Five Reasons to Get Excited for Dell Distribution

Distribution

Happy 2017 … What a year we expect it will be! As you know, we’re getting ready to launch the extraordinary Dell Partner Program in just a few short weeks. Our Distribution partners will continue to be instrumental to our collective success, so we’ve built a new, global Distribution program that we’re incredibly excited about.

The new Dell Partner Program will have a Distribution-specific set of requirements and benefits, including:

  • Minimum annual revenue and growth requirements
  • Competency and training requirements
  • A comprehensive set of benefits, including base rebates and growth accelerators

We’ll share more specific details around each of these items in the coming weeks.

In the meantime, check out this countdown of the top five reasons that Dell Distributors should get excited about the new program.

#5: The Same Great Reseller Coverage Strategy

You know what they say, “If it ain’t broke, don’t fix it.” We pride our new program on being Simple. Predictable. Profitable. ™ With that in mind, we’re keeping most Solution Providers’ current procurement models intact. In the new program, a Solution Provider’s procurement model will be based on their legacy Dell or EMC buying relationships, the product lines they carry, regional/country needs, and Dell’s ability to support the Solution Provider directly. This means the vast majority of legacy Dell and EMC Solution Providers will maintain their existing procurement model, and all net new Solution Providers who are onboarded into the new Dell Program will procure exclusively through Distribution.

#4: Distribution Incumbency Plans

We get it – when you’ve built the relationships, you should get to maintain them. To protect our Distributors’ investment in the Solution Providers they recruit and engage in the Dell Partner Program, Solution Providers will continue their buying relationship with their preferred Dell Authorized Distributor as they progress through the program, other than by a Dell-approved exception. Solution Providers reserve the right, regardless of their Dell Partner Program Tier, to continue to procure through Dell Authorized Distributors.

#3: Distribution-Specific Tools and Resources

That’s right, within the new Dell Partner Portal, we will introduce a Distributor-specific view for exclusive access to program resources, quoting tools, and the Deal Registration program. Distributors will receive additional information on how to access the portal in February.

We’ll also roll out distribution-specific training competencies, minimum annual revenue and growth requirements determined by country, and minimum annual services requirements. Yes, these are required, but they’re intended to provide you with all the information you need to be as profitable as possible.

#2: New Solution Provider Leads

More qualified leads = more opportunity! Dell will begin actively feeding Solution Provider leads to Authorized Distributors. As Solution Providers apply on the Dell website, Dell will complete an initial review to verify the partner’s validity, and then send the application to the Solution Provider’s named preferred Distributor.

#1: Distribution Rebate Program

$$$! Distribution partners will receive a comprehensive set of benefits, including base rebates, services rebates, growth accelerators, and MDF.

  • Base Rebates: Predictable earned dollars based on qualified sell through revenue
  • Services Rebates: Additional rebate payouts based on total Services revenue generated by the Distribution partner, which in FY18 will include both Support and Deployment Services revenue.
  • Growth Accelerators: Additional incentives based on growing targeted Resellers by Line of Business/Product Category.
  • MDF: Distributors will have access to both Earned and Proposal-Based MDF, which they will be able to manage in the new Dell MDF tool.

Over the past few months, the Dell partner team has delivered an extensive effort to evaluate the legacy Dell and legacy EMC Distribution Partner coverage strategy. Based on this work, we have determined we will consolidate the list of go-forward Distribution partners in FY18. We will partner more closely with key global Distribution partners who are placing bets on Dell and maintain a smaller set of local Distribution partners by country.  Specific details on program requirements and benefits will be provided in early February, at the time of the Dell Partner Program launch.

As we march towards the February launch of the Dell Partner Program, we’ll continue to provide our partners with further information.

Together, we will attack the market and become the channel to beat. Our opportunity is truly extraordinary.

*Please note: EMEA will not transition to this new incentives structure until Q2 of FY18

About the Author: Jim Defoe