Every partnership is unique in terms of team members, products, and goals. Learn how you can effectively structure your co-selling partnership.
Channel Sales for Startups 101
Competition is fierce and achieving consistent growth can be a long struggle. Unlocking the power of channel sales is the key to startup success.
Budding businesses and startups are popping up at a faster rate than ever. Therefore, competition is fierce and achieving consistent growth can be a long ride on the proverbial struggle bus. With this in mind, it is time to pull the cord on the bus and get off at Success Street. Unlocking the power of channel sales is the key to startup success. With CoSell, these coveted partnerships are no longer reserved for massive Fortune 500 companies. Read on to find out more.
What are Channel Sales?
Simply put, channel sales funnel the sales portion of your business to a third-party provider. This tactic alleviates the hassle and expense of hiring a tradition in-house sales team. Channel sales manifest in a number of forms: wholesalers, independent businesses, distributors, affiliate partners, and more.
How Channel Sales can Benefit Startups
There is a lot of chatter on the internet that channel sales and partnerships are a risky move for startup companies. However, here are CoSell, we believe that startups with an established product-market fit are ripe with channel sales potential. Better yet, by making strategic partnerships early on, startups can effectively measure monetary growth, monitor activities, and payout channel deals through the CoSell platform.
1. Boost Efficiency
Hiring and training salespeople can be a lengthy and sometimes unfulfilling process. On the other hand, channel sales partners utilize and build upon an existing successful sales system. Better yet, channel partners are far more cost-friendly than hiring a marketing team.
2. Customer Trust and Accessibility
By making strong partnership choices, you can access an established and loyal client base. Consider the sales boost a breakfast cereal experiences when the nation’s favorite basketball star is pictured on the box. The endorsement from a trusted person and/or company automatically establishes credibility in the eyes of the consumers.
3. Low-Stakes Market Testing
By funneling your sales through a strategic partnership, your business has the unique ability to test the market with little risk. Considering an out-there marketing strategy? Test it out through a channel before dumping money into a massive advertising push.
Channel Sales Framework
There are three main approaches to efficient sales via channels.
- Selling Together - This is an ideal setup when your partner offers a product or service that works well in tandem with your company. For example, if you own a bakery and your sales partner runs a delivery service. Therefore, benefiting both businesses and the customers they are serving.
- Partner as Seller - This method puts your company more in the shadows. That is to say, your more established partner may replace your logo with their own to boost sales.
- Selling Through Your Partner - A grocery store is a great example of this method in action. Stores stock countless brands all in one place, providing ease and variety for the consumer.
Channel Sales for Startups: In Conclusion
If you are a startup with a proven market-fit, effectively channel partnerships selling can work wonders for your business. Imagine accessing collaboration and transparency like never before. Contact us at CoSell today to find the perfect sales partner to help your business boom.
If you’d like to explore how partnership co-selling can help you and your team boost sales and win major clients fast - check out our selection of free eBooks.