“Status quo--you know, that is Latin for ‘the mess we're in.'”

-- President Ronald Reagan, 1981

What is needed to achieve better results from marketing through the sales channel?

That was the question we asked ourselves on behalf of a number of clients. Several brainstorming sessions later, we had come up with clever ideas, but realized they were simply variations of the same old tactics. In analyzing the issues surrounding channel marketing, we saw that there were a number of obstacles that keep pushing us back to the status quo.

How do all of us develop channel marketing practices that would put some life back into the by-the-numbers effort characteristic of so many campaigns? We strove to reinvigorate ourselves, our channel partners, and—most of all—end users.

We found that with a few basic yet important changes sales channel marketing not only became fresh again, but also gave us predictable sales growth and improved return on investment. And it all boiled down to one word—guarantee.

Channel Marketing Problems

The biggest obstacle with channel marketing is that the dealer, retailer, or independent agent does not implement the marketing program in the way it was envisioned by the marketer. This happens because channel partners are independent businesses with objectives that don't always match the marketer's.

For example, sometimes co-op dollars and/or market development funds are spent by the channel partner on advertising older product lines or used products that offer higher margins, rather than on pushing new products. This is a classic case of incompatible interests.

A second example is the use of in-store promotions. Too many times great in-store promotional efforts are run late, haphazardly, or not at all by the retailer and a significant investment in that campaign becomes wasted effort.

Marketers are hesitant to make changes to long-standing programs because those differences might upset or anger channel partners. Rather than responding nimbly to alterations in the competitive landscape, marketers maintain the status quo.

This appears easier than tackling what is perceived by many as an intractable problem—persuading the channel to do what we want it to do. Changing the channel is doable, but it takes time. It doesn't happen overnight and it can breed resentment.

Marketers fear pushing key members of a channel into the hands of the competition. Better to continue what is tried and true, even if it produces lackluster results.

Marketers also have a deep-seated perception that all that can be done, given time and resources is being done. Why take on a major headache and attempt to change the unchangeable? We are doing everything possible, aren't we?

Finding Solutions

Subscribe today...it's free!

MarketingProfs provides thousands of marketing resources, entirely free!

Simply subscribe to our newsletter and get instant access to how-to articles, guides, webinars and more for nada, nothing, zip, zilch, on the house...delivered right to your inbox! MarketingProfs is the largest marketing community in the world, and we are here to help you be a better marketer.

Already a member? Sign in now.

Sign in with your preferred account, below.

Did you like this article?
Know someone who would enjoy it too? Share with your friends, free of charge, no sign up required! Simply share this link, and they will get instant access…
  • Copy Link

  • Email

  • Twitter

  • Facebook

  • Pinterest

  • Linkedin


ABOUT THE AUTHOR

Bill Hansen Bill Hansen began his career as an engineer and quickly moved into technical sales. He has had the opportunity of developing strategic marketing campaigns for major organizations around the world. Bill can be reached at billh@sableadvertising.com