Dealing with resellers who aren’t hitting their targets is a common challenge for Australian businesses expanding through a channel network. It’s tempting to immediately focus on performance metrics and apply pressure, but that approach often damages valuable relationships. We’ve seen time and again that a collaborative, marketing-focused strategy yields far better long-term results. The key is to understand *why* they’re underperforming and then work with them to improve, rather than simply replacing them.
Often, underperformance isn’t a reflection of the reseller’s effort, but a gap in their marketing capability or a misalignment with your brand messaging. Australian SMEs frequently rely on resellers to be an extension of their own sales and marketing teams, and that requires investment – on both sides. Here’s how we recommend approaching the situation:
- Diagnose the root cause: Don’t assume. Conduct a thorough analysis of their sales data, marketing activities, and customer feedback. Are they reaching the right audience? Is their sales pitch aligned with your value proposition? Are they utilising the marketing collateral we provide?
- Invest in joint marketing initiatives: Instead of simply demanding results, offer to co-invest in marketing activities. This could include joint webinars, localised content creation, or participation in industry events. This demonstrates commitment and provides them with the tools they need to succeed.
- Refine lead generation and qualification: Are the leads we’re providing high quality and relevant to their target market? Poor lead quality is a significant demotivator for resellers. We need to ensure a consistent flow of qualified opportunities.
- Provide targeted training and support: Offer training on your products, sales techniques, and marketing best practices. This isn’t about ‘fixing’ them; it’s about empowering them to better represent your brand and close more deals.
Remember, a strong reseller network is built on trust and mutual benefit. While it’s important to hold resellers accountable, focusing solely on numbers can be counterproductive. By adopting a marketing-led approach – diagnosing issues, investing in joint initiatives, and providing ongoing support – we can turn underperforming resellers into valuable partners and drive sustainable growth for your business. If, after a reasonable period of collaborative effort, performance doesn’t improve, then a difficult conversation about the future of the partnership may be necessary, but it should always be a last resort.
The next step is to schedule a review of your current reseller performance data and identify those partners who would benefit most from a collaborative marketing refresh. Let’s work together to unlock their potential.
