a good idea to keep deleting ports on the machine and keep throwing stuff away? And yet, they keep selling, they're selling strong, new things keep going, innovation keeps happening and people keep going with it, and come to find out, you didn't necessarily need it after all. You could get away with less. That's hard. I mean, they're in a fortunate place to be a market leader and be able to drive that, and that's hard for a lot of people kind of in their daily lives to be able to sell that, I think because aren't we kinda bred to be with the idea that more is better?   Jen: Right.   Kyle: Everything about us is about "consumption of more," you know? And I'm not trying to get down that little societal rabbit hole, but we think that way. We think, "Oh, well, like, let me go look at a chart and line up this software and look at features. Well, they have more check boxes on the left, so it must be better." But really? I mean, can you make use of all of that?   I think that's one of the challenges that the channel faces is the idea that they've been told for so long that they need more. You can't even make use of more. You can't make use of most of those things that are fullest. It’s the same reason why Apple can delete all these extra ports, because most people weren't using them or didn't need them anyways. And it kinda goes the same with feature sets on software, feature sets on need. I've got this little joke around here that my ideal keyboard would have half of your keyboard with a big delete button and then there's just a couple of letters on the other side. I don't even need uppercase letters. I don't even want the shift key. It's known around here. It's like, if someone says, "I deleted something." I just like cheer and hand them some stock. "Here you go."   Jen: Oh, I think we'll have a Kyle keyboard in your future. I can see it.   Kyle: Yeah, and I'm not some minimalist. Don't get me wrong. I'm not some minimalist, right? You know me, Jen. I've got too many cars and projects and objectives and things I'm trying to do in life. I keep on top of working. I have no business doing all of that. So I'm definitely guilty as the rest of them of acquisition of things and the features and ideas. I throw out ideas, I use our prospect pages in Allbound and I'm like, "Dang it, I really need this other feature," and I go into our Slack group to talk about it and the thing jumps on me right away, it's a bit quiet.   So, I'm as guilty as the rest of them. It's most definitely a decided practice that you engage in over time to question what do you really need to really focus and really accomplish what you want? And the focus to grow applies from top-down, and it applies to every aspect of business, and less is a really, really beautiful thing.   And so it totally geeks me when I get to work with clients and we get to focus in on some of that, of removing extra needs and removing things that may have seemed like a good idea but actually, in the end, wind up just being something else to own, extra baggage, extra weight, extra responsibility that doesn't really generate value.   Jen: I was about to say, "I have one more question for you," and I'm looking at my question that I wrote down for myself and there's multiple question marks in that question, so I guess it's more than one question. But one more area I want to cover, it's specifically about SaaS companies, because there are a lot of SaaS comp

Annette Iafrate, VP of Alliances and Partners for Vidyard, joins me, Jen Spencer to discuss channel alignment, building trust, defining rules of engagement and more on this episode of The Allbound Podcast.   Jen: Oh, it's so great to have you on. And for those of you listening who haven't experienced Vidyard yet, Vidyard is a video platform and they provide video hosting, enablement and some pretty awesome analytics. I know you joined the Vidyard team only about six months ago, but you've been negotiating partnerships at Constant Contact, you were helping drive partner revenue at SharpSpring. I mean, you've been connected to this concept of the partner channel for the last six years. And I really wanted to dive into a lot of that channel experience but before we do that, tell us a little bit about Vidyard, about Vidyard's value proposition so we get a sense of why you joined this team.   Annette: Sure, great. Appreciate it. I think the short answer is Vidyard helps companies drive more revenue through the strategic use of video. So, what does that mean? At the moment, the video economy is driving new expectations. Expectations around immediacy, transparency, authenticity, both in the workplace and the marketplace. So, video is now expected content and the statistics are actually staggering. Facebook gets 8 billion views per day for video, 8 billion. Isn't that amazing? But I think what's even more impressive is in B2B technology, 72% of B2B purchasers today are viewing video somewhere in their customer journey, and 50% of them are looking at at least 30 minutes of video. So, for those companies and leaders that want to keep up with the market, if they're not already doing video, they really need to embrace this new communication paradigm, and quickly. And for specific reasons, because it works. What we're seeing is, by having a video appear in your search results, you get 41% higher click-through rates. I think even more impressive is, if you have a video on your landing page or your website and your driving people there, you get an 80% increase in conversion and all of this with a 20% lower cost for leads. So, it's an opportunity that people should be leveraging right now, whether it's from the C-suite, through management, down to the front lines. Video is a very powerful tool, whether it's for communicating with customers, building brand awareness, encouraging employee advocacy or just in general, engaging with the market. And what Vidyard does is we help companies harness this power of video and use it to drive business growth, which is why I'm so excited about joining the team.   Jen: Wonderful. It sounds like you're pretty passionate about the use of video and I love it. I mean, when you're passionate about what you do and about what your organization does, it doesn't feel like work and it's exciting.   Annette: Absolutely, and it's just so powerful. You can see the impact on everyone's business, your own business, the channel business, as well as the end user business, so it's fun having that impact.   Jen: So, when you're looking at, really, the big picture of goals that Vidyard has, just looking at the next year, maybe even the next five years, what role will Vidyard's Alliances and Partner program actually play in helping achieve those goals? Because, Vidyard's a really rapidly growing organization. You guys are taking the the martech world by storm here. Where's channel going to come in this picture?   Annette: Right. Significant. Because the market's growing so quickly and because the company is growing quickly, you really need to prepare to start to leverage channels in order to scale the business. The market is growing, the market's massive. And at some point, you can only scale the direct model so quickly. The other reason is, in some cases, channels are really the best way to get to specific markets. So, there's a significant opportunity and I give the company a lot of credit in investing in channels early. Some companies I think wait a bit too long, because it does take some investment and some time to really ramp up a channel, as you've seen. You know, the recruitment, the alignment, the ramping. And so, in addition to that, the channels themselves just help accelerate the growth of the company. They extend the reach, give us access to more customers and prospects, whether it's through strategic alliances and their base, or market coverage, whether it's coverage of additional use cases, market segments and even geos. So there's a significant opportunity in the explosion of the market itself, and we've started primarily in the marketing and sales segments in use cases, but video goes across. It goes across industries, across market segments, their use cases including things like internal communications and support. So, trying to build a business that can attack all of those at once without leveraging channels is difficult. And as I mentioned, in some markets, particularly geo markets, the preferred mechanism for purchasing is actually through partners. If you're looking at iXAPACK or even LATAM and, to some extent, EMEA, customers prefer working with a trusted advisor that tends to be a partner. So, there's a significant role for the channels to play and, again, there's a variety of roles to be leveraged.

Jen: Hi, everybody. Welcome to "The Allbound Podcast." I'm Jen Spencer, Vice President of Sales and Marketing here at Allbound. And today, I am joined by Tim Harmon, Managing Director at Nuvello. Welcome, Tim.   Tim: Well, thank you, Jen. How are you?   Jen: I'm doing great. I'm loving living in Arizona in February. It is gorgeous. So my apologies to any listener who is knee-deep in snow right now. Come on out to Phoenix. It's beautiful. You know, Tim, so glad to have you here on this podcast. You know, most people in the channel space know you as being a Principal Analyst at Forrester Research. But then, earlier this year, you announced this new endeavor, that you've launched a new analyst consulting firm called Nuvello. So this is really exciting for us in the channel technology space. Tell us more. What's this all about?   Tim: Well, it is. I did leave Forrester in January and I am building Nuvello, which is essentially a new type of analyst consulting community and a new type of analyst consulting network really focused very much on channels. When I say network, the reason I use that term is because I don't profess to do everything that's knowingly in the Nuvello vision or plan all by my lonesome. And there are a plethora of very, very good and sharp independent channel consultants, I think, across the globe, and the intention is to bring them into the Nuvello network and to, in essence, create a more, you know, concerted analyst and consulting capability for, you know, both the chan-tech vendors that are attempting to support the primary target in our channel professionals.   Now, I use, also, the term, community. So the reason I did that is because the tech vendors themselves are going to have, hopefully, a lot of involvement in Nuvello. I'll just give you one example. I have believed for a long time myself that some tech vendors, a lot of tech vendors create a wealth of very good content, educational, you know, content. And I saw what you guys published in the last couple of weeks in terms of your own study and benchmark. I think that's a great example. So we want to source tech vendors' content to nuvello.com. You know, you could consider, for example, Jen, yourself, as another [inaudible 00:03:35] channel for your content, where, you know, Nuvello will ultimately, hopefully, become the ultimate go-to resource or channel professionals and practitioners, you know, for knowledge, tools, and benchmarks.   Jen: I think that's great. I mean, I know...I was speaking with one of the product marketing managers over at Salesforce a couple of months ago, and he was asking me, you know, "Where do people go to learn about, you know, channels sales and marketing? Where do they go to [inaudible 00:04:07] best practices and hear, you know, from each other?" You know, and I looked at him, I said, "Well, we're trying to create that ourselves, right?" So there hasn't been, really, a really strong kind of third-party resource for a channel professional to consume, you know, current content. So I think it's awesome. I think it's a really great resource that this community truly needs.   Tim: Well, thanks. You know, so combined with, you know, the knowledge content that Nuvello produces and the Nuvello network produces along with that the tech vendors produce, a lot of it is...well, in fact, all of it, for 2017, is going to be, you know, free. And, you know, ultimately, if we get to the point maybe next year where, you know, some of the Nuvello research, you know, might be, out [inaudible 00:05:17] associate with it, it's still gonna be, you know, very, very inexpensive. We're targeting companies really \$50 million and above in revenue. So, again, one of the goals of Nuvello is to reach what we call the mass mid-market, which is different than other approaches, you know, taken in the industry.   Jen: Oh, absolutely, absolutely. You know, I have you here. I wanna pick your brain about a couple of topics related to channel and related to, you know, sales and marketing technology. The first is that, you know, you've been, over the years, very passionate about the fact that far too many channel organizations underutilize technology and enablement and growth of their channel partners. So, you know, I wanna dig in a little bit. What have you seen or what have you experienced that's particularly concerning about this?   Tim: So I had the opportunity...just giving you an example, Jen. I had the opportunity, a couple weeks ago, to moderate a panel at a channels conference. And one of the things that I did, I ran it kinda like a jeopardy game, at least [inaudible 00:06:33] beginnning. I asked, you know, digital transformation, you know, and so that was the answer. You know, what is the question? And you could well imagine that, you know, the three panelists came up with three, you know, quite different definitions for digital transformation, which tends, you know, to be the watch word of 2017, right, 2016, not [inaudible 00:06:55].   When I drilled down with folks that I'm working with and this particular topic comes up, it usually winds up being in the area of how we are going to, you know, change some of our process, just automate those process who's using modern technology for our customers. Almost always the case. It never comes up that we want to apply some of this digital transformation-thinking to our channel partners.   Now, what's ironic, though, is that if you...I mean, the same sort of benefits could be realized, right? So why do you want to affect digital transformation capability for your customers? To have more loyal customers, right, to have them do more business with you, to have them spread the word as advocates. You know, the same exact benefits and results can occur if you apply those sorts of principals and techniques and technologies to your channel ecosystem as well, more loyalty, more loyal channel partners, more invested channel partners, bigger advocates of what you do. And the very few examples I've seen of tech vendors and manufacturers and other B2B companies that have made this sort of chan-tech investment have reaped big benefits in doing so in terms of, you know, loyalty, productivity, and/or advocacy.   Jen: I think it's a really great...actually a great bridge to...I wanted to ask you next about customer success. And you've sort of hinted about, you know, building advocates and evangelists some under your channel partner group in SaaS in particular. When you think about like those \$50-million, you know, fast growing mid-market organizations looking at channel, a lot of those players are gonna be software as a service organization. There's a lot of talk in the SaaS industry about customer's success, you know, evolving beyond just like client services or support. So can you share a little bit about where do you think channel sales and customer success either have been or need to intersect, you know, like today and then moving forward into the future?   Tim: And it's a great question. One of the things that I would kind of warn against is there is...and I've heard there's starting to be a slight little backlash, for example, the managed services provider segment of the channel industry. The very reason is that customers are saying, "You know, we had a three-year contract with you and we never saw you," right? "You know, you may have done a good job but, you know, there's someone else that's come along with greater economies at scale who can do the same, apply the same service at a lower price." And you drive yourself into a commodity type of a business environment, which is where I think most SaaS vendors and most channel partners don't want to be.   So, you know, I think channel partners have a vital role in, you know, kind of what their original purpose was. And one of the original purposes was that they had reached into segments of the market. And I'm talking about physical live face-to-face reach in the segments of the market that a tech vendor perhaps did not. And, you know, automation is great. You know, digital transformation is great. But I think, you know, channel partners have to maintain that personal relationship and that full life cycle enablement of technology solutions from, you know, building the business case to, you know, driving adoption that is ultimately what's going to make the difference between customer success or not.   Jen: That's a really great point. I think, you know, the key that I see there is continual collaboration, you know, between the vendor nor the supplier and those partners. As those partners have that face time with those customers, ensuring that that knowledge is transferred from the partner back up to the supplier. You know, typically, when we talk about knowledge transfer challenges, we tend to be a little short-sighted and think about it only from the perspective of how do I get all of this information about my product to my partners versus also looking at how do I get feedback and how do I get, you know, consumption information from customers via partners back up to, you know, the supplier who's creating the product. So...   Tim: Yeah, I think that's a key point, Jen. Most solutions, I think, today going forward are going to be ecosystem-delivered and supported solutions, right? So it's not that, you know, a tech vendor...I mean, you know, you turn back the calendar five years and there was this great fear that cloud software as a service was going to disintermediate the intermediaries, right? Who needs the channel partner? But that's turned out not to be the case. And, you know, the solutions are so involved and, you know, have so many tentacles even beyond the software aspect itself that you need to have all of your ecosystem forces aligned so that it appears to be an ecosystem of one entity even though it's really not. And that's, I think, where technology can really benefit. And it's absolutely required to provide one aligned phase to the customer where multiple ecosystem parties actually maybe involved in delivering value to the customer.   Jen: You know, one of the questions I get asked by a lot of CEOs at SaaS startups, you know...people are listening to this podcast or they're consuming content and they're talking to their colleagues about, you know, building these ecosystems, and a lot of them say, you know, "When do I start to build a channel partner program? Like, is there a certain revenue size I need to be at? Is there a certain gross stage I should be at?" You know, I'm curious. Like, you know, what do you think? You know, for a company who's just thinking about going to market via a channel partner program, is there a better or a best time for them to actually execute? Any words or wisdom that you have? I know a lot of our listeners are more emerging companies. Maybe they're not at that like \$50-million a year stage yet. You know, what advice can you give them?   Tim: Well, and so that \$50-million number is kind of, you know, the magic mark, right? I think that's when most companies do start to consider channels. And I think the reality is that most companies wait too late to start building their channels strategy and their channel programs. And they only do that when they see, you know, this revenue curves begin to flatten out a little bit. They wanna keep it going in a true northerly direction. I actually think that companies should probably start, well, I would say at the \$20-million market peak mark. But, you know, if it was me, if I was the CEO of a SaaS startup, I'd start from day one. I'd have channel be part of my strategy. I don't know if you ever, you know, watch "Shark Tank" on [inaudible 00:15:12] or if any of the audience, but one of the common questions, you know, that Robert or Kevin or Mark will ask is, "What is your distribution strategy?" You know, and these are pretty small companies on "Shark Tank." So I think there's a lesson to be learned from that.   Jen: Yeah, you know, and I like to take a page out of [inaudible 00:15:37], you know, she asks, "How does your customer want to buy?" And I think, you know, that's something that I'll always kind of go back to those CEOs and say, you know, "How are people buying your product now? How are you supporting them right now? You know, what's working for you in this direct environment? And make the channel an extension, a natural extension of what you're already currently doing." And, you know, we're starting to see a lot of the companies, you know, building channel programs or thinking about building channel programs, you know, quite a bit earlier. You know, that's faster a few weeks ago. And it was a big topic of conversation which, for someone who geeks out on channel partners, that's awesome for me to hear. So I think we're gonna see that number, that kind of typical revenue number for starting. I think we're gonna see that drop especially with these companies that are just growing really fast and wanna maintain that momentum.   Tim: I think that would be good for all parties involved, tech vendors, channels partners, and particularly customers, if they did that. You know, the one thing that I would kinda leave on this note is think about some of the largest companies in the world, you know, consumer-oriented companies. Just take, you know, Coca-Cola. You know, one of the things about Coca-Cola is you can buy Coca-Cola products almost everywhere in the world through various different types of channels. And, you know, take a lesson away from that in that, and you said it, different customers want to buy in different ways from different entities in different geographies, and try to serve them all or as many as you can, you know, with the resources that you have at your [inaudible 00:17:30].   Jen: Perfect. That's a great example. So, Tim, you know, you're just introducing this firm, Nuvello. I know you've already got a few roadshow symposiums that are on the docket for this year. You've got one just kicking it off in San Francisco. You got it going to Boston, Atlanta, going over to London and Singapore. It's super exciting. So who's the right kind of person to attend one of these symposiums? And then, you know, if I am that kind of a person, you know, what can I anticipate by attending?   Tim: Well, yeah. So, again, we're hoping to help, you know, channel professionals and go-to market professionals in terms of, you know, their strategies, their models, their recruitment, their onboarding, their technology, utilization. That's gonna be a key, key factor. You know, those people that are involved in those sorts of decisions and the execution of those decisions. So, you know, we hope for a pretty broad audience. Different symposiums will have slightly different audience flavor.   I'll give you an example. You know, we'll address this later in the year. We are going to try to actually bring in a couple of ex-CEOs, retired CEOs that were at the helm when their companies became quite successful via their channels. You know, that might indicate a different type of audience, you know, slightly. But, you know, for the most part, particularly for these few roadshow symposiums, we're looking for those people that are, you know, really involved, I think, in, you know, the fairly early stages of their channel-taking and their channel-development.   Jen: Wonderful. And so if people are interested in, you know, taking a look at those symposiums, they just go to nuvello.com? Is that correct?   Tim: Yes. Yeah, that's right.   Jen: Perfect. Perfect. Well, so, before I let you go, Tim, you know, we talked channel, but I like to ask some more personal questions of all our podcasts guests here, just to learn a little bit more about you. Are you opened to that?   Tim: You should go for it.     Jen: All right. Okay, so my first question for you is what is your favorite city?   Tim: My favorite city?   Jen: Mm-hmm.   Tim: I'm just going to...my favorite city...it's not Phoenix. I'm sorry, Jen.   Jen: That's okay. That's not mine either.   Tim: [Inaudible 00:20:26]. One of my favorite cities is Ottawa, Ontario.   Jen: Oh, nice. I have to dig. Okay, what do you love about Ottawa?   Tim: You know, I think it's like the [inaudible 00:20:43]. So it's not too big, it's not too small. You know, there's lots to do. The people are great. It's safe. It's a four-weather climate, obviously, which I like. And it's got, you know, a lot of culture in it and a lot of sports activities, so professional sports, participant sports. So it just had a lot of things, you know, going for that I like.   Jen: Awesome. I love it. Second question for you, are you an animal-lover?   Tim: Well, yes, in general. Yes. Yeah.   Jen: Okay. But you're not gonna be inviting any into your home anytime soon? Is that what I'm hearing?   Tim: I have a couple of animals, actually.   Jen: Oh, you do. Okay, question number three. Mac or PC?   Tim: I'm neutral on that. I have one of both and I actually use them both about 50% of the time. So I'm an agnostic when it comes to that.   Jen: Oh, nice. My last question for you is, let's say I was able to offer you an all-expenses-paid trip, where would it be to?   Tim: Probably African Safari.   Jen: Sounds very nice. Well, thanks, Tim. And thanks for answering some of those more fun questions. Thanks for diving into some of those deeper questions about channel. If any of our listeners would like to reach out to you personally after hearing this, what's the best way for them to do so?   Tim: You know, there's a contact us at nuvello.com which, you know, if they wanna email me, the phone numbers are there. And, you know, you can also book my calendar at nuvello.com as well. So if you wanna, you know, actually schedule a time to talk with me, I'm open to that as well.   Jen: Wonderful. That's a really good resource, and we'll go ahead to link to nuvello.com from this podcast. Again, thank you for your time. I greatly appreciate it, Tim. It's been great catching up with you. And thanks, everyone else, for tuning in. And check us out next week for an all-new episode of "The Allbound Podcast."

Wendell Black, Vice President of Channels for Five9, joins me, Jen Spencer to discuss creating the optimal team to compete and win with the partner, prioritizing your partner needs, and more on this episode of The Allbound Podcast. Five9 is a leading global provider of cloud-based contact center software for sales, marketing, and support, and they facilitate over three billion customer interactions annually.   Welcome, Wendell.   Wendell: Well, thanks, Jen. Glad to be here.   Jen: We're really happy to have you here today, particularly because Five9 has a really robust partner ecosystem, and I want to dig right into that. I mean, you guys have referral partners, system integrators, consultants, resellers, master agents. Is there a primary area of focus for growing that partner ecosystem this year or are you just going after everything all at once?   Wendell: Well, as much as I'd like to say we're just gonna go do it all, Jen, I've been told that you can't have more than three priorities or you don't have really any. So that said, Five9 is very focused in growing the book of business that we have in the master agent, sub-agent community, and growing our reseller partnerships is our two big focus areas. These two areas generated a lot of growth capacity last year, and we're looking to substantially grow our reach this year by continuing to focus on both of these channels to market. We've been very encouraged by the relationships that we've developed, and we look to further invest both time and finances in these communities in 2017.   Jen: Do all of these elements of your partner ecosystem fall under your purview? I know you're focused on growing a couple of these areas, but are you specifically focused on any of these areas individually? I guess what I'm getting to is what is the team makeup really look like over there?   Wendell: Sure. So my team is divided up really into the communities. So the systems integrators is one group, master agents and sub-agents, that line of business is another group, and then resellers is a third team, and all of those roll up to me. And our focus for that is on a global basis. So I have staff not only domestically here in the U.S., but also in Latin America, in Europe, and Asia as we grow in that direction as well.   Jen: Awesome. Now, a lot of times when I'm speaking with channel leaders, they’re very focused on, of course, growing revenue through that partner base. But the more that we've become a very recurring revenue-focused type of world, right, this marketplace, the way the markets change, now the conversation is really starting to transition into what value do all experiences, whether they're from direct sales teams or partner teams, play in that full life cycle customer experience? So, if I'm one of your Five9 customers, can you tell me how would one of your partners actually add value to my experience with your product beyond simply that, "I bought it from that partner"?   Wendell: Sure. So I think, as you know, Five9 has been delivering contact center solutions for 15 years now. But our partnerships, many of these resellers in particular that we're working with have been working in the contact center for twice that long. It's that breadth and depth of experience that the partners bring that is where the real value add is to what the Five9 product does and delivers to its customers. They provide that added value and insight to be able to help a customer really maximize that value. So a customer of a Five9 partner is not only getting the innovative omni channel solution that Five9 offers, but it's getting the years of been there, done that experience that the partner has to offer in this space. That's where the customer really wins.   Jen: Right. And, you talked about your resellers and you mentioned you have master agents, can you sort of talk us through how a master agent program differs from your reseller program? And keep in mind that some of our listeners, are just very new to the concept of Channel, they're just really starting to build out their partner programs, and this might be good for them to think about as they're kind of crafting that blueprint for what's to come in the future for themselves.   Wendell: Sure. So let me, first of all, tell you how they are similar. Both programs work with Five9 sales and sales engineering staff to ensure that we've provided the optimal team to compete and win in the market with the partner. The teaming of the Five9 experts with our partner experts makes for an unbeatable team. The programs are different, though, based on the scope of services that each type is really ready to deliver to a client. So in the agent or master agent kind of a program, they're really focused most of the time on the pre-sale side of a customer's selection of the solution and solving the need, bringing technology and different kind of solutions to bear on that customer problem.   The resale program not only does that, and works in that pre-sale process, but they also want to manage and deliver the solution, they want to train the customer, they want to own the operational consulting and ongoing support with the customer. I mean, the reseller really wants to have a day-to-day operational engagement with clients to continue to grow the success with a joint solution that they're bringing the services and the day-to-day engagement experience along with the Five9 product.   So, when you look at the two ways, one of them is the beginning to end relationship where the other one is really focused on the pre-sale engagement side, and that's why it's a great avenue for people to perhaps start as a referral relationship and be able to grow into the resale kind of soup to nuts delivery of the relationship over time. That makes it an easier way for all of us to get started.   Jen: So if I'm a customer and I come to purchase your product via that reseller program, do I ever have any interaction with anyone on the Five9 team, or is my only interaction with your product with that individual reseller?   Wendell: No, I mean, that's one of the things that, I think, is differentiated value for Five9 in that we team our sales and sales engineering, and frankly all the resources that those people can bring to bear with the partner to be able to put the best foot forward across both organizations. We want to get all the right resources available to ensure that when we're out there in the competitive market space, Five9 and the partner gets to win their unfair share of business.   Jen: I love that, unfair share, perfect. I don't think I have ever heard anyone say that. I think I might have to steal that from you, Wendell.   Wendell: That's okay.   Jen: So, one of the biggest challenges that we hear over here at Allbound when we're talking to organizations who have partner programs is they have a lack of engagement with their current partners. Can you share a little bit about some of the biggest challenges that you've had engaging with partners and maybe what steps you've taken to try to overcome those challenges?   Wendell: Sure. So, as you undoubtedly know, there's a lot of transition going on in the contact center infrastructure market these days. That is both the biggest challenge and the biggest opportunity from where Five9 views what's going on. There's a lot of concern and questions in the minds of the reseller community that've had longstanding relationships with providers in the past but they're changing now. I mean, this is mainly because new ownership is making changes in programs and personnel that they've grown accustomed to and perfectly well understood previously.   So Five9 is the only company in the Gartner contact center as a service leader quadrant that's not currently being assimilated by another company. I believe this makes us a more stable and predictable partner for our resellers to engage with and to help them plan a path forward they can count on. So in helping our partner community be more successful, we're diligently working with them on all aspects of training for a better understanding of how to deliver value to their customers with Five9, and this starts with sales and marketing, it transitions into demand generation, and it continues all the way through implementation and customer service.   We're taking a holistic view of helping our reseller partners make the move to the cloud, and that's what I think really changes our engagement strategy and approach with partners today, because we believe we have to interact with them on every one of those functional areas and put the right people in place to help them in those roles.   Jen: That leads me really nicely on to the next question I have for you. When we look at what makes a successful partner ecosystem, a lot of making the channel part of a strategic part of the business, making sure that there's a culture of partnership within the organization, and really making sure that the partner teams are properly resourced. So can you share with me, what are some of the internal resources or team structures, anything that you've put in place that are there to support Five9's entire partner ecosystem to ensure that you can be successful in engaging with these partners and making this a strategic part of your business as a company?   Wendell: So one of the great things at Five9 is we're on a tremendous growth path over the last five years. I mean, we've been growing roughly 40% a year each of the last years, and that growth means we can hire people and put them in the right position to manage all aspects of our business growth. So we've been giving people that come into the company a partner tattoo as we bring them into our sales and sales engineering teams, also into sales operations, because there's always transactions that are going back and forth between us and our partners.   We've also brought partner resources into our marketing team, because frankly, we're pretty good at the marketing of cloud contact center, and many of our partners, this is a new set of stories to tell. So we can help them in telling a cloud monthly recurring kind of a story versus a premise perpetual licence kind of a story. So there's a lot of learning and experience that we can transition that way. It goes right into our professional services. I mean, we've had to align people in our PS organization to be the point of contact for partners, because as they take on those responsibilities, they need a go-to resource to be able to help them overcome challenges or obstacles.   Our guys have seen a lot of implementations of Five9 and other cloud technologies, and they can help share that insight with our partners. And then finally support. I mean, everything happens through the support organization after the sale, and we want to do a mind meld with our partners so they can deliver those kinds of services the same way we do, which got us the recognition in the Gartner Magic Quadrant as being one of the best at execution in this sector.   Jen: That knowledge transfer piece, I mean, everything you're talking about has to do with that knowledge transfer. How do you get information from one entity to another, especially when they don't work for you, they're not in your building, they're not on your payroll necessarily, and transferring your knowledge down to the partner but then getting the partner's expertise and their customer knowledge back up to you is so critical. So that's great that you were able to create an infrastructure to support that effective knowledge transfer.   Wendell: Yes.   Jen: Oh, go ahead.   Wendell: I was going to say you're right on target with it because it's all about collaboration and we can't ever leave a partner stranded. We've got to be there to provide the safety net for them and for the customer to ensure that we have a continuing great experience with our clients in the base, whether they've come to us directly or through a partner channel.   Jen: One more question for you, and it's kind of a big one, but we mostly are talking to software companies. What do you think is the software industry's greatest opportunity when it comes to Channel? Channel's traditionally been a very traditional sort of like hardware-focused type of industry. So what can software take advantage of with Channel?   Wendell: I've been in the contact center business for over 30 years and I've been in the cloud space for 17 years now. I think we're finally at a place that we've hoped for as evangelists for cloud services back 15 years ago. I mean, we knew we were trailblazing and we knew that we were fighting an uphill battle against the established norm, but the market is right, customers are ready, and the partner ecosystem is also ready to take on cloud services and deliver them to their customers.   The time is now to be able to take the transitional move from perpetual premise licensing to the cloud model and software as a service. So I personally think after my time in the space, it's finally time to write the tsunami of the cloud contact center into the new omni channel paradigm of 2017, and that's why partners are getting excited today, because they see that opportunity too with their customers and now where you had to sell...or in the past when you had to sell people to think about the cloud, now they're asking about the cloud first and having that as being their first choice.   Jen: Right, absolutely, absolutely. I think that's a great way for us to wrap this up, although I don't let anyone go kind of without bugging them with a couple of more personal questions. So, totally unrelated to what you do at Five9 or Channel or software, are you open to answering a couple of questions?   Wendell: Sure, I'm fine with that.   Jen: Okay. I promise they're not too hard. My first question for you is, what's your favorite city?   Wendell: Gosh, it's hard not to be Dallas-biased, and been my home for 30 years and I can't imagine living anywhere else, but I do very much like to visit San Francisco and London and Paris. So I'm kind of a world traveler and I have a lot of favorites for different reasons. So can I cop out on that question kind of like that?   Jen: Sure, sure. The whole point of this is to get to know a little bit more about you, so we did just that. The second question I have for you is, are you an animal lover? Yes or no?   Wendell: I am.   Jen: And do you happen to have any pets?   Wendell: Yes, a white lab that I love and adore. So she is a great friend and a member of the family in every way.   Jen: Awesome. What's her name?   Wendell: Millie.   Jen: Millie, it's a nice name. Okay, question number three, Mac or PC?   Wendell: Both, actually. I have a MacBook Air on one side of my desk and a Microsoft Surface on the other.   Jen: Really? Very interesting. Most people I talk to either like one or the other, right? Like their brain has now been trained to use one kind of device, so that's great. The last question I have for you, let's say I was able to offer you an all expenses paid trip, where would it be to?   Wendell: You know, I would...I think I like to go do Asian coast tour, and so I have a mind that...the Tibet, Vietnam, Cambodia area is one that I haven't spent much time in and would like to go get to know better. So I think that's what I would target today. But a year from now, it could be some place totally different.   Jen: Well, and who knows where the business will take you? You might find new and exciting places that you never even knew really existed. I think that's one of the beauties of Channel, Channel is so geographically dispersed, you get to experience so many different countries, cultures, experiences, so it gives you a lot of opportunity.   Wendell: Couldn't agree more.   Jen: Well, thank you so much for taking some time sharing your insights with us today, it was a pleasure. If any of our listeners would like to reach out to you personally to follow up, ask you any questions, what's the best way for them to reach you?   Wendell: So my email is pretty easy, it's wblack@five9.com, and I would be delighted to engage with the partner community that way. I'm also on LinkedIn, Wendell Black, and would be happy to engage with people out there in the social world as well. Five9.com would be my third recommendation. You can find me in the partner section of our website and would be happy to get connected via that as well. So Jen, it's been a pleasure speaking with you today, and thank you so much for the opportunity.   Jen: Oh, you're very welcome. Thanks for joining us and thanks, everyone, for tuning into The Allbound Podcast.   Male: Thanks for tuning into The Allbound Podcast. For past episodes and additional resources, visit the resource center at allbound.com. And remember, never sell alone.